Annual Report 2020 a Message from Nexign CEO Nexign Annual Report 2020
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Annual Report 2020 A Message from Nexign CEO Nexign Annual Report 2020 In 2020 our life moved into virtual space. Habitual and much need- We were actively working on Nexign's product portfolio in order to ed physical contact, as well as face-to-face meetings, became in- support operators in the conditions of the 'new normal'. advisable and even dangerous. We all ended up in a digital world where communication with colleagues and relatives is maintained That is exactly why we developed the Nexign Instant BSS solution through a thin screen and friendly voices are heard only through that makes it possible to launch new business projects within less headphones. than 4 months. In this artificial space we had to deal with a number of urgent To develop the capabilities for omnichannel interaction with challenges. How do we continue to hold negotiations with new subscribers, Nexign purchased the company called STORM customers and carry out our obligations under existing projects Technologies, an expert in the area of digital user experience while in isolation? How can we support the team? How do we management. add new specialists to the team? How do we keep the high work standards that we are so used to? In addition, Nexign started developing the Open-Source-based Universal Digital Billing product. This way we will assist our I cannot claim that those challenges were completely new for us. customers in optimising TCO and adapting quicker to changing As any company with subdivisions based in different countries and business needs. regions, we tried to operate in such a way that our business process- es would not depend on a certain location on the map. However, this All those efforts have been acknowledged by the international expert transition to a fully contactless mode became a challenge not only community: Nexign was included in Gartner BSS Market Guide, its for Nexign but for our customers and partners. products and projects were included in reports by leading analytical agencies such as Analysys Mason and Berg Insight and covered by The closure of borders slowed down the pace of work on existing Russian and global media. and new projects. And this, of course, had an impact on the compa- ny's business operations. Nonetheless, Nexign team demonstrated That is how Nexign laid down the foundations for growth in the that it was only growing stronger in the conditions of chaos and un- next year. For us 2020 was a time of investments in brand recog- predictability — in other words, it has the property that Nassim Taleb nition, product enhancement, and cultivation of relations with our calls antifragility. customers. In 2020, we completed several complex and long-term projects in In the next upcoming year we expect a return on invested efforts: Russia such as the Unified Billing System for MegaFon and the imple- completion of postponed projects and negotiations, start of imple- mentation of an IoT-solution for Rostelecom and Tele2. Nexign also mentations and signing of new deals. We have reached the next level bolstered its positions in the CIS and Middle East markets, having of development and are making a new move. successfully implemented some projects such as, for example, BSS replacement for Uztelecom in Uzbekistan. Following our new market entry strategy, we opened up an office in Latin America. The company also joined the Middle East industrial association SAMENA Council, which allowed us to make closer con- tacts with local telecom operators and directly impact the develop- ment of the industry and technologies in the Middle East and Africa. Igor Gorkov, Nexign CEO © 2021 Nexign. All Rights Reserved. 2 Nexign Annual Report 2020 Contents 4 10 11 12 14 Main Development Financial Results Nexign Team Top Management Global Presence Vectors in 2020 Board of Directors 16 19 26 27 28 Product Portfolio Customers Key Vectors of Nexign Partners Designing the Future and Projects Product Development Remote Work Support 29 34 35 36 37 Interacting Corporate Social Anti-corruption Policy Strategic Independent with Personnel Responsibility Development Auditor’s Report Risk Management Priorities Quality Management © 2021 Nexign. All Rights Reserved. Main Development Vectors in 2020 Nexign Annual Report 2020 Main Development Vectors in 2020 In 2020, Nexign placed emphasis on the development of several strategic areas, each of which was distinguished by important events. Developing Partner Relations with Customers Unified Billing System Project Completed for MegaFon Nexign Network Monetisation Suite Implemented at Yota The Nexign IoT Platform Implementation Project Completed for Rostelecom and Tele2 Nexign and MegaFon, a pan-Russian digital provider, have completed The project