The CEO of SirsiDynix, Gary Rautenstrauch, has shared his comments made to the CODI (Customers of Dynix Inc.) Users Group Conference in November.
4 December 2007
Dear SirsiDynix Customer,
As you may know, 50-plus SirsiDynix team members met with hundreds of Horizon and Dynix users on November 7-9 at the 18th annual CODI Conference in Pittsburgh, Pennsylvania. The conference, as is always the case when we meet with customers, was great for us. We gained much from the interaction and had the opportunity to share insights on where we are and where we are going as a company. Since the CODI audience was only a fraction of our total family of customers, I want to share the same information with you and all of our customers around the world.
Before writing further, I would be remiss if I did not acknowledge all of the changes — management, staff, and product strategy — that have taken place at SirsiDynix during 2007. At the same time, we continue to witness the ongoing evolution of technology and the worldwide library community. That’s a lot of change. So how do we respond… how do we move forward?
Since becoming CEO in June, I’ve spent significant time talking and meeting with as many libraries as possible. This has been a wonderful learning experience for me — building on my 26 years of working with libraries while at Baker & Taylor and Blackwell’s. I really appreciate all the input, which has helped in identifying problems and opportunities, as well as setting priorities, which I discuss below.
From all my conversations, it’s worth noting that customers’ primary concerns revolve around, not the past, but the future and how SirsiDynix must move forward. A number of important themes have emerged:
* Rebuilding trust and confidence
* Improving our business processes
* Fostering SirsiDynix’s No. 1 resource — our people
* Enhancing communications with customers
* Making the upgrade to SirsiDynix Symphony easy and cost-effective
TRUST AND CONFIDENCE
Nothing has been clearer to me in my conversations with customers than the need to restore your trust and confidence in us. Because SirsiDynix is in a relationship business, we must focus on building and strengthening customer relationships. How do we do this? First and foremost, it’s by renewing our commitment to delivering what we promise…and not promising what we cannot deliver.
As your technology partner, we must deliver the new and enhanced products and services you require. And I am encouraged by the forward progress we are now seeing, including:
* SirsiDynix Symphony 3.2 now in beta testing and on track for release before the end of 2007
* Expansion of our highly successful software-as-a-service (SaaS) offerings, which we have undertaken for customers who want SirsiDynix to manage their systems for them
* Near completion of new, easy-to-use and -manage Web-based staff client for Unicorn GL3.1 and SirsiDynix Symphony 3.2, which has been specifically designed for K-12 libraries and sets the stage for future versions of the product
* Continuing upgrades to Horizon 7.4, including 7.4.1 due for release before the end of 2007*
Another exciting product initiative I want to mention is a new faceted search solution we announced on November 7. In partnership with Brainware Inc., our next-generation search technology will provide innovative fuzzy search, fuzzy logic, dynamic categorization, and other capabilities that will empower information seekers to discover more content from more sources. Additionally, our new search product will seamlessly integrate with SirsiDynix integrated library system (ILS) and online public access catalog (OPAC) products, offer customizable interface look-and-feel templates, provide single- and multi-byte character support, and be supported on local servers or via SirsiDynix’s software-as-a-service hosted operations. The first release of SirsiDynix’s next-generation search solutions is slated for summer 2008.
Of course, delivering products is but one gauge of how SirsiDynix is doing as a company. I also want you to know that we are a strong and reliable partner… and that we are both profitable and stable. Tangible proof is our continuing growth: adding new customers and to moving existing customers from legacy platforms. Thus far in 2007, we have signed 119 new contracts, including almost 50 new contracts for libraries taking advantage of our software-as-a-service hosting offerings. In a changing world, we realize how critical it is for you to be able to rely on us as your technology partner today and down the road. I assure you that you can do so.
IMPROVING HOW WE DO BUSINESS
For a company that supports 4,000 clients operating through more than 20,000 library locations in 40+ countries around the globe, maintaining effective business processes is critical to your satisfaction and our success. That is why we are recommitting SirsiDynix to operating better and smarter in every aspect of our business — product development, testing, implementation, training, and client care, as well as billing and other back-office functions that impact our ability to serve customers.
We are making a number of business process investments, including new customer relationship management and client care Web portal systems. These investments will assist us in better managing our interactions with customers, providing well-organized support content, and offering unparalleled self-service capabilities, including a new, easy-to-search knowledge base. And these initiatives represent only the beginning of our efforts to improve how we do business.
FOSTERING OUR NO. 1 RESOURCE
In a technology business such as ours, people are our primary resource… employees are the energy, creativity, and passion behind our success. With the changes that have come to SirsiDynix in 2007, “the cheese has moved” for some SirsiDynix employees. Yet we are more dedicated than ever to creating an environment where caring, productive, and committed employees serve our customers.
