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Finnish Software Industry is still growing strong

The Finnish software and IT services sector grew over 20 percent in 2014. Game firms and smaller firms contribute most of the growth, while stock listed firms had mixed results.

This year’s survey is conducted in two parts. The first part focused on the overall state of the industry. The second part, including a survey study with a short questionnaire, shall focus on details of software firms’ growth and internationalisation.

Focus on Flexibility: Three Types of Flexibility

On a general level, we've identified three types of flexibility for software firms and IT services firms from the scientific literature. These are related to the firm's resources and their adaptability:

1) the capability to enter new markets quickly, 2) to organize into new activities fast, and 3) to react fast to changes in customer demand.

As we reported earlier, in this year's survey, Finnish software companies assess themselves as flexible in all dimensions.

Focus on Flexibility: Leanness of Software Firms

Flexibility in software industry can be understood as the agility of software development, but also as the firm’s capability to quickly react to changes in the industry and in the customer demand. In this year's analyses we found that the kind of flexibility is strongly associated with experimenting with different business models and collecting information from customers regularly.

Focus on flexibility: Agility in Software Development

In this year's analyses on flexibility of Finnish software firms, we first focus on the software development activities. Our survey instrument contained questions based on the Agile Manifesto, and we were basically interested in whether the firms favor agile approaches over plan-based approaches in software development. On most of the measured aspects, the respondents clearly report agile orientation.

Interim results for the 2014 survey

Based on Statistics Finland, the Finnish software and IT services sector grew over 11 percent in 2013. According to survey, this growth was thanks to small and medium sized firms, and especially the firms in the games industry. The turnover of biggest firms was mainly decreasing, but at the same time they were able to react to changes in the industry.

Join the 2014 edition of the survey, Follow the results

I'm delighted to report that this year's edition of the survey is now underway and that the Finnish software companies can expect traditional mail and email invitations on their desk in any day soon. On behalf of the researchers and collaborators, I invite the companies to join the survey. Thanks to the responses we receive, we were able to contribute valuable information on the current state of the software industry. Such information can be used to draw attention to opportunities and development needs that the companies are thinking.

Insights about your firm

All firms that participated in the survey will receive a complimentary report, where we compare the firm with all other firms that responded to the study. These reports are now set up and we will begin sending them out soon. We are leaving the survey form open for June, so even if your firm did not "officially" participate in the study, you may still fill in the questionnaire and obtain a report about your firm.

Our 2013 survey is now up and running

The 2013 survey is now underway, and invitations to participate are being sent using traditional mail and email. Last year's survey turned out to be a great success both in terms of impact and participation. In the spring and summer of 2012 our survey was the first to examine the migration of former Nokia employees, and thanks to the many responses, we were able to contribute valuable information to this very important discussion.

Presenting and being featured by the press

It has been now little over two week since we presented our main results at the Federation of Finnish Technology Industries office in Helsinki. Actually, we had quite a presentation tour because after the main presentation. First, in the beginning of the following week Juhana flew to Oulu to give a presentation to a full audience. Meanwhile, I was in Texas presenting some more academic analysis of last year’s data in the form of two research papers. After returning from there, I went to Tampere to talk about our results.

Revisiting mobile platforms with a German flavor

In my latest post I examined how Finnish software companies have been adopting Windows Phone as a development platform. Our preliminary data (130 responses) pointed out that quite well: Some 9% of Finnish software SMEs reported "significant" development using the platform in 2010 moving it into striking distance from Android.


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