NASCIO and EY US study reveals majority of states lack data quality programs to support GenAI-ready data

State chief information officers (CIOs) and state chief digital officers (CDOs) recognize the importance of high data quality — especially as a critical determinant of successful artificial intelligence (AI) — but a majority have concerns about data quality, according to a new report published by the National Association of State Chief Information Officers (NASCIO) and Ernst & Young LLP (EY US). The report, Is Your State Data Quality Ready for GenAI?, surveyed CIOs and CDOs from 46 states, revealing that the biggest barriers cited to maintaining high quality data are budget constraints, skill shortages, organizational awareness and competing priorities.

Data collected in the survey reveals the following.

• Key finding: 95% of respondents think increased adoption of AI and generative AI (GenAI) is impacting data management. And while the majority of respondents (89%) consider data quality to be important, less than a quarter (22%) have a dedicated data quality program.
• Reactive data quality management: Nearly three-quarters of respondents (72%) consider their approach as “reactive” or merely “aware,” which reflects the tendency to view data quality as a technology agency’s responsibility rather than a cross-departmental concern.
• Importance/budget disconnect: Most respondents (72%) report low to no alignment of funds budgeted toward data quality initiatives, with a majority of respondents (83%) reporting minimum budgetary alignment and 15% reporting no budgetary alignment. 
• Lack of data leaders: Less than half of respondents (41%) have a dedicated data management lead/officer, revealing a talent gap in critical data roles to effectively govern data.

“This report demonstrates that there is a clear imperative for state leaders to implement data quality programs on the path to successful AI integration,” said Doug Robinson, NASCIO Executive Director. “Creating a data-centric culture within state CIO offices will help leaders identify patterns that will drive innovation and improve the quality of citizen services.”

Chris Estes, EY US State & Local Technology Leader and former CIO for the State of North Carolina, said, “AI technology is set to transform the way state agencies operate and innovate, but success is highly dependent on the quality of the data. Prioritizing data quality management and funding is critical to realize the full value of state government AI and technology modernization efforts.”

Finally, the publication includes recommendations for state CIOs and CDOs around managing data quality, including providing data literacy training to the government workforce and implementing formal data governance policies.

The full report can be found on NASCIO’s website: NASCIO.org/resource-center.

Contact

Meredith Ward
Deputy Executive Director
National Association of State Chief Information Officers
+1 859 514 9209, mward@NASCIO.org

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