Insights

Smart cities start with IT: Why integration matters for every municipality

Written by Fernanda Schimidt | Oct 14, 2025 5:00:01 AM

Municipalities across Europe face a paradox. Increasing pressure to deliver more services with fewer resources while residents expect fast, reliable and digitally enabled services, ranging from permit applications to school placements to healthcare appointments and community bookings. The good news: municipalities are finding smart ways to meet these expectations by turning integration and automation from a technical hurdle into a strategic enabler.

This was the focus at recent events such as Kuntamarkkinat in Helsinki, Finland, and Automation Forum in Kungsbacka, Sweden, which  highlighted just how central integration and automation have become to local government strategies. They are no longer niche IT topics, but essential tools for efficiency, cost control and citizen experience.

Shared challenges, collective solutions

One theme stood out clearly during Automation Forum: collaboration matters. Municipalities that share knowledge, best practices, and even solutions avoid reinventing the wheel. As one discussion highlighted, “working together across municipalities maximizes societal benefit.”

From booking systems to data management, collaboration reduces costs while ensuring residents benefit from proven, scalable approaches.

The AI horizon

AI is also firmly on the municipal agenda. As Frends senior delivery manager Mika Haikonen highlighted during his Kuntamarkkinat session, municipalities are eager to explore AI but must navigate strict legal and ethical frameworks. These challenges were also the topic of an insightful conversation between the municipalities present in Kungsbacka.

In Finland, for instance, AI cannot be used in decision-making that impacts individual rights, such as unemployment benefits. However, there is significant opportunity in less-regulated areas, such as service requests, translations or predictive maintenance.

A recent Sitra study, "The potential uses of artificial intelligence in the public sector", provides a useful framework: the higher the impact on individual rights, the less autonomy can be given to AI. This creates a clear roadmap for municipalities: start with low-risk use cases, prove value, and expand responsibly.

Concrete results for better services

The presentations in Kungsbacka showed how automation is already improving everyday services. For example, automating the process of booking market stalls reduced administrative burden and gave citizens a smoother service experience. These practical use cases demonstrate that automation isn’t a distant vision—it is making a difference for residents today.

Flexibility and modernization

Not all municipalities start from the same point. Some manage legacy systems decades old, others are more digitally mature. As discussed in both events, success comes from choosing the right implementation model: from gradual automation of specific processes to larger modernization projects like replacing outdated identity systems.

The key lies in flexibility—tailoring the approach to each municipality’s size, resources, and readiness.

Why integration is the foundation

Beneath every successful automation or AI initiative is one constant: integration. Systems must talk to each other, data must flow securely, and processes must be orchestrated end-to-end. Without strong integration capabilities, automation remains fragmented and AI underutilized.

This is where modern platforms like Frends come in. Already trusted by numerous municipalities across the Nordics, it helps local governments:

  • Cut costs by reducing manual tasks and legacy system maintenance
  • Improve citizen services through faster, more reliable digital processes
  • Ensure compliance and transparency with GDPR, security standards, and explainable AI
  • Future-proof operations by making it easier to adopt new technologies without replacing the entire IT backbone

A positive outlook

The message from both Finland and Sweden is clear: municipalities have seen the value of digital transformation and are leading this path in ways that directly benefit their communities.

By combining collaboration, modern integration platforms and responsible use of automation and AI, municipalities can deliver more with less, while maintaining the trust and transparency citizens expect.