Page 58 - EVRY Annual Report 2012

From the Boardroom 58
Public Sector and the Banking & Finance verticals and in new
Nordic verticals in the fields of healthcare and retail trade.
The Consulting segment
The Consulting segment offers consulting services in the
areas of SAP, Microsoft, Oracle and IBM technology, project
management, system and application development, digital
business operations and infrastructure consulting services.
The segment also offers hardware products sales. The segment
is well positioned, with offices in 50 Nordic towns and cities.
Consulting is the market leader in Norway, with a market
share of 21%, and is in third place in Sweden with a market
share of 7%.
The Consulting segment reported operating revenue of
NOK 3,707 million in 2012, equivalent to organic revenue
growth of 3%. Both the Norwegian and Swedish areas of the
Consulting segment reported organic growth of 3% in 2012
relative to 2011.
The billable utilization rate, calculated for all employees, was
68.9% in 2012, down from 69.7% in 2011. The billable utiliza-
tion rate in Sweden was 71.5% in 2012, down from 71.7% in
2011, and also fell in Norway to 66.8% from 68.2%. Hourly
prices increased in 2012, by 2% in Sweden and 1% in Norway.
EBITA was NOK 234 million in 2012, representing an EBITA
margin of 6.3%. EBITA for 2011 was NOK 212 million with an
EBITA margin of 5.9%.
The Consulting segment reported a contractual order backlog
of NOK 1.1 billion as at 31 December 2012, of which NOK 0.8
billion is due for delivery in 2013.
Improvement in the profitability of the Consulting segment
will depend very much on the ability to further develop a
broad customer base, increase the capacity utilisation of the
consultants and reduce staff turnover. The group is also work-
ing to develop its delivery models, increase the proportion of
project revenues, and to reduce structural costs.
Organisation and working conditions
EVRY ASA is a public limited company and the company’s
head office is in Oslo. The company announced EVRY as its
new brand name on 19 March 2012. The corporate manage-
ment comprised 12 employees in 2012, and is headed by CEO
Terje Mjøs, who has held the position since the merger of EDB
Business Partner ASA and ErgoGroup AS was formally ap-
proved on 14 October 2010.
The group’s activities mainly take place through wholly
owned companies in Norway, Sweden, Denmark and
Finland, in addition to wholly owned companies in Great
Britain, India and Ukraine.
EVRY sees the Nordic region as its natural home market.
The company operates from locations in 50 Nordic towns
and cities, principally in Norway and Sweden, providing the
expertise to serve customers locally. The company is commit-
ted to operating with a decentralised organisation that is able
to respond rapidly to customers, and has therefore ensured
that decision-making authority is delegated appropriately.
At the same time, the company finds it very important to
ensure that the local offices can draw upon the expertise
and strengths that the group as a whole represents. This is
achieved through appropriate organisational and reporting
arrangements and a group-wide program, as well as through
the arrangements for marketing and customer relation-
ship management. In addition to its activities in the Nordic
region, EVRY has wholly owned companies in India and
Ukraine that represent a major part of the company’s overall
delivery capacity. In order to make the best possible use of
this competence base, these companies also have significant
customer portfolios in addition to their deliveries to EVRY’s
Nordic customers.
The overall Nordic IT services market is estimated to be worth
around NOK 132 billion. Figures from the market research
company IDC show that EVRY is currently the second larg-
est vendor in the Nordic IT services market, and is the clear
market leader in Norway and the fourth largest vendor in the
Swedish market. The group’s total market share of the Nordic
market is estimated to be 9.5%, with a 32.8%market share in
Norway and 7.6% share of the Swedish market.
EVRY carried out a comprehensive program to promote its
corporate culture and manage change over the course of 2012
in order to enhance professionalism and customer focus.
This work will continue in 2013, and is supported by targeted
group-wide initiatives.
The Board of EVRY decided in 2011 on a new head office at
Fornebu in Bærum, and the move will start in the second half
of 2013 with the intention that the majority of employees in
the Oslo area will have relocated to the new head office by
the start of 2014.
The new head office is centrally located at Fornebu, which
is a unique location where other large technology and
knowledge-based companies are also located. Work is also
underway to bring together the company’s activities in other
towns and cities to the same premises. As an example, all the
company’s employees in Stavanger moved into a single loca-
tion in March 2013.
Guidelines for ethics and social responsibility
The Board of EVRY ASA adopted the group’s revised ethi-
cal guidelines in the form of a Code of Conduct in 2011, and
the Code of Conduct has been implemented throughout the
organisation.
The Code of Conduct places emphasis on how each and every
employee shall relate to customers and business partners,
and also lays down guidelines for how to contribute to a