Tietoevry

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Tietoevry Corporation
Native name
Tietoevry Oyj
Company type Julkinen osakeyhtiö
Nasdaq Helsinki:  TIETO
Nasdaq Stockholm:  TIETOS
Industry IT services, IT consulting
Founded1968;56 years ago (1968)
Headquarters Espoo, Finland
Key people
Tomas Franzén (Chairman), Kimmo Alkio (President and CEO)
ServicesIT, business consulting and outsourcing services
RevenueIncrease2.svg €2.786 billion (2020) [1]
Increase2.svg €146.7 million (2020) [1]
Increase2.svg €94.5 million (2020) [1]
Total assets Decrease2.svg €3.604 billion (end 2020) [1]
Total equity Decrease2.svg €1626.2 million (end 2020) [1]
Number of employees
Decrease2.svg 23,632 (FTE, end 2020) [1]
Website www.tietoevry.com
Tietoevry global headquarters in Keilaniemi, Espoo, Finland, since 2016. Keilalahdentie 2-4, Espoo. Nokia HQ.jpg
Tietoevry global headquarters in Keilaniemi, Espoo, Finland, since 2016. Keilalahdentie 2-4, Espoo.

Tietoevry Corporation (natively Tietoevry Oyj, Tieto prior to June 2019) is a Finnish IT software and service company providing IT and product engineering services. Tietoevry is domiciled in Espoo, Finland, and the company's shares are listed on the NASDAQ OMX Helsinki, NASDAQ OMX Stockholm and Oslo Stock Exchange. [2] Tietoevry has approximately 24,000 employees across 20 countries, and has customers in the energy, forestry, banking, healthcare and public sectors.

Contents

In June 2019, Tieto paid EUR 1.2 billion for the acquisition of similar-sized IT company EVRY.[ citation needed ] The intention was to expand on the Nordic market. The new company would be named TietoEVRY, have over 24.000 employees and generate a projected revenue of over EUR 3 billion for the fiscal year 2020. [3] [4]

At the end of 2015, the number of full-time employees was over 13,000 in more than 20 countries. 28% are located in Finland, 19% in Sweden, 17% in India, 15% in Czech Republic, 5% in Latvia, and the rest spread across other countries. [5] 28% of the employees worldwide are women. Net sales by country was Finland 47%, Sweden 36%, and International 17%. As of 2014, 42.7% of Tieto's shareholders are Finnish and 3% are Swedish and 1% Bulgarian.

History

Finland and corporate origins

Former company logo TietoEnator.svg
Former company logo

Tieto started its business operations in Espoo, Finland, in 1968 under the name Tietotehdas Oy. During the company's first years, it developed and maintained IT systems mainly for the Union Bank of Finland (Suomen Yhdyspankki, today Nordea), its customers and a few forestry companies. [6]

The customer base of the company grew during the 1970s, when mini-computers were introduced alongside the existing mainframe computers. Besides mainframe computer services and software, the development of IT systems was also central to the operations of Tietotehdas. Customers represented several industries and operations were organized according to these verticals. During the 1990s, the company experienced rapid growth through a number of acquisitions, mergers and strategic alliances. The company's name was changed from Tietotehdas to TT Tieto in 1995 and Tieto in 1998. In 1996, the company strengthened its exposure in the telecom sector considerably through the acquisition of Avancer. In 1999, Tieto and the Swedish Enator corporation merged to form TietoEnator. [6]

New corporate brand and name in 2008

On 1 December 2008, the company re-launched the corporate brand and marketing name Tieto (which means knowledge in Finnish). The official registered name became Tieto Corporation, and the corporation is led from its Helsinki headquarters. Starting from year 2009, Tieto went with an aggressive strategy of offshore production, reaching up to the end of the decade. [7] The President and CEO of Tieto is Kimmo Alkio, as of November 2011. [8]

Kimmo Alkio, President and CEO of TietoEVRY Corporation since 2011 Kimmo Alkio 2.jpg
Kimmo Alkio, President and CEO of TietoEVRY Corporation since 2011

2014 to present

In June 2019, Tieto paid EUR 1.2 billion for the acquisition of similar-sized IT company EVRY to expand into the Nordic market.[ citation needed ] Tieto subsequently rebranded as TietoEVRY.

