The transportation industry at large, the airline industry in particular and the IT industry in general, are in a continuous state of change. But one needs to ask: What is change?

Change to me means being in sync with global evolution, where we must develop as individuals, people, our organization and technology towards new concepts and opportunities as our world evolves. There is nothing strange about change - on the contrary change is natural. Change is the essence of life and if you do not change you fall behind.

Carmen competes in a marketplace that is constantly change. The market place consists of a number of small to mid-range vendors trying to conquer clients and take market share from one another. However, clients' behaviour is starting to modify this picture and it will continue as competition between them is also an everlasting evolution. The airlines are looking more and more to do business with solution providers, not just suppliers of application software or niche players, and the market place itself is currently consolidating.

I estimate that within a year or so from now the market place will not resemble what it does today. To become the number one global solution provider you need size, skills and financial strength. Carmen's vision, strategy and action plans aim at moulding itself to become this solution provider.

I foresee that the market will consist of 3-5 large players that have the competence, structure and size to solve all the problems that need to be solved in a continually changing airline industry environment. In this environment, integrated planning and decision support solutions involving all major resources (Passengers, Vehicle and Crew) is a must.

What have we done about it?

Over the past year we have doubled our staff, we have brought in fresh capital from GE Capital a well-known, global financial and industrial corporation, via GE Capital Aviation Services and GE Equity. We have developed our M&A; strategy and created a structure that will allow us to grow by adding complementary skills, people, and products to achieve our vision. We have adopted a buy versus make attitude for some of the new products and services required to offer an integrated solution. This means that we can continue to focus on our core skill of being the global leader in optimization as opposed to trying to continually reinvent the wheel...

We have already opened, and will be opening, a few more offices around the world to bring our solutions closer to our clients. Every day we take a small step, in close co-operation with our clients in becoming the global solution provider.

Per Norén
Chief Executive Officer