TBR 1Q11 Accenture Report

TBR

TECHNOLOGY BUSINESS RESEARCH, INC.

Technology Business ResearchAccelerating Customer Success Through Business Research

TBR


Accenture

PROFESSIONAL SERVICES BUSINESS QUARTERLYSM

First Calendar Quarter 2011Second Fiscal Quarter 2011 Ended Feb. 28, 2011

TBR OUTLOOK – POSITIVE TBR SCORE (0-10 SCALE)

5.95

Publish Date: April 14, 2011Author: Elitsa Bakalova ([email protected]), PSBQ AnalystContent Editor: Alison Crawford, PSBQ Senior Analyst

TBR

Accenture 1Q11 | Professional Services Business Quarterly ©2011 Technology Business Research, Inc.3

Company Analysis3 Executive Summary6 Strategy Overview8 Corporate SWOT Analysis9 Scenario Discussion12 Financial Model Strategy16 Go-to-Market & Services Strategies20 Alliance & Acquisition Strategies22 Geographic Analysis23 Resource Management Strategy

Company Data Models25 Income Statement26 Balance Sheet27 Service Line Model28 Operating Group Model

29 Geographic Model30 Operating Expense Model31 Headcount Model32 Financial Strategy Graphs34 Go-to-Market Graphs35 Resource Management Graphs37 Acquisitions Table

38 Portfolio of Services Table39 Services Announcements

41 Quarterly Signings Tables50 Strategic Alliances Tables52 Org. Structure

53 Worldwide Locations Table55 About TBR

Contents

TBR


Accenture ObjectivesAchieve profitable growth (grow revenue 11.0% to 14.0% in local currency and reach operating margin of 13.6% to 13.7% in FY11)• Accenture is investing in growth and in the

functionality to run as a high-performance business (e.g., focus on operational efficiency, higher offshore leverage, automation for service delivery, etc.). Given such measures, TBR expects the company to reach its FY11 revenue growth and profitability targets (profit targets are not too aggressive in our view).

Expand business from three dimensions: core business, outside of core in complementary service areas, and in emerging and developed markets • Growth in Accenture’s core business (consulting,

technology and outsourcing) will be augmented by increased traction in high-growth areas (e.g., analytics, cloud computing); however, competition in those high-growth areas is increasing, which could create challenges for Accenture’s expansion.

Recruit people to expand onshore and Global Delivery Network to accommodate demand• Accenture is on track to achieve its goal of hiring

more than 64,000 people globally during FY11. The firm’s strength lies in its ability to quickly train and deploy people, allowing it to generate operational efficiencies and meet increasing market demand.

Executive Summary

TBR Position• Accenture will continue to expand its market share

in key geographies (both developed and emerging) and verticals as demand improves.

• The firm is now seeing a strong comeback in consulting & SI with revenue and signings building. TBR expects this momentum to continue as Accenture attracts clients with its strong transformational value proposition. In addition, the firm will see more outsourcing opportunities, which will add to the consulting expansion.

• Accenture’s strong offerings portfolio, coupled with its differentiated talent and skill sets, will help it attract clients as they continue to look for opportunities to recover from the downturn.

Accenture is prepared for a full year of growth as it continues investing to capture business momentum around the globe

(in $ millions) Consensus Guidance Range ActualNet Revenue $5,570 $5,600 - $5,800 $6,054Operating Margin N/A 13.6% - 13.7% (FY11) 12.7%Non-GAAP EPS $0.69 $0.7- $0.9 $0.75

(in $ millions) TBR Estimate Consensus Guidance RangeNet Revenue $6,300 $6,000 - $6,200 $6,300 - $6,500Operating Margin 13.4% N/A 13.6% - 13.7% (FY11)Non-GAAP EPS N/A $0.85 $0.8- $0.95

ACCENTURE'S 1Q11 PERFORMANCE VS. EXPECTATIONS

ACCENTURE'S 2Q11 GUIDANCE AND EXPECTATIONS

TBR


Executive Summary

Accenture continues to outperform its peers through its financial metrics largely due to its stable operating income and net income. Accenture’s revenue stabilization continued through 1Q11, leading the firm to outperform its peers in the Go-To-Market & Services metrics.

Key ■ Represents an area where Accenture is currently challenged versus peers ■ Represents an area where Accenture is outperforming its peers

■ Represents an area where Accenture is neither significantly outperforming nor underperforming its peers

Accenture’s scores reflect its expanded revenue base, stable financial performance metrics and high utilization

1Q10 2Q10 3Q10 4Q10 1Q11

Financial Model Strategy: 5.91 5.96 6.03 6.23 6.29Go-to-Market & Services Strategies: 6.23 6.68 6.31 6.46 6.35Resource Management Strategy: 5.10 5.03 4.97 5.19 5.22TOTAL AVERAGE TBR SCORE: 5.75 5.89 5.77 5.96 5.95

TBR SCORING SUMMARY: CALENDAR QUARTER RESULTSFINANCIAL METRICS

TBR Score

Company Figure

Average in Class

Standard Deviation/2

Operating Margin 5.52 12.7% 9.4% 6.5%Current Ratio 4.61 1.55 1.77 54.4%Debt-to-Asset Ratio 3.87 0.71 0.57 12.8%Return on Assets (TTM) 6.59 15.6% 8.1% 3.5%Return on Equity (TTM) 8.26 56.3% 17.8% 11.8%

TOTAL AVERAGE TBR SCORE

GO-TO-MARKET & SERVICES METRICSTBR

ScoreCompany

FigureAverage in Class


Revenue (in $ Mill ions) 7.61 $6,054 $2,400 $1,401Revenue Growth YTY 5.16 16.9% 14.3% 16.9%Backlog/Revenue 6.30 2.49 1.96 0.37 Day Sales Outstanding 6.68 45.67 65.69 11.88

TOTAL AVERAGE TBR SCORE

RESOURCE MANAGEMENT METRICSTBR

ScoreCompany

FigureAverage in Class


Gross Margin 5.11 31.7% 31.0% 5.9%Operating Expenses as a % of Revenue 5.22 18.9% 20.0% 5.0%Revenue per Employee (TTM) 4.08 $112,550 $178,720 $71,920Operating Income per Employee (TTM) 4.86 $15,188 $18,405 $22,335Utilization Rate 8.10 86.0% 77.2% 2.8%Turnover 5.38 14.0% 15.0% 2.7%

TOTAL AVERAGE TBR SCORE 5.22

6.29

6.35

TBR


TBR assessment of Accenture’s two-year strategic outlookKey takeawaysFinancial: Accenture’s revenue will continue to improve through FY11 as recovery in the IT services market solidifies and spreads geographically.Go to market: Accenture will strengthen its offerings portfolio and vertical expertise through organic investments as well as alliances and acquisitions.Resource: The company will continue hiring (the goal is to hire 64,000+ people in FY11), manage utilization and attrition and increase its offshore leverage.

Strategic outlook• Though the economic environment in Europe remains

mixed as countries recover from the downturn at different rates, stabilization in North America and growth opportunities in emerging countries in APAC is helping Accenture position for long-term revenue gains.

• Accenture’s investment in business development, go to market (strengthening core business with new offerings, investing in new business initiatives with high-growth potential such as analytics, cloud computing, etc.) and hiring efforts will help the company take advantage of opportunities that arise.

• Accenture’s strong vertical expertise and transformational value proposition will help it gain traction in a wide range of industries. The company will see more work in the recovering financial services industry, both in outsourcing and consulting & SI as well as in products, resources and communications & high-tech. While pockets of uncertainty will continue to challenge growth in the public sector, Accenture will see expansion in the global healthcare vertical and will continue to invest in IT to improve the quality of healthcare.

Executive Summary

While there are pockets of uncertainty in some verticals and geographies, Accenture will see improved growth during 2011

$5.18 $5.57 $5.42 $6.05 $6.05 $6.30

$22.21$24.80

$27.50

$0.65 $0.80 $0.71 $0.83 $0.77 $0.84

$3.00 $3.40$3.93

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ACCENTURE'S REVENUE, GROWTH AND PROFITABILITY

Total Revenue (Net Revenue) Operating IncomeRevenue Growth Y/Y Operating Margin

SOURCE: ACCENTURE AND TBR

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Function Key Strategies TBR Assessment

OverallIncrease Accenture’s business momentum by focusing on delivering value to the client

►

Accenture’s value proposition of well-balanced offerings combining consulting & SI and outsourcing with innovative high-growth service offerings (e.g., analytics, cloud computing, mobility, etc.) is proving attractive to clients. Continuous improvement in the firm’s top line and signings as well as a healthy bottom line signify it has been successful in executing its strategy.

Financial

Deliver profitable growth:• Grow FY11 revenue by 11% to

14% in local currency, faster than the market

• Reach operating margin of 13.6% to 13.7% in FY11, up year-to-year by 10 to 20 basis points

►

An uptick in FY11 guidance from 8% to 11% in local currency provided in 4Q10 demonstrates improved environment and growth potential.

Efficiency on the OPEX side is driving operating margin improvement. This trend will continue as Accenture works toward its operating margin goal, which TBR sees as not overly aggressive and thus achievable.

Go to Market

Expand business from three dimensions: core business as primary growth engine, outside of core business in growth service areas, and in emerging and developed markets

►

Accenture is experiencing a growth recovery in its core business (consulting, technology, outsourcing) and is gaining traction in high-growth service areas such as analytics, cloud computing and smart energy. The firm’s combined reach in developed and emerging markets is proving successful. Economic stabilization in North America and growth opportunities in Brazil allowed Accenture to post record-high revenue in the Americas, growing 21.4% year-to-year.

Strategy Overview

Key: Working: Short-term impact expected on bottom/top line Not working: No major impact or differentiation expected

Accenture is seeing success (e.g., revenue and signings growth) as a result of its increased focus on delivering value to clients

TBR


Function Key Strategies TBR Assessment

Alliances & Acquisitions

• Make strategic alliances to expand in new areas of technology and vertical- specific offerings

• Leverage tuck-in acquisitions to fill gaps in its portfolio

►

Alliances are key to the development of Accenture’s portfolio, especially in new service areas and verticals with high-growth potential, such as cloud computing, analytics and healthcare offerings (e.g., public health solutions with Plexis). Accenture will continue to utilize partners to augment its offerings and capabilities.

Accenture is strong at identifying and integrating small-scale acquisitions that help fill gaps in its portfolio. TBR expects additional tuck-in acquisitions during FY11, as Accenture looks to supplement its organic growth and augment its portfolio, IP and vertical expertise.

Resources & Investments

• Recruit people to expand GDN and invest in training to accommodate for demand

• Develop and increase leverage of global delivery capabilities

• Invest in automation to offer differentiated, less risky implementations with more rapid ROI

►

Accenture will continue to increase headcount to capitalize on market growth. The company is building out resources in its GDN, particularly in lower-cost regions (e.g., the Philippines, India). Service areas with improving demand, such as consulting & SI, also are seeing staff increases as a response to returning discretionary spending. Hiring and training will dilute gross margin in fiscal 2H10, but they are necessary to drive growth.

