Finland’s LocalTapiola selects CGI to digitise services


CGI has been awarded a contract with LocalTapiola, one of Finland’s largest insurance companies, to provide further digitisation services for the insurer’s largest modernisation project.

The agreement strengthens the long-term strategic partnership between the companies to meet LocalTapiola’s business objectives, such as improving the customer experience. The contract is valued at an estimated €49 million ($57.4 million).

Mikko Vastela, the CIO of LocalTapiola, said: “As part of the Toivo modernisation project, we renewed our agreement with CGI to build a digital foundation to overhaul our system for providing insurance against loss or damage. We are now also renewing a contractual package in which CGI will continue to handle a variety of initiatives, such as how to implement digital services in the most agile and cost-effective way possible.”

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Over the past few years, CGI has developed a variety of new digital services for LocalTapiola customers, including TerveysHelppi (Health Help). These mobile telemedicine services have made it easier for LocalTapiola customers to access healthcare, such as treatment services and referrals.

As part of the new agreement, CGI will implement new delivery models to ensure optimal productivity and cost control.

Mikko Vastela, CIO of LocalTapiola, said: “Using agile methods to develop innovative digital services has proven to be effective. However, when an initiative contains hundreds of projects, it is understandable that certain controls must be placed on development work – controls that are not found within standard agile methods. That is why we have been working with LocalTapiola to create a brand-new hybrid development model and its associated contractual practices.”

Janne Kärkkäinen, the director ICT finance and sourcing at LocalTapiola, adds: “A redesign of our operating models has made them more agile in many ways, and this is also linked to the development of our new hybrid model. CGI has demonstrated its ability to provide customer-oriented service and innovative value creation.”

LocalTapiola outsourced its IT operations to CGI in 2013. CGI’s service delivery model operates on a 24/7 basis by combining development in Finland with support from around the world, including Europe, Asia and North America.