Bull’s eye

By TietoEnator

Thanks to self-service and digitalised services, Nordic banks and insurance companies are now among the most advanced and efficient in the world.

“Modern innovated industry needs deep vertical expertise and strong IT skills,” says Matti Viljo, President of TietoEnator’s Banking and Insurance business.

Three industry verticals make up a strategy within which TietoEnator’s Banking and Insurance Business Area intends to become a leading global player in carefully chosen businesses.

Viljo has no doubt about the company’s focus. “We, as a forerunner, must provide our customers with state-of-the-art solutions and services. This has led us into a true partnership with the leading Nordic banks and insurance companies, in some cases even into joint ventures. In the latter, we share not only the gains but also eventual risks.”

TietoEnator has developed infrastructure with all major banks in the Nordic countries and, at the same time, has become one of the biggest IT consulting companies in Europe. “By combining deep industry expertise and strong IT skills we are able to provide our customers with the most advanced solutions,” says Viljo.

Banking and Insurance is one of TietoEnator’s three selected business areas that is expected to provide a major contribution to the company’s annual 20 percent growth target. According to Viljo, this calls for internalisation and deliberately chosen models for entering a variety of markets.

A case in point
Good references make a great competitive tool. To take a case in point, Handelsbanken used TietoEnator’s software to launch its operations in Tallinn. The new branch will serve existing private and corporate customers as well as attracting new potential business. “This is a new approach for us, as we usually only concentrate on existing customers when entering new markets,” says Harri Tuohimaa, Head of Handelsbanken Estonia. “The BankSyst solution meets all the needs of private and corporate customers and we are able to use it not only in Estonia but in other Baltic countries as well. It supports our operations well and is a big help to us as we enter the Estonian market. And what is more impressive, the whole solution was ready for operation in six months,” adds Tuohimaa.

“This is the way we must operate. Markets are not all similar to one another, so we must enter each market with a customised model. We must do our homework in advance. Then, once we have fulfilled our task in some markets, the grapevine will assist us greatly in spreading our successes almost everywhere,” says Viljo.

Standing out
Having worked at the very heart of the IT industry for more than 25 years, Viljo knows what he is talking about and what is called for. He has provided insight to IBM and Oracle; now it is time for TietoEnator. “If I had not believed in this company, I would never have taken up the challenge of being its skipper, sailing TietoEnator Banking and Insurance Business Area into a new arena,” he swears.

The Nordic countries really are the most advanced region when it comes to banking and insurance business, according to Viljo, and as far as solution development is concerned, TietoEnator is the partner of choice. “We are not just another IT vendor. For example, we are working closely with the European Union on electronic payment and Single European Payment Area (SEPA). Our strengths are based on our current position, deep expertise and a very competitive solution portfolio.”

Handelsbanken considered alternatives for its venture in Estonia, but it was TietoEnator’s leading expertise in the banking sector, its in-depth know-how of IT systems integration and its track record in the Baltic countries that concluded the choice.

Even though the banking and insurance industry is on the top of digitalisation, there is great potential for further development. “We must understand that the rapidly growing trends place a lot of pressure on back-office core banking systems, which presents a real challenge for us.” TietoEnator already has good experience in core banking and cash management solutions with leading Nordic banks such as Nordea, Swedbank, Handelsbanken, as well as with some large European banks, like Rabobank and Banco Português de Negócios. The key words are flexible solution platforms and service oriented approach (SOA).

Despite The company’s strong position, Viljo has a humble attitude. “We want to grow with our partners. Partnerships must always be win-win cases, so the provision of world-class solutions to our customers must bring revenues to both parties,” he says, stressing “This is the only way we can keep our position as a forerunner on this highly competitive market.”

Matti Viljo has been President of TietoEnator Banking and Insurance Business Area since 1st April, 2006. Prior to TietoEnator, Viljo worked for Oracle for seven years, first as Managing Director for Oracle Finland, and later as the Vice President of the Application Sales Business Unit. Previously, Viljo had worked for 19 years for IBM in several management positions.