A new Deltek report projects contractor-addressable spending on federal enterprise business systems to reach $10.6 billion in fiscal year 2015 as agencies seek to consolidate and standardize their applications.
Deltek said Friday the study seeks to provide contractors with an understanding of agency spending trends, consolidation and modernization goals, and strategies.
It noted that government agencies have been resorting to piecemeal upgrades in order to meet federal-mandated milestones on asset control, finance management, transparency and efficiency.
“Due to budget constraints, many agencies have approached business system modernization incrementally and focused on core enterprise functionality,” says Angie Petty, research analyst at Deltek.
According to the report, the agencies’ challenge is to carry out their business systems upgrades beyond fiscal 2015 while incorporating cloud computing, advanced analytics and mobility
The report also finds a growing demand for tools to improve performance, management, training, automation, integration and analytics as the number of federal employees with background in accounting, personnel management, contracting and supply chain management remains flat relative to the overall workforce.