Continued growth in demand for scalable and flexible cloud environments
The market for transferring infrastructure, business platforms and applications into scalable and flexible cloud environments continues to grow rapidly. At Tieto, cloud services have become an integral part of all new offers as customers across many industries seek ways to reduce total cost of ownership and simultaneously improve their agility and speed. Owing to greater automation and standardized services, Tieto can deliver secure and hybrid cloud services combining high quality with superior user experience; all at a competitive price.
In 2015, Tieto revenues from cloud services grew by 65% year-on-year, representing around 17% of Managed Services’ sales. This was driven by sales of enterprise cloud offerings, such as Tieto Cloud Server, Tieto Productivity Cloud and Tieto Dynamic Landscape for SAP. Additionally, transformation services have become an essential part of any outsourcing case.
New offerings launched
In 2015, Tieto launched two new innovative offerings, Tieto Enterprise Cloud Orchestrator (TECO) and Tieto Dynamic Landscape for databases (powered by Oracle).
TECO automates customers’ end-to-end application lifecycle management and the deployment of infrastructure, thereby enabling customers to use new digital products and services in a more agile way. Tieto Dynamic Landscape for databases offers a cost efficient and nimble way to run Oracle databases that are among the most used enterprise database systems in the world. Through automation and standardization, organizations can significantly improve their performance and reach cost savings of up to 50%.Tieto is the first provider in the Nordics to offer Oracle databases as a cloud service.
To demonstrate the benefits of cloud, here are some examples of solutions Tieto provided its customers during 2015.
Tieto moves Hurtigruten into the cloud to meet the pace of business
Hurtigruten, a leading Norwegian tourism company, chose Tieto as its strategic hosting partner to deliver modern and holistic IT services. The cloud-based solutions will contribute to a 20% cost reduction through faster scalability, simplified administration and increased cost efficiency.
“We have been happy with Tieto’s hosting service. Hence, it made a lot of sense to reach out to Tieto when we needed a new hosting platform. New dynamic cloud solutions and simplified technology were vital to us in order to support the company’s expansive growth ambitions. Tieto rose to our challenge and offered modern cost-efficient technology”, says Hans Jørgen Eliassen, ICT Director, Hurtigruten ASA.
Tieto moves ICS into the finance cloud
International Card Services (ICS), the largest credit card issuing business in the Netherlands, selected Tieto to deliver an end-to-end industry-specific cloud solution. The private solution has been developed to meet the high security and regulatory demands of the financial industry.
“The key deciding factors for us were Tieto's unique cloud solution, tailored to the needs and demands of the industry, in combination with Tieto´s highly secured data centres in the Nordics. The solution will make ICS more cost-efficient and give us the ability to respond faster to changing customer needs”, says Nico Lodewijk, Chief Operating Officer at ICS.
Outokumpu integrates IT systems and gains predictive edge with scalable cloud solution
To tackle the challenges of complex production processes and cyclical demand, Outokumpu, the global leader in high performance stainless steel, has adopted a scalable business platform with Tieto’s support. With the solution, Outokumpu has reaped the benefits of real time analytics, at the same time consolidating production sites and subsidiaries in 30 countries into a common infrastructure.
Outokumpu now has instant access to key performance data. Use of real time analytics and applications improves Outokumpu’s ability to respond to changing demand and critical issues. Outokumpu has complemented the solution during the year by acquiring new tools for predictive business analysis.
“We wanted to simplify our operations with a virtualized and dynamic environment where systems capacity could be easily scaled up or down. Tieto was a natural choice for us”, says Stefan Olivesten, Director, IT Platform Services, Outokumpu.
Online banking as a service enabled by TECO
In December FOREX Bank, a Swedish financial services company, launched a new digital banking experience for its customers. The online banking solution is delivered as a full-stack service from Tieto enabled by TECO.
Researching the benefits of cloud maturity – Tieto Cloud Maturity Index 2015
In order to better understand large Nordic organizations’ cloud adoption, Tieto, in collaboration with research agency Radar, conducted a study encompassing 277 decision makers from organizations in Sweden, Finland and Norway.
According to the study, only 10% of large organizations in the Nordics can be considered "cloud mature". In these organizations the use of cloud services is wider and deeper than in others.
Compared to their non-mature counterparts, a cloud mature organization spends on average 34% less on ongoing IT operations, and 30% more on supporting business change, innovation and development.
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