e‑Government holds the potential to facilitate the complementary use of information systems in government comprising both operational and strategic use. This paper argues that if this metamorphosis is to occur, managers are facing five key strategic challenges: 1) Assessing the demand paradox of e‑government. 2) Ensuring that gate‑keeping mechanisms of the street‑level bureaucrats are not eroding the dynamics of e‑government. 3) Use of IT to decrease the high labour intensity in public service provision. 4) Revisiting the employees' readiness for e‑government. 5) Building competences within government to ensure dynamic use of IT.
Keywords: e-government, strategy, management, demand, entities, gate-keeping mechanisms, labour intensity, readiness, competence