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Pegasystems Inc.
Public
Traded asNASDAQ: PEGA[1]
Russell 1000 Index component
IndustrySoftware
Founded1983
Headquarters,
Number of locations
38 (2018)[2][3]
Worldwide
Key people
ProductsCustomer Relationship Management (CRM), Business Process Management (BPM), customer service, marketing, sales, and robot process automation
RevenueUS$ 891.6 million (2018)[4][5][6]
US$ 10.6 million (2018)[4]
4500
Websitewww.pega.com

Pegasystems Inc. is an Americansoftware company based in Cambridge, Massachusetts.[7] Founded in 1983, Pegasystems develops software for customer relationship management (CRM),[8] digital process automation,[9] and business process management (BPM).[8] The company has been publicly traded since 1996 as PEGA (NASDAQ).[1] The company's core product is the Pega Platform, which is part of its Pega Infinity suite of applications for customer engagement and digital process automation.[10]

  • 1History

History[edit]

Early history[edit]

Alan Trefler founded Pegasystems in 1983 at the age of 27, in Cambridge, Massachusetts.[7] Prior to founding the company, in the early 1980s Trefler had developed computer systems that could play chess.[1] During the company's early years it focused on providing case management, namely for companies such as American Express.[1][11] Trefler recollects that when he started Pegasystems, he wanted to create software that eased the heavy lifting that business people deal with, as well as software that understood how business-people wanted things to work, commenting 'it turns out to be a fairly hard problem to solve.'[1] An article in Computerworld traces business rules engine to the early 1990s and to products from the likes of Pegasystems, Fair Isaac Corp and ILOG.[12] As a private company, Pegasystems was 'bootstrapped' initially, but did not take on outside investors.[1] The company went public in 1996 with initial and secondary public offerings,[13] and began trading on NASDAQ under the symbol PEGA. Raising several millions in funding in the process, going public freed the company from needing to pursue venture capital investments.[1] Pegasystems entered a period of financial trouble in the late 1990s, following a dispute with its accountants, Ernst & Young.[14] After restating their earnings, Pegasystems faced an investigation by the SEC, which was dropped in 2002.[13]

Acquisitions[edit]

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In March 2010, Pegasystems acquired the enterprise software company Chordiant for around $161.5 million.[15] The acquisition gave Pegasystems access to new markets such as online training, telecommunications and healthcare, with Pegasystems integrating Chordiant and its customer relationship management (CRM) technology into its existing operations.[8] Pega Cloud was introduced using Amazon Web Services in 2012,[3] and in October 2013, Pegasystems acquired the mobile application developer Antenna Software[16][8] for $27.7 million. Located in New Jersey, Antenna also had bases in Kraków and Bangalore.[16]

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Recent history[edit]

Pegasystems hired a cloud technology proponent to develop its cloud technology strategy in 2014. Over the following year, Pegasystems invested in network operations in North America and India to support its cloud services.[17] In May 2014, Pegasystems acquired the Bangalore-based MeshLabs, a text mining and analytics software startup. The Times of India reported that Pegasystems would integrate MeshLabs's text analytics software to 'gather unstructured social media data and decode it into actionable business insights for its clients.' The financial details of the transaction were not disclosed.[18] Pegasystems acquired Firefly in June 2014, a co-browsing tool funded by First Round Capital.[19] The startup from Philadelphia, Pennsylvania was the company's first move into the cobrowsing market.[19] By the summer of 2014, Pegasystems remained headquartered in Cambridge, Massachusetts with 2,700 employees.[18][19] By July 2014 the company was worth around US$1 billion.[7]

By early 2015, