Visma is a leading software company headquartered in Oslo, Norway, specializing in providing software as a service (SaaS) solutions. Founded in 1996, Visma has grown to become a significant player in the Nordic, Benelux, and Baltic regions, offering a wide range of products including accounting, payroll, HR, and invoicing software. The company is privately held, with the majority of its shares owned by HgCapital, a private equity firm
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Historical Background
Visma’s journey began with the merging of several smaller companies in Norway. Over the years, it has expanded its operations through strategic acquisitions and organic growth. A major milestone in the company’s history was the sale of Visma Marine ASA’s operations to the Dutch company Station12 in 2000. This sale provided Visma with a substantial financial resource of MNOK 730, which was used to fuel further growth and expansion
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Leadership and Growth
Under the leadership of former CEO Øystein Moan, Visma experienced significant growth. Moan, who became CEO in 1997, expanded the company from 300 to 8,500 employees and increased its revenue from NOK 250 million to 1.1 billion by 2019
1. Moan’s tenure was marked by a focus on both software and outsourcing within accounting, finance, and payroll sectors. In March 2020, Merete Hverven took over as CEO, continuing the company’s growth trajectory. By 2023, Visma’s revenue had increased to 2.39 billion euros, and the workforce had grown to 15,107 employees
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Product Offerings
Visma offers a comprehensive suite of software solutions designed to streamline business operations. These include:
- Accounting Software: Visma provides cloud-based accounting solutions that help businesses manage their finances efficiently.
- Payroll Software: The company’s payroll software ensures accurate and timely payroll processing, compliance with local regulations, and integration with other HR systems.
- HR Software: Visma’s HR solutions cover various aspects of human resource management, including recruitment, employee onboarding, performance management, and employee self-service.
- Invoicing Software: The invoicing software simplifies the billing process, automates recurring invoices, and integrates with accounting systems for seamless financial management 1.
Strategic Acquisitions
Visma’s growth strategy has heavily relied on strategic acquisitions. By acquiring companies that complement its existing product portfolio, Visma has been able to expand its market reach and enhance its product offerings. Some notable acquisitions include:
- e-conomic: A Danish cloud-based accounting software company acquired in 2013, which strengthened Visma’s presence in the small and medium-sized enterprise (SME) market.
- Bluegarden: Acquired in 2017, Bluegarden is a leading provider of payroll and HR solutions in the Nordic region.
- Rikskuponger: A Swedish company specializing in employee benefits and meal vouchers, acquired in 2018 1.
Technological Innovation
Visma is committed to technological innovation and continuously invests in research and development to enhance its products. The company leverages modern technologies such as artificial intelligence (AI), machine learning (ML), and cloud computing to deliver cutting-edge solutions. For instance, Visma’s AI-powered accounting software can automate routine tasks, detect anomalies, and provide actionable insights to businesses.
User Experience and Customer Focus
Visma places a strong emphasis on user experience (UX) and customer satisfaction. The company employs the Visma UX Value Loop, a framework designed to ensure that products and services meet user needs and expectations. This involves understanding customers’ pain points, gathering feedback, and iterating on product designs to deliver intuitive and user-friendly solutions
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Financial Performance
Visma’s financial performance has been impressive, with consistent revenue growth and profitability. The company’s revenue increased from 1.13 billion euros in 2019 to 2.39 billion euros in 2023. This growth has been driven by a combination of organic expansion and strategic acquisitions. Visma’s ability to generate strong cash flows has enabled it to reinvest in its business and pursue new growth opportunities
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International Expansion
In December 2022, Visma brought in new investors through a share sale that valued the company at 19 billion euros (approximately $21 billion). This move was aimed at funding international expansion. The investment included contributions from around 20 new investors and additional funding from existing shareholders. This influx of capital will enable Visma to explore new markets and further strengthen its position as a global leader in business software solutions
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Corporate Social Responsibility
Visma is committed to corporate social responsibility (CSR) and sustainability. The company actively engages in initiatives that promote environmental sustainability, social equity, and ethical business practices. Visma’s CSR efforts include reducing its carbon footprint, supporting local communities, and fostering a diverse and inclusive workplace.
Sports Sponsorship
Visma is also known for its involvement in sports sponsorship, particularly in cycling. The company is a title sponsor of the Team Visma | Lease a Bike, which has achieved notable success in the Tour de France. The team has been innovative in its approach, including the development of a “Control Room” vehicle designed to analyze data during races. However, this vehicle was recently barred from the Tour de France premises by the event organizers
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Challenges and Future Outlook
Despite its success, Visma faces several challenges. The competitive landscape in the software industry is constantly evolving, with new entrants and technological advancements posing potential threats. Additionally, regulatory changes and economic uncertainties can impact the company’s operations.However, Visma’s strong market position, diversified product portfolio, and commitment to innovation provide a solid foundation for future growth. The company’s focus on customer satisfaction, strategic acquisitions, and international expansion will likely drive continued success in the coming years.
Conclusion
Visma stands out as a leading software company with a strong growth record and a significant presence in the SaaS market. Its comprehensive suite of software solutions, strategic acquisitions, and commitment to technological innovation have positioned it as a key player in the industry. Under the leadership of Merete Hverven,
Visma has continued to expand its operations and achieve impressive financial performance.The company’s involvement in sports sponsorship, particularly in cycling, highlights its innovative spirit and commitment to excellence. As Visma continues to explore new markets and invest in cutting-edge technologies, it is well-positioned to maintain its leadership in the business software sector.In summary
, Visma’s journey from a small Norwegian company to a global leader in business software solutions is a testament to its strategic vision, strong leadership, and unwavering commitment to customer satisfaction. With a solid foundation and a clear focus on future growth, Visma is poised to achieve even greater success in the years to come.