Accenture Business Analysis Report for SIT794 Services Management

This report presents a comprehensive business analysis of Accenture, a multinational professional services company. It delves into Accenture's business model, exploring its operating groups and revenue streams, with a focus on consulting, technology, and digital services. The analysis examines the market Accenture operates in, including its global presence and industry segmentation, alongside a detailed overview of the services offered, from technology consulting to digital solutions. The report highlights Accenture's competitive strategies, such as switching costs, intellectual property, brand value, and scale, illustrating how these factors contribute to its market leadership. Furthermore, the report discusses Accenture's innovative approach, specifically its 'Innovative Architecture,' and how it drives service differentiation. The analysis concludes with a summary of Accenture's key strengths and strategic advantages in the IT services sector, referencing its significant relationships with Fortune Global 100 and 500 companies. The report fulfills the requirements of a SIT794 assignment, demonstrating an understanding of service management principles, competitive strategies, and business model analysis.

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Accenture Business Analysis
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1ACCENTURE BUSINESS ANALYSIS
Executive Summary
This report is a business analysis report of Accenture. The report illustrates significant
details on the business model of the company, the nature of services offered and the market
conditions to understand to draw out an analysis. Furthermore, to the discussion, the strategies
implemented by the company is discussed against the competitors identified by the company.
Table of Content

2ACCENTURE BUSINESS ANALYSIS
s
Introduction......................................................................................................................................3
Discussion........................................................................................................................................3
Company Overview.....................................................................................................................3
Business Model............................................................................................................................4
Difference from Competitors.......................................................................................................4
Innovation....................................................................................................................................4
Market..........................................................................................................................................5
Service offered.............................................................................................................................5
Competitive Strategies.................................................................................................................6
Conclusion.......................................................................................................................................7
References........................................................................................................................................7

3ACCENTURE BUSINESS ANALYSIS
Introduction
A business analysis report or company analysis report helps to evaluate the current
corporate condition and the necessary actions that needs to be taken in order to achieve the
objectives, goals and vision. . This report is a business analysis of a company to understand the
various aspects of the operation and functioning of the company. The company selected for this
report is Accenture. Accenture is a multinational professional service company committed for
providing services in consulting, strategy, technology, digital and operations. Accenture is
serving its clients in over 200 cities across 120 countries (Newsroom.accenture.com. 2019). The
company was incorporated in Dublin, Ireland. This report discusses in detail the business model,
the market Accenture operates in, the nature of services offered, innovation and the difference
with other rival companies. At last, the report also identifies the strategies of Accenture for
excelling in the business.
Discussion
Company Overview
Accenture is a multinational professional service company that is committed for
providing services in consulting, strategy, technology, digital and operations. Accenture is listed
in the Fortune Global 500 companies (Global 500 2011 2019). The company was incorporated
on September 1, 2009 in Dublin, Ireland. The company reported a total revenue of 39.6 billion
US dollars while employing over 459,000 employees in the year 2018. Accenture is serving its
clients in over 200 cities across 120 countries. In the year 2015, Accenture employed about
48,000 employees in the U.S, about! 50,000 in India (Phadnis 2018) and approximately 50,000
in the country of Philippines. Accenture currently serves 92 of the top Fortune Global 100
companies with their services.

4ACCENTURE BUSINESS ANALYSIS
Business Model
Accenture operates in five different operating groups, categorized by industry, namely,
consulting, strategy, technology including the application services, digital and operations
committed to deliver end-to-end solutions and services to the clients. In the 2017, more than 27%
of the revenues were generated from products, with more than 21% by the financial services and
more than 19% from communications, technology and media (Accenture fiscal 2017 2019).
Accenture have North America as their largest market.
Difference from Competitors
On 24 June 2016, Accenture was ranked as the leader in Everest Group Procurement
Outsourcing Service Provider Landscape with PEAK Matrix™ Assessment 2016, (Everest
Group Research 2019) ahead of all of its competitors in the industry. As per the report,
Accenture grabbed the highest in leader placement among 17 others procurement outsourcing
service providers including both the delivery capability axis and market success and was claimed
to be the star performer.
The report suggest Accenture to be one of the few industries capable of providing
transformational procurement across the ‘strategy-to-operate’ continuum by seamlessly
combining technology, services and consulting. Accenture is praised for its industry-specific
experience; deep category expertise, analytics capabilities and robust technology, pragmatic
approach and expansive global delivery network that ensures superior outcomes in business
beyond what its competitors are able to provide.
Innovation
At Accenture, it is always looking forward to anticipate what is next. Accenture regards
their excelling performance to something, which they refer, as the Innovative Architecture

5ACCENTURE BUSINESS ANALYSIS
(Accenture.com 2019). Accenture claims that the use of innovation- led approach in
implementing innovative architecture help the clients to deliver and develop disruptive
innovation solutions and even to scale the business to grow faster. Accenture is committed to
deliver the best solution to the client relying on innovative practices varying from ventures,
research, labs, innovation centers, studios to delivery centers. Accenture is helping in businesses
imagine the future and work together to bring it to life.
Market
Accenture is a global service company. Accenture is serving clients in more than 40
industries around the globe (Accenture Specialized industry 2019). Accenture uses a mix of
geographic, psychographic, demographic segmentation variables with the scope of meeting the
changing needs and requirements of the clients.
To address differentiated needs of the clients, it uses differentiated strategies for targeting
the customers.
The position of the product, like where it stands in the mind of the potential consumers is
understood with the help of positioning. Accenture have successfully repositioned itself by
effectively branding its operating systems. In order to create connection with the consumers
Accenture involves in using value and product class based positioning strategy.
Service offered
Accenture is one of the largest IT consulting firms to exist all around the world.
Accenture is organized into five industry groups, which are also referred as 'operating units': the
operating unit is further classified into 19 industry groups.