The development and shifting of service delivery to the GDN – especially for outsourcing and, increasingly, SI – and use of assets to automate delivery will support Accenture’s long-term profitability and attract clients.

Strategy Overview

Key: Working: Short-term impact expected on bottom/top line Not working: No major impact or differentiation expected

Accenture continues to invest in hiring and training to address market demand

TBR


1

1

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Corporate SWOT AnalysisStrengths• Transition of executive power in CEO succession (new

CEO as of Jan. 1)• Broad Global Delivery Network and developed

presence in low-cost locations • Leverage of a standard framework for building and

delivering services• Alliance relationships with 150+ partners • Strong vertical market focus and expertise• Core competency to attract, hire, train, deploy and

retain skilled talent • Accenture’s Technology Labs turn technology into

business results

Opportunities• Target growth opportunities in emerging markets • Increasing demand for analytics to support

Accenture’s growth• Expansion of Global Delivery Network in Latin

America due to demand for services delivered from the region

• Stabilizing consulting/SI demand will drive growth in Accenture’s consulting & SI business.

• Growth potential of cloud computing can help Accenture gain traction.

Weaknesses• Price competitiveness is limited in commoditized/sole

sourcing deals – unlike in large/complex engagements.

• Recruiting and training costs tied to hiring as well as wage and salary increases used as means to hold off rising attrition are having a temporary negative impact on cost of services.

Threats• Uneven economic recovery in Europe will challenge

Accenture’s near-term performance in the region.• Indian vendors are becoming more active in business

consulting, analytics and remote management ITO.• Competition from other MNCs (e.g., IBM, HP/EDS,

etc.) and European firms for top clients • Competition for lower-cost labor by other MNCs as

well as Indian and European vendors may challenge hiring in India and the Philippines.

Corporate SWOT Analysis

Accenture’s well-developed resources and capabilities allow it to win new growth opportunities

TBR


Scenario Discussion: Positive revenue, signings and demand trends indicate growth for AccentureScenario SWOT AssessmentStrength: balanced combination of consulting, SI and outsourcing offerings (core business)Weakness: prices tend to be higher than its competitors (based on type of engagement)Opportunity: improving consulting & SI demand is creating business prospectsThreat: high competition in Accenture’s core business areas as vendors strive to capture demand and stabilize revenue growth levels

• TBR believes Accenture will see growth during the rest of FY11 (ends in August) as its core business segments, outsourcing and consulting & SI, as well as key verticals, such as products, financial services, communications & high-tech, sustain growth recovery driven by improving demand trends.

• Accenture is experiencing strength in outsourcing, where cost optimization is playing a key role. While outsourcing growth is expected to slightly moderate during fiscal 2H11, the consulting & SI arena is gradually recovering from the economic downturn.

• Consulting & SI bookings reached its second-highest level ever as management and IT consulting as well as SI fueled expansion across a range of verticals. Positive demand trends coupled with intensified hiring efforts in consulting & SI will allow Accenture to gain traction in its larger service line (accounted for 58% of revenue in 1Q11 and 57.4% in FY10).

• Accenture will gain additional momentum entering 2Q11 (fiscal 3Q11) as it looks to build wallet share among clients for higher-value transformational consulting services, the firm’s key differentiator, which will ultimately bring more work in areas such as SI and outsourcing.

• As Accenture strives to sustain its growth, the company will see increased competition from other MNCs, European and Indian vendors that, in a similar fashion, are looking to regain traction with clients and expand their market shares.

Scenario Discussion

Accenture will achieve double-digit growth in FY11 as demand for consulting & SI improves

$19.7$23.4 $21.6 $21.6

$24.3

18.3%18.7%

-7.7%-0.1%

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ACCENTURE'S NET REVENUE AND GROWTH

Net RevenueNet Revenue Growth Y-t-Y


CAGR FY07 - FY10: 3% (in U.S. dollars)

TBR

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Scenario Discussion: Expansion in India will strengthen Accenture’s lower-cost delivery capabilities and create avenues for local market growthScenario SWOT AssessmentStrength: well-developed presence in low-cost locations (47% of total headcount in 1Q11)Weakness: concentration of resources in India and the Philippines creates operational riskOpportunity: demand for offshore service delivery and economic growth in emerging markets (for local market expansion)Threat: competition for talent and pricing pressures from MNCs and Indian vendors

• Expansion of Accenture’s lower-cost resources is strengthening its Global Delivery Network (GDN), allowing the company to provide services at competitive prices.

• India and the Philippines, where Accenture is currently investing, are the firm’s two dominant lower-cost delivery locations (made up ~66% of Accenture’s near/offshore headcount in 1Q11) and will remain so in the long term.

• Accenture will continue to add people in the two countries but will face intensified competition for talent, which is currently driving up attrition and may drive up salary levels and negatively affect cost of services.

• While the greater focus for the two regions is on global service delivery, offshore expansion is allowing Accenture to establish resources that also serve the local market.

• With a new managing director in India (Avinash Vashistha will replace Harsh Manglik, the current country managing director), Accenture is ready to expand in India (TBR estimates India comprises ~$250 million in annual revenue).

• The firm is making progress in winning local clients in India as well as other emerging high-growth markets, but competition in the region is increasing (e.g., other MNCs, European and Indian vendors), which could challenge Accenture’s expansion efforts.

Scenario Discussion

Accenture will face continuous competition at its lower-cost headcount and local market expansion plans

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ACCENTURE'S GDN HEADCOUNT AND GROWTH

Near/Offshore GDNNear/Offshore Growth Y/Y GDN Growth Y/YTotal Headcount Growth Y/Y


TBR

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Scenario Discussion: Gaining traction in areas like predictive analytics will support revenue growthScenario SWOT AssessmentStrength: analytics offerings from strategy to execution, vertical expertise, client relationshipsWeakness: expanding but still relatively small predictive analytics businessOpportunity: increasing demand in emerging, fast-growth market segment Threat: high competition from other MNCs, European and Indian vendors

• TBR estimates Accenture is seeing $1.0 billion in business opportunities in analytics. While TBR believes Accenture’s analytics business is still smaller than the aspired size, the business is growing despite intensified competition.

• Accenture will see more traction in the long run due to its ability to lead the market by using its research capabilities to identify key trends and adjust its offerings.

• Accenture is seeing demand for predictive analytics embedded in decision-making. To address demand, Accenture has developed offerings, assets and intellectual property to help clients gain insights for future actions from their data, optimize decision processes and improve outcomes.

• A key differentiator is Accenture’s ability to move from insights to decisions to outcomes by providing a holistic-service approach that starts with strategy (Accenture’s core strength lies in its consulting business) and ends with execution (implementation, outsourcing).

• In addition to building analytics capabilities at the client, Accenture provides analytics as a service, built on its own platform (on a subscription or utility basis). This flexible service that can be scoped to the client’s needs, reduces up-front costs and accelerates speed to outcome.

• A robust network of alliance partners and tuck-in acquisitions help Accenture fill portfolio gaps.

Scenario Discussion

Accenture’s ability to tailor analytics offerings to demand creates avenues for growth

Accenture’s Analytics OfferingsCross-functional analytics

Drive business outcomes from enterprise analytics, organizational effectiveness

Functional analytics

Transform functions or business processes (e.g., sales and marketing, customer service, procurement, etc.)

Industry-specific analytics

Specific solutions across a wide range of industries

Information management

Business intelligence, portals & content management, data management and architecture

Source: Accenture and TBR

TBR


Accenture will maintain growth momentum throughout 2011

Revenue Performance and Strategies

1Q11 Net Revenue: $6.1 billion, 16.9% YTY

• Accenture’s revenue exhibited year-to-year growth for the fourth consecutive quarter in 1Q11, driven by increasing demand for both outsourcing and consulting engagements.

• Strong bookings in the U.S., Canada, and Brazil across Accenture’s service lines additionally contributed to top-line performance in 1Q11.

Revenue and Growth Outlook

• Continually improving demand for services supporting cost optimization and growth, IT transformation, virtualization and ERP implementation will support sustained revenue growth in 2Q11 and the rest of 2011.

• Consulting & Systems Integration will be a key driver of growth through 2011 as clients intensify their investments in growth and transformation.

• Accenture will intensify efforts to build out its global service delivery capabilities and expand into high-growth geographies, supporting the diversification of its revenue base.

Financial Model Strategy: Revenue

$5.2 $5.6 $5.4 $6.0 $6.1 $6.3

$22.2 $24.8 $27.5

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ACCENTURE'S NET REVENUE, GROWTH AND PROJECTIONS

Net RevenueRevenue Growth Year-to-year

NOTE: Annual revenue and projections are for calendar 2010, 2011 and 2012, respectively.

TBR

$23.4

$22.4$21.6 $20.9 $20.8 $21.3 $21.6 $22.2 $23.1 $23.8

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ACCENTURE'S TRAILING 12-MONTH REVENUE

SOURCE: ACCENTURE FINANCIALS AND TBR

TBR

FY09 FY10

TBR


While temporary challenges remain in the public sector, the rest of Accenture’s verticals will see expansion in the near term

Operating Group Performance and Strategies

CHT$1.3 Billion

Communications & High-Tech experienced positive growth for consulting and outsourcing services related to cost takeout, customer acquisition and retention, and web development. New demand for wireless services engagements also drove growth within the segment.

Financial Services (FS)$1.3 Billion

FS regained strength in outsourcing and continued to see traction in consulting & SI in post-merger integration, banking and insurance replatforming, risk and regulatory compliance and business transformation.

Health & Public Service (HPS)$1.0 Billion

HPS is seeing growth in healthcare (e.g., cost reduction, back-office transformation, health administration and electronic medical records). Repositioning of the public sector business, especially in EMEA, and increased volumes in outsourcing and SI with the U.S. federal sector will help Accenture improve performance.

Products$1.4 Billion

Products growth was largely driven by consulting services across verticals and an increase in transformational ERP projects in North America.

Resources$1.2 billion

Resources was the fastest-growing, up 26.0% year-to-year due to strong growth in consulting & SI (ERP, operating model design and rollout, supply chain optimization, smart grid).

Financial Model Strategy: Operating Groups

$1.21 $1.31 $1.27 $1.40 $1.37 $1.45

$1.11 $1.18 $1.16 $1.28 $1.27 $1.32

$1.08 $1.15 $1.12 $1.30 $1.27 $1.32

$0.93 $1.00 $1.01 $1.13 $1.17 $1.18

$0.85 $0.93 $0.86 $0.93 $0.96 $1.02

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ACCENTURE'S REVENUE BY OPERATING GROUP(IN $ BILLIONS)

Health & Public Service ResourcesFinancial Services Communications & High-TechProducts

SOURCE: TBR AND ACCENTURE

TBR

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ACCENTURE'S OPERATING GROUP PROFITABLITY

Communications & High-Tech Financial ServicesHealth & Public Service ProductsResources


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Consulting & SI will be the near-term revenue driver as demand continues to improve and clients initiate transformational projectsService Line Performance and Strategies

Consulting & SI:$3.5 billion, up 19.7% year-to-year

• Consulting & SI saw strong performance in verticals such as resources, financial services, communications & high-tech and products.

