[Nara City] 1 Year Since the Establishment of a Dedicated AI Department: Initiatives for AI Utilization in Reiwa 7
Nara City reported the first-year results of its dedicated AI department. They achieved ~17,200 hours of time savings using Generative AI and saved 50 million yen annually with Zoom Phone. The department will be upgraded in Reiwa 8.
📋 Article Processing Timeline
- 📰 Published: April 14, 2026 at 02:24
- 🔍 Collected: April 13, 2026 at 18:01
- 🤖 AI Analyzed: April 19, 2026 at 19:35 (145h 33m after Collected)
Nara City established a dedicated AI department, the 'AI Utilization Promotion Division', on April 1, Reiwa 7 (2025), pioneering this approach nationwide. Over the past year, we have accurately grasped the rapidly evolving AI technology and repeatedly conducted trials and verifications aimed at improving operational efficiency and citizen services.
We hereby report our concrete practices and achievements during the first year of its establishment.
Furthermore, from Reiwa 8 (2026), we have integrated the administrative reform promotion functions previously handled by the Finance Division into the 'AI Utilization Promotion Division', reorganizing it into the 'AI & Administrative Reform Promotion Division'. By maximizing the power of AI and digital technology, we will vigorously promote highly effective administrative and financial reforms that go beyond mere operational improvements.
Topics
- Implemented bottom-up literacy training for staff. After training, the generative AI service usage rate among section chief-level staff increased (from 38% to 74%).
- Through operational efficiency via generative AI services, achieved a reduction of approximately 17,200 work hours (equivalent to about 17.5 person-months) in the second half of Reiwa 7. *Work reduction hours calculated by the introduced service.
- Introduced the next-generation cloud phone system 'Zoom Phone'. By conducting the system bidding prior to the call center bidding, the bidding price of the call center contractor was kept down to one-third (reducing costs by approximately 50 million yen annually).
- 24/7 consultation services utilizing AI are expanding this fiscal year to support areas such as 'child-rearing', 'women-specific concerns', and 'seniors (dementia)'.
- Currently verifying the construction and utilization of new infrastructure for safely handling sensitive information.
1. Why Promote AI Utilization Now?
To respond to changes in social conditions such as labor shortages due to population decline and the diversification of citizen needs, we aim to solve regional issues by maximizing the power of technology.
Labor Shortage / Diversified Citizen Needs / Rapid Evolution of AI Technology
↓
Improvement of Operational Efficiency and Citizen Services
Sustainable Public Administration Management
2. Main Initiatives in Reiwa 7
Centered around the AI Utilization Promotion Division established in April Reiwa 7, we promoted city-wide AI utilization by grasping needs, formulating guidelines, and preparing the usage environment.
[Field / Main Initiatives]
- Grasping Needs: AI-related surveys for all staff (April, Sept, Feb); Extracting operational issues through hearings with each division.
- AI Utilization Guidelines: Revision of the Generative AI Utilization Guidelines (conducted 3 times in total).
- Preparation of Usage Environment: Construction of a safe and appropriate generative AI usage environment; Introduction of a general-purpose generative AI service that all staff can use.
3. Operational Efficiency through Generative AI Services
We are steadily achieving efficiency primarily in tasks such as document creation, summarization, and proofreading. In the second half of the last fiscal year, we achieved a reduction in work time of approximately 17,200 hours* (about 17.5 person-months).
[Metric / Actual Results for March Reiwa 8]
- Number of Users: 572 people / (Out of 1,843 eligible staff members)
- Usage Status: Approx. 1 billion characters (equivalent to about 2.5 million manuscript pages)
- Reduced Work Hours: 4,300 hours*
*Work reduction hours calculated by the introduced generative AI service.
Specific Use Cases:
- Meeting Minutes Creation: Upload the meeting recording to the generative AI and instruct, 'Create minutes based on the recording.' Transcription and summarization are possible instantly.
- Explanatory Document Creation: Create explanatory materials based on system outlines. Leave the slide structure, charts, and FAQ creation to the generative AI. (*Created by Generative AI)
- Reading National Notifications: For large volumes of sent notifications, instruct the generative AI, 'Explain the contents of the attached documents in a way that is easy for beginners to understand' to quickly grasp the contents.