In December 2015, Tieto signed an agreement to acquire Smilehouse, the largest Finnish solution provider of multichannel commerce with operations primarily in Finland and Sweden. The acquisition was made to strengthen Tieto's position as one of the leading Nordic players in digital Customer Experience Management and to support the company's aim to accelerate growth in this market. Before the acquisition, Smilehouse's annual sales amounted to approximately EUR 10 million. Smilehouse was consolidated into Tieto on 1 December 2015. [9] [10]

In November 2015, Tieto acquired Imano AB, a Swedish consulting company offering consulting and digitalization services to paper and forestry industries. The acquisition was made to support Tieto's objective of becoming the largest IT services provider in the paper and forestry industries in Sweden and Norway. The company's revenue in 2014 was EUR 7.1 million. [11] [12]

In June 2015, Tieto signed an agreement to acquire Software Innovation, a software company in the Enterprise Content Management (ECM) business in the Nordic countries. The aim of the acquisition was to increase Tieto's capabilities in enterprise content management across the Nordic countries. In 2014, Software Innovation's net sales amounted to approximately EUR 41 million with an operating margin (EBIT) of 12.5%. In August 2015, The Norwegian Competition Authority approved the acquisition. [13] [14]

In December 2015, Tieto announced the relocation of its headquarters in Keilaniemi, Espoo, Finland, in space originally built for Nokia and later occupied by Microsoft Mobile. The office spaces in Keilaniemi are designed for flexible ways of working, with open spaces, co-creative areas and innovation hubs. The move to Keilaniemi is planned to take place in stages, starting in the fourth quarter of 2016; the move has been ongoing since April 2017. [15] Since Tieto's rental agreement in Kilo, Espoo, ends in December 2016, the company expects that the move will have both logistical and financial benefits. [16] [17]

Products, services and expertise

Oil and gas industry

Energy Components

Energy Components (EC) is a hydrocarbon accounting software product used to allocate units of aliquots of produced hydrocarbons back to its origination based on their current disposition like a temporary storage tank or a sales point. It holds accounts for oil and gas ownership for the hydrocarbons based on the production field equity share of every single partner company. The product monitors hydrocarbons from the start of movements in the production process following the streams through transportation, storages and sales. Benefits of the EC product includes oil and gas production scheduling and petroleum reservoir management, giving transparent and auditable accounts, it reports production data to regulatory authorities and partners, counteracting potential for disputes between partners and with governments. [18] Tieto is providing services for planning, design, customizations and configuration of product installations, and also gives lifecycle support. Customers share their experiences and maintains common interests through EC User Forum. In April 2012, more than 100 customer representatives from more than 20 countries participated in the annual gathering. [19]

The product has origins in the Prosty system, developed internally at Statoil, which Statoil conveyed to Tieto for commercialization. [20] Competitors include Field Operations & Production Accounting solutions from Merrick Systems, Inc., P2 Energy Solutions, EnergySys and software from WellPoint Systems, Avocet from Schlumberger. [18]

Energy Components is also the publicly known naming on the Tieto Norway entity [21] that delivers the EC and PTS/DaWinci products and related services in partnership with the breakaway company Hytracc Consulting.

DaWinci

DaWinci is a Logistics Management Software that caters for Planning, Transportation Management, Personnel Logistics, Cargo Logistics, POB & Asset Management and KPI & Reporting. DaWinci helps companies in the energy industry to schedule, execute and account for the personnel and cargo transportation between ports, base, field sites, rigs and other locations where crew and cargo need to be mobilized in connection with operations such as in the oil and gas industry. Transportation type may include inter field shuttles. Ports may be land-based heliports. Operational locations may be any type of offshore platform, vessel, FPSO, or onshore plant. The product tracks personnel movements and assist platform management at offshore locations in administering the emergency preparedness, the accommodation units and supports the lifeboat allocation and muster drilling. [22]

DaWinci offers publicly displaying of schedules and itineraries, self-service bookings and check-in for end-users. [23] [24] [25]

Benefits of the product includes updated Personnel On Board information, optimized helicopter utilizations, cost allocation between user companies on shared flights, and adherence to regulatory emergency preparedness functions.

The DaWinci product origins from a system developed as a joint venture between Statoil and Hydro Oil & Gas that Tieto Norway took over in an acquisition of the company DaWinci Services AS in 2002. [26] Competitors include Collabro's Vantage POB, [27] Asset Integrity Personnel On Board (POB), [28] and the Logistics Management System (LMS). [29]

Industry expertise

Specific expertise areas offered to customer services are within Banking and insurance; Telecom, automotive and media; Healthcare & welfare; Forest, Energy, Manufacturing; Retail and logistics; Public; ICT operation management.

