Pegasystems Maps Comprehensive New Initiative for Driving Quality Improvement through Exceptions Management
CAMBRIDGE, Mass., Oct. 20, 2003 — Pegasystems Inc. (NASDAQ: PEGA), a leading provider of rules-based, smart business process management (BPM) software, today outlined a new corporate backbone application for managing rogue transactions that cost financial institutions an estimated billion dollars per year in wasted overhead expenses, quality control, and customer satisfaction. The company will preview and demonstrate components of the new solution at the SWIFT-organized Sibos financial services conference in Singapore, October 20–24.
The application, built on Pegasystems' J2EE-compliant BPM platform, PegaRULES Process Commander, unifies Pegasystems and third-party software applications on a single platform for managing exceptions — transactions that include errors, disputes, violations, and other nonstandard operating events — across a company's operations. Now, rather than navigating several different systems to find the information needed to resolve exceptions, service agents and operations personnel can access relevant customer information through the solution's unified platform. The enterprise-wide application is scheduled for launch in early 2004.
Pegasystems is a leading supplier of enterprise software to the financial services industry, counting more than 60% of the world's leading banks among its customers(1). The new initiative is designed to provide senior management with the ability to bridge traditional organizational boundaries to help improve operational performance and deliver superior customer service. The application will help provide the critical backbone required for total quality management initiatives such as Six Sigma.
"Customers have more faith in companies that deal quickly and efficiently with difficult situations," said Henry Ancona, president and COO, Pegasystems. "Our goal with this application is no less than to provide senior management with the visibility and control tools they need to help monitor and manage performance and customer relations across the organization, helping to drive down exceptions while improving customer service and overall quality."
According to TowerGroup, a leading financial services research and consulting firm, exceptions are the single largest cause of customer complaints, financial exposure, and operational cost for a financial institution. Although they constitute only 1–2% of total transaction volume, they are the most expensive transactions that an institution processes. Exceptions account for approximately 10% (or $5 billion) of back-office transaction processing costs. TowerGroup estimates overall back-office IT expenditures by financial services organizations to be over $50 billion per year.
The new Pegasystems solution helps companies improve customer service by providing consistency across multiple lines of business and facilitating the management of tasks so that they are in line with agreed service levels for a product or customer. It also automates exception management tasks that are currently performed manually. Some of these tasks include providing service agents with scripts and correspondence templates to match specific situations, and collecting data for reporting and quality control. The solution creates a layer of business rules that can consolidate the necessary information from disparate systems. Unlike systems that use hard-coded application logic, the rules layer changes to accommodate new policies and market shifts. This enables companies to focus on customer service, rather than technology.
The application's features include:
- Dashboards that track actual individual and group performance against goals, in real time;
- Functionality, such as service-level agreements, that empowers relationship managers and operations managers to drive the service provided to individual customers across the organization;
- Customer report cards that offer an enterprise-wide view of the customer's activity;
- Real-time pattern, trend, and threshold monitoring to facilitate early detection of repetitive exceptions;
- Random and specific work selection for audit and quality review;
- Event-driven surveys to customers and employees; and
- Guided processes for managing customer complaints.
Certain statements contained in this press release may be construed as "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. 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 impact of pending regulatory proceedings, difficulty in predicting the completion of product implementations and consequently the timing of revenue recognition, the inability to attract and retain key employees, reliance on key third-party 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 press release is contained in the Company's Quarterly Report on Form 10Q for the quarter ended June 30, 2003 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.
NOTE: Pegasystems is a registered trademark of Pegasystems Inc. Other product and company names may be trademarks of their respective owners.
Pegasystems (NASDAQ: PEGA) develops strategic applications for marketing, sales, service, and operations. Pega’s applications streamline critical business operations, connect enterprises to their customers seamlessly in real-time across channels, and adapt to meet rapidly changing requirements. Pega’s Global 3000 customers include many of the world’s most sophisticated and successful enterprises. Pega’s applications, available in the cloud or on-premises, are built on its unified Pega 7 platform, which uses visual tools to easily extend and change applications to meet clients’ strategic business needs. Pega’s clients report that Pega gives them the fastest time to value, extremely rapid deployment, efficient re-use, and global scale. For more information, please visit us at www.pega.com.
All trademarks are the property of their respective owners.
The information contained in this press release is not a commitment, promise, or legal obligation to deliver any material, code or functionality. The development, release and timing of any features or functionality described remains at the sole discretion of Pegasystems, Pegasystems specifically disclaims any liability with respect to this information.
Lisa Pintchman Rogers
VP, Corporate Communications
Director, Corporate Communications
Sr. Manager, Public Relations
Director, Corporate Communications
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