The Challenge: Billions Spent on Inefficient Systems
Currently, many federal agencies depend on legacy systems that no longer meet operational needs. Personnel face significant challenges managing the outdated platforms, which can result in inaccurate financial reporting and inefficient use of taxpayer funds. Modernizing these systems is critical to improving accountability and efficiency.¹

The commercial sector faces similar challenges. As stated in Deloitte Tech Trends 2024, “In 2022, the estimated cost of technical debt in just the United States had grown to $1.5 trillion, despite chief information officers spending 10% to 20% of their budgets resolving issues related to outdated systems.”² Additionally, up to 70% of leaders in the technology space think technical debt is a hindrance to innovation for their organization, and it is the primary cause of productivity loss.³ During mergers, acquisitions, and periods of rapid growth, these challenges become even more acute.

In addition to the challenges created by legacy technology, inefficiencies are exacerbated by organizational and human element as well. In large enterprises, both Federal and Commercial, siloed systems and data are a symptom of fragmented accountability and oversight. The solution is a data-first approach that enables the organization to reimagine its work, infuse AI and rationalize existing systems, and build integrated leadership insights and operational accountability.

The Solution: An Enterprise Operating System

Rather than pursuing the traditional "rip and replace" strategy, the Deloitte-Palantir collaboration introduces a fundamentally different approach: implementing an "Enterprise Operating System" comprised of Deloitte tools, accelerators, and industry expertise deployed on Palantir Foundry and AIP to unlock the potential of back-office operational data and processes. Fueled by Palantir’s open APIs, which connect nearly every industry-standard system with the signature Ontology system, the result is rapid data integration and outcome-oriented development of AI workflows. This extends across existing systems and identifies opportunities for data harmonization and enrichment without the need for expensive customizations to underlying COTS solutions.

"At Palantir, we work with organizations on their most complex, existential problems," said Akshay Krishnaswamy, Palantir’s Chief Architect. "Our collaboration with Deloitte exemplifies our shared commitment to solving our customer’s most critical challenges. Our joint efforts to deploy enterprise operating systems will break down back-office silos and accelerate value generation for the enterprise."

Deloitte’s experience in both government and the private sector will enhance the reach of Palantir’s leading technology and engineering capabilities. Deloitte will deploy its industry tailored solutions on Palantir’s core operating system to accelerate enterprise value generation for their joint clients. This includes Deloitte’s Ascend™ for Packaged Technologies, a suite of GenAI enabled delivery transformation solutions designed to help clients reimagine their business, accelerate implementations and maximize value of technology investments. Deloitte will also deploy its suite of Zora AI™ agents using Palantir’s Foundry and AIP platforms to optimize back-office functions, including transactions processing, data analysis, scenario modeling and decision-making support.

This Enterprise Operating System solution is designed to tackle a myriad of applications within an organization, including enhancing AI-first finance operations, smart supply chain practices, enterprise AI delivery, HR consolidation, and accelerated ERP modernization.

Diving Deeper: Redefining ERP Modernization

Perhaps most importantly, this collaboration challenges the traditional "Go-Live is the Goal" mentality that has dominated ERP implementations. Instead of waiting months or years for value realization, the Enterprise Operating System approach delivers quick and incremental value throughout the modernization process that augments the advances the organization is making along the way.

A Palantir and Deloitte collaboration on a recent data-first ERP modernization effort improved end-to-end business process visibility, with the potential to save many thousands of person-hours through the duration of the ERP implementation. Palantir’s technology and Deloitte’s ERP domain expertise provide the interlocking keys to this efficiency. 

As another example, with Deloitte’s Ascend tech-enabled transformation, Gen AI Autonomous data solution acts as a linchpin for consolidated data model establishment, data quality remediations, and the foundation for a resilient and agile digital enterprise. Beyond merely expediting the data migration timeline, the application plays a pivotal role in mitigating the risks associated with human-induced errors, ensuring a transformation of data that is both accurate and reliable with innate ability to comprehend the intricacies of a ERP’s data architecture, autonomously adjusting to dynamic changes and evolving requirements. The solution enables self-healing data abilities during the data migration cycles.

By systematically addressing data silos, automating workflows, and delivering insights at scale, organizations can achieve continuous value delivery throughout their transformation journey. This reimagination of modernization efforts enables organizations to transcend beyond technology into true transformation.

The Future: Back-Office Transformation

This collaboration represents more than just another technology partnership: it is a fundamental reimagining of how back-office operations can function in the modern enterprise. By positioning Palantir’s operating system, infused with Deloitte’s solutions and expertise, as a data silo-buster and workflow orchestrator, organizations can integrate custom processes, applications, and data analytics without modifying underlying systems.

For many organizations, this approach may amplify the impact of existing ERP solution investments, with Palantir acting as an orchestration layer for disparate systems in an adaptive, operations-oriented manner – even removing the need for a modernization overhaul.

The message is clear: transformation doesn't have to wait for "go-live." With Deloitte’s industry tailored solutions deployed on Palantir’s Foundry and AIP platforms, organizations can reimagine their work, infuse AI while rationalizing existing technology, and build integrated leadership insights and operational accountability.

As organizations across industries grapple with the imperative to modernize their operations, the Deloitte-Palantir collaboration offers a new path forward—one that delivers immediate and compounding value, turning the challenge of back-office transformation into a competitive advantage.