Digital or electronic management (e-management) is a term used to emphasize the application of information and communication technologies in management systems and processes. One of the great revolutions in modern business is the transition from traditional to digital business models in order to achieve a higher level of competitiveness. Digitization is the continuous convergence of the real and virtual world will be the main driver of innovation and change in all sectors of the economy. The exponentially growing amount of data and the convergence of different accessible technologies that has come along with the definitive establishment of information and communication technology are changing all areas of the economy. There has been a lot of discussion about what e-government development initiatives should be launched in local and national authorities. Research on the importance of potential driving factors shows that service improvement (benefits for local government clients - local population) was assessed as the most important factor. The paper analyzes the process of digitalization in public administration on the example of Vukovar-Srijem County. Vukovar-Srijem County is a regional unit of self-government in the Republic of Croatia in the area determined by law. The seat of the County is in Vukovar. Administrative departments and professional services established by the county council are managed by the head. Heads of administrative departments and professional services are appointed by the County through a public tender. In order to promote economic and social development, this county cooperates with other local and regional units in accordance with the methods and procedures prescribed by law. In addition to various digital services provided to citizens, one of the main projects in this part of Croatia is the construction of a regional center for digitalization and development of Vukovar-Srijem County. The center will provide the necessary infrastructure, improve existing services and develop new ones that contribute to socio-economic development, with special emphasis on encouraging digitalization and digital transformation of Slavonia, Baranja and Srijem.