Digia updates its strategy and financial objectives for the 2023–2025 period: Sustainable customer value and profitable growth

Digia is in a strong position as it enters its next strategy period. The updated strategy is based on our delivery capabilities that are valued by customers and our organisation’s ability to engage in continuous renewal. Our mission is to ensure that our customers are at the forefront of digital evolution, with an operational model and rhythm that are right for them. Our objectives for the 2023–2025 strategy period are to continue generating sustainable customer value and profitable growth as well as internationalise our business.

Market outlook

We believe that the IT service market will grow during the strategy period: digitalisation is a strong underlying long-term trend. Increasing automation and intelligence in solutions represent the next level in digital evolution. We see the following trends:

• User-centred and secure solutions are gaining further ground. Inspiring user experience of applications is of paramount importance –combining the appropriate level of security.
• Level of automation and intelligence is growing. Digital evolution is trending towards automated and AI-assisted or controlled processes and services. These are based on reliable data, its secure availability, and the organisation’s ability to refine and utilise it.
• Instead of isolated solutions, the renewal of the entire business is being considered. Due to the digitalisation of business, application and IT systems are becoming more extensive and complex. The essential elements for operational continuity are the interoperability, reliability, security and resilience; for continuous development flexibility is vital. 
• Business operations are becoming networked both internally and externally. Secure and reliable integrations as well as flexible integration architecture are at the heart of digital evolution. They enable the functionality of application packages and data availability. 
• Sustainable development and the green transition are megatrends. The utilisation of digital technologies and data is key to solving sustainability challenges. 

Digia’s strategy – Unlock Your Intelligence

We combine technological possibilities and human capabilities to build intelligent business society and a sustainable future. We ensure that our customers are at the forefront of digital evolution, with an operational model and rhythm that are right for them. We harness Digia’s well-rounded expertise and comprehensive offering as well as operational models that suit the customer’s needs. We constantly renew our own operations and expertise, and work with reliable partners. As a versatile company, Digia can offer its employees meaningful job tasks and new things to learn. We are building a responsible society and Digia.

We implement our strategy by tapping into all of the strengths of Digia and the special expertise of our service areas. As a unified company, we provide our customers with large scale solutions and the expertise of our specialised service areas for their individual needs. We build long-term customer relationships and partnerships. 

Digia's strengths:

• Reliability and long-term customer relationships
• Diverse and constantly evolving top expertise
• A versatile offering where solution connectivity enables expanding customer relationships
• A strong financial position 
• A business model in which continuous services yield operational stability
• The ability to carry out successful acquisitions and grow the acquirees as part of Digia

Digia’s specialised service areas at the beginning of the strategy period:

• Digital Solutions: Solutions for growing business and developing the customer experience.
  • Intelligent digital and value adding data solutions for the customer’s different lifecycle phases. 
  • The solutions range from the automation of digital marketing to service design, customer relationship management and a variety of application solutions.
• Business Platforms: Solutions for business management and stepping up efficiency.
  • Versatile and comprehensive industry-independent ERP solutions.
  • The solutions are based on partners’ platforms, Digia’s own product solutions or a combination of these, depending on the customer’s business requirements.
• Financial Platforms: Digia’s product and service solutions for the financial sector. 
  • A comprehensive end-to-end system for fund management companies, asset managers and stockbrokers, including system support for the loan and account process management of financial companies.
  • Service models are tailored to the needs of customers. Software deliveries, application maintenance, SaaS solutions and the partial or full outsourcing of core processes.
• Managed Solutions: Solutions for boosting operational efficiency, continuity and data availability
  • Managed solution and outsourcing with a focus on service continuity, development, security and resilience. State-of-the-art application services, integrations and API solutions and robotics platforms.
  • Solutions for special segments, such as security-critical customers.

Strategy growth paths

1. Specialised service areas – Precision solutions delivered using a model suitable for customers. We are expanding our customer relationships into deeper partnerships, harnessing all of Digia’s diverse offering and expertise. 
2. Large scale solutions  – Extensive and demanding solution packages in which we utilise all of Digia’s extensive offering, from project deliveries to outsourcing.
3. Acquisitions – Enriching our offering and venturing into new markets and customer relationships by being an active player in M&A transactions.
4. International operations – Expanding our target market and customer relationships.

Strategy enablers

A modern and attractive work community – Skilled employees are the most important success factor for Digia. Continuous growth is part of the personal and professional development of each and every Digia employee. We invest in our learning-focused, professional and relaxed culture. We want our employees to enjoy working at Digia. Hybrid work, smart ways of working and tools help us to succeed together.

Scalability and productivity – We invest in scalability and productivity in both our own operations and the solutions we provide for customers.  In our own operations, productivity development is based on the continuous renewal of working methods, intelligent technology platform that supports them, and harnessing Digia-level synergies. In customer solutions, we focus on increasing scalability in our service and product solutions. We scale our expertise through our Digia HUB network.

Responsibility – Responsibility is part of our day-to-day operations. Our corporate responsibility is based on the UN Global Compact principles and objectives. The essential focus areas in our corporate responsibility (environment, people and trusted partner) will remain the same. We also see the green transition and solving of sustainability challenges as business opportunities. We are ambitiously seeking to do even better in all subareas of responsibility improving on our already good baseline situation.

Objectives for the 2023–2025 strategy period

Financial objectives:

• Net sales growth: over 10 per cent annually, including organic and inorganic growth 
• Operating profit (EBITA): over 12 per cent of net sales at the end of the strategy period

Expanding our international business

• Our aim is that international business will account for over 15 per cent of net sales at the end of the strategy period. 

Sustainability objectives:

• Environment – carbon neutrality: CO2 emissions -60 % ⁽¹  
• People – healthy, diverse and skilled personnel: eNPS +35 % ⁽²
• Trusted partner – a visionary, reliable and secure partner: NPS +25 % ⁽²

Digia’s strategy – Unlock Your Intelligence

We combine technological possibilities and human capabilities to build intelligent business, society and a sustainable future. We ensure that our customers are at the forefront of digital evolution, with an operational model and rhythm that are right for them. 

Further information:

Timo Levoranta
President and CEO, Digia Plc
Switchboard +358 (0)10 313 3000

Distribution:
NASDAQ Helsinki
Key media
digia.com

¹⁾  CO2 – the comparison year in emissions calculations is 2019, desired value at the end of the year 2025
²⁾ eNPS (employee net promoter score) and NPS (customer net promoter score) – the comparison year is 2022