ISG

Application development and maintenance service providers are expanding their presence across the Nordics region to better serve enterprise customers and tap into the local talent pool, according to a new report published today by Information Services Group (ISG ) (Nasdaq: III ), a leading global technology research and advisory firm.

The 2020 ISG Provider Lens™ Next-gen Application Development & Maintenance (ADM) Services report for the Nordics says providers have set up service delivery centers in multiple locations across the region, including Oslo, Stockholm and Stavanger, Norway, to offer wider coverage and gain access to critical talent.

ISG found ADM providers quickly responded to the COVID-19 pandemic with virtual collaboration and other capabilities to ensure uninterrupted services for clients, as well as tighter integration with offshore distributed Agile development resources.

“Enterprises in the Nordics are embracing digital transformation, and ADM service providers are lining up the resources needed to help them become more agile and improve their applications,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “The pandemic has only made these types of services more vital.”

Providers also are focusing on vertical customer markets in the region, with multiple deals in the retail, telecommunications, postal and defense sectors over the past several years. Major ADM-related contracts in the Nordics have covered activities such as conversion of legacy platforms to the cloud, portfolio rationalization, ERP support, and customer experience improvement, ISG says.

Next-gen ADM services help enterprises implement both technological and cultural changes to better meet the needs of customers and compete in changing markets, according to the report. These services have been evolving with increasing use of features such as automation, cognitive technologies, artificial intelligence (AI) and machine learning (ML), which can simplify and minimize coding efforts.

ADM providers are stepping up their adoption of Agile development, organization and operations, the report says. A growing part of the provider workforce is trained in Agile methodologies, and the providers have achieved large-scale Agile delivery in engagements in the Nordics using frameworks such as Scaled Agile Framework (SAFe). The pandemic has made distributed Agile development more important, and providers are addressing this change with steps such as introducing collaboration tools for Agile teams.

Application testing is an increasingly important part of ADM services that is evolving to meet the requirements of new development processes, ISG says. Continuous application testing methods advanced in 2020 with greater use of analytics, AI and ML. With the many testing tools on offer, flexibility and integration with ADM services is critical, and service providers are forming new partnerships with continuous testing specialists.

The 2020 ISG Provider Lens™ Next-gen Application Development & Maintenance (ADM) Services report for the Nordics evaluates the capabilities of 28 providers across three quadrants: Next-gen ADM, Agile Development, and Continuous Testing – Large Accounts.

The report names HCL and TCS as leaders in all three quadrants. Capgemini, Cognizant, Infosys and Wipro are named leaders in two quadrants, and Tech Mahindra in one. In addition, LTI is named as a Rising Star—a company with a “promising portfolio” and “high future potential” by ISG’s definition—in one quadrant.

A customized version of the report is available from Capgemini .

The 2020 ISG Provider Lens™ Next-gen Application Development & Maintenance (ADM) Services report for the Nordics is available to subscribers or for one-time purchase on this webpage .

About ISG Provider Lens™ Research

The ISG Provider Lens™ Quadrant research series is the only service provider evaluation of its kind to combine empirical, data-driven research and market analysis with the real-world experience and observations of ISG's global advisory team. Enterprises will find a wealth of detailed data and market analysis to help guide their selection of appropriate sourcing partners, while ISG advisors use the reports to validate their own market knowledge and make recommendations to ISG's enterprise clients. The research currently covers providers offering their services globally, across Europe and Latin America, as well as in the U.S., Germany, Switzerland, the U.K., France, the Nordics, Brazil and Australia/New Zealand, with additional markets to be added in the future. For more information about ISG Provider Lens research, please visit this webpage .

A companion research series, the ISG Provider Lens Archetype reports, offer a first-of-its-kind evaluation of providers from the perspective of specific buyer types.

About ISG

ISG (Information Services Group) (Nasdaq: III ) is a leading global technology research and advisory firm. A trusted business partner to more than 700 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,300 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com .

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