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Copyright © 2008 Accenture All Rights Reserved.Copyright © 2008 Accenture All Rights Reserved.Copyright © 2008 Accenture All Rights Reserved.Copyright © 2008 Accenture All Rights Reserved.Copyright © 2008 Accenture All Rights Reserved. SaaS Market: An Integrator’s Perspective Paul Daugherty, Chief Technology Architect June 11, 2008

Copyright © 2008 Accenture All Rights Reserved. Accenture Overview 178,000 people in 49 countries Net Revenues: $19.7 B FY focused industry groups Serves 4,000 clients, including 94 of the Fortune Global 100 and more than two- thirds of the Fortune Global 500. Global leader and the largest vendor- neutral Systems Integrator worldwide 60,000+ skilled SI professionals with specialized skills across broad range of technologies and industries, supported by certification programs Largest SAP and Oracle practices of any provider

Copyright © 2008 Accenture All Rights Reserved. 3 Cloud Computing Hardware clouds Platform clouds Services clouds Desktop clouds SaaS clouds Cloud Computing is the most critical trend identified in Accenture’s Technology Vision

Copyright © 2008 Accenture All Rights Reserved. 4 Different Cloud Styles Offer a Range of Possibilities Hardware Runtime Application Hardware Runtime Application Hardware Runtime Application Hardware Runtime Application Full ownership and control High CAPEX and OPEX Operational Risk Standardized computing capabilities Standardized runtime environment Standardized application processes (e.g. CRM, Accounting, ERP) On PremiseHardware CloudsPlatform CloudsSaaS Clouds Standardized Capabilities Differentiating Capabilities Legacy Elastic Compute Cloud (EC2) Simple Storage Service (S3)

Copyright © 2008 Accenture All Rights Reserved. 5 High Performers (n = 13) SOA Rich Internet Applications Software-as- a-Service Overall (n = 260) % in a pilot or committing % in a proof of concept % reading & monitoring % doing nothing CIOs at leading enterprises are not waiting— they are making investments today in SaaS Accenture High Performance IT Research: SaaS Take up Strongest with High Performers

Copyright © 2008 Accenture All Rights Reserved. 6 SaaS Demand in the Enterprise Design Build Test Data Training Business Process Business process Design Build Test Change mgmt. Oracle CRM replacement Worldwide Chemical Products Manufacturer Storage Software Maker European Telecommunications Company Global Reinsurance & Risk Management Company Application Delivery Infrastructure Provider Managed Care Provider Open Source Software Provider Design Build Test Data Deploy Business process App. dev. Application maintenance Significant data requirements PMO Application design Build Test Complex integration Business process Design Build Test Deploy AO— offshore development and maintenance Business process Design Build Test Deploy Adaptive design methodology

Copyright © 2008 Accenture All Rights Reserved. 7 What’s Accenture Doing? Services for SaaS Consumers Services for SaaS Providers Industry-wide Perspective Strategy and Economics of High Performers Operating Model Industry Specific Processes Industry Specific IT Frameworks and Technologies Industry Specific Services

Copyright © 2008 Accenture All Rights Reserved. 8 Summary SaaS is a mainstream option for software sourcing today Cloud is the broader opportunity Neither is as simple as a utility Traditional software vendors will adapt – the battleground is now forming Hybrid application architectures will be the norm, with SOA and RIA technology as the glue Collaboration and CRM leads the way, other horizontals not far behind