Federal agencies are investing heavily in IT modernization but are not achieving consistent returns on investment. New technologies are being deployed in isolated areas without effective tools to scale implementation and maximize benefits. Some organizations have succeeded by transitioning to open, standards-based IT ecosystems. Leaders in the public sector are emerging who invest more and focus on scaling innovations to achieve better citizen experiences and performance through strategic use of technologies.

1. MODERNIZE
WITHIMPACT
How federal agencies can scale innovation
and achieve real value with Future Systems

2. 2
FEDERALAGENCIESARE
INVESTINGINITMODERNIZATION
BUT NOT ENJOYING CONSISTENT ROI
Copyright © 2020 Accenture. All rights reserved.
Spending on legacy systems continues to grow
to nearly 80%
of federal IT
spending
rising 13%
over the past
five years

3. 3Copyright © 2020 Accenture. All rights reserved.
New technologies are deployed in pockets, with limited
tools for scaling and delivering sustained impact
Some organizations
are succeeding—
replacing stove-piped
applications and
operating models
with open,
standards-based IT
ecosystems –what
Accenture calls
Future Systems
ITMODERNIZATIONCHALLENGES
PUBLIC AND PRIVATE SECTOR

4. Copyright © 2020 Accenture. All rights reserved. 4
FUTURESYSTEMSARE
Systems that take
advantage of blurring
boundaries to create
new spaces where
ideas and partnerships
can flourish.
Systems that learn,
improve, and scale by
themselves,
eliminating the friction
that hinders business
growth and helps
humans make better
decisions, much
faster.
Systems that talk, listen,
see and understand just
like we do, bringing
elegant simplicity to
every human-machine
interaction.
Boundaryless Adaptable Radically Human1 2 3

5. Copyright © 2020 Accenture. All rights reserved.
Largest study of its kind:
• over 8,000 senior
executives (IT/Business)
• spanning 20 countries
• across 20 industries
including federal agencies
Found an “Innovation Achievement Gap”
that separates leaders & late adopters
By failing to capitalize fully on new
technologies, commercial laggards are
foregoing 46% of revenue growth
5
WHAT DISTINGUISHES LEADERS

6. 6Copyright © 2020 Accenture. All rights reserved.
Classified 16% of
federal respondents as
leaders—on par with
commercial findings
67% of federal
leaders were
satisfied with
technology ROI (vs.
16% of late adopters)
TOPLINE:FEDERALLEADERS
AREEMERGING

7. 7Copyright © 2020 Accenture. All rights reserved.
FEDERAL
LEADERS
REAP REAL
BENEFITS
Better Citizen Experience
Higher satisfaction with
government services (54% for
Leaders vs. 26% for Late Adopters)
Better Performance
Launch new products &
services quickly (49% vs. 13%)
Operate More Strategically
Use tools to track
technology ROI (98% vs. 42%)

8. 8Copyright © 2020 Accenture. All rights reserved.
Adopt new
technologies sooner
(and in more deliberate
fashion), and reinvest
more frequently
Focus on how
to scale new
technologies
across their
agencies
Prepare better for the
challenges of pairing
new technologies with
the people and processes
already in place
WHATDOFEDERALLEADERS
DODIFFERENTLY

9. 9Copyright © 2020 Accenture. All rights reserved.
Faster to adopt emerging
technologies—by a wide margin
Twice as likely to invest in
innovation (95% vs. 43%)
42% more likely to create a safe
space for experimentation with
new technologies
LEADERSINVESTMORE—ANDMORE
WISELY—ININNOVATION
LESSON 01:

10. 10Copyright © 2020 Accenture. All rights reserved.
Figure 1: Technology adoption, Leaders vs. Late Adopters
Leaders
Late Adopters
LEADERSINVESTMORE—ANDMORE
WISELY—ININNOVATION
LESSON 01:

11. 11Copyright © 2020 Accenture. All rights reserved.
Figure 2: IT investment trends during 2015-18, Leaders vs. Late Adopters
LEADERS LATE ADOPTERS
95%
5%
INCREASED
STAYED THE SAME
DECREASED
21%
43%36%
% of IT budget
devoted to innovation
LEADERSINVESTMORE—ANDMORE
WISELY—ININNOVATION
LESSON 01:

12. Build-out required ecosystem
—investing in AI (97% vs. 41%)
but also data lakes (100% vs.
53%) and cloud services
(100% vs. 46%)
Create more scalable, agile
organizations—twice as likely
to have 20%+ staff focused on
new innovation
12Copyright © 2020 Accenture. All rights reserved.
FOCUSONSCALING
LESSON 02:

13. 13Copyright © 2020 Accenture. All rights reserved.
64% more likely to create shared
and cross-functional insights
from converged data sources
53% more likely to decouple
existing applications from
legacy hardware to scale
37% more likely to believe that
future enterprise systems will
provide seamless interactions
with humans.
DISRUPT,ADAPT,ANDBE
HUMAN-CENTERED
LESSON 03:

14. 14Copyright © 2020 Accenture. All rights reserved.
KIMBERLY AFTERGOOD
Managing Director & Chief Account
Lead – Accenture Federal Services
EXPLOREFURTHER
DOMINIC DELMOLINO
Chief Technology Officer –
Accenture Federal Services
MALCOLM JACKSON
Principal Director, Federal
CIO Advisory Services –
Accenture Federal Services
JASON LAYMAN
Managing Director and Technology
Strategy & Advisory Practice Lead –
Accenture Federal Services
DAVE McCLURE
Principal Director, Federal
CIO Advisory Services –
Accenture Federal Services
www.accenture.com/fedfuturesystems

15. 15Copyright © 2020 Accenture. All rights reserved.
Accenture Federal Services, a wholly owned subsidiary of Accenture LLP, is a U.S.
company with offices in Arlington, Virginia. Accenture’s federal business has served
every cabinet-level department and 30 of the largest federal organizations. Accenture
Federal Services transforms bold ideas into breakthrough outcomes for clients at
defense, intelligence, public safety, civilian and military health organizations.
Visit us at www.accenturefederal.com.
About Accenture Federal
Accenture is a leading global professional services company, providing a broad range of
services in strategy and consulting, interactive, technology and operations, with digital
capabilities across all of these services. We combine unmatched experience and
specialized capabilities across more than 40 industries – powered by the world’s largest
network of Advanced Technology and Intelligent Operations centers. With 505,000
people serving clients in more than 120 countries, Accenture brings continuous
innovation to help clients improve their performance and create lasting value across
their enterprises. Visit us at www.accenture.com.
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