NASCIO and Accenture Initiative Supports State Government Cloud Adoption

Rhea-AI Summary

The 2021 Accenture and NASCIO Cloud Study reveals significant progress and obstacles in state government cloud migration. Conducted by the National Association of State Chief Information Officers and Accenture, the study highlights that while 54% of CIOs advocate for operating expenditure funding, 24% prefer capital expenditure, complicating cloud budgeting. Notably, 89% of states still rely on mainframe computers, with 71% yet to migrate any applications to the cloud. The report aims to support CIOs in overcoming challenges and enhancing digital capabilities.

Positive

• Increased interest in cloud technologies among state governments.
• Benefits of cloud perceived by CIOs include cost savings and improved citizen experiences.

Negative

• 54% of CIOs report a preference for CapEx budgeting, which is less suitable for cloud migration.
• 89% of states still depend on mainframe computers, hindering cloud adoption.

Study highlights areas of progress and challenges in state government cloud migration

ARLINGTON, Va.--(BUSINESS WIRE)-- A new biennial study by the National Association of State Chief Information Officers (NASCIO) and Accenture (NYSE:ACN) focuses on increased interest and use of cloud technologies in state governments and provides an assessment tool to help guide advancements in states’ use of cloud.

The 2021 Accenture and NASCIO Cloud Study notes that cloud first appeared on NASCIO’s State CIO Top Ten priorities list in 2010. Even with considerable uptake of cloud in many state governments over the past decade, CIOs point to major barriers slowing their move to cloud, including considerations around financial management and budgets, cybersecurity, procurement, and workforce capabilities.

“We found state CIOs widely acknowledge benefits from shifting to the cloud, including potential cost savings, system flexibility, scalability, security and improved citizen experiences,” said Doug Robinson, NASCIO executive director. “And many of them want to more aggressively address perceived barriers that stand in the way of tapping more cloud power to advance digital and operational capabilities, so we offer this new report as a resource.”

Some of the key findings from the NASCIO/Accenture study include:

Many states still reliant on CapEx spending – 54% of CIOs reported that their state budget office prefers the best-suited funding model for cloud budgeting, OpEx (operating expenditure); however, 24% report a state budget preference for CapEx (capital expenditure budgeting), generally not conducive to effectively budgeting for cloud.

Continued heavy reliance on mainframe computers – 89% still have a mainframe computer, and 71% have not moved any mainframe applications to the cloud, a key step in enterprise cloud implementation.

Desired cloud offerings – CIOs flagged certain functionalities they would like to see more of in vendors’ cloud offerings, with integration, pricing and transparency topping the wish list.

“There is inevitably going to be continued strong uptake of cloud by state governments intent on making best use of their people and budgets and better serving their citizens,” said Ryan Oakes, who leads Accenture’s global public sector work. “With many states still early in their cloud journey, there are abundant opportunities for them to move forward in a more systematic and disciplined manner.”

The NASCIO/Accenture cloud study will be conducted on a biennial basis.

Accenture’s Public Service industry group helps public-sector organizations embrace innovation and transform quickly to operate smarter, achieve more and improve services. To learn more, visit Accenture’s Public Service industry portal.

About the Research
The study was based on in-depth interviews, NASCIO workshops and panels, and an online survey of state chief information officers conducted in May 2021.

About Accenture
Accenture is a global professional services company with leading capabilities in digital, cloud and security. Combining unmatched experience and specialized skills across more than 40 industries, we offer Strategy and Consulting, Interactive, Technology and Operations services — all powered by the world’s largest network of Advanced Technology and Intelligent Operations centers. Our 624,000 people deliver on the promise of technology and human ingenuity every day, serving clients in more than 120 countries. We embrace the power of change to create value and shared success for our clients, people, shareholders, partners and communities. Visit us at www.accenture.com.

About NASCIO
Founded in 1969, the National Association of State Chief Information Officers (NASCIO) represents state chief information officers (CIOs) and information technology (IT) executives and managers from the states, territories and District of Columbia. NASCIO’s mission is to foster government excellence through quality business practices, information management and technology policy. NASCIO provides state CIOs and state members with products and services designed to support the challenging role of the state CIO, stimulate the exchange of information and promote the adoption of IT best practices and innovations. From national conferences to peer networking, research and publications, briefings and government affairs, NASCIO is the premier network and resource for state CIOs. For more information, visit www.NASCIO.org.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211011005653/en/

Joe Dickie

Accenture

+1 512 694 6422

joseph.r.dickie@accenture.com

Meredith Ward

NASCIO

+1 859 514 9209

mward@nascio.org

Source: Accenture

FAQ

What are the key findings of the 2021 Accenture and NASCIO Cloud Study regarding cloud migration in state governments?

The study highlights that 54% of CIOs prefer CapEx budgeting, while 89% still rely on mainframes, complicating cloud migration.

How does the 2021 Accenture and NASCIO Cloud Study impact Accenture's position in the market?

The study emphasizes Accenture's role in supporting cloud migration, indicating a growing demand for their services in public sector innovation.

What challenges do state CIOs face according to the 2021 Accenture and NASCIO Cloud Study?

CIOs face challenges such as financial management, cybersecurity, and procurement that slow cloud adoption.