• Consulting & SI will continue to regain growth momentum during FY11 as demand stabilizes.

• Consulting will be driven by cost take- out, revenue growth, compliance, application modernization, virtualization and adoption of cloud computing.

• SI will be driven by ERP (implementation of SAP, Oracle and Microsoft platforms), package enhancements and analytics.

Outsourcing: $2.5 billion, up 13.4% year-to-year

• Outsourcing was driven by verticals such as resources, communications & high-tech and financial services.

• Outsourcing reflected demand for cost take-out, improving operational efficiency and outsourcing of business processes.

• Outsourcing growth is expected to slightly slow down during fiscal 2H11 as Accenture regains strength in consulting & SI driven by its transformational value proposition, which will drive business.

Financial Model Strategy

$2,932 $3,225 $3,094 $3,568 $3,509 $3,648

$2,244 $2,346 $2,326

$2,478 $2,544

$2,589

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ACCENTURE'S SERVICE LINE REVENUE (IN $ MILLIONS)

Outsourcing C&SIC&SI YtY Growth Outsourcing YtY Growth


TBR

56.6% 57.9% 57.1% 59.0% 58.0% 58.9%

43.4% 42.1% 42.9% 41.0% 42.0% 41.1%

15.0% 16.5% 15.0% 15.1% 14.0% 14.8%

9.4% 11.6% 10.7% 11.6% 11.0% 11.4%0%

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ACCENTURE'S SERVICE LINE REVENUE AND PROFITABILITY

Consulting & SI Revenue Outsourcing Revenue

Consulting & SI Operating Margin* Outsourcing Operating Margin*SOURCE: TBR AND ACCENTURE * Operating margin is a TBR estimate

TBR

TBR


Accenture will achieve its operating margin target for FY11 by driving efficiency on the SG&A side

1Q11 Operating Expenses: $1.2 billion

Cost of Revenue$4.1 billion

Aggressive hiring, salary increases and subcontractor use boosted cost of services, but this was a necessary step to help drive growth turnaround and long-term expansion.

SG&A Expense$1.1 billion

Accenture was able to manage its SG&A expenses despite business development efforts (SG&A expenses as a percentage of revenue fell 110 basis points from 20.0% in 1Q10 to 18.9% in 1Q11).

Margins and Outlook

• Hiring and training will continue to impact gross margin in fiscal 2H11; however, salary increases and bonuses were all absorbed in 1H11, alleviating margin pressures from pay increases.

• As the pricing environment stabilizes, Accenture will absorb higher cost of services with higher pricing and more efficient resource mix.

• Efficiency on the opex side is driving operating margin improvement, a trend that will continue as Accenture works toward its operating margin goal of 13.6% to 13.7% for FY11, which TBR sees as achievable.

Financial Model Strategy: Expenses

32.7% 34.7% 34.0% 32.2% 31.7% 32.0%

12.6% 14.4% 13.2% 13.7% 12.7% 13.4%

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ACCENTURE'S GROSS AND OPERATING PROFITAND PROJECTIONS

Gross Margin Operating MarginSOURCE: TBR AND ACCENTURE

TBR

0.1% 0.1% 0.0% 0.0% 0.0% 0.0%

8.0% 7.4% 8.0%6.4% 7.2% 7.0%

12.0% 12.8% 12.9% 12.1% 11.7% 11.6%

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OPERATING EXPENSES AS A PERCENTAGE OF SALES

Sales and Marketing General and AdministrativeReorganization cost (benefit)


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TBR


Accenture’s emphasis on client relationship building will continue to boost signings and revenue in the long runSales Strategy & Customer Segmentation

TBR AssessmentAccenture is strongly focused on building client relationships. The use of senior executives (partners and principals) in the bulk of sales activities helps create long-lasting customer relations (e.g., diamond clients), account growth and revenue benefits.

Accenture’s Sales StrategyAccenture’s global sales organization is comprised of a traditional sales channel supported by a small direct sales channel.• Internal/Traditional sales channel: Responsible for the bulk of

Accenture’s sales. The sales function is tasked to the firm’s partners, associate partners and managers (or senior executives) – 4,500 people globally. Each client has account executives responsible for the relationship, business development, etc.

• Direct sales channel: Covers new clients with whom Accenture does not yet work, and is comprised of:o Equally small and direct sales team in BPO that targets SMBs. o Direct sales team in applications outsourcing (~80 sales

directors) and ITO that works with client senior executives.• Third-party advisors: These advisors work with clients to score

deals for Accenture and constitute only a minor portion of the company’s sales force.

Accenture’s Customer StructureAccenture defines its “diamond,” or “foundation,” clients as those with $100+ million, long-term, established accounts that have a strong relationship with the company. The number of Accenture diamond clients across the globe reached 100 at the end of FY10.• The United Kingdom, a key region for Accenture’s business, has ~20

diamond clients. Diamond clients are also located in emerging markets (e.g., one in China, four in Brazil).

Go-to-Market & Services Strategies: Sales Strategy

Internal/Traditional Sales (Accenture’s Senior

Executives; 4,500 people)

Direct Sales (~150 people, TBR

estimate)

Outside Advisors

Accenture’s Sales Structure

ClientSour

ce: A

ccen

ture

and

TBR

.

TBR


Accenture’s Services Line Deep Dive

TBR AssessmentWhile consulting & SI slightly led in terms of revenue contribution in 1Q11, overall Accenture has a well-balanced business mix that combines strong vertical expertise with high-value transformational offerings, implementation and cost-optimization capabilities. This allows the company to target a wide range of clients and achieve account growth along the services continuum.

Service Lines Deep Dive Strategies• C&SI: place strong emphasis on cost take-out, growth

and transformation, ERP, package enhancements and analytics to increase bookings

• ITO: emphasize remote infrastructure management to accommodate strong demand as clients become increasingly attuned to transferring assets due to lighter capital costs (cost optimization is a key client priority)

• BPO: benefit from providing a combination of horizontal offerings (e.g., demand for F&A) and industry-specific solutions (e.g., healthcare, insurance)

• AO: bundle AO with other outsourcing services; provide client value and use IP for AO service delivery

Go-to-Market & Services Strategies: Service Line Deep Dive

ACCENTURE REPORTED 1Q11 SERVICE LINE DEEP DIVE

Industry-specific offerings allow Accenture to broaden its client base

C&SI, 58.0%

Outsourcing, 42.0%

C&SI, 58.0%

BPO, 24.4%

ITO, 4.3%

AO, 13.3%

TBR


Go-to-Market & Product Strategies

Signings & Pipeline• Improving demand is positioning Accenture for revenue

growth during the rest of FY11. While there may be pockets of uncertainty in geographies like Japan due to the recent natural disasters, TBR expects Accenture’s bookings will land somewhere in the middle of its expectations range of $25 billion to $28 billion in FY11.

• Consulting & SI demand is heating up, with consulting signings growing 12.1% year-to-year in 1Q11 and returning to levels experienced in FY08 before the recession. Accenture is showing its strength in all three areas, including management and technology consulting and SI, and TBR expects this trend to continue during the rest of FY11. Such deals will help support near-term revenue performance.

• Accenture’s strong transformational capabilities and its mix of cost improvement and growth offerings will help it gain traction with clients in consulting & SI as well as outsourcing. Demand for innovation will help Accenture gain traction outside its core business in areas such as cloud computing, analytics, etc.

• Accenture is seeing more larger-sized deals (signed eight deals over $100 million in 1Q11), which will help support long-term revenue generation.

Outsourcing demand remains, and consulting & SI has improved its contribution to bookings, which will support near-term revenue growth

-15%-10%-5%0%5%10%15%20%25%

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11Est.

TTM

Boo

king

s Ye

ar-t

o-ye

ar G

row

th

(In $

Mill

ions

)

ACCENTURE'S TTM NEW BOOKINGS AND Y/Y GROWTH

TTM Outsourcing TTM ConsultingYear-to-Year Growth


TBR

Key 1Q11 Customer WinsCompany TBR Assessment

Israel Electric CorporationIsraelTwo years

This consulting & SI deal showcases Accenture’s ability to work with clients in different business areas as it covers six different projects. The deal extends Accenture’s relatively small market presence in the Middle East.

RSAU.K.Four years

This insurance BPO deal showcases Accenture’s ability to build strong relationships with its clients and expand existing business. The original deal was signed in 2003 and will extend until 2016.

TBR


Pricing Environment & StrategiesAccenture’s market and pricing environment remains competitive; prices are now more stable across a broader share of its business and geographies, allowing the company to sustain the recovery in its growth. • As the economic environment stabilizes across

the globe, TBR believes Accenture is seeing pricing stability in the Americas, APAC and some countries in Europe (e.g., Germany, the Nordics). In such regions, we believe Accenture is able to test and push slight price increases with clients that are broadening their IT investments.

• At the same time, TBR believes pricing pressures still exist in regions in Europe that lag in economic recovery and have tight public sector spending (e.g., the Netherlands, the U.K., Spain).

• During 1Q11, Accenture experienced lower contract profitability year-to-year largely in consulting & SI but also in outsourcing (i.e., in the health & public service vertical). Accenture was unable to fully recover the higher annual compensation increases and subcontractor costs with better pricing and more efficient resource mix. TBR expects contract profitability will stabilize and improve in 2H11, as all salary increases and bonuses were absorbed in 1H10, while the pricing environment is improving.

Pricing is stabilizing and slowly improving, allowing Accenture to expand its revenue and improve contract profitability in the long term

The hourly billing rates above are based on Accenture’s General Purpose Commercial IT Equipment, Software and Services government contract with the U.S. General Services Administration, launched in 2010.

Go-to-Market & Services Strategies: Pricing

TITLE 1 2 3 4

Business Integration Analyst $91 $100 $114 $123

Business Integration Consultant $111 $125 $139 $153

Business Integration Manager $157 $177 $183 $202

Business Integration Senior Manager $236 $274 $303

Business Integration Associate Partner $316 $347 $378 $417

Business Integration Partner $494 N/A N/A N/A

Client Financial Management Assistant $64 N/A N/A N/A

Client Financial Management Analyst $81 $91 N/A N/A

Client Financial Management Specialist $110 $121 N/A N/A

Client Financial Management Manager $157 N/A N/A N/A

Client Financial Management Senior Manager $231 N/A N/A N/A

Client Financial Management Associate Partner $340 N/A N/A

Executive Assistant $64 $73 $83 N/ANOTE: Net rates (discount deducted).

SOURCE: TBR AND GENERAL SERVICES ADMINISTRATION.

ACCENTURE'S U.S. GOVERNMENT HOURLY RATES(05/10-05/11)

SKILL LEVEL/EXPERIENCE

TBR

TBR


Acquisition AssessmentAccenture will be looking to make more small-scale acquisitions given its ability to fund such transactions as well as its history and expertise in integrating companies.

