Major changes in Digia’s operating environment in 2011

  • Interest in opportunities provided by multichannel services increased
  • Cautiousness related to the global economy situation increased towards the end of the year
  • Changes in the mobile sector forced Digia to readjust, but also spurred growth and innovation

­Many customer segments faced major changes in 2011. The mobile sector experienced the most fundamental shift: fiercer competition between technology platforms and strategic choices by Digia customers.

The weakening economic outlook led to uncertainty towards the end of the year. Demand for information system solutions was high, almost year-round. However, decision-making in Finland began to reflect the uncertainty in the Eurozone and global market.

Demand accelerated for multichannel solutions and services. With markets waking up to the clear benefits of mobile operations, a roadmap started to form for the overall development of mobility. Digia believes that 2012 will be a breakthrough year. Multichannel solutions, independent of time and place, will yield efficiency, productivity and good customer experiences.

Use of financial sector services, regardless of time and place

In 2011, Digia strengthened its position in back-office systems for asset managers and small and medium-sized banks. Digia extended its banking system and online banking functionality, leading to higher demand. As smartphones and tablets proliferate, Digia has also expanded its mobile solution range for the financial sector.

Radical changes in the public sector: serving more people, with fewer resources

In public sector system projects, competition intensified in 2011. Projects aimed to provide services to more public sector clients, but at lower cost. Some public sector services were digitalised, for online self-service. The Finnish public sector also relied on tailored software suitable for their solutions. In some sectors, these were even internationally compatible systems, which is a significant change.

Competition for consumer loyalty, and improved customer service, intensified in retail

In 2011, there was a growing need to manage value chains using real-time data. Demand grew for information systems that give timely access to labour and improve in-store efficiency. These systems optimise time use, freeing up time for developing the in-store customer experience.

Digia responded to retail sector needs with the Digia Smart Store concept. This combines retail chain management and store solutions into a package covering the key needs of general and specialist retailers. An increased interest in the mobile aspects of Digia Smart Store developed during the year. Mobility and real-time data, independent of time and place, enable retail professionals to focus on their work and customers.

Radical changes in mobile sector create new opportunities for Digia

In the mobile sector, Digia is known for its strong expertise in chosen technology platforms. Excellent knowledge and closeness to the customer constitute the strong foundations of Digia’s business. In early 2011, a crucial customer announced a fundamental strategic change. This had a permanent negative impact on demand for Digia’s product creation services.

In certain technology platforms, changes were extremely swift. The major effects of this were felt by Digia’s business in 2011. To adjust to this major shift in the market, Digia had to reduce its capacity in Mobile Solutions.

Digia’s strengths include outstanding technological expertise and the ability to acquire knowledge in new technologies that respond to businesses’ demand. To better serve its clients, Digia is channelling its mobile competence into new areas. The company has a very broad customer base in enterprise solutions. Digia also understands the multichannel needs of business and consumer services, in various sectors. Combined with mobile technology competence, this understanding and expertise provides Digia with unique opportunities to build new, growing business in the rapidly developing mobile market.

Business environment 2011 in other customer segments and internationally

Key forces for change in other customer segments included an increasing need for efficient workforce and mobile workforce management. Another was demand for the creation of good, differentiating customer experiences.

Internationally the year 2011 can be described as a year of breakthroughs. In Russia the company expanded its clientele especially in ERP systems. Russian companies make up a significant amount of new customers.