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

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.

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