Pegasystems Inc. Craig Dynes, CFO

Transcription

1 Pegasystems Inc. Craig Dynes, CFO May 2012

2 Safe Harbor Certain statements contained in this presentation may be construed as forward-looking statements as defined in the Private Securities Litigation Reform Act of The words believe, expect, hope, anticipate, plan and similar expressions identify forward-looking statements, which speak only as of the date the statement was made. The company does not undertake and specifically disclaims any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. These statements are based on current expectations and assumptions and involve various risks and uncertainties, which could cause the Company's actual results to differ from those expressed in such forward-looking statements. These risks and uncertainties include volatility of our quarterly operating results, difficulty in predicting the completion of product acceptance and consequently the timing of our license revenue recognition, the level of term software license renewals, our ability to develop new products and evolve existing ones, the impact on our business of the ongoing consolidation in the financial services and healthcare markets, our ability to attract and retain key employees, reliance on certain key thirdparty relationships, management of the Company s growth, and other risks and uncertainties. Further information regarding these and other factors which could cause the Company s actual results to differ materially from any forward-looking statements contained in this presentation is contained in the Company s most recent form 10-K and other recent filings on file with the Securities and Exchange Commission. Investors are cautioned not to place undue reliance on such forward-looking statements and there are no assurances that the matters contained in such statements will be achieved.

3 3 2012, Confidential, Pegasystems Inc.

4 6 year Revenue CAGR of 27% Pegasystems Annual Revenue

5 Pegasystems With its unified platform, Pegasystems software is the fastest way to build, deploy and change enterprise software applications. These applications manage complex, changing business processes processes like loan loss mitigation, customer service call centers, patient care management and risk, fraud and compliance.

6 Customers use our Software to Solve lots of Business Problems Financial Services Insurance Healthcare Communications Service Case Management Loan Loss Mitigation Pre-Foreclosure Retail Account On-Boarding Commercial On-Boarding CRM for Banking New business and underwriting Policy service Contract administration Claims processing Risk, fraud and compliance Care management Healthcare industry foundation Sales Process Management ICD-10 Medicare/Medicaid Communications Foundation Customer Retention Order Management Service Case Management Unified Desktop Life Sciences Electronics Energy Travel/ Hospitality Life Sciences Industry Foundation CPM for Life Sciences Spend Management for Life Sciences Optimized Grants Management Adverse Event Case Processing Warranty Management New Business Intelligent Automation Customer Relationship Management Risk, Fraud and Compliance Oil and Gas Integrated Production Oil and Gas Integrated Asset Planning Collections Solution for Utilities CRM for Utilities New Business Intelligent Automation CRM Risk, Fraud and Compliance Public Sector Manufacturing Retail BPO Citizen Benefit Delivery Eligibility Determination and Enrollment Constituent Relationship Management Intelligent Automation Risk, Fraud and Compliance Warranty Management New Business Intelligent Automation Customer Relationship Management Risk, Fraud and Compliance Warranty Management New Business Intelligent Automation Customer Relationship Management Risk, Fraud and Compliance Smart Multi-Sourcing Real-Time Lean Multi-Sourcing Warranty Management

7 The Pega Advantage

8 What s the Pega Advantage It s completely unified It s faster to market than anything else in the industry It gets work done

9 If you want to build a solution, you ll need: Process and Rules Predictive Analytics Cloud Mobile Case Management Integration Reporting

10 Everything you need in one unified platform for development and Predictive Analytics Processes Rules and Policies Ad Hoc Tasks Collaboration PRPC: The Only Unified Platform For Developing Business Applications Case Management Integration Social Multi-channel Reporting Mobile

11 Everything you need in one unified platform for development and Deployment! Cloud Back Office Mobile PRPC: The Only Unified Platform For Deploying Business Applications Front Office Web Facebook/Social

12 Predictive analytics baked into the platform

13 Specialize by jurisdiction, product, and customer??? Specialized Processes Europe Germany Central EU Direct Auto Credit Gold Geography Product Customer Pega BPM & Frameworks Enterprise-Wide Standards

14 A simple change is not always so simple... Customer Information Name Address City, State, Zip Address Twitter ID

15 Customer Information Name Address City, State, Zip Address If field needs to appear in multiple screens, need to manually re-add, since there is no reuse of sections If you re using our competitor s products Manually retest the screens for vulnerabilities Make Text scroll up Compile and export the rules engine components Compile and export the workflow components Compile and export the CRM system components Compile and export the case management components Compile and export any external integration code. Twitter ID Perform end to end regression testing Deploy the rules engine components Deploy the workflow components Estimated time to complete: 16 days Deploy the CRM components

16 But if you re using PRPC Customer Information Name Add a property Drag property onto a section Type a label Address City, State, Zip Address Twitter ID Estimated time to complete: 2 minutes

17 Faster to Market than Anything Else in the Industry Faster to learn Faster to develop Faster to deploy Faster to change

18 Faster to learn even in your pajamas

19 Faster to Build and Change Directly Capture Objectives without Spec Documents and Hand Coding Automatic code generation! No Hand Coding from Specs