International operations

Currently, Tieto operates in more than 20 countries, with Finland, Norway and Sweden as the main markets. The company's major delivery centres are located in the Czech Republic, Poland, India and China. Tieto also has operations in the Baltics (Estonia, Latvia, Lithuania), Canada, Denmark, Germany, Great Britain, Malaysia, the Netherlands and the United States. [30]

Tieto Norway

Tieto operates in Norway as the subsidiary Tieto Norway AS. [31] The business in Norway was developed through a series of acquisitions, starting in 1989 when Enator AB acquired the Norwegian IT consulting company ISI AS. [32]

Other significant acquisitions were Ementor Financial Systems in February 2002, [33] followed by DaWinci Services AS in December of that year. [26] The latter acquisition provided control over the offshore Personnel Transportation & Tracking Solution, giving Tieto Norway a 100% market share of systems for operating the Norwegian Continental Shelf personnel movements. [22]

In 2010, there was a major demerger by a group of Tieto Norway employees that spun off the company Hytracc Consulting. [34] [35] The new company has established partner offices in the vicinity of the Tieto's offices, hence both companies provide services for shared customers of the Tieto Energy Components system. [36]

Lawsuit claims in Norway 2007

In 2005, the Western Norway Regional Health Authority, Norwegian Helse Vest RHF, signed an agreement with TietoEnator Norway for the delivery of a system for electronic health records. [37] By the end of 2007, Helse Vest RHF concluded its customer relationship with the company and announced a lawsuit against TietoEnator. They claimed that they had spent time, resources and efforts on the initial project without seeing TietoEnator able to deliver, and thus they were going to claim compensation from TietoEnator. [37] "The word disaster is appropriate", Eric Hansen of Helse Vest RHF expressed to Finansavisen . [38] Likewise, the Southern Norway Regional Health Authority, Helse Sør, experienced their frame agreement from 2004 to make no deliveries, and Helse Sør therefore also considered legal action. [38] For the 2007 fiscal year, TietoEnator Norway recorded a loss of NOK 124,336,000 [39] (according to the net loss indicated on their financial statement, as reported to the Brønnøysund Register Centre).

While TietoEnator Norway employed more than 1000 people in 2002, [33] there was a further decline in the number of Tieto Norway employees from 669 [39] to 477 [40] between 2007 and 2011.

Tieto Sweden

The current business activities in Sweden are undertaken by the subsidiary Tieto Sweden AB [41] based on a restructuring of the former Enator corporation. Enator corporation started in 1977 as a consultant firm created to support the Pronator company with software and project management. In 1990, it merged with Modulföretagen, adopting its logo from Modul and name from Enator. Enator grew to approximately 650 consultants in Sweden, Denmark, Norway and Finland. In 1993, it was included in the AxData group as a stand-alone company but was sold to Celsius in 1995. The subsidiary's name, Enator, was applied to the whole group in 1995 when Celsius AB, a publicly traded Swedish company, merged the IT operations it had acquired between 1991 and 1994. Until 1994, there were IT operations in three separate subsidiaries: Telub, Enator and Dialog. [42] The merger of the three subsidiaries led to a restructuring program in 1997. In spring 1996, the corporation was listed on the Stockholm Stock Exchange under the name of Enator. [42]

During 1998, Enator conducted a series of acquisitions to strengthen the company's public sector exposure. The company acquired 51% of shares in the Stockholm-based consulting firm Programmera. In addition, the company acquired two small IT companies – Kvatro Telecom in Trondheim, Norway, and Soft Project in Hamburg, Germany – and divested from operations in Enator Telecom Mechanics. In April 1999, Enator acquired NetDesign in Denmark. After the Enator–Tieto merger in July 1999, the Enator brand was discontinued. [42]

Data center failure in Sweden

On 25 November 2011, [43] there was a hardware failure in one of Tieto's Swedish data centers, which affected approximately 50 of its clients, including Apoteket (a national pharmaceuticals retail firm, for whom e-prescriptions were out of service), Bilprovningen (a Swedish motor vehicle inspection firm, which was forced to perform inspections with manual support), SBAB Bank and the Stockholm Municipality school web site. [44] [45] Kristina Westerlind, Head of Marketing and Communications at Tieto Sweden, commented on the incident to Dagens Nyheter: "It is a hardware failure that is very difficult to predict at this time how long it takes to restore everything to normal. It can go fast or it could last a long time." [45] On 30 November, Tieto services for Apoteket e-prescriptions and SBAB were recovered and operational again. [46] [47] By 13 December, virtually all services were back to normal operations. [48] Confidentiality agreements with customers prevented Tieto from revealing exactly who was affected by this incident. [49] [50] On 22 February 2012, the Swedish Civil Contingencies Agency published the report on Reflections on community safety and preparedness for serious IT incidents [51] In March 2012, Tieto released a report investigating the incident. [52]

