Tieto’s vision of data being the biggest driver of value creation for individuals, societies and economies provides significant opportunities for Tieto and its customers alike. Tieto’s strategic ambition to become customers' first choice in their business renewal provides a solid foundation for innovation and growth. During 2017, we observed an increased intensity of duality, ie. the two-fold agenda where organizations seek higher efficiencies in current operations, while simultaneously incubating new business models.
In 2017, Tieto progressed across all of the three core strategic choices.
- Services to accelerate customer value
- Increased investments into industry solutions to accelerate the software product roadmaps especially in Lifecare and Payments area. Overall healthy growth of 5%, above market.
- Continued investments and progress made with data-driven businesses, with good innovation pipeline and promising use cases in healthcare and employee experience at workplace. Tieto Empathic Building solution launched to improve experience and collaboration of employees and customers.
- Industrialization of Technology Services and Modernization continued during the year, resulting in solid growth in application services while price erosion continued in customized infrastructure services. Competitiveness of Tieto cloud services continued with growth in line with the market. There is strong interest in shifting from current service environments to Tieto’s OneCloud solution launched in early 2017. Tieto continues to invest in multi-cloud services.
- Expansion of Product Development Services continued, with new customers across automotive and consumer devices. Solid performance from the business both from growth and profitability perspectives.
- Nordic leadership and international expansion
- Tieto achieved solid growth in Sweden during the year, and consistent growth above market average in all Nordic countries. Overall, significant opportunities are recognized in the consulting-led market. Distinct actions were undertaken to drive the Nordic market share, such as acquisition of Avega, to drive growth in consulting services in Sweden. Tieto is well positioned to continue growth faster than the market in all Nordic markets.
- Good progress with international expansion based on selective software products in Transaction banking and Oil & Gas businesses.
- Openness and co-innovation in the core of our culture
- Multiple co-innovation initiatives including hackathons with customers ongoing
- Expanding the co-creation ecosystem, with for example ForestHub, participation in Connected Industry, One Sea – Autonomous Maritime Ecosystem etc.
In 2018, we continue to support our customers in their two-fold agenda; the need to drive efficiency and new business innovation in parallel. We help our customers’ renewal through our consultative capabilities and proven end-to-end industry solutions. We will continue driving scale and industrialization of our outsourcing services. Through long-term commitment on employee experience and continued investments into software and services, Tieto intends to proceed towards our ambition to become “Customer’s first choice for business renewal”.
Read more about Tieto’s highlights from 2017.