Computer science, from the family mill to the top of CGI
Serge Godin, born in 49, Canadian from Quebec, son of a miller, is the man who created, forty-six years ago, CGI, one of the largest technological consultancy companies in the world. Now it is worth more than 20 billion dollars on the stock exchange with 5,500 clients worldwide who use it for consultancy in the area of technological development, in particular in digitalization and criminal threats and its founder is one of the richest in North America according to Forbes with assets of nearly $3 billion. The headquarters is in Montreal, 90,000 people are employed in over 40 countries, including Italy. The secrets of success? Essentially three: the super-competence in a historical moment of little competition, the growth through a decisive acquisition strategy and the tenacity of its founder, whose life could be the script for a film. To say that Serge Godin is a self-made man is absolute truth. He was the eighth of nine siblings and to support his family he helped his father in the mill. After the business was destroyed by fire, the older youngsters had to work to support everyone. From evening employment in a supermarket, to laundry on weekends and in the meantime studies and a degree in computer science. At the age of 26, with his first savings, he created CGI in the cellar, which received the first contract from the Ministry of Social Affairs of the French-speaking Canadian province to develop information systems.
Computer science, something little known in the 70s
Helped by his friend André Imbeau, he computerized the local university which was the driving force behind his subsequent successes. In the 70s, information technology was something of a mystery to many business executives who didn’t know how to move. Furthermore, there was very little competition. And in these moments CGI began to become a voracious predator of competing companies, the first of which was BST which allowed us to provide further consultancy also in systems integration and IT outsourcing. In 1998, two more winning moves, the merger with Bell Sygma and trading on the New York Stock Exchange. In 2004, the acquisition of American Management Systems allowed the company to double its size in America, triple its size in Europe and position itself in Australia. And the logic of the predator is still not finished since last year about 460 million euros were invested for 5 new acquisitions. But always putting its know-how in expert local companies from each country.
Informatica, a turnover of about 13 billion Canadian dollars
CGI had a turnover of approximately 13 billion Canadian dollars (over 9 billion euros) in 2022 with a growth of 6.1% and a profit of 1.47 billion Canadian dollars. The trend for 2023 is equally good with an improvement of 11.6% in the first quarter. The desire to “buy” has by no means ended and, on the contrary, is now corroborated by liquidity of over 1 billion Canadian dollars. The founder’s daughter, Julie, is at the helm. Another peculiar aspect of CGI is that it is a company run by its founders. All of its senior leaders have been with the company for more than a decade, growing through various divisions before taking on more responsibilities. In this way, management knows the company model in all its details. At the moment one of the most requested services is computer security. The group is busy planning, protecting, training and responding quickly to potential cyberthreats around the world with 24-hour prevention.
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