Accenture Acquisition Strategy• Accenture’s main goal is to grow its business

organically; however, the company supplements organic growth with acquisitions when it finds the right transaction in terms of price and capabilities that will be added.

• Accenture is successful at finding and integrating small-scale, tuck-in acquisitions that are not disruptive to overall business performance.

• The acquired companies help Accenture fill in gaps in its offerings and capabilities, augment its assets and drive overall competitive differentiation.

Recent AcquisitionsCAS Computer Anwendungs- und Systemberatung AG• In January, Accenture completed the acquisition of

Germany-based CAS Computer Anwendungs- und Systemberatung AG (CAS). Accenture gained 234 employees in Germany, the U.K., the U.S. and Australia.

• Accenture will strengthen its existing software capabilities by adding CAS’ customer relationship management (CRM) and mobility software focused on retail execution and trade promotions for the consumer products industry.

• By increasing the functionality of the software post-acquisition in areas such as digital merchandising, distributors’ management and analytics, Accenture will be able to expand its client base and geographic reach to LATAM, China and India.

• The bundling of consulting & SI services with the software will help Accenture gain broader revenue opportunities and provide higher-value to the client.

Alliance & Acquisition Strategies

Accenture will remain steadfast in supporting organic growth via small-scale strategic acquisitions through FY11

TBR


Alliance Assessment• TBR expects Accenture will expand its partnership

base of technology developers to broaden its offerings with high-growth potential and vertical-specific solutions.

• Alliances will continue to be vital, allowing Accenture to provide services and solutions in high-growth areas. TBR believes Accenture will continue this trend as a means to gain global traction for its services.

Accenture Alliance Strategy• Accenture’s internal organization, the Accenture

Alliances Group with 300 dedicated alliance professionals, is responsible for forming alliances and partnerships to provide the company with new channels, incremental revenue streams and access to emerging technologies.

• Alliances complement and extend Accenture’s solutions and capabilities.

• Alliances and partners are centered on the company’s client service business (consulting, SI, outsourcing, etc.). The company has an alliance network of more than 150 partners.

Recent AlliancesNetApp• Accenture and NetApp are expanding their existing

relationship for the joint development, marketing and delivery of solutions focused on datacenter optimization and virtualization, cloud computing and application optimization. This will help Accenture solidify its strategy of growing in high-growth areas, such as cloud computing.

• The agreement is a win-win situation for both parties as Accenture will provide consulting & SI resources to NetApp to strengthen its implementation capabilities.

Plexis• Accenture and Plexis announced a joint solution to

optimize the efficiency, cost and reliability of Medicaid Management Information Systems. The Accenture Public Health Platform combines Accenture’s SI, project management and software development capabilities with Plexis’ software.

• The alliance is a good example of how Accenture augments is offerings with partner software. Accenture will be able to gain share in the growing healthcare market.

Alliance & Acquisition Strategies

Alliances are a strong contributor to Accenture’s competitiveness and diverse set of service offerings

TBR


Accenture will continue its geographic expansion in the major and emerging markets across the majority of its verticalsGeographic Revenue Strategies

United States/Americas$2.7 billion

Accenture reported record-high revenue from its Americas geography in 1Q11 driven by strong growth within the U.S., Canada and Brazil. This shows Accenture can not only grow in major markets that are strong in economic recovery but can also capture fast-growth opportunities in emerging markets.

EMEA$2.6 billion

Performance in EMEA was subdued due to uneven economic recovery among the countries in Europe; however, growing local economies are supporting business in the region.

APAC$787 million

Despite being the smallest revenue contributor, APAC outpaced Accenture’s other geographies in year-to-year growth terms in 1Q11. Accenture continues to invest in the expansion of its footprint in the geography.

Emerging & Developed Markets

Accenture continues to aggressively pursue opportunities in six key emerging markets (BRIC, South Korea, Mexico) and other high-growth geographies to diversify its revenue base and increase its global presence.

Geographic Analysis

-20%-15%-10%

-5%0%5%

10%15%20%

1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11Est.N

et R

even

ue G

rwot

h Se

quen

tially

ACCENTURE'S SEQUENTIAL GROWTH BY GEOGRAPHY

Americas Sequential Growth EMEA Sequential GrowthAPAC Sequential Growth


TBR

-30.0%

-20.0%

-10.0%

0.0%

10.0%

20.0%

30.0%

40.0%

$0.0

$1.0

$2.0

$3.0

$4.0

$5.0

$6.0

1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11Est.

Axis Title

Reve

nue

Gro

wth

Yea

r-to

-Yea

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Rev

enue

in $

Bill

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ACCENTURE'S REVENUE AND YtY GROWTH BY GEOGRAPHY

Asia Pacific EMEAAmericas Americas YtY GrowthEMEA YtY Growth APAC YtY Growth


TBR

TBR


Accenture will continue aggressively hiring to encourage geographic expansion into emerging marketsHeadcount Strategies & Investments

• Hiring is helping Accenture address market growth and improving demand. Accenture will continue hiring in FY11, at similar levels as in FY10 – on track to reach hiring goal of more than 64,000 people across the GDN and onshore.

• Accenture is positioning India as a key lower-cost service delivery location. Accenture has 60,000 people in India, or ~50% of the GDN headcount, which stood at 122,100 in 1Q11.o In 1Q11, Accenture opened a new delivery center for

technology in Kolkata, India. The center will provide application development and management and infrastructure support.

• Accenture continues to pursue hiring initiatives in the Philippines, its second-largest offshore location. The company is increasing its local workforce to 25,000 by August to improve its BPO-heavy service delivery capabilities in the region. TBR estimates the Philippines had ~21,000 people in 1Q11.

• Accenture is investing in onshore recruiting efforts to enhance its cadre of client-facing management consulting, technology consulting and technology architect expertise.

Resource Management Strategy: Headcount

~22% of people are in North

America

~40% of people are in APAC

~34% of people are in EMEA

~4% of people are in South

America

102,236 113,988

79,200101,400

0

50,000

100,000

150,000

200,000

1Q10 1Q11

Tota

l Hea

dcou

nt

Calendar Quarter

ACCENTURE'S HEADCOUNT

Nearshore & OffshoreHeadcount

Other GDN locationsand onshore

Total headcount: 215388 (+18.7% YTY)

TBR

Total headcount in 1Q11: 215,388

TBR


Accenture will drive growth with new leadership in key functional areas and geographies

Efficiency Performance• Accenture continues to alleviate utilization through

increased hiring efforts. The utilization level of nearly 88% in FY10 was not sustainable in the long run, so the actions taken are in the right direction.

• Attrition decreased on a year-to-year basis as escalated investment in employee retention initiatives, including salary and bonus hikes, is alleviating turnover.

• Revenue per employee fell on a year-to-year comparison as organizational hiring efforts outpaced the rate of revenue growth during the period.

• Operating income per employee jumped 6.0% year-to-year in 1Q11, positively affected by Accenture’s increased reliance on offshore (GDN) resources and tools for service delivery.

Organizational ChangesAccenture is strategically repositioning its organizational leadership team to propel growth.• Accenture appointed Oliver Benzecry as geographic

unit managing director for the U.K. and Ireland as well as country managing director for the U.K.

• Kay Kapoor was selected to lead Accenture’s U.S. Federal Government practice.

• Avinash Vashistha was appointed country managing director for the company’s India operations. Vashistha will serve as co-chairman of India alongside current co-chairman Harsh Manglik.

• Sander van’t Noordende was named group chief executive of Accenture’s Management Consulting platform. van’t Noordende’s previous role as group chief executive of Accenture’s Resources platform will be filled by Jean-Marc Ollagnier. van’t Noordende will succeed Mark Foster, who will retire.

• Shawn Collinson was appointed senior managing director of Growth & Strategy for Accenture’s global operations. Collinson succeeds Karl-Heinz Floether, who will retire.

Resource Management Strategy: Efficiency & Org. Changes

1Q10 1Q11

Revenue per Employee 117,189$ 112,550$ ↓Operating Income per Employee 14,327$ 15,188$ ↑Utilization 88.0% 86.0% ↓Turnover 15.0% 14.0% ↓

Accenture's Efficiency Metrics (In $) TBR

TBR


Income Statement

ACCENTUREConsolidated Statement of Income(in $ Thousands Except Share Data)Ca lendar Period Feb. '10 May '10 Aug. '10 Nov. '10 Feb. '11 May '11 Feb. '10 May '10 Aug. '10 Nov. '10 Feb. '11 May '11 Feb. '10 May '10 Aug. '10 Nov. '10 Feb. '11 May '11CALENDAR QUARTER 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 Est. 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 Est. 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 Est.FISCAL QUARTER 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 Est. 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 Est. 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 Est.Revenues 5,537,823$ 5,975,495$ 5,833,073$ 6,478,193$ 6,496,293$ 6,757,615$ 107.0% 107.3% 107.6% 107.2% 107.3% 107.3% -2.1% 7.9% 6.0% 12.7% 17.3% 13.1%

Reimbursements 361,385 404,478 412,492 432,543 442,672 457,615 7.0% 7.3% 7.6% 7.2% 7.3% 7.3% -7.6% 3.1% 14.7% 18.5% 22.5% 13.1%

Net Sales (Revenues before Reimbursements) 5,176,438$ 5,571,017$ 5,420,581$ 6,045,650$ 6,053,621$ 6,300,000$ 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% -1.7% 8.3% 5.3% 12.3% 16.9% 13.1%

Cost of Services 3,486,107 3,639,367 3,575,769 4,101,170 4,136,397 4,284,000 67.3% 65.3% 66.0% 67.8% 68.3% 68.0% -4.3% 4.7% 2.6% 14.0% 18.7% 17.7%

Gross Profit 1,690,331 1,931,650 1,844,812 1,944,480 1,917,224 2,016,000 32.7% 34.7% 34.0% 32.2% 31.7% 32.0% 4.2% 15.6% 11.1% 9.0% 13.4% 4.4%

Sales and Marketing 623,386 714,487 698,325 731,471 709,779 730,800 12.0% 12.8% 12.9% 12.1% 11.7% 11.6% 20.1% 36.1% 26.5% 17.6% 13.9% 2.3%

General and Administrative 413,335 410,057 432,793 385,726 435,499 441,000 8.0% 7.4% 8.0% 6.4% 7.2% 7.0% -5.8% -0.1% 0.0% -6.4% 5.4% 7.5%

Selling, General and Administrative Expenses 1,036,721 1,124,544 1,131,118 1,117,197 1,145,278 1,171,800 20.0% 20.2% 20.9% 18.5% 18.9% 18.6% 8.2% 20.2% 14.9% 8.0% 10.5% 4.2%

Reorganization cost (benefit) 2,637 3,276 60 348 369 100 0.1% 0.1% 0.0% 0.0% 0.0% 0.0% 120.3% 3.1% -98.3% -90.2% -86.0% -96.9%

