FUTURE SYSTEMSThriving in a world of constant changeWelcome to the era of boundaryless, adaptable, radically human systems.When we envisioned the Future of Applications back in 2014,1we defined three groundbreaking strategies for applications in a world in which technology-driven disruption had become the norm.Centered around the concepts of liquid, intelligent, and connected applications, we predicted these strategies would transform core applications and power the high-velocity, software-driven companies of today. We now see these strategies adopted widely. With liquid applications, companies are assembling reusable components and modular architectures with a cloud-first mindset. Intelligent applications are maximizing business data through machine learning and analytics. And connected applications are providing the technological foundation for new kinds of business, partner, and customer interactions.The result? Companies have implemented new enterprise architectures and approaches to improve agility, manage technical debt, and harness technology innovation. And theyve seen their applications spur new growth, shape new markets, and reach new customers.Today, the ground is shifting once more. Machine learning and other forms of artificial intelligence (AI) are rapidly being operationalized, powered by the vast amounts of data now available to organizations. Computing power is ubiquitous and seemingly limitless. The Internet of Things is gaining ever greater traction across industries. Boundaries between applications and infrastructure are blurring to the point theyre now indistinguishable. Immersive technologies are creating new possibilities for customers and employees alike. And data is being shared within and between organizations with ever greater levels of trust and security.WELCOME2These profound changes create new opportunities and new challenges for todays companies. As they continue to transform the core, how can they unlock the value still trapped in their organizations by core systems and processes? How can they build bridges from core systems to new systems? And how can they best scale innovations with the thriving systems necessary for success in a world of constant change? First and foremost, by recognizing how todays systems are already evolving, becoming ever more pervasive and embedded in businesses and daily lives. This seismic shift is both technological and cultural. The style of IT as we know it is simply not suited to constant change. It requires new ways of thinking and working that are much more experimental, agile, continuous, and resilient. The reality is that applications, infrastructure, and employees are no longer discrete, standalone entities, isolated from the wider enterprise. Companies need to stop thinking of them that way. Instead, they must see them as components of complex, interconnected, living systems of technologies, applications, and people.As they continuously morph to meet new market opportunities and challenges, these systems will create new and interesting connections between businesses and consumers, between suppliers and competitors, and between entire communities. Thats why today were talking about the future of systems, rather than applications. Success in this future world will be driven by companies that can connect core systems with the new in a seamless fashion through digital decouplingand scale the new with systems that are boundaryless, adaptable, and radically human. In this Point of View we describe these characteristics of thriving systems in detail, and how companies can use them to outperform in a world where nothing stands still. These systems call for new talent, and new holistic approachesnot just new technology. The relentless pace of change we describe can sometimes seem dauntingfor IT and business leaders and citizen users alike. Yet it is also full of possibility. Join us as we explore the characteristics of thriving future systems.Bhaskar Ghosh Group Chief Executive Accenture Technology ServicesPaul Daugherty Chief Technology & Innovation OfficerWELCOME3WELCOMEImagine a world in which living systems of super-smart applications, data, and infrastructure are anywhere and everywhere. Liberated from static IT stacks and legacy data centers, they use flexible enterprise architectures to give us what we need when and where we need it, adapting the way we adapt, and working the way we work. Engineered by a broad emerging talent force, these systems are created by us for us. These are future systems. Applications are evolving into systems, merging with data and infrastructure, moving outside the boundaries of the enterprise, and embedding themselves deeply into our daily lives. Companies must be ready to respond.Its an evolution which is already underway, perhaps without us even realizing it. Applications, data, and infrastructure are merging into systems, blurring the boundaries of the conventional IT stack. Those systems are embedding themselves into everything, expanding their role throughout the enterprise, into the business ecosystem and beyond.FUTURE SYSTEMSINTRODUCING4THE CHALLENGES OF ACCELERATED CHANGE As these future systems evolve, companies will face significant challenges in reaping the benefits. 5fuel tomorrows growth is a workforce tied to the technologies of yesterday. Already, 40 percent of employers report talent shortages.4And with significant upshifts expected in skill requirements, that gap is likely to increasedramatically. In fact, by 2020, more than a third of the desired skillsets of most jobs will be comprised of skills not yet considered crucial today.597%of a companys decisions are made using data that its own managers think is of unacceptable quality.Or consider the limitations of existing technologies. For example, business leaders know that strategic partnerships will be increasingly critical to future growth. Eighty-five percent of business and IT executives surveyed agree the strength and impact of ecosystem relationships will rest on how well an organizations technology can support the partnerships. Yet many are restricted by technology that wasnt designed for the sheer scale of connections a business needs to make today.Data, too, can be a constraint. A recent study estimated that 97 percent of a companys decisions are made using data that its own managers think is of unacceptable quality.3This extraordinary lack of confidence in data veracity will have ever more serious consequences. In particular, the ability of companies to use AI effectively will be severely hindered. But perhaps the biggest obstacle to scaling the innovations that will The breakneck pace of change continues to cause growing pains, particularly for organizations which are held back by patchwork ways of working and applications built for another era. Even those who have embraced the need to make their core systems future ready face a fundamental challenge of bridging them with the new systems that allow true innovation at scale.The risk of not meeting these challenges? Collaboration is slower and scaling innovation is that much harder. Consider that, “through 2020, more than 75 percent of organizations will have to maintain multiple different governance, delivery, and operating models to meet the changing needs of digital business.”2Thats simply not a sustainable way of running a company. CHALLENGES6So how can organizations overcome these challenges and seize the coming opportunities?Only by understanding the characteristics of thriving future systemsboundaryless, adaptable, and radically humancan they scale tomorrows innovations and maximize value in an era of constant change.SCALING THE NEW7INTRODUCTIONThe conventional IT stack has reached its practical limit for fueling business innovation. Now, systems are breaking down barrierswithin the IT stack, between companies, and between humans and machinesgiving businesses near-infinite opportunities to improve how they operate. Companies must design for a world of constant disruption by decoupling the entire IT stack and moving to dynamic, “everything-as-code” systems. They must also ensure interoperability through a uniform approach to data, security, and governance, while leveraging a blend of cloud and edge computing.BOUNDARYLESS SYSTEMS1To minimize friction and scale innovation, companies need systems that seamlessly adapt to business and technology change. Advances in trusted data and intelligent technologies are powering systems that can learn, improve, and adapt by themselves. But this is not a vision of a world without peoplehumans are an equally critical component of adaptable systems, collaborating with machines to make reliable decisions and take confident action exponentially faster. Making systems adaptable requires flexible, living architectures, new ways to protect and nurture valuable data, and responsible approaches to AI.ADAPTABLE SYSTEMS2Technology interfaces are becoming invisible. Elegant and simple experiences are the new normal. Finally, machines can adapt to humans, rather than the other way around. Natural language processing, computer vision, voice recognition, and machine learning are equipping systems with the ability to talk, listen, see, and understand the way people do. Companies can now reimagine systems to empower new humanmachine relationships with natural conversation, simple touches, and abundant personalization. To do so requires a culture of end-to-end ownership, exploiting human-centric development processes and a frontier spirit of experimentation.RADICALLY HUMAN SYSTEMS38INTRODUCTIONOn this journey to future systems, conventional thinking about how we build and deploy technology and embed it in our businesses and our daily lives must be upended. But, just as important, we must be prepared to reimagine our talent strategies for a world that will look very different from today.Now is the time for every company to start scaling innovation in the new by building the expansive, flexible, human-centric systems necessary for future success. PREPARE TOTHRIVE9The next new normal for executing business strategies with technologyBOUNDARYLESS SYSTEMS110