Former international operations

Tieto Global Oy (Philippine Branch)

An award-winning [53] former Telecom R&D for Tieto [54] but was closed due to the lone client's decision to insource the project. [55] [56]

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References

  1. 1 2 3 4 5 6 "Annual Report 2020". Tietoevry. Retrieved 11 March 2020.
  2. ↑ "About us". tietoevry.com. Retrieved 18 August 2021.
  3. ↑ Kauranen, Terje Solsvik (18 June 2019). "Tieto scoops up Evry in $1.5 billion deal to create Nordic digital consultancy". Reuters.
  4. ↑ "Tieto launches new strategy to accelerate innovation and growth". tieto.com. Retrieved 14 April 2016.
  5. ↑ "Tieto Annual Report 2015" (PDF). Tieto.
  6. 1 2 "History - Tieto" . Retrieved 15 March 2013.
  7. ↑ "Digital advantage for businesses and societies".
  8. ↑ "Management - Tieto" . Retrieved 26 February 2014.
  9. ↑ https://www.tieto.com/news/tieto-acquires-smilehouse-drives-customer-experience-management-growth-by-strengthening-its-commerce Retrieved June 23, 2016.
  10. ↑ "Tieto acquires Smilehouse - drives Customer Experience Management growth by strengthening its commerce capabilities". Kauppalehti (in Finnish). 19 April 2024. Retrieved 19 April 2024.[ permanent dead link ]
  11. ↑ https://www.tieto.com/news/tieto-acquires-imano-and-strengthens-its-position-in-paper-and-forest-industries-in-sweden Retrieved June 23, 2016
  12. ↑ https://globenewswire.com/news-release/2015/11/30/791177/0/en/Tieto-acquires-Imano-and-strengthens-its-position-in-paper-and-forest-industries-in-Sweden.html Retrieved June 23, 2016
  13. ↑ https://www.tieto.com/news/tieto-acquires-norway-based-software-innovation-to-accelerate-its-role-as-the-leading-digitalization Retrieved June 27, 2016.
  14. ↑ http://www.computerweekly.com/news/4500249135/Finlands-Tieto-buys-Norwegian-enterprise-software-company Retrieved June 27, 2016.
  15. ↑ "Tieto Keilalahti Campus". Kuvatoimisto Kuvio Oy. 27 April 2017. Retrieved 11 January 2018.
  16. ↑ https://www.tieto.com/news/tietos-renewal-continues-moves-head-office-to-keilaniemi-espoo Retrieved June 29, 2016.
  17. ↑ http://www.espoo.fi/en-US/Tieto_to_relocate_its_headquarters_to_Ke(84899) Retrieved June 29, June)
  18. 1 2 "New IDC Energy Insights Research Reveals Industry Short List for Hydrocarbon Accounting". WTMnews.gr. Retrieved 15 March 2013.
  19. ↑ "Energy Components User Forum 2012 - Tieto" . Retrieved 15 March 2013.
  20. ↑ Morten Østbø Anvendelse av UML til dokumentering av generiske systemer Archived 2015-10-30 at the Wayback Machine Thesis abstracts. Retrieved 14 March 2013 (in Norwegian)
  21. ↑ "Vacancy - Kloke ledervalg - Visindi" . Retrieved 15 March 2013. Sample recruitment ad for this entity (in Norwegian)
  22. 1 2 Tieto.com website product presentation Multi-Company Personnel Transportation & Tracking Solution (PTS MC) Archived 2013-06-14 at the Wayback Machine Retrieved 11 March 2013
  23. ↑ "heliport.no flight schedules" . Retrieved 15 March 2013.
  24. ↑ "Selvbetjent innsjekk på helikopter fra Bergen" (PDF) (in Norwegian). Retrieved 15 March 2013.
  25. ↑ "Smartkort fjerner køer på Flesland - Bergens Tidende - Morgen - Nyhetsklipp 21.09.2003 - Retriever" (in Norwegian). Retrieved 15 March 2013.
  26. 1 2 TietoEnator Press release TietoEnator acquires the oil & gas industry solution DaWinci December 19, 2002, retrieved 11 March 2013
  27. ↑ "Personnel-On-Board Management - Vantage POB - Collabro Limited" . Retrieved 15 March 2013.
