"Eltel has celebrated its first 10 years in 2011. We launched new brand image under Boosting Infranet Quality statement and continued the development towards a specialized company understanding customer needs and delivering services with accuracy and effiency. The feedback from customers shows that we are the leading Infranet service company in Northern Europe and our customers expect Eltel to continue to pioneer the industry", tells Axel Hjärne, President and CEO of Eltel Group.
In beginning of 2011 Eltel started to change its organizational structure towards solution emphasis. Earlier the company has been more country based. "We feel that the country organizations have done a very good job. We have built up geographical coverage so that we can serve both local and national needs of our customers. Introducing solution based business units cross countries in Mobile, AMR and Rail&Road has clearly given us new perspectives how to serve better similar customer needs, utilize resource synergies and share our experience and best practices by bringing people together from the same business area in different countries."
Eltel has continued the strong growth in 2011, close to 20 % from 2010 and more importantly, this has taken place organically. Will the same development continue till year end 1 billion euro benchmark of sales may be achieved. Major sales successes have taken place in many segments. In smart metering and smart grids Eltel has made important progress. Early this year Eltel won a repeat order of NRGI smart grid control system consisting of 150.000 meters in Denmark. This was a second order by NRGI to Eltel after having finished a similar order for implementation of 50.000 meters in 2010. In smart grids Eltel has made pilot installations of charging systems for electrical vehicles with Fortum. "This market is yet to develop but it may already be said that Eltel will be one of the lead players", says Axel Hjärne.
The demand has been strong also in telecommunications where activity levels have been high in mobile and increased investments are taking place in fiber implementations. In mobile telecoms Eltel is actively rolling out new technology projects in Nordic countries and Germany. The German market in general has picked up significantly after a few more depressed years. In enterprise sector Eltel signed an installation and field service agreement with Cygate in Sweden within Digital Signage.
Eltel won new fiber contracts with Deutsche Telekom in Germany and TEO operator in Lithuania. Business volumes have grown substantially also in sales to fixed operators in Norway and Poland. Canal Digital in Norway signed a 2 year contract to build new networks of fiber and coax cables to residential customers. The scope comprises connection of services, operation and maintenance.
In power transmission Eltel has won new contracts in Fingrid’s earth wire project and Svenska Kraftnät’s EUR 16 million 400 kV line. Transmission business has also booked a EUR 17 million contract on electronic surveillance and monitoring of coast line in Ghana and a EUR 40 million contract in power distribution in Sri Lanka. These projects are typically 2 years in terms of duration.
"Developing our capabilities systematically has been one of the cornerstones in our success. Side by side with our market development we have continued to develop the Eltel Way, the proven method in how to run a world-class Infranet service company. The keys in this are specialization, empowerment and proactivity. These are challenging goals but we are convinced that they are the right ways to improve field service performance and propose new solutions to our customers’ needs", Axel Hjärne continues.
The cost inflation is placing new pressure both on efficiency development but also on market prices. Our customers compete in a fast changing environment so it is important for the whole sector that we can ensure a sustainable development. Together in the industry we can further develop competences, professionalism and quality, all of which are needed in order to ensure good development of more efficient infrastructures in future."
"It has been motivating to notice that there is so much to do in order to eliminate the inefficiencies of today’s infrastructures. This was especially discussed at the roundtable in our Copenhagen seminar celebrating Eltel 10 years anniversary. We feel good particularly for the reason that in several comments it was seen that future infrastructures will need even more a company like Eltel, being able to integrate el, tel and IT into more efficient Infranets", says Axel Hjärne.
Around the 10 year anniversary various events for clients, partners and employees have been organized during the summer. "This has also been a great opportunity for us to review the past 10 years, what was the value promise in outsourcings, how we did it and what were the results. Nevertheless even more important have been the discussions with our partners about the future and how we should encounter it" concludes Axel Hjärne.