Pegasystems Inc. Build for Change Pegasystems Inc.

Transcription

1 Pegasystems Inc. Build for Change Pegasystems Inc.

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. 2

3 What We Do Pega software revolutionizes how leading organizations optimize the customer experience & automate operations 3

4 4 We Serve the World s Leading Organizations

5 The Problem We Solve Understand me Archaic Development CROSS-CHANNEL CROSS-SILO EFFICIENCY Meet my needs Execution Gaps Chaotic Processes Make it easy! Ineffective Systems SERVICE ORIENTED ARCHITECTURE (SOA) Infrastructure (App Server, Database, etc.) LEGACY APPLICATIONS 5

6 Our Secret Sauce: Customer Oriented Architecture (COA) Skill Based Routing Cases & Folders Model & Simulate Priority Imaging Multi-Channel Productivity & Quality Alerts Open Database Telephony W eb Services Anticipatory Retrieval Guided Processing Adaptive Analytics Automated Transactions Tailored Interactions Next Best Action System-Driven Processing Archaic Development 1 DIRECTLY CAPTURE OBJECTIVES CROSS-CHANNEL 2 CROSS-SILO EFFICIENCY INDUSTRY PROCESSES Execution Gaps SITUATIONAL LAYER CAKE Chaotic Processes 3 Ineffective Systems 6R CASE AUTOMATION SERVICE ORIENTED ARCHITECTURE (SOA) Infrastructure (App Server, Database, etc.) LEGACY APPLICATIONS 6

7 Pega Solutions Portfolio Vertical Solutions FS HC Ins Comms Energy Public Sector Life Sciences Manufacturing Horizontal CRM Horizontal Case Management Business Solutions Marketing Automation Sales Force Automation Customer Service Exceptions Case Mgmt Claims Case Mgmt Incident Case Mgmt Technology Solution Pega BPM (PRPC) Unified Development Platform Rules, Process, UI, Case Management, Reporting, Integration, Mobile, Decisioning 7 On Premise or PegaCloud

8 Go To Market Model Target Accounts in Target Industries Land, Expand, Transform Strategic SI Partnerships-Pega as Expert Services Invest in Enablement-Pega Academy 8

9 A Great Business 8 YEARS OF REVENUE GROWTH 24% CAGR $461 *$510 $416 $337 $264 $212 $162 $100 $ * Guidance 9

10 10 Third Quarter 2013 Financial Results

11 Q License Backlog and Cash Growth License Backlog Cash, Cash Equivalents and Marketable Securities Balance Sept 30, 2012 $195.2 Balance Sept 30, 2012 $111.3 Increase 39.0 Increase 77.1 Balance Sept 30, 2013 $234.2 Balance Sept 30, 2013 $188.4 Remainder of 2013 $ and beyond 23.7 Total $

12 Recognized as THE Leader by Industry Analysts # 1 IN BPM BY GARTNER AND FORRESTER LEADER IN CRM BY GARTNER AND FORRESTER PEGA PEGA PEGA PEGA PEGA # 1 IN CASE MANAGEMENT BY FORRESTER 12

13 A Large And Growing Market BPM for Case Mgmt $18b BPM for CRM $6b Pure Play BPM $2b 13

14 DOUBLED MARKET SHARE IN ONE YEAR BUSINESS GOALS RESULTS Seize market opportunity Personalize for each client Support 15,000 agents Rejuvenate core systems Cut submission-to-policy-issue process FROM 14 DAYS TO 14 MINUTES QUOTES IN 1.5 MINUTES instead of 45 MINUTES Business owner policy solution live in 29 STATES IN 5 MONTHS INCREASE 70% in policy umbrella sales Business/IT empowerment CONSISTENT AGENT & UNDERWRITER EXPERIENCE We went from having people in a room talking about what was possible, to having something for our agents to use in 5 months. That s pretty lightning speed in my view Mhayse Samalya President of Farmers Commercial Business Insurance 14

15 $275 MILLION NET BENEFIT 30 PROGRAMS UNDERWAY WITH 40 MORE ON DECK BUSINESS GOALS Create enterprise alignment to improve quality & decrease costs Drive demonstrable value for customers and employees Deliver a consistent approach to maximize business / IT collaboration Move from tactical to strategic orientation to support growth and agility RESULTS $26 MILLION NET BENEFIT for CMS reconciliation 60% AUTO APPROVAL of prior authorizations for pharmacy benefit managers 9x IMPROVEMENT in physician contracting cycle time Pega selected as BPM ENTERPRISE STANDARD 50% IRR & CONSOLIDATION OF 5 GROUPS / 8 SYSTEMS for appeals & grievances We have 70 programs in the pipeline with over 30 of them underway and the net benefit for those 30 is $275 million NET benefit. Alistair Jacques Senior Vice President and Chief Information Officer, Medicare and Retirement 15

16 INCREASING PROFITS IN JUST 9 WEEKS PEGA CLOUD BASED SUPPLY CHAIN SOLUTION DRIVES AGILITY BUSINESS GOALS Provide visibility across global supply chain Leverage and enhance existing SAP investment Improve operational processes Increase speed of deployment Communicate process changes quickly RESULTS SAVING 5 MILLION PER YEAR 9 WEEKS TO GO-LIVE DASHBOARD MANAGES 9 KEY MILESTONES across 3 disparate systems BUSINESS USERS ABLE TO own and change their processes Visibility of overall process FOR ALL PARTICIPANTS We shipped six million units in two months and had to have the Batman title in shops all on the same day. If someone is running late with artwork, that adds risk. Pega gave our ERP system the agility to handle that. Andi Mutlow Project Manager of MIS 16

17 Investment Highlights Strong Long Term Growth Profile Strong Balance Sheet-No Debt Technology Leader in an interesting Market subsuming other traditional categories Strong Presence in the World s Leading Organizations 70% of bookings from existing clients Seasoned Management Team 17

18 Build for Change Pega software revolutionizes how leading organizations optimize the customer experience & automate operations 18