Operating Expenses 1,039,358 1,127,820 1,131,178 1,117,545 1,145,647 1,171,900 20.1% 20.2% 20.9% 18.5% 18.9% 18.6% 10.0% 20.2% -8.8% 7.7% 10.2% 3.9%

Operating Income 650,973 803,830 713,634 826,935 771,577 844,100 12.6% 14.4% 13.2% 13.7% 12.7% 13.4% -3.9% 9.8% 70.1% 10.8% 18.5% 5.0%

Interest Income and Other, Net (11,583) (550) 2,960 17,693 2,570 1,967 -0.2% 0.0% 0.1% 0.3% 0.0% 0.0% -153.9% -103.5% 2.2% 103.4% 122.2% 457.6%

Income before Taxes 639,390 803,280 716,594 844,628 774,147 846,067 12.4% 14.4% 13.2% 14.0% 12.8% 13.4% -8.5% 7.4% 69.6% 11.9% 21.1% 5.3%

Provisions for Taxes 177,511 239,761 206,331 239,072 208,397 238,598 3.4% 4.3% 3.8% 4.0% 3.4% 3.8% -9.7% 13.5% 77.1% 3.8% 17.4% -0.5%

Net Income before Minority Interest 461,879 563,519 510,263 605,556 565,750 607,469 8.9% 10.1% 9.4% 10.0% 9.3% 9.6% -8.1% 5.0% 66.8% 15.4% 22.5% 7.8%

Minority Interest (62,119) (72,922) (64,781) (70,842) (62,733) (74,493) -1.2% -1.3% -1.2% -1.2% -1.0% -1.2% 31.7% 21.2% -26.3% 11.4% -1.0% -2.2%

Net Income 399,760$ 490,597$ 445,482$ 534,714$ 503,017$ 532,976$ 7.7% 8.8% 8.2% 8.8% 8.3% 8.5% -2.8% 10.5% 74.9% 20.2% 25.8% 8.6%

Net Earnings per Share of Common Stock 0.60$ 0.73$ 0.66$ 0.81$ 0.75$ n/a

Common Shares Outstanding 769,188,236 766,597,090 758,133,742 742,961,409 742,852,436 n/a

SOURCE: ACCENTURE

AS A PERCENTAGE OF REVENUE YEAR-TO-YEAR CHANGE

TBR


Balance SheetACCENTUREConsolidated Balance Sheets (in $ Thousands)

CALENDAR QUARTER 1Q10 2Q10 3Q10 4Q10 1Q11FISCAL QUARTER 2Q10 3Q10 4Q10 1Q11 2Q11ASSETSCurrent Assets

Cash and Equivalents 4,114,751 4,312,111 4,838,292 4,160,452 4,677,544

Short-Term Investments 7,323 8,094 2,987 3,164 5,192

Accounts Receivable 2,470,983 2,350,493 2,534,598 2,846,561 3,072,103

Unbilled Services 1,118,919 1,165,857 1,127,827 1,354,854 1,373,376

Other (Deferred Income Taxes, etc.) 1,062,476 1,006,835 1,059,921 1,104,679 1,151,062

Total Current Assets 8,774,452 8,843,390 9,563,625 9,469,710 10,279,277

Property, Plant, Equip. (Net of Dep.) 646,727 625,534 659,569 673,697 694,788

Other Non-Current Assets 2,468,909 2,448,734 2,612,059 2,725,467 2,919,608

Total Assets 11,890,088$ 11,917,658$ 12,835,253$ 12,868,874$ 13,893,673$

LIABILITIES AND EQUITYCurrent Liabilities

Short-Term Borrowings 206$ 573$ 143$ 332$ 422$

Accounts Payable 683,632 683,094 885,328 824,354 846,365

Employee Compensation and Benefits 2,137,896 2,409,544 2,683,492 2,691,323 2,495,790

Deferred Revenues 1,796,394 1,688,069 1,772,833 1,769,439 2,114,235

Other Current Liabilities 1,191,091 1,047,774 1,225,808 1,161,403 1,160,284 Total Current Liabilities 5,809,219$ 5,829,054$ 6,567,604$ 6,446,851$ 6,617,096$

LT Debt, Net of Current 199 198 1,445 - 4,129

Other Non-current Liabilities 2,639,767 2,627,006 2,991,481 3,110,913 3,224,677

Total Liabilities 8,449,185$ 8,456,258$ 9,560,530$ 9,557,764$ 9,845,902$ Total Stockholders' Equity 3,440,903$ 3,461,400$ 3,274,723$ 3,311,110$ 4,047,771$

Total Liabilities & Equity 11,890,088$ 11,917,658$ 12,835,253$ 12,868,874$ 13,893,673$

FINANCIAL RATIOSDays Sales Outstanding 42.96 37.97 42.08 42.38 45.67

Fixed Asset Turnover 31.09 35.03 33.74 36.28 35.39

Days Cash Outstanding 71.67 69.79 80.38 61.98 69.62

Total Asset Turnover 1.72 1.87 1.75 1.88 1.81

Debt/Asset Ratio 0.71 0.71 0.74 0.74 0.71

Current Ratio 1.51 1.52 1.46 1.47 1.55

Return on Assets 13.1% 13.2% 14.6% 15.2% 15.6%

Return on Equity 49.9% 48.0% 52.8% 55.7% 56.3%SOURCE: ACCENTURE

TBR

TBR


Appendix – Financial Models

CALENDAR QUARTER 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 Est.FISCAL QUARTER 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 Est.NET REVENUE (IN $ MILLIONS)Consulting & Systems Integration 2,932$ 3,225$ 3,094$ 3,568$ 3,509$ 3,711$

Outsourcing 2,244$ 2,346$ 2,326$ 2,478$ 2,544$ 2,589$

Total Net Revenue 5,176$ 5,571$ 5,421$ 6,046$ 6,054$ 6,300$

AS A PERCENTAGE OF REVENUEConsulting & Systems Integration 56.6% 57.9% 57.1% 59.0% 58.0% 58.9%

Outsourcing 43.4% 42.1% 42.9% 41.0% 42.0% 41.1%

YEAR-TO-YEAR CHANGE (IN U.S. DOLLARS)Consulting & Systems Integration -3.2% 9.1% 6.2% 14.3% 19.7% 15.1%

Outsourcing 0.4% 7.1% 4.2% 9.5% 13.4% 10.3%

Total Net Revenue -1.7% 8.3% 5.3% 12.3% 16.9% 13.1%

SEQUENTIAL CHANGEConsulting & Systems Integration -6.0% 10.0% -4.0% 15.3% -1.6% 4.0%

Outsourcing -0.8% 4.6% -0.9% 6.5% 2.7% 4.5%

Total Net Revenue -3.8% 7.6% -2.7% 11.5% 0.1% 4.2%

OPERATING INCOME (IN $ MILLIONS)Consulting & Systems Integration 440$ 532$ 464$ 539$ 491$ 549$

Outsourcing 211$ 272$ 249$ 288$ 280$ 295$

Total Operating Income 651$ 804$ 714$ 827$ 772$ 844$

ESTIMATED OPERATING MARGINConsulting & Systems Integration 15.0% 16.5% 15.0% 15.1% 14.0% 14.8%

Outsourcing 9.4% 11.6% 10.7% 11.6% 11.0% 11.4%

Total Operating Margin 12.6% 14.4% 13.2% 13.7% 12.7% 13.4%SOURCE: TBR ESTIMATES AND ACCENTURE

ACCENTURE'S SERVICE LINE REVENUE AND ESTIMATED PROFITABILITY TBR

TBR



CALENDAR QUARTER 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 Est.FISCAL QUARTER 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 Est.NET REVENUE (IN $ THOUSANDS)Communications & High-Tech 1,110,147$ 1,178,355$ 1,164,475$ 1,284,476$ 1,274,449$ 1,323,000$

Financial Services 1,076,879$ 1,149,863$ 1,115,259$ 1,301,118$ 1,265,620$ 1,324,890$

Health & Public Service 851,563$ 926,618$ 856,109$ 931,600$ 964,612$ 1,020,600$

Products 1,205,575$ 1,307,903$ 1,267,809$ 1,396,041$ 1,373,646$ 1,449,000$

Resources 929,309$ 1,004,056$ 1,013,513$ 1,128,317$ 1,171,016$ 1,178,100$

Other 2,965$ 4,222$ 3,416$ 4,098$ 4,278$ 4,410$

Total 5,176,438$ 5,571,017$ 5,420,581$ 6,045,650$ 6,053,621$ 6,300,000$ AS A PERCENTAGE OF REVENUECommunications & High-Tech 21.4% 21.2% 21.5% 21.2% 21.1% 21.0%

Financial Services 20.8% 20.6% 20.6% 21.5% 20.9% 21.0%

Health & Public Service 16.5% 16.6% 15.8% 15.4% 15.9% 16.2%

Products 23.3% 23.5% 23.4% 23.1% 22.7% 23.0%

Resources 18.0% 18.0% 18.7% 18.7% 19.3% 18.7%

Other 0.1% 0.1% 0.1% 0.1% 0.1% 0.1%YEAR-TO-YEAR CHANGECommunications & High-Tech -7.0% 2.0% 4.2% 10.8% 14.8% 12.3%


Health & Public Service -2.8% 2.8% -9.0% -1.6% 13.3% 10.1%

Products 0.8% 13.7% 13.0% 15.9% 13.9% 10.8%

Resources -2.5% 11.0% 7.5% 17.0% 26.0% 17.3%

Other -57.8% -25.0% -44.0% -7.8% 44.3% 4.5%SEQUENTIAL CHANGECommunications & High-Tech -4.2% 6.1% -1.2% 10.3% -0.8% 3.8%

Financial Services -2.5% 6.8% -3.0% 16.7% -2.7% 4.7%

Health & Public Service -10.0% 8.8% -7.6% 8.8% 3.5% 5.8%

Products 0.1% 8.5% -3.1% 10.1% -1.6% 5.5%

Resources -3.6% 8.0% 0.9% 11.3% 3.8% 0.6%

Other -33.3% 42.4% -19.1% 20.0% 4.4% 3.1%OPERATING MARGINCommunications & High-Tech 12.8% 14.3% 13.8% 15.0% 11.8% 12.2%


Health & Public Service 4.3% 8.0% 4.7% 6.2% 9.3% 10.2%

Products 11.7% 14.1% 11.9% 11.3% 9.2% 11.4%

Resources 15.7% 17.5% 16.8% 15.4% 17.2% 16.0%OPERATING INCOMECommunications & High-Tech 141,633$ 168,166$ 160,598$ 193,241$ 150,445$ 161,406$

