From vision to reality

Department of Service and Innovation Annual Report 2025

Data and software development

Roles and responsibilities

The Office of Data and Software Development plays a central role in developing digital solutions for Reykjavík City. The office is responsible for designing, developing, and maintaining data and software solutions for both City staff and residents.

Its goal is to build reliable, accessible, and user-friendly digital solutions that improve City services and support data-driven decision-making.

During the year, organizational changes were made: software development was transferred from the IT Services office to the Data Services office, and a new artificial intelligence governance officer role was established.

Data service

Data Services creates value from data for Reykjavík City by improving how data is used, ensuring access to the right data, and supporting data-driven administration. The focus is on making data reliable, consistent, and accessible so it can serve both day-to-day operations and policy development.

Data Services operates through several key roles that work together toward a shared goal:

  • Data architecture ensures the quality, consistency, and accessibility of reliable data for both people and software.
  • Data science handles in-depth analysis, including statistical work, reporting, and the development and implementation of AI and predictive models.
  • Business intelligence provides the City's specialized departments with consultation and support in developing and using business intelligence tools.
  • Data stewards promote a forward-looking vision for data and AI use, working to generate value from data in ways that increase transparency, improve services for staff, residents, and businesses, and support data-driven decision-making.

The primary goal of Data Services is to strengthen data awareness and encourage purposeful data use across the City. By ensuring the right data reaches the right people at the right time, Data Services helps enable informed decision-making and better service for residents, staff, and businesses.

Ongoing work is also directed at developing solutions that are accessible to everyone, regardless of education level, background, or socioeconomic status. People should not need expertise in data or public administration to access and use the City's data in a simple, straightforward way.

Illustration of people on a pie chart.

Artificial intelligence

During the year, a new AI governance officer role was established. The AI governance officer is responsible for ensuring that artificial intelligence is used responsibly, effectively, and lawfully within Reykjavík City. The role leads the development of procedures and provides departments, partners, and contractors with advice and guidance on implementing and using AI.

By carrying out AI policy, building staff capacity, and upholding quality and ethical standards in AI use, the role contributes to better public services and greater trust in public administration in a digital age. The AI governance officer follows up on recommendations for AI use within Reykjavík City's operations, as well as the European Union's AI Act.

The goal is to build a sustainable and governed AI capability that works across departments and strengthens the City's operations over the long term. Implementing AI includes, among other things, improving AI literacy to ensure responsible use within a defined framework. This also means establishing shared procedures among staff and gaining visibility and oversight of which AI tools are being used across City operations.

Illustration of a robot.

Software development

The role of software development is to design, develop, and deliver software solutions that provide tangible benefits for the City — in operations, services, and user experience alike.

The work is organized into the following areas:

  • Software development: designing and implementing code, participating in design, conducting code reviews, and making technical improvements.
  • Quality assurance and testing: carrying out testing, ensuring quality, refining test processes, and driving continuous quality improvement.
  • Team management and delivery: Overseeing the team's day-to-day work and output, planning projects, and providing team support.

The goal is to deliver stable, secure, and user-friendly solutions that increase efficiency and improve services.

Key priorities include:

  • Developing scalable, interoperable solutions built on shared infrastructure and a consistent architecture.
  • Supporting software teams in cross-functional collaboration, with a focus on flexibility, continuous improvement, and consistent delivery.
  • Building innovation capacity and technical expertise to meet future challenges.
Illustration of an old computer exploding.

Main objectives for the year

The main objectives of the Office of Data and Software Development during the year were to advance the ongoing development of data infrastructure and the broader data landscape, with a focus on improving data quality, accessibility, and oversight. At the same time, the office prioritized strengthening technical infrastructure and the development environment to ensure stability, safety, and the efficient delivery of services and solutions.

Efforts also went into simplifying the technology stack and increasing the reuse of solutions so that shared infrastructure is used more effectively and duplication of effort is reduced. Priority was also given to system integration and improved data flow to ensure the right data reaches where it is needed in a timely manner.

The office also worked on improving development processes and giving software teams greater autonomy through clearer workflows and better tools. Finally, deliberate effort went into strengthening cross-functional collaboration and building an environment where teams are independent, self-directed, and sustainable.

The office's main priorities for the year were developing data infrastructure, simplifying the technology stack and sharing solutions, improving integration and data flow, refining development processes and increasing team autonomy, and strengthening cross-functional collaboration.

Key projects of the year

Throughout the year, the office worked on a broad and varied range of projects supporting the ongoing development of the City's data, software, and technology environment.

