Study: Technology and customer demands drive major upcoming transformations in Nordic companies – geopolitical risks play a surprisingly small role

The consulting firm Midagon today published the results of its Nordic Transformation Study*, shedding light on how Nordic business and technology leaders are preparing for major transformation initiatives in 2025–2027. The study was conducted in four Nordic countries between June and September 2025 and included more than 400 senior decision-makers.

The key finding is surprising: geopolitical risks, widely discussed in recent years, are not seen by executives as a major driver of transformation initiatives. Only a few per cent of respondents cited geopolitical risks as an important reason for launching a transformation. Instead, the strongest drivers of transformation in the coming years are the adoption of AI and other new technologies, rising customer expectations, and addressing skills and capability gaps. 

“The results show that companies are primarily focused on improving competitiveness and efficiency through technology. Geopolitical risks are certainly perceived as a challenge in the operating environment, but they do not steer strategic transformation initiatives in the same way as technology and customer demands,” says Ilkka Töyrylä, CEO of Midagon Group. 

AI adoption and efficiency optimisation – the same priorities across all Nordic countries 

According to the in-depth interviews conducted as part of the study, Nordic companies are focusing on three main types of transformation initiatives in 2025–2027: 

• Digital transformation and AI adoption – automation of processes, improving customer experience, and developing new services. 

• Operational efficiency and process optimisation – cost control and efficient use of resources. 

• Mergers and acquisitions and organisational restructuring – achieving economies of scale and increasing agility. 

“Regardless of the Nordic country, the recession is clearly reflected in the responses. We are living in pragmatic times. Companies prioritise initiatives that provide the fastest route to improved competitiveness and better control of cost pressures,” Töyrylä comments. 

According to Töyrylä, there is always a common denominator behind successful transformation initiatives: committed top management and effective change management. The study respondents also identified leadership commitment (82–92% of respondents) as one of the most important enablers of successful transformations. Conversely, the most common reasons for failure were employee and/or management resistance to change (89–99% of respondents) and a lack of skills and resources (86–88% of respondents). 

“Large transformation initiatives are often multi-year, resource-intensive projects that can define a company’s future capabilities. Especially in times like these, Nordic companies cannot afford to fail in their transformation efforts. We have supported hundreds of large and mid-sized Nordic companies in their transformation journeys and have seen the same pattern repeatedly: whether it is an ERP programme or a post-merger integration, success ultimately comes down to strong change management,” Töyrylä says. 

See the study results here: Nordic transformation study fact sheet

* Study details: 

The study was conducted by SIS International Research, combining a quantitative survey (n=420) with qualitative in-depth interviews (16 respondents). The research was conducted between June and September 2025 across four Nordic countries: Finland, Sweden, Norway, and Denmark. 

The objective of the study was to understand how business and technology leaders perceive and prepare for business transformation over the next two years in the context of digitalisation, regulation, cost pressures, and geopolitical uncertainty. 

The respondent profile was selected to represent a broad range of industries, including energy, manufacturing, financial services, healthcare, life sciences, telecommunications, and public sector organisations. Respondents held roles such as Chief Executive Officer (CEO), Chief Information Officer (CIO), Chief Technology Officer (CTO), Chief Financial Officer (CFO), Chief Digital/Data Officer (CDO), and Transformation, Strategy, and Change Leaders. 

The majority of respondents represented companies with fewer than 500 employees and annual revenues below EUR 250 million.