  28. ↑ "Personnel on board (POB)" . Retrieved 15 March 2013.
  29. ↑ "Logistics Management System - Logistics Software for Offshore Oil and Gas Operations" . Retrieved 15 March 2013.
  30. ↑ https://ar2015.tieto.com/media/download-centre/en/tieto_annual_report_2015.pdf Retrieved June 27, 2016.
  31. ↑ Tieto.no website Om Tieto Våre kontorer retrieved 11 March 2013 (in Norwegian)
  32. ↑ Dagens Næringsliv Morgen ISI til Sverige February 8, 1989 p. 20, retrieved 11 March 2013 (in Norwegian)(subscription required)
  33. 1 2 Dagens Næringsliv Morgen TietoEnator øker i Norge etter oppkjøp 26 July 2002 p. 20, retrieved 11 March 2013 (in Norwegian)(subscription required)
  34. ↑ Brønnøysund Register Centre Nøkkelopplysninger fra Enhetsregisteret for entity 995108771, reference for the creation, retrieved 11 March 2013 (in Norwegian)
  35. ↑ Hytracc Consulting on Linkedin reference for the transfer of personnel (registration required)
  36. ↑ Hytracc.com netsite Hytrac mission presentation Retrieved 11 March 2013
  37. 1 2 digi.no article Helse Vest til søksmål mot TietoEnator Retrieved 11 March 2013 (in Norwegian)
  38. 1 2 idg.no article Kaster ut Tietoenator Retrieved 11 March 2013 (in Norwegian)
  39. 1 2 Financial statement of 2008, "Årsregnskap regnskapsåret 2008 for 821530792", (Financial statement of 2008) available from Brønnøysund Register Centre. Retrieved 11 March 2013 (in Norwegian)
  40. ↑ Financial statement of 2011 "Årsregnskap regnskapsåret 2011 for 821530792" available from Brønnøysund Register Centre. Retrieved 11 March 2013 (in Norwegian)
  41. ↑ Tieto Sweden home page contact
  42. 1 2 3 Enators historia [ permanent dead link ], retrieved 15 March 2013 (in Swedish)
  43. ↑ idg.se Disk-problem bakom Tieto-haveri Retrieved 15 February 2013 (in Swedish)
  44. ↑ DN.se - datahaveri påverkar verksamheter i hela landet [ permanent dead link ] Retrieved February 15, 2013 (in Swedish)
  45. 1 2 nutopia.se - sänker Apoteket, Bilprovningen, SBAB Bank med flera Retrieved 15 February 2013 (in Swedish)
  46. ↑ mynewsdesk.se - Nu kan Apotekets kunder återigen hämta ut receptläkemedel på samtliga apotek Retrieved 15 February 2013 (in Swedish)
  47. ↑ Tieto Press release - Driftstörning i Tietos datacenter november 2011 Retrieved 15 February 2013 (in Swedish)
  48. ↑ Tieto Press release December 13, 2011 - I stort sett alla tjänster åter i drift – Tieto utreder den bakomliggande orsaken Retrieved 15 February 2013 (in Swedish)
  49. ↑ sydsvenskan.se - IT-haveri stör hela Sverige Archived 2012-01-01 at the Wayback Machine Retrieved 15 February 2013 (in Swedish)
  50. ↑ affarsvarlden.se- Stort mörkertal när Tieto havererar Retrieved 15 February 2013 (in Swedish)
  51. ↑ MSB - kring samhällets skydd och beredskap vid allvarliga it-incidenter [ permanent dead link ] ISBN   978-91-7383-209-0 Retrieved 15 February 2013 (in Swedish)
  52. ↑ Tieto Press release Mars 15, 2012 - Tieto: Slutsatser och lärdomar efter driftstörningen den 25 november 2011 Retrieved 15 February 2013 (in Swedish)
  53. ↑ https://www.pressreader.com/philippines/the-freeman/20140428/281736972455074
  54. ↑ Former Tieto Cebu PH employees' LinkedIn profiles
  55. ↑ https://www.jobstreet.com.ph/en/companies/500101-tieto-global-oy-philippine-branch/reviews/107871
  56. ↑ Former Tieto Cebu PH Manager's speech to his alma mater detailing his move from Tieto to Nokia
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