This study examines the transformation of smart bureaucracy and administrative innovation in the era of artificial intelligence within contemporary public administration systems. The research aims to analyze how AI integration reshapes bureaucratic structures, governance coordination, institutional adaptability, and public service mechanisms. A qualitative approach with a descriptive-analytical design was employed through semi-structured interviews, institutional observations, and documentation analysis involving policymakers, government officials, digital governance administrators, information technology specialists, and academics. The findings demonstrate that AI-supported governance systems significantly improve administrative efficiency, predictive decision-making, digital coordination, and service responsiveness. The study also reveals that institutional adaptability, organizational learning, collaborative governance, and digital literacy play crucial roles in determining the effectiveness of smart bureaucracy implementation. However, challenges related to governance ethics, algorithmic accountability, institutional resistance, and unequal technological infrastructure remain significant obstacles within AI-driven governance transformation. The novelty of this research lies in its integrated analytical framework connecting artificial intelligence adoption, administrative innovation, and institutional adaptability within smart bureaucracy discourse. The study contributes theoretically to digital governance and public administration literature while offering practical implications for policymakers regarding adaptive governance, ethical AI regulation, and institutional capacity development in the digital era.
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