Sociotechnical limits of digitalization: mind the gap between tech visions and practicalities of implementing digital social welfare

This chapter argues that digitalization can exacerbate the policy implementation gap if the socio-technical nature of digital welfare is overlooked. While politically appealing, technological solutions introduce new challenges, both technical, organizational and social. Effective digital welfare requires understanding it as a socio-technical transformation, balancing economic gains with service quality. Empirical examples from social welfare and healthcare highlight the complexities and the classic principal-agent dilemma in implementing digital social policies.