NEW DIGITAL MANIFESTO
Accenture chief Pierre Nanterme is urging CEOS to embrace the tech that’ll rapidly change their companies.
You’re an Accenture lifer, now into your 35th year.
It’s been a long time, but with a lot of evolutions.
Certainly, digital technology has evolved. What do you see now?
We’re facing the next wave: global security and digital transformation. The technologies related to these are changing every second. How should a CEO think about this?
Prior technology revolutions were about productivity—rationalizing your business. This one is about creating new, disruptive models. What was your strategy for digital transformation?
We pivoted to five areas: interactive, mobile, analytics, cloud and security.
Time and money are perishable. How do you prioritize a digital strategy? Ask which technology on your strategy list is scalable right now. Many corporate boards still treat digital technology like a minor issue, limiting it to a 30-minute discussion within the audit committee. Compliance and cybersecurity belong in the audit committee. Revenue growth and future investment belong in a strategy committee. In day-to-day operations, whom should the chief information officer and chief digital officer report to?
Today you see more CIOS reporting to an executive committee that includes the heads of all operations. The CDO, as the company’s manager of all digital strategy, should be on the executive committee. How would you describe Accenture’s evolution over the last five years? We are totally different. We saw that professional services would be commoditized. We had to become leaders in innovation and scale. So is Accenture now a software company?
No. Our service is to integrate the best existing technologies and make them relevant and effective for clients.
What should make long-term investors buy Accenture stock?
They should consider what makes a company highly differentiated, highly resolute and highly agile. And at the same time, ask whether the company is durable in sustaining strong performance, with rigor and discipline in the way it anchors its business.