The table stakes of competitiveness have changed thanks to digital. It used to be enough for a business to flex its competitive muscle on one or two of three areas: growth, profitability or sustainability and trust. Executing with equal strength against all three was difficult and unnecessary. But now, shareholders and stakeholders expect companies to be growth led and agile with their cost base, with a commitment to sustainability and trust. Although the game has clearly changed, the need to understand which companies hold the best cards hasn’t. That’s why Accenture Strategy developed a new gauge—the Competitive Agility Index—to discern tomorrow’s leaders.

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2. Shareholders and stakeholders expect winning
companies to be growth-led, nimble and agile with
their cost base, with a commitment to sustainability
and trust.
Winners in the future will possess an integrated
strategy, featuring equal emphasis on growth,
profitability and sustainability and trust.
Although the field has clearly changed, the need
for understanding which companies are on the
inside track hasn’t.
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DISRUPTION IS
WHIPSAWING INDUSTRIES

3. MEASURING THE PAST
Traditional gauges are still favored
ways to measure performance.
But these traditional measurements
fail to capture the hallmarks of future
competitiveness.
MARKETCAP
TOTALSHAREHOLDER RETURN (TSR)
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4. THE REAL QUESTION IS,
“WHICH COMPANIES
ARE POISED TO WIN
TOMORROW?”
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5. MEASURING FUTURE
COMPETITIVENESS
ACROSS 9
INDUSTRIES
FROM
OVER350
COMPANIES
ANALYZED
5,200DATA
POINTS
The Competitive Agility Index is a first-of-its-kind measurement that
paints a comprehensive picture of future competitiveness. The index
looks at three areas:
GROWTH, PROFITABILITY, AND SUSTAINABILITY AND TRUST
TO CREATE THIS INDEX, ACCENTURE STRATEGY
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6. GLIMPSING THE FUTURE
Competitive Agility Index leaders were
compared to leaders using traditional
measures.
Companies on top of the market cap and total
shareholder return (TSR) lists rank in the
middle of the pack—at best—on our index.
Leaders in
total
shareholder
return
dropped on
average
21positions
Leaders in
market cap
droppedon
average
8positions
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7. FUTURE FORWARD
Companies that focus on growth, profitability, and sustainability
and trust simultaneously have the potential to yield far greater
results on revenue improvement and EBITDA.
HOW GREAT?
A $30 billionautomotive and industrial company
that improves its CAI score by one point, could see
its revenues rise 3 percent or almost $1 billion.
In the insurance sector, a one-point
improvementin CAI could generate a
6 percent improvement in EBITDA.
In energy, a one-point improvement in CAI
could generate a 4.7 percent improvement
in revenue growth.
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8. THE CAI REVEALED FOUR BROAD
CATEGORIES OF COMPANIES:
STRIVING TO SURVIVE
28% OFCOMPANIES
These companies need aggressive interventions
to urgently improve their performance. While the
market has correctly valued companies in this
quadrant, they must create an interdependent
strategy and start by taking action against the
pillar which will deliver the fastest results.
Copyright © 2017 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
OVER-ESTIMATED
22% OFCOMPANIES
These are companies whose value is over-estimated
by the market and could be at risk. Companies in
this quadrant need to identify in which pillar they
are underperforming so they can quickly accelerate
their journey to a fully integrated strategy.

9. THE CAI REVEALED FOUR BROAD
CATEGORIES OF COMPANIES:
UNDER-ESTIMATED
21% OF COMPANIES
These companies have adopted integrated
strategies, but their value and competitive
positioning haven’t been conveyed to the
marketplace. They need to communicate to the
market their initiatives across the pillars of growth,
profitability, and sustainability and trust, and gain
the reputation in the market they deserve.
Copyright © 2017 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
DISRUPTIVE COMPETITORS
26% OFCOMPANIES
These leading companies are adopters
and dominate their respective markets.
To maintain their lead, they must
continuously reinvent or reposition
themselves using an integrated growth,
profitability and sustainability strategy.

10. FIT FOR THE FUTURE
erved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
Companies fit for the future simultaneously
balance growth, profitability, sustainability and
trust. And are rewarded for each point they climb
up the Competitive Agility Index.
THE QUESTION—OR
THE CHALLENGE—IS
WHERE WOULDYOUR
COMPANY RANK ON THE
COMPETITIVE AGILITY INDEX?
Copyright © 2017 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.

11. Copyright © 2017 Accenture All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture.
LEARN MORE
Download the full report at: accenture.com/formula-won
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