20 Faster to Build and Change Case Management

21 Faster to Build and Change UI Events and Gallery

22 Faster to Build and Change Guardrails to Keep on Track

23 Faster to Build and Change Vertical and Functional Frameworks Smart Investigate for Payments Smart Dispute Smart Investigate for Securities Card CPM Smart Adjust Financial Accounting New Business Backbone for FS Product Configuration Financial Services Foundation Project Management Autonomic Event Services Financial Crimes Management VERTICAL FRAMEWORKS Integrated Work Manager FOUNDATION FRAMEWORKS PLATFORM FRAMEWORKS PRPC Insurance Foundation Borrower Assist Internet Application Composer Test Management Automated Unit Testing CPM for Insurance Sales Process Manager Customer Process Manager Healthcare Foundation New Business Backbone for Insurance CPM for Healthcare Claims Workstation+ Claims Servicing Backbone Claims Repair Care Management

24 Faster to deploy Optionally Develop, Test or Deploy on the Cloud

25 How fast? 63 Days from Inception to Go Live!

26 Automate, guide and track with the Leading Case Management and BPM Technology Automate Guide Track Straight Through Processing Whenever Possible Intent Driven UI Unstructured And Ad Hoc Tasks

27 Collaborate on Work using social tools

28 It Gets Work Done Automates work What you can t automate you guide; what you can t guide you track. Supports collaboration via social tools and Mobile devices

29 The Power of PRPC It s Unified It s faster to market than anything else It gets work done

30 Transforming Air Travel

31 Transforming Commercial Banking Benefits Global deployment for 29 request types in less than 8 months Transparency of operation process and real time visibility of work Ensures onboarding requests are in line with business strategy & appropriately prioritized Global process enables off-shoring and cross-training Reduced operational risk by supporting an audited process. This has been one of the most ambitious projects undertaken at HSBC. Its success has been due to the ability of IT and the business to work together on the development from day one. - Guy Coles, Global Head of COBAM.

32 Transforming Medicaid Benefits Reductions in Average Handle Time (AHT) - 15% clinical; 12.5% non-clinical Eliminated misrouted work from Facets 50% daily work reduction for downstream claims departments 30 associates redeployed 50% reduction in new associate ramp-up Stronger IT / Business collaboration Improved customer satisfaction providers & beneficiaries We re proud of what we ve accomplished with Pega. It s been transformational for us. Russell Esposito, Amerigroup

33 Transforming Communications Benefits 3 month deployment for: Automation of Line Ordering Process Automated Order Validation and Product Availability Check Transparent Supplier SLA Monitoring and active escalation Reporting functionality Significant improvement in agility High degree of automation and significant reduction in operating cost per order Next best action marketing is very powerful because you can use it across channels, you can implement it fairly quickly, and you can achieve very successful conversion rates. The rates we are seeing across operating countries are double digit net conversion rates. Chretièn Brandsma, Vodafone

34 Transforming Personal Health Care Benefits Provides 2x functionality of six previous clinical legacy platforms; delivered in half the time Robust personal health record with input from 45,000 devices communicating daily including labs & in-home biometric equipment Improved health outcomes via real-time healthcare coordination & participant portal personalization 75% improvement in time to market for custom programs; 5x faster participant enrollment; 50% cost reduction 20MM participants (RNs, MDs, Health Coaches & Plans); 100MM monthly transactions Through leveraging Pega s robust rules engine we are able to provide customized clinical advice & assessment. This allows us to respond to customers & medical innovations quickly, giving Alere a clear competitive advantage around speed & innovation. Ed Smith, Alere

35 Transforming Retail Banking Benefits Deposits doubled - with no additional marketing New accounts increased over 400% 75% of accounts were new relationships Redeployed 60% of back-office resources Deployed in 8 months Our new Sales Application Center has enabled us to simplify the account opening process and grow new accounts in the online channel by over 400 percent. Chris Casperson, SunTrust

36 Transforming Insurance Key Business Results: Average Call Time reduced by 20 % CSR Training time reduced from two weeks to one day Quality Scores improved by 6% Customer Service intimacy through intent-led processing Enhanced Customer Experience Fan mail for the system Most Recognized Application of Celent Model Insurer of the Year - INNovators Award (Insurance Networking News) - WfMC Gold Award for North America - WfMC Silver Award for North America - Gartner Research BPM Application of the Year - Finalist - Innovation Solution Award (Information Management Magazine)

37 Not a Typical Enterprise Software Company Purpose based licenses; $500 to $1 million Solve specific business problems for business people, not IT Perpetual licenses with ongoing maintenance Term licenses with 3 5 year non-cancellable terms

38 Pegasystems Future License Payments Term License Payments Installment payments for non-cancellable term licenses not recorded on the balance sheet as of March 30, 2012: Perpetual and Subscription License Payments Installment payments for non-cancellable perpetual and subscription licenses not recorded on the balance sheet as of March 30, 2012: and beyond 24.6 Total $ and beyond 9.5 Total $ 56.3

39 Global Strategic Alliance Tiers and Partners

40 BPM is just part of the market BPM $ 2b BPM for CRM $6b BPM for Case Management $18b

41 Only Pegasystems is Ranked #1 by Both Gartner and Forrester for BPMS

42 Pegasystems #1 in Case Management The Forrester Wave : Dynamic Case Management, Q1, 2011

43 and is a recognized leader in CRM

44 Empowering Our Customers to Build for Change

45 Pegasystems Inc. 101 Main Street, Cambridge, MA