Financial Services 185,015$ 201,235$ 191,382$ 244,581$ 204,214$ 225,231$

Health & Public Service 36,799$ 74,530$ 40,219$ 57,783$ 89,569$ 104,101$

Products 141,209$ 183,780$ 151,129$ 157,261$ 125,785$ 164,866$

Resources 146,317$ 176,119$ 170,306$ 174,069$ 201,564$ 188,496$

Total 650,973$ 803,830$ 713,634$ 826,935$ 771,577$ 844,100$ SOURCE: TBR AND ACCENTURE

ACCENTURE'S OPERATING UNITS REVENUE AND INCOME TBR

TBR



CALENDAR QUARTER 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 Est.FISCAL QUARTER 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 Est.NET REVENUE (IN $ MILLIONS)Americas 2,203$ 2,513$ 2,520$ 2,633$ 2,675$ 2,904$ EMEA 2,386$ 2,433$ 2,213$ 2,638$ 2,592$ 2,646$ Asia Pacific 587$ 625$ 688$ 775$ 787$ 750$ Total 5,176$ 5,571$ 5,421$ 6,046$ 6,054$ 6,300$ AS A PERCENTAGE OF REVENUEAmericas 42.6% 45.1% 46.5% 43.6% 44.2% 46.1%EMEA 46.1% 43.7% 40.8% 43.6% 42.8% 42.0%Asia Pacific 11.3% 11.2% 12.7% 12.8% 13.0% 11.9%YEAR-TO-YEAR CHANGE (IN U.S. DOLLARS)Americas -4.1% 11.0% 11.3% 18.1% 21.4% 15.6%EMEA -1.2% 3.9% -2.7% 3.4% 8.6% 8.8%Asia Pacific 6.0% 15.9% 13.1% 28.4% 34.1% 20.0%SEQUENTIAL CHANGEAmericas -1.2% 14.1% 0.3% 4.5% 1.6% 8.6%EMEA -6.4% 1.9% -9.0% 19.2% -1.7% 2.1%Asia Pacific -2.7% 6.5% 10.1% 12.7% 1.5% -4.7%

ACCENTURE'S GEOGRAPHIC REVENUE TBR

TBR



CALENDAR QUARTER 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 Est.Net Revenue 5,176,438$ 5,571,017$ 5,420,581$ 6,045,650$ 6,053,621$ 6,300,000$

Operating Expenses 1,039,358$ 1,127,820$ 1,131,178$ 1,117,545$ 1,145,647$ 1,171,900$

Sales & Marketing Expense 623,386$ 714,487$ 698,325$ 731,471$ 709,779$ 730,800$

General and Administrative Expense 413,335$ 410,057$ 432,793$ 385,726$ 435,499$ 441,000$

R&D Expense 81,356$ 87,557$ 85,193$ 95,017$ 95,142$ 61,729$

Restructuring Costs 2,637$ 3,276$ 60$ 348$ 369$ 100$

SALES AND MARKETING EXPENSE BREAKOUT (IN $ THOUSANDS)Sales Expense 591,040$ 680,373$ 665,555$ 696,013$ 674,290$ 694,260$

Marketing Spending 32,346$ 34,114$ 32,770$ 35,458$ 35,489$ 36,540$

Advertising 17,092$ 18,395$ 17,898$ 20,500$ 20,000$ 21,000$

Total Sales and Marketing Expense 623,386$ 714,487$ 698,325$ 731,471$ 709,779$ 730,800$

SPENDING AS A PERCENTAGE OF REVENUE Total Operating Expenses 20.1% 20.2% 20.9% 18.5% 18.9% 18.6%

Sales and Marketing Expense 12.0% 12.8% 12.9% 12.1% 11.7% 11.6%

Sales Expense 11.4% 12.2% 12.3% 11.5% 11.1% 11.0%

Marketing Spending 0.6% 0.6% 0.6% 0.6% 0.6% 0.6%

Advertising 0.33% 0.33% 0.33% 0.34% 0.33% 0.33%

General and Administrative 8.0% 7.4% 8.0% 6.4% 7.2% 7.0%

Restructuring Costs 0.1% 0.1% 0.0% 0.0% 0.0% 0.0%

CORPORATEWIDE HEADCOUNTSales 4,500 4,500 4,460 4,460 4,460 4,460

General and Administrative 13,398 13,732 14,154 14,342 14,484 16,637

Total Employees 181,436 190,442 203,860 210,951 215,388 220,500SOURCE: TBR ESTIMATES AND ACCENTURE FINANCIALS

ACCENTURE OPERATING EXPENSE MODEL (IN $ THOUSANDS) TBR

TBR



CALENDAR QUARTER 1Q10 2Q10 3Q10 4Q10 1Q11FISCAL QUARTER 2Q10 3Q10 4Q10 1Q11 2Q11Consulting 46,149 48,415 50,181 51,955 53,636

Solutions 62,085 65,911 75,791 79,028 80,814

Total Consulting & Solutions 108,234 114,326 125,972 130,983 134,450

Services 59,804 62,384 63,734 65,626 66,454

Total Billable 168,038 176,710 189,706 196,609 200,904

Enterprise 13,398 13,732 14,154 14,342 14,484

Total Headcount 181,436 190,442 203,860 210,951 215,388


ACCENTURE'S HEADCOUNT BREAKDOWN TBR

62,085 80,814

59,80466,454

46,149

53,63613,398

14,484

0

50,000

100,000

150,000

200,000

1Q10 1Q11

Tota

l Hea

dcou

nt

Calendar Quarter

ACCENTURE'S HEADCOUNT

Enterprise

Consulting

Services

Solutions

Total headcount: 215388 (+18.7% YTY)

TBR

TBR


Financial Strategy GraphsAppendix – Graphs

1.51 1.52 1.46 1.47 1.55

0.00

0.50

1.00

1.50

2.00

1Q10 2Q10 3Q10 4Q10 1Q11

CURRENT RATIO

ACCENTURE PSBQ AVERAGE


TBR

12.6%14.4%

13.2%13.7%

12.7%

0.0%

4.0%

8.0%

12.0%

16.0%

20.0%

1Q10 2Q10 3Q10 4Q10 1Q11

OPERATING MARGIN



TBR

0.71 0.71 0.74 0.74 0.71

0.00

0.20

0.40

0.60

0.80

1.00

1Q10 2Q10 3Q10 4Q10 1Q11

DEBT/ASSET RATIO



TBR

TBR


Financial Strategy GraphsAppendix – Graphs

13.1% 13.2%

14.6% 15.2% 15.6%

0.0%

4.0%

8.0%

12.0%

16.0%

20.0%

1Q10 2Q10 3Q10 4Q10 1Q11

RETURN ON ASSETS



TBR

49.9% 48.0% 52.8% 55.7% 56.3%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

1Q10 2Q10 3Q10 4Q10 1Q11

RETURN ON EQUITY



TBR

TBR


Go-to-Market GraphsAppendix – Graphs

$5,176 $5,571 $5,421 $6,046 $6,054

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

1Q10 2Q10 3Q10 4Q10 1Q11

In $

Mil

lions

REVENUE



TBR

2.49 2.43 2.49 2.49 2.44

0.00

0.50

1.00

1.50

2.00

2.50

3.00

1Q10 2Q10 3Q10 4Q10 1Q11

BACKLOG/REVENUE RATIO



TBR

42.96 37.97 42.08 42.38 45.67

0.00

15.00

30.00

45.00

60.00

75.00

1Q10 2Q10 3Q10 4Q10 1Q11

Num

ber o

f Day

s

DAYS SALES OUTSTANDING



TBR

-1.7%

8.3% 5.3% 12.3%

16.9%

-30.0%

-20.0%

-10.0%

0.0%

10.0%

20.0%

30.0%

1Q10 2Q10 3Q10 4Q10 1Q11

REVENUE GROWTH



TBR

TBR


Resource Management GraphsAppendix – Graphs

32.7% 34.7% 34.0% 32.2% 31.7%

0.0%

10.0%

20.0%

30.0%

40.0%

1Q10 2Q10 3Q10 4Q10 1Q11

GROSS MARGIN



TBR

20.1% 20.2% 20.9% 18.5% 18.9%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

1Q10 2Q10 3Q10 4Q10 1Q11

OPERATING EXPENSES AS A PERCENTAGE OF SALES



TBR

$117.2 $117.4 $114.7 $112.9 $112.6

$0.0

$50.0

$100.0

$150.0

$200.0

1Q10 2Q10 3Q10 4Q10 1Q11

In $

Tho

usan

ds

REVENUE PER EMPLOYEE



TBR

TBR


Resource Management GraphsAppendix – Graphs

88% 88% 86% 87% 86%

0%

20%

40%

60%

80%

100%

1Q10 2Q10 3Q10 4Q10 1Q11

UTILIZATION RATE



TBR

$14.3 $14.5 $15.5 $15.2 $15.2

$0.0

$5.0

$10.0

$15.0

$20.0

$25.0

$30.0

1Q10 2Q10 3Q10 4Q10 1Q11

In $

Tho

usan

ds

OPERATING INCOME PER EMPLOYEE



TBR

15% 17% 17% 15% 14%

0%

4%

8%

12%

16%

20%

1Q10 2Q10 3Q10 4Q10 1Q11

TURNOVER RATE



TBR

TBR


Accenture’s Recent Acquisitions

COMPANY ACQUISITION DATE ACQUISITION SYNERGIES

ESTIMATED NO. OF

EMPLOYEES

CAS Computer Anwendungs-und Systemberatung AG

January 2011CRM and mobility software for the consumer products industry that augments Accenture’s industry-specific software offerings

230

Mogenesis November 2010

Strengthens Accenture’s embedded software services capabilities N/A

Knowledge Rules, Inc.

November 2010

Enhances Accenture’s Pegasystems capabilities in key U.S. and European markets N/A

Ariba’s Sourcing Services & BPO Assets

November 2010

Purchased for $51 million, strengthens Accenture’s existing sourcing and procurement consulting and outsourcing capabilities

160

Acceria July 2010 Management consulting; complements Accenture’s automotive and industrial manufacturing capabilities 30

CadenceQuest, Inc. June 2010 Enhance vertical analytics (CadenceQuest provides customer data and analytics for the retail sector) 35

RiskControl (Brazil) February 2010

Risk consulting and software capabilities; allows Accenture to expand in the local Brazilian market N/A

Nokia’s Symbian Professional Svcs. Operations

October 2009 Consulting services for mobile operating systems; embedded software services for mobile devices 165

Appendix – Tables

TBR


Accenture’s Portfolio of Services MANAGEMENT CONSULTING: TECHNOLOGY: OUTSOURCING:

Service Lines• Finance & Performance

Management• Process & Innovation Performance• Talent & Organization Performance• Strategy• Customer Relationship

Management• Supply Chain Management• Risk Management

Systems Integration Service Lines• Enterprise Solutions and Enterprise

Resource Planning• Industry and Functional Solutions• Information Management Services• Cloud Computing• Custom Solutions• Software as a Service (SaaS)• Mobility Solutions• Microsoft Solutions

Technology Consulting Service Lines• Application Portfolio Optimization and

Renewal• Enterprise Architecture• IT Strategy and Transformation• Infrastructure Consulting• IT Security Consulting• Digital Solutions• Research & Development

Service Lines• Application Outsourcing• Infrastructure Outsourcing• Business Process

Outsourcing (BPO)• Bundled Outsourcing

BPO BUSINESSES:

Accenture’s industry-specific BPO businesses:• Accenture Health Administration Services• Accenture Insurance Services• Navitaire, Inc.• Accenture Utilities Services

Accenture Custom Services

Accenture’s function-specific BPO businesses that serve clients across industries are:

• HR BPO• Learning BPO• Finance and Accounting BPO• Procurement BPO

Appendix – Tables

• Customer Contact BPO• Supply Chain BPO• Engineering Services

TBR


Accenture’s Recent Services Announcements

SERVICE/SOLUTION DATE DESCRIPTION

1Q11

Digital Mail March 2011

Expanded line of postal services with a digital mail offering; Digital mail is a digital version of printed mail delivered to an online mailbox. Accenture will be partnering with postal agencies to offer digital post services to citizens.