  • Data landscape: Building and developing data infrastructure
    • Data from the Department of Education and Youth made accessible to school support services solutions
    • Accounting and other financial data made accessible
    • Foundation laid for collaboration with the Department of Environment and Planning on the data landscape
  • Backend for the waste collection calendar
  • Unified population forecast
  • Support for the rollout of the SAP human resources and payroll system and the Agresso financial system
  • Support for the rollout of the Starfsla database and data retention
  • New and significantly improved data dashboard front end
  • Updated and improved data portal
  • Improvements to Stjórnandinn, the management dashboard
  • AI recommendations approved and published
  • Azure cloud environment:
    • New setup (more secure access control)
    • Revised release processes (clearer and faster releases)
    • Simplified architecture (better oversight and easier maintenance)
  • Simplifying the technology stack:
    • The shared platform Búi supports a wide range of services and diverse user groups through shared functionality. Staff from the Department of Welfare (VEL), the Department of Education and Youth (SFS), and the Department of Service and Innovation (ÞON) now use Búi to process and look up cases.
    • Standalone websites consolidated under reykjavik.is to simplify operations and improve efficiency. Improved continuity with the Drupal content management system and greater reuse of design components.
    • Migration from webMethods to .NET:Fewer custom solutions and simpler maintenance.
    • Migration of databases, including a new National Registry web service 
    • Data analysis migrated from R to Python 
    • Posit Connect rollout underway 
    • End-to-end ELT processes consolidated in Airflow
  • System integration:
    • Connection established between My Pages and Búi. Steps taken toward a clearer separation of platforms for residents and staff, along with preparation for the rollout of Ósk and Stoð — digital welfare services.
    • Unique application identifiers introduced to ensure traceability and improve oversight.
    • A new data flow for school support services was put in place to ensure data reliability and reduce inconsistencies.
  • Foundation laid for a new multitenant system to make the City's solutions available to other municipalities. Work began on developing the financial assistance application to position the City to offer its solutions to other municipalities.

New solutions, workflows, and services introduced during the year

  • Solutions supporting the core operations of City departments
    • School support services / SkólaBúi
    • New case category in VelferðarBúi: activity and counseling
    • Suggestion Portal
    • Data dashboard / data stories
  • Solutions supporting internal operations
    • Manager application portal, Laufey — testing phase
    • Service center lookup
    • New version of Stjórnandinn
  • Data analysis
    • First steps in using large language models (LLMs) at USK

Consistency and quality in development:

  • Efforts to strengthen development processes through:
    • Standardizing procedures
    • Improved release management
    • Greater transparency in project management and delivery
    • Clear prioritization through quarterly plans for all development teams
  • Revised practices for data recording and handling. This is necessary to support other departments and ensure that data is used effectively and responsibly in the City’s administration and services.

Recommendations on AI use:

  • Recommendations on the use of AI in City operations were drafted and approved by Reykjavík's Digital Council. The recommendations are published on Reykjavík's data dashboard.

Improved service continuity and better access to data for informed decision-making

Several projects during the year had a particularly significant impact on the department's operations and the services it provides to users. System integration led to improved service continuity, including within school support services and welfare services in the areas of activity and counseling. Developing the data landscape improved access to data and laid better groundwork for informed decision-making.

Improvements to the Azure cloud environment and development processes also contributed to more efficient development, more frequent releases, and greater team autonomy. Better visibility and access to operational data — including through Azure logs — strengthened operations and oversight. The new and improved front ends for the data dashboard and data portal also had a positive impact on the user experience and access to information.

The work delivered greater development efficiency through a simplified architecture and technology stack. Greater transparency in solution delivery was also achieved by standardizing project management and tracking in Jira Atlassian. Duplication was reduced, and data flow became more targeted and reliable.

Illustration of a woman untangling a mess with a giant comb.

Guided by City policy 

The office supported City policy by improving services and streamlining service processes through greater automation, in line with the Service Policy. Work also continued to increase the share of digital processes and applications in the spirit of the Green Steps initiative. Emphasis was also placed on better integrating systems and improving access to data to support seamless service delivery and data-driven decision-making.

Key challenges

The year's main challenges centered on the rapid advancement of artificial intelligence, data security classification, and the transition of solutions from development environments into operations. Implementing a new operating model was essential to addressing these challenges. The most complex undertaking proved to be building a new data flow for school data while simultaneously developing a secure development environment.

Next steps and future vision

In the coming year, particular emphasis will be placed on strengthening collaboration with other municipalities and the national government, as well as carrying out the responsible and purposeful implementation of artificial intelligence. Work will continue on developing user-centered solutions that improve services for residents and support data-driven administration. Key priorities will include simplifying access to services and data, using data and artificial intelligence to improve services and decision-making, strengthening technical infrastructure and secure development, expanding automation, and building trust through reliable solutions. Work will also continue to increase efficiency and cost-effectiveness through shared infrastructure and system interoperability, alongside efforts to build sustainable and independent teams.

Looking ahead, the vision is to build a strong, leading professional environment that shapes the digital development of Reykjavík City.