Pegasystems Spreads The Word On Business Process Management

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Pegasystems, a business-process management software vendor, is spreading its gospel of business rules in hopes of spurring the interest of the channel.

The 20-year-old vendor, based here, specializes in products that help clients rationalize and enhance processes used to guide everyday company operations,for example, how to handle a credit-card discrepancy.

In keeping with the current trend of developing products with verticals in mind, Pegasystems has placed a strong emphasis on the financial services, health-care and insurance industries.


Pegasystems also hopes to capitalize on its clients' interest in improving existing business processes rather than ripping them out and starting from scratch,a costly proposition even when economic times are good, vendor executives said.

"We're in the midst of dramatically increasing our attention to the partner and VAR channels," said Alan Trefler, founder and CEO of Pegasystems. "At our recent sales meeting, we had 40 partners show up. We're moving to a culture that's open to partnering, and we think our technology has tremendous applicability in the partner channel."

One of Pegasystems' new partners is eLoyalty, a Lake Forest, Ill.-based management consulting and systems integration firm focused on delivering custom CRM applications.

"Pegasystems is really good at being able to embody complex, multidimensional business rules and put them in a usable format," said Jay Istvan, vice president of strategy and marketing at eLoyalty.

A CRM package that incorporates Pegasystems technology lets clients use information about their customers to select the best course of action in dealing with those customers, Istvan said.

"Is the customer coming in by the Web? By phone? By fax?" Istvan said, citing several factors that a CRM application might crunch to determine how a company might approach working with a customer. "What's his demeanor,is he angry or happy?"

Using that kind of data, Pegasystems' software can route the customer to an appropriate queue or customer-service representative, who will then be able to access the correct records and remedy the problem if there is one, Istvan said.

Trelfer expects that relationships with specialists such as eLoyalty and more broadly focused solution providers such as BearingPoint and Accenture will only grow as Pegasystems gets more exposure for its wares.

"We think that as partners use our products more, they will find they can increase their margins," Trelfer said. "They can walk in the door with intellectual property that differentiates them from their competitors and gives them greater efficiencies during an implementation."

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