6ACCENTURE BUSINESS ANALYSIS
Accenture is a very well structured organization operating globally. The business services
being offered are from varied domain. The broad categories of services that are being offered by
Accenture is as follows (Accenture.com 2019)
 Technology [technology consulting, systems integration, IT outsourcing]
 Digital [mobile computing, digital marketing, big data, analytics]
 Strategy [business strategy, IT strategy and operational strategy]
 Operations [functional outsourcing - such as for HR, procurement, finance and industry
specific consulting]
Competitive Strategies
Accenture uses different strategies against its rivals to win over them, have an edge and
to sustain in the given market. Few of the strategies are; Switching costs: The company is
working along with 92 of the listed Fortune Global 100 companies and more than three-quarters
of the listed Fortune Global 500. These relationships with client is tending to be bit sticky.
Consultants are working closely with the clients and learning a lot about the business of the
client. With this learning in time, consultants are likely to become indispensable. Of top one
hundred clients identified by Accenture, 92 of them have been as clients of the company for a
minimum of 10 years now. These relationships with clients are also important as reference
clients whilst bidding for the new opportunities in business (Alva and Bhat 2018).
 Intellectual property: The Company has few delivery methodologies, offerings
playbooks, and likes. This is thus a codification of the work in the past, which is making
it quicker and easier to deliver some similar and new work. The Company’s consultants
do not walk empty handed to a new engagement, they consult to an instruction manual.

7ACCENTURE BUSINESS ANALYSIS
The instruction manual helps the firm advantage hard-working, intelligent, junior people
tending to be high performers and inexpensive.
 Brand: The Company, Accenture was put at No. 44 in list of 2014 Inter brand's Best
Global Brands (Interbrand 2019). Accenture is not facing any competition, but the
combining different factors abled the company to have an edge and allows The Company
to generate and economic profits, while facing competition.
 Scale and scope: The Company, Accenture is among the biggest consulting firms in the
world, it serves the biggest organizations in the world, the Global 2000. The clients are
operating globally and at a large scale. This is why the clients need partners to function at
a same level as the company. For example, an outsourcing deal or a typical systems
integration project may require over 50 experienced consultants on the site, with another
fifty developers deployed off-site. Accenture have a very broad domain of offering of
services from back-end outsourcing to up-front McKinsey kind of strategy consulting.
Accenture can truly offer clients a complete one-stop solution to enhance their business.
Rarely any different firm have wide domain of capabilities as offered by Accenture to
evolve from developing business solution through implementing, along with expertise in
industry issues, business processes, back-office functions, and technology.
Conclusion
The report is a business analysis of one the biggest IT firms or service providing
company Accenture. The analysis of this report talks about the business model of the company,
the market section of the company. This report suggest that Accenture offers a wide range of
services to the clients like strategy, technology or digital. The report identifies the strategies of
the company over other competitors. The size and scale of the company helps in delivering

8ACCENTURE BUSINESS ANALYSIS
quality services and maintaining edge overs others. The approach and brand value are also
significant in maintain edge over others.
References
Accenture fiscal 2017 2019. [online] Available at: https://www.accenture.com/_acnmedia/pdf-
64/accenture-fiscal-2017-annual-report.pdf [Accessed 28 Jul. 2019].
Accenture Specialized industry 2019. Specialized Industry Careers | Accenture. [online]
Available at: https://www.accenture.com/us-en/careers/explore-careers/area-of-interest/industry-
aligned-careers [Accessed 28 Jul. 2019].
Accenture.com 2019. Accenture | India | New Applied Now. [online] Available at:
https://www.accenture.com/in-en [Accessed 28 Jul. 2019].
Accenture.com. 2019. Accenture | Innovation Architecture. [online] Available at:
https://www.accenture.com/in-en/innovation-architecture [Accessed 28 Jul. 2019].
Alva, H. and Bhat, S., 2018. Accenture–Understanding Sustainable Business
Strategies. International Journal of Case Studies in Business, IT and Education (IJCSBE), 2(1),
pp.54-63.
Everest Group Research 2019. [online] Available at:
https://www.accenture.com/us-en/~/media/accenture/conversion-assets/dotcom/documents/
global/pdf/operations_2/accenture-everest-group-peak-matrix-for-po [Accessed 28 Jul. 2019].
Global 500 2011 2019. Global 500 2011 - Accenture. [online] Available at:
https://money.cnn.com/magazines/fortune/global500/2011/snapshots/11019.html [Accessed 28
Jul. 2019].

9ACCENTURE BUSINESS ANALYSIS
Interbrand. 2019. Best Brands - Interbrand. [online] Available at:
https://www.interbrand.com/best-brands/best-global-brands/2014/ranking/accenture/ [Accessed
28 Jul. 2019].
Newsroom.accenture.com 2019. Accenture Reports Very Strong Fourth-Quarter and Full-Year
Fiscal 2015 Results | Accenture Newsroom. [online] Available at:
https://newsroom.accenture.com/news/accenture-reports-very-strong-fourth-quarter-and-full-
year-fiscal-2015-results.htm [Accessed 28 Jul. 2019].
Phadnis, S. 2018. Accenture says India employees have to specialise - Times of India. [online]
The Times of India. Available at:
https://timesofindia.indiatimes.com/business/india-business/accenture-says-india-employees-
have-to-specialise-or-go/articleshow/65144526.cms [Accessed 28 Jul. 2019].