4. Human Resource Development and Deepening Knowledge
By rapidly sharing the latest knowledge of continuously evolving AI and raising the literacy of every single staff member, we are accelerating the utilization of AI in our operations.
[Content / Main Initiatives]
- Collaboration with External Organizations: Exchanging opinions with the Digital Agency and other advanced municipalities; Inviting advisors.
- City-wide: (Information continues...)
We hereby report our concrete practices and achievements during the first year of its establishment.
Furthermore, from Reiwa 8 (2026), we have integrated the administrative reform promotion functions previously handled by the Finance Division into the 'AI Utilization Promotion Division', reorganizing it into the 'AI & Administrative Reform Promotion Division'. By maximizing the power of AI and digital technology, we will vigorously promote highly effective administrative and financial reforms that go beyond mere operational improvements.
Topics
- Implemented bottom-up literacy training for staff. After training, the generative AI service usage rate among section chief-level staff increased (from 38% to 74%).
- Through operational efficiency via generative AI services, achieved a reduction of approximately 17,200 work hours (equivalent to about 17.5 person-months) in the second half of Reiwa 7. *Work reduction hours calculated by the introduced service.
- Introduced the next-generation cloud phone system 'Zoom Phone'. By conducting the system bidding prior to the call center bidding, the bidding price of the call center contractor was kept down to one-third (reducing costs by approximately 50 million yen annually).
- 24/7 consultation services utilizing AI are expanding this fiscal year to support areas such as 'child-rearing', 'women-specific concerns', and 'seniors (dementia)'.
- Currently verifying the construction and utilization of new infrastructure for safely handling sensitive information.
1. Why Promote AI Utilization Now?
To respond to changes in social conditions such as labor shortages due to population decline and the diversification of citizen needs, we aim to solve regional issues by maximizing the power of technology.
Labor Shortage / Diversified Citizen Needs / Rapid Evolution of AI Technology
↓
Improvement of Operational Efficiency and Citizen Services
Sustainable Public Administration Management
2. Main Initiatives in Reiwa 7
Centered around the AI Utilization Promotion Division established in April Reiwa 7, we promoted city-wide AI utilization by grasping needs, formulating guidelines, and preparing the usage environment.
[Field / Main Initiatives]
- Grasping Needs: AI-related surveys for all staff (April, Sept, Feb); Extracting operational issues through hearings with each division.
- AI Utilization Guidelines: Revision of the Generative AI Utilization Guidelines (conducted 3 times in total).
- Preparation of Usage Environment: Construction of a safe and appropriate generative AI usage environment; Introduction of a general-purpose generative AI service that all staff can use.
3. Operational Efficiency through Generative AI Services
We are steadily achieving efficiency primarily in tasks such as document creation, summarization, and proofreading. In the second half of the last fiscal year, we achieved a reduction in work time of approximately 17,200 hours* (about 17.5 person-months).
[Metric / Actual Results for March Reiwa 8]
- Number of Users: 572 people / (Out of 1,843 eligible staff members)
- Usage Status: Approx. 1 billion characters (equivalent to about 2.5 million manuscript pages)
- Reduced Work Hours: 4,300 hours*
*Work reduction hours calculated by the introduced generative AI service.
Specific Use Cases:
- Meeting Minutes Creation: Upload the meeting recording to the generative AI and instruct, 'Create minutes based on the recording.' Transcription and summarization are possible instantly.
- Explanatory Document Creation: Create explanatory materials based on system outlines. Leave the slide structure, charts, and FAQ creation to the generative AI. (*Created by Generative AI)
- Reading National Notifications: For large volumes of sent notifications, instruct the generative AI, 'Explain the contents of the attached documents in a way that is easy for beginners to understand' to quickly grasp the contents.
4. Human Resource Development and Deepening Knowledge
By rapidly sharing the latest knowledge of continuously evolving AI and raising the literacy of every single staff member, we are accelerating the utilization of AI in our operations.
[Content / Main Initiatives]
- Collaboration with External Organizations: Exchanging opinions with the Digital Agency and other advanced municipalities; Inviting advisors.
- City-wide: (Information continues...)