on subscriber migration to the Nexign Network the project of unifying billing systems for all 8 MegaFon’s subsidiaries Monetisation Suite has been finalised at all Yota's branches — this A three-party project of Nexign, Rostelecom, and Tele2 on implemen- on a single BSS platform. The migration of a huge subscriber base to a is the first implementation of this product for an operator using a tation of the Nexign IoT Platform was completed in 2020. The Nexign new platform was carried out in stages, while operating the outdated third vendor billing system. The solution has provided Yota with a IoT Platform has enabled integration with the billing systems support- billing solutions until they were completely replaced, and with no im- scalable and flexible tool for managing policies and billing within ing operations of both companies (including the MVNO project) as pact on customers. Due to the implementation of a new unified billing the network. well as helped the operators to launch new competitive M2M solutions system, the operator reduced TTM by up to 5 times. in the market. Unified Billing System Nexign Network The IoT platform Project Completed Monetisation Suite Implementation Project for MegaFon Implemented at Yota Completed for Rostelecom and Tele2 © 2021 Nexign. All Rights Reserved. 4 Main Development Vectors in 2020 Nexign Annual Report 2020 Bolstering Positions in the Emerging Markets BSS System Replacement at Uztelecom Nexign Opened up a Subsidiary in Latin America Active Cooperation with Ucell Started Uztelecom (Uzbektelecom JSC) and Nexign have finalised the imple- In summer 2020, Nexign opened up a subsidiary in Santo Domingo A contract for replacement of their billing system was concluded with mentation of Nexign Converged BSS. Among the project results are (the Dominican Republic) that will become the central office in the re- Ucell, one of Uzbekistan's largest mobile operators. As part of this an increase in the subscribers base of Uzbekistan's largest operator gion of Latin America. This initiative will enable Nexign to strengthen cooperation Nexign will render consulting services as well as imple- by 1.6 M subscribers and a 10% ARPU (average revenue per user) in- its positions in emerging markets by offering LATAM customers solu- ment and provide technical support for the Nexign Converged BSS crease. The TTM for new products was reduced from 2 months down tions to drive digital transformation efforts. platform. to 2 weeks. BSS System Replacement Nexign Opened up Active Cooperation at Uztelecom an Subsidiary in Latin with Ucell Started America © 2021 Nexign. All Rights Reserved. 5 Main Development Vectors in 2020 Nexign Annual Report 2020 Developing Nexign's Product Portfolio Nexign Instant BSS Solution Launched Grant for Developing Universal Digital Billing Received Nexign Acquired a Stake in STORM Technologies At the end of 2020, the company launched Nexign Instant BSS solu- Nexign has received a grant from the Russian Fund for the Thus Nexign strengthened its product portfolio with tion for mid-sized CSPs and MVNO to enable a quick launch of new Development of Information Technologies (RFRIT) to design the advanced digital customer experience management business on growing mobile market. It is a well-defined pre-integrated Universal Digital Billing— a flexible solution for settlements with cus- solutions. package incorporating a BSS stack covering mobile prepaid services tomers, partners, and suppliers. This product is intended both for tele- and the best practices of project delivery and support. com operators and companies from related industries. Grant for Developing Nexign Purchased 'Nexign’s Instant BSS can help CSPs accelerate their deploy- Universal Digital Billing a Share in STORM ment and go-to market which is key to improving competitive- Received Technologies ness especially in emerging markets.' John Abraham, Principal Analyst at Analysys Mason Nexign Instant BSS Solution Launched © 2021 Nexign. All Rights Reserved. 6 Main Development Vectors in 2020 Nexign Annual Report 2020 Increasing Brand Recognition in the Global Market and Attracting New Customers Nexign Signed the Open Digital Architecture Manifesto Nexign Included in Gartner Market Guide for CSP BSS Solutions Nexign Passed Independent Audit SSAE 18 Nexign signed Open API and Open Digital Architecture (ODA) In its research Gartner Market Guide for CSP Business Support The audit was conducted by one of the Big4 companies. Following Manifesto that was developed by TM Forum, a leading global telecom- System Solutions for 2020, the analytical agency listed Nexign as a its results Nexign received a SOC2 report on efficiency compliance munications association. The company will use the principles of open key global BSS solution supplier. That confirms that Nexign is build- of internal control