Datacenter optimization and virtualization services

February 2011

Expanding partnership agreement with NetApp to develop offerings related to datacenter virtualization, application optimization and cloud-based service delivery

Accenture Public Health Platform (APHP)

January 2011

Accenture will combine its SI capabilities with Plexis’ software to offer APHP, a comprehensive, integrated solution for managing Medicaid processes.

4Q10

Accenture Digital Supply Chain Platform

December 2010

Accenture and Universal Music Group (UMG) formed an alliance in 4Q10 following a successful two-year collaboration to develop and deploy Accenture’s Digital Supply Chain Platform.

Mobile smartphone solutions December 2010

NHN Corporation, a leading South Korean Internet service provider, will partner with Accenture to introduce a suite of mobile services for NHN’s Naver mobile search engine.

Business service management solutions

November 2010

In an expansion of their existing partnership, BMC Software and Accenture will partner to develop and deliver an integrated, end-to-end IT automation and management platform designed for cloud environments.

Appendix – Tables

TBR


Accenture’s Recent Services Announcements

SERVICE/SOLUTION DATE DESCRIPTION

3Q10

Datacenter virtualization and collaboration

September 2010

Accenture and Cisco are expanding their relationship to offer core BPO services designed around collaboration and virtualization service delivery to firms in South Africa.

2Q10

Sales and Marketing transformation solutions May 2010

Partnering with XTEL, a European provider of sales automation solutions, Accenture will offer systems integration services for an end-to-end solution for transforming organizational sales and marketing processes.

Public center pension solution April 2010

Along with CedarCrestone, a provider of implementation services, Accenture will offer its expertise to support Oracle’s development of its Public Sector Pension Solution.

1Q10

SAP application management service

February 2010

Along with Verizon Business, Accenture will offer an end-to-end service for managing SAP applications and its corresponding network structures.

Child welfare and protective services solution

January 2010

Working with Oracle, Accenture will offer a comprehensive, integrated case management solution for child welfare agencies.

Appendix – Tables

TBR


CLIENT DATE DESCRIPTION YEARS CONTRACT VALUE

1Q11

RSAUnited Kingdom April 2011

Contract extension to provide insurance process BPO services, including portions of RSA’s sales and service, claims, finance and commercial administration functions that support RSA’s direct, affinity and broker customers

4 N/A

Marathon Petroleum CompanyUnited States

April 2011Accenture is deploying its Life Safety Solution at client’s refinery in Robinson, Ill. The gas and chemical hazard solution utilizes wireless technology to connect and alert workers of potentially hazardous environments.

N/A N/A

Israel Electric CorporationIsrael

March 2011

Accenture will provide IEC with Consulting & SI services on six projects, including roadmaps, application systems, a smart electrical grid, business intelligence, enterprise architecture and business continuity.

2 N/A

City of London CorporationUnited Kingdom

March 2011

Accenture will develop and implement a shared service center for the city’s procurement and sourcing functions.

5 N/A

Consip SpaItaly

February 2011

Accenture will develop, build and maintain an eProcurement system to support the Italian government‘s overall procurement operations.

4 $6 million

Accenture’s Quarterly SigningsAppendix – Tables

TBR


Accenture’s Quarterly SigningsCLIENT DATE DESCRIPTION YEARS CONTRACT

VALUE

Lan CargoUnited States

February 2011

Accenture will implement a cargo reservation solution to streamline Lan Cargo’s order fulfillment processes. N/A N/A

Carlsberg BreweriesDenmark

January 2011

Accenture will support Carlsberg’s companywide IT infrastructure transformation through a variety of C&SI, application development, and SAP and Oracle implementation services.

5 N/A

4Q10

Nagaland State GovernmentIndia

December 2010

Accenture will implement and manage the state’s public service portal, state service delivery gateway and e-forms to help facilitate the delivery of services offered by multiple government departments.

42 Months N/A

Hilton WorldwideUnited States

December 2010

Accenture will provide Hilton Worldwide with application development and support services for client’s property management systems and websites.

multiyear N/A

National Water CompanySaudi Arabia

December 2010

Accenture will provide a suite of Oracle-based solutions, maintenance and support and change management services to modernize the client’s waste water service operations in Riyadh and Jeddah.

N/A N/A

Ace Private Risk ServicesUnited States

December 2010

Accenture’s claims management application (Accenture Claim Components) was selected to support ACE‘s claims management operation in the U.S.

N/A N/A

KF Shared Services ABSweden

November 2010

Accenture will provide BPO services in finance and accounting in support of improving KF Shared Services AB’s cost-effectiveness and delivery capabilities.

6 N/A

Appendix – Tables

TBR


Accenture’s Quarterly Signings


Proton HoldingsMalaysia

November 2010

Accenture will expand and improve the client’s enterprise resource planning (ERP) system. 21 months N/A

Centers for Disease Control and Prevention United States

November 2010

ID/IQ contract; Accenture was selected as the prime contractor to provide information management and IT infrastructure services.

10$3 billion and

$1 billion ceilings

American WaterUnited States

November 2010

Accenture will assist in the development of a strategy for the company’s business transformation program. N/A N/A

Allianz Life Insurance CompanyUnited States

November 2010

Allianz Life Insurance Company selected Accenture to license and implement the Accenture Life Insurance Platform to enhance product development and improve customer services.

N/A N/A

SEC SERVIZIItaly

November 2010

Accenture will develop and implement a new risk calculation engine to help the bank consortium’s clients and members assess the probability of loan defaults.

N/A N/A

Olympus Memory WorksJapan

November 2010

Accenture will provide ongoing support for strategic planning, systems integration, development using a public cloud computing environment and BPO services.

N/A N/A

RSAUnited Kingdom

October 2010

Contract extension in which Accenture will continue to provide development, implementation and ongoing maintenance services for RSA’s IT applications.

Additional 3 N/A

Appendix – Tables

TBR



VALUE

Caja de Ahorros del MediterráneoSpain

October 2010

Accenture will implement its Alnova Financial Solutions core banking platform to support the bank’s operations in Spain.

N/A N/A

Singapore’s Energy Market Authority

October 2010

Along with ST Electronics, Accenture has been selected to design and implement Phase 1 of the client’s Intelligent Energy System pilot project (advanced metering infrastructure and smart grid).

N/A N/A

Takeda Pharmaceuticals North AmericaUnited States

October 2010

Accenture will provide application and infrastructure outsourcing services, including development, testing and management services as well as end-user computing and network management.

Multiyear N/A

Zurich Financial Services GroupSwitzerland

October 2010

Zurich Financial Services will apply Accenture’s underwriting solution to support its international insurance operations.

N/A N/A

U.S. Social Security AdministrationUnited States

October 2010

Accenture won a bid as the prime contractor under the Information Technology Support Services Contract (ITSSC), which will enable Accenture to apply innovative applications in streamlining the SSA’s service delivery capabilities.

1 year base period, 6

additional 1-year options

$2.8 billion

3Q10

Baltimore Gas and Electric (BGE)United States

September 2010

BGE teamed with Accenture and Oracle to implement a smart meter network for its 1.2 million customers. Accenture will provide SI (design, build and manage), project management support and change management.

N/A N/A

Appendix – Tables

TBR



VALUE

Singapore Energy Market Authority (EMA)Singapore

September 2010

Accenture has been selected by the EMA to design and implement Singapore’s Intelligent Energy System project. This system is intended to enable households to monitor energy consumption and reduce overall usage.

2 Multimillion

DnB NORNorway

September 2010

Accenture signed an agreement to develop, implement and manage the financial services group’s life and pension insurance applications.

5 N/A

National Australia GroupAustralia

September 2010

Accenture extended its contract with the subsidiary of National Australia Bank for application development and management services to a range of the bank’s enterprise and customer applications.

3 N/A

U.S. Defense Logistics Agency (DLA)United States

September 2010

Accenture was awarded a contract by the DLA to integrate the group’s energy supply chain into its Enterprise Business System program, intended to streamline the DLA’s logistics and distribution platform.

4 $73 million

Stanford Hospital & Clinics United States

September 2010

Accenture was selected to work with Stanford to improve clinical processes and develop new analytic tools for patient-centric solutions.

7 N/A

Educational Testing Service (ETS)United States

August 2010

Accenture extended its contract with the ETS to continue offering BPO services in end-to-end supply chain management. 7 $160 million

Norsk Hydro ASANorway

August 2010

Accenture signed an application outsourcing contract with the client to provide support and maintenance services to two of Hydro’s SAP systems.

3 N/A

Appendix – Tables

TBR




University of North Texas System (UNTS)United States

August 2010

Selected to assist in the planning phase for development and implementation of an IT and HR/payroll shared service for UNTS across campuses and offices

Multi-year N/A

Singapore Ministry of HealthSingapore

August 2010

Accenture was awarded a contract to deploy the National Electronic Health Record system for Singapore, which is designed to improve healthcare quality and lower costs.

N/A N/A

Unique Identification Authority of India (UIDAI) India

July 2010Accenture will implement the biometric identification system, a component of the “Aadhaar” program designed to offer Indian residents a unique ID number.

2 N/A

Sun Life Assurance Company of CanadaCanada

July 2010Provide application development and management services in support of the Sun Life Financial group subsidiary’s operations in Canada

Multi-year N/A

Taxation and Customs Union Directorate GeneralBelgium

July 2010

Accenture was awarded a contract to provide IT systems management and development for the European Commission’s CUST-DEV2 program, a platform for an eCustoms system for use by 2013. Accenture will manage the legacy customs system and specifications for the new platform.

3 N/A

Statoil Norway July 2010 Statoil awarded Accenture a BPO contract to manage

Accounts Payable processes for the energy firm. 5 N/A

Appendix – Tables

TBR




2Q10AspreaUnited Kingdom

June 2010Applications outsourcing (development and management) and infrastructure outsourcing (service desk, workplace, network and telephony, and datacenter service)

8 N/A

IRSUnited States June 2010

The IRS awarded Accenture a one-year contract to create a system for online registration and renewal to improve the quality and efficiency of paid tax return preparers.

