Central and Eastern Europe (CEE) continues to garner interest from services buyers. Earlier this year, I wrote a report called “A New Dawn For Tech Services In Central And Eastern Europe” that highlighted how the region will become increasingly attractive to companies, as the skills and capabilities to be found there will be ever more important for the next generation of technology engagements. Such engagements will focus on developing software that will empower customers, partners, and employees with context-rich apps, helping them take action in their moment of need — what Forrester calls "systems of engagement."
Six months ago, Luxoft, one of the key providers in the region, announced its IPO. Last week, it released its first half-year results, and so it seemed an opportune time to reflect on both the region and the progress made by Luxoft so far. The highlights of Luxoft’s results are:
Revenues of $181.4 million for six months to September 30, 2013 (up 25% year-over-year).
Second-quarter revenues of $97.7 million compared with $74.1 million for the same period a year earlier.
Increased guidance for fiscal year 2014 to $384 million.
Major industry dynamics such as digital disruption are causing chaos and upheaval even in mature industries. To help navigate the changes that result, companies are placing an ever greater premium on data-driven insights. Put simply, the management and effective utilization of data have become essential for competitive survival — but the growing volume and diversity of data leave companies scrambling to effectively and efficiently manage, govern, and utilize it. Companies face four main data management challenges at the moment:
Highly skilled and experienced resources are expensive and difficult to find.
New technologies, such as SAP HANA or Hadoop, are challenging existing capabilities.
New sources of data are rendering existing information infrastructures inadequate.
Companies still lack maturity in managing and analyzing their data. For example, few companies have a fully-fledged information management strategy (just 13%, according to Forrester’s Q2 2013 Global Information Strategy And Architecture Online Survey).