Toward this end, we are hiring new people. In just the past quarter, 49 new staff members have joined us. As you know, it can be difficult to find outstanding people, especially with technical backgrounds. Every day, we are recruiting to hire the best talent we can find… getting the right people in the right jobs… and fostering the right environment where they can be the most productive.
Of course, strong management is also essential for moving forward. In recent months, Doug Maughan and Matt Hawkins, chief financial officer and chief operating officer, respectively, have joined me, Talin Bingham, chief technology officer, Bill Davison, chief sales officer, and Keith Sturges, president of SirsiDynix International, to round out our senior management team. Additionally, Berit Nelson, John Dickson, Terry Jarnagin, Barbara Pacut, Brad Whittle, Eric Keith, Lamar Jackson, Jim Wilson, Stephen Abram, and Tom Gates, along with their teams, continue their efforts every day.
IMPROVING CUSTOMER COMMUNICATIONS
During times of change, it is critical that we communicate as much as possible. Not only does this help in avoiding confusion, but shared information equips you to make plans and decisions. While we have certainly attempted to communicate effectively throughout 2007, SirsiDynix realizes that we must do even more.
In 2008, you will see SirsiDynix ramp up our communications: conference calls, Webinars, executive programs, whitepapers on detailed technical topics, and more — two-way communication in which we will simultaneously listen to you and, in return, provide the information you need for the future.
MAKING THE UPGRADE TO SIRSIDYNIX SYMPHONY EASY & COST-EFFECTIVE
Early in this letter I referred to the dizzying pace of change, certainly including all the changes at SirsiDynix during the past year. But even as complex an environment as we all work in, I believe it is clear what SirsiDynix must do at the end of the day — straightforwardly, we must make moving forward with us as easy and cost-effective as possible.
That brings us to our plans for SirsiDynix Symphony, which will serve as our flagship integrated library system platform. We are confident that these plans are well-founded and will serve our customers well. Why? Simply put, SirsiDynix Symphony is built on an open, scalable, and extensible architecture and offers the outstanding feature set that our diverse customers demand. What’s more, SirsiDynix Symphony can continue to evolve and enhance as needs change. This isn’t just a promise… it’s a commitment based on the proven track record of a system architecture supporting more libraries around the world than any other.
What does the SirsiDynix Symphony strategy mean?
* Unicorn sites will continue to operate on the same solid technology foundation, while enjoying the expanded features and functions that will come with SirsiDynix Symphony. And Unicorn sites will continue to enjoy no-cost upgrades to SirsiDynix Symphony, just as they have in the past in upgrading between versions of Unicorn.
* Horizon sites can continue to use Horizon for the foreseeable future (4-6 years at minimum). We will continue to update Horizon along the way — Horizon 7.4.1, as mentioned above, will be out before the end of 2007, and 7.4.2 is planned for 2008. We are also updating the HIP product, including updates to Horizon 7.4.x server releases. When the time is right, Horizon sites can move to SirsiDynix Symphony. And I am pleased to mention here, as we announced at the CODI Conference, that North American Horizon sites have no- and low-cost SirsiDynix Symphony upgrade options. Horizon customers should talk to their SirsiDynix sales consultants for more details.*
* All SirsiDynix sites, including DRA, Dynix, and MultiLIS, will benefit from a great technology roadmap. With SirsiDynix Symphony 3.2, our customer family will benefit from the strongest architecture, unequaled openness that permits easy customization and third-party integration, broadest functionality, cost-saving software-as-a-service hosting services, myriad portal and search solutions, exciting new offerings like an easy-to-manage Web-based library staff software, and a host of professional services. And all of this is available today and will continue to expand into the future.
MOVING FORWARD
In summary, we are moving forward to be the strong, reliable partner you need to deliver the best library software and services in the world. We will continue to protect our customers’ current investments in SirsiDynix technology until the time they are ready to transition to SirsiDynix Symphony. We view this as a commitment to our customers, which is especially important when considering libraries’ limited budgets, scheduling requirements, and unique technology plans. And, as I wrote earlier, all we do must be underscored by a recognition that we are primarily in a relationship business, which necessitates our…
* Rebuilding trust and confidence
* Improving our business processes
* Fostering SirsiDynix’s No. 1 resource — our people
* Enhancing communications with customers
* Making the upgrade to SirsiDynix Symphony easy and cost-effective
The bottom line is that SirsiDynix must deliver in all respects as your technology partner. We know that. We thank you for your business… more than that… for your loyalty. And we look forward to the months and years ahead, as we continue working together in common purpose to strengthen libraries in their mission to serve users.
Sincerely,
Gary Rautenstrauch
Chief Executive Officer
Gary.Rautenstrauch@sirsidynix.com
*Local variations to upgrade schedules and pricing apply to customers outside North America and will be handled by regional SirsiDynix offices.