1-year base order (four 1-year options)

N/A

HenkelUnited States June 2010 Accenture will provide application management services to

Henkel’s operations in North America. 6 N/A

Hong Kong Housing AuthorityChina

June 2010Accenture will provide its services to design, develop and maintain a new enterprise resource management (ERP) system to improve the efficiency of the processes for financial management in two phases.

8 $30 million

U.S. NavyUnited States June 2010 Accenture was awarded a contract to provide financial

management services to the U.S. Navy.1-year base

order (four 1-year options)

Up to $182 million

University of MichiganUnited States

May 2010

Accenture will work with the University of Michigan on a comprehensive assessment of IT at a campus level and how it is distributed and provided across campus. They will be striving to improve interoperability of applications and achieve more efficient products, infrastructure and services.

N/A N/A

Appendix – Tables

TBR



VALUE

Media Prima BerhadMalaysia

May 2010Accenture has helped Media Prima update its legacy broadcast system with state-of-the-art technology, which has led to better time to market, higher productivity and more efficient operations.

N/A N/A

SICREDIBrazil May 2010 Accenture will provide SICREDI, a credit union in Brazil,

with IT support and systems development services. N/A N/A

Anadolu SigortaTurkey May 2010

Accenture will license, implement and maintain the Accenture Claims Components Solution (a claims management application) for the Turkish property and casualty insurer.

N/A N/A

Ministry of EducationSingapore

April 2010Accenture will update Singapore schools’ web-based administrative system by enhancing the existing business processes and providing application maintenance.

3 N/A

XL InsuranceUnited States April 2010

Implement a centralized global claims management system and update core claims-processing to improve customer service and reduce costs.

N/A N/A

Electrolux IT Solutions ABSweden

April 2010Accenture has been awarded a contract to update Electrolux's current portfolio of enterprise applications and provide application development and management services.

Multiyear N/A

Appendix – Tables

TBR




Hanwha GroupSouth Korea April 2010

Accenture will provide technical assistance (application management) to the Korean Bank. The two companies will partner to market IT solutions and services to other banks, insurers and other financial service companies throughout South Korea.

8 $80 million

Telefonica GroupArgentina

April 2010Accenture will manage the development and maintenance of applications related to consumer systems, billing and collections across 17 markets in Latin America and Europe.

N/A N/A

NordeaDenmark April 2010

An application outsourcing contract to develop and maintain applications that support the bank’s customer websites (30 websites).

5 N/A

U.S. NavyUnited States April 2010

Accenture National Security Services will provide accounting and financial management services to the Navy as part of its financial improvement program.

1 base plus 4 one-year

options

$40.6 billion base; $181.8 billion total

Appendix – Tables

TBR


Accenture’s Strategic Alliances by Client Service Business

APPLICATION INFRASTRUCTURE:Avanade BEA/OracleEMC/DocumentumMicrosoft

BUSINESS OPERATIONS:Business ObjectsCitrix SystemsComverseEpitome SystemsInterwovenManagement ControlsVignette

CUSTOMER RELATIONSHIP MANAGEMENT:Siebel Systems (part of Oracle)KXEN

DATA WAREHOUSING:Acxiom Teradata OracleInformaticaSymantec

ENTERPRISE INTEGRATION:BEA/OracleMicrosoft TIBCO webMethodsAT&T Business Services

ENTERPRISE MANAGEMENT:Oracle PeopleSoft (part of Oracle)SAPSun MicrosystemsAprimo

FINANCE MANAGEMENT AND ENTERPRISE PERFORMANCE MANAGEMENT:Cognos/IBMCallidus Software

HUMAN RESOURCE MANAGEMENT:PeopleSoft HR (part of Oracle)SAP HRSiebel Employee Relationship Management (part of Oracle)Advantage Interactive Corporation

PLATFORM:EMCHP Sun MicrosystemsCisco SystemsUnica

SUPPLY CHAIN MANAGEMENT:Ariba Aspen Technology PeopleSoft (part of Oracle)SAP

OTHER:Reuters GroupMercury/HPDaonFast Search & Transfer (FAST)SASDellGenesys

IBM Hardware and Software TechnologyIntecOpen Text Telcordia TechnologiesVendavoXign

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TBR’s Showcase of Major Accenture Alliances

COMPANY SCOPE OF PARTNERSHIP

Oracle Oracle’s Fusion Middleware was integrated into the Accenture Communications Solutions suite. The partnership targets the telecommunications industry, allowing Oracle to prepackage its solutions for telecom customers while Accenture provides support from a systems integration perspective.

SAP

• Since 2003, SAP and Accenture have been jointly developing, deploying, supporting and selling software products and services for banks and insurance companies worldwide. Initially, the joint portfolio consisted of the companies’ banking and insurance software products, which cover business functions such as insurance claims management, insurance policy administration, core banking operations and risk management.

• SAP and Accenture have assigned approximately 800 people to the combined development effort. The IT experts are located in Germany, Spain and the United States. Revenue is split according to services purchased by the customer.

Microsoft/Avanade

• Since the 2000 announcement of the Microsoft and Accenture (then Andersen Consulting) global alliance and the formation of a joint venture – Avanade – to deliver enterprise solutions on the Microsoft platform, including Windows 2000 Server, TBR believes the global alliance has been capitalizing on the unique assets of Accenture, Avanade and Microsoft.

• The alliance combined scalable enterprise software from Microsoft, Avanade’s deep Microsoft based skills ‑focused on technology infrastructure optimization and application development and integration, and the industry-specific business and technology expertise of Accenture consultants.

• Accenture Customer Relationship Management Solutions for Siebel on Microsoft.NET is a good example of the joint solutions the alliance has been offering the marketplace. The solutions take advantage of the Microsoft platform’s scalability and are efficient for Siebel applications. CRM solutions also benefit from the lower total cost of ownership provided by reduced hardware acquisition fees and overall lower operating costs.

Appendix – Tables

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Accenture’s Org. StructureAppendix – Tables


TBR

Pamela J. CraigChief Financial Officer

Kevin M. CampbellGroup Chief Executive

Technology

Sander van’t Noordende Group Chief Executive

Management Consulting &Global Markets

GROWTH PLATFORMS

Martin I. ColeGroup Chief Executive

Communications

Jean-Marc OllagnierGroup Chief Executive

Resources

Gianfransco CasatiGroup Chief Executive

Products

Stephen J. Rohleder Group Chief Executive

Health & Public Service

OPERATING GROUPS

Richard LumbGroup Chief Executive

Financial Services

Johan (Jo) Deblaere Chief Operating Officer

Shawn Collinson Chief Strategy & Corporate

Development Officer

Pierre NantermeChief Executive Officer

Roxanne TaylorChief Marketing & Communications

Officer

Julie Spellman SweetGeneral Counsel, Secretary& Chief Compliance Officer

.Jill B. Smart

Chief Human Resources Officer

CORPORATE FUNCTIONS

K.C. McClureInvestor RelationsManaging Director

Thomas PikeChief Risk Officer

Adrian LajthaChief Leadership Officer

Basilio RuedaGlobal Delivery Network

Senior Managing Director

David C. ThomlinsonSr. Managing Director

Geographic Strategy & Operations

GEOGRAPHIES AND GLOBAL DELIVERY

Harsh Manglik Managing Director

IndiaMichael J. Salvino

Group Chief Executive BPO Robert N. FrerichsGroup Chief Executive

North America

Donald J. RippertChief Technology Officer &

Managing Director of Technology

Oliver Benzecry Managing Director

U.K. & Ireland

TBR


Physical Infrastructure and Worldwide Locations

ACCENTURE’S LOCATIONS

AMERICAS

Buenos Aires, ArgentinaCuritiba, BrazilNiagara Region, CanadaToronto, Canada Bogotá, Colombia

Rio de Janeiro, BrazilCalgary, CanadaMississauga, CanadaToronto West, CanadaMexico City, Mexico

Sao Paulo, BrazilEdmonton, CanadaMontreal, CanadaVancouver, CanadaMonterrey, Mexico

Brasilia, BrazilFredericton, CanadaOttawa, CanadaSantiago, ChileCaracas, Venezuela

THE UNITED STATES

PhoenixSan FranciscoWilmington, Del.Tampa Bay/ St. Petersburg, Fla.Kansas City, Kan.Reston, Va.PittsburgFlorham Park, N.J.Raleigh, N.C.Philadelphia

Los AngelesSan Jose, Calif.Walnut Creek, Calif.Washington D.C.AtlantaBostonHoustonDetroitAlbany, N.Y.CincinnatiDallas

Sacramento, Calif.DenverMiamiChicagoMilwaukeeIrving, TexasMinneapolisNew York CityClevelandMurray Hill, N.J.

San DiegoHartford, Conn.Tallahassee, Fla.IndianapolisSeattleAustin, TexasSt. LouisCharlotte, N.C.Columbus, OhioSan Antonio

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Physical Infrastructure and Worldwide Locations

ACCENTURE’S LOCATIONS

EMEA

Wien, AustriaHelsinki, FinlandFrankfurt, GermanyAthens, GreeceHerzelia, IsraelLuxembourgBergen, NorwayWarsaw, PolandMoscow, RussiaJohannesburg, South AfricaMadrid, SpainStockholm, SwedenLondon, United Kingdom

Brussels, BelgiumParis, FranceBerlin, GermanyBudapest, HungaryMilan, ItalyCasablanca, MoroccoLillehammer, NorwayLisbon, PortugalRiyadh, Saudi ArabiaPretoria, South AfricaSevilla, SpainZurich, SwitzerlandAberdeen, United KingdomManchester, United Kingdom

Prague, Czech RepublicLyon, FranceDusseldorf, GermanyDublin, IrelandRome, ItalyAmsterdam, The NetherlandsOslo, NorwayMoreira da Maia, PortugalBratislava, Slovak RepublicBarcelona, SpainGoteborg, SwedenIstanbul, TurkeyEdinburgh, United KingdomNewcastle, United Kingdom

Copenhagen, DenmarkSophia Antipolis, FranceMuenchen, GermanyBelfast, IrelandTurin, ItalyLagos, NigeriaStavanger, NorwayBucharest, RomaniaCape Town, South AfricaBilbao, SpainMalmo, SwedenAbu Dhabi, The United Arab Emirates

ASIA PACIFIC

Brisbane, AustraliaSydney, AustraliaGuangzhou, ChinaChennai, IndiaNew Delhi, IndiaTokyo, JapanSeoul, South Korea

Canberra, AustraliaWollongong, AustraliaHong Kong, ChinaGurgaon, IndiaNoida, IndiaKuala Lumpur, MalaysiaTaipei, Taiwan

Melbourne, AustraliaBeijing, ChinaShanghai, ChinaHyderabad, IndiaPune, IndiaManila, The PhilippinesBangkok, Thailand

Perth, AustraliaDalian, ChinaBangalore, IndiaMumbai, IndiaJakarta, IndonesiaSingapore, Singapore

Appendix – Tables

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TBR 1Q11 Accenture Report

Technology

Transcript of TBR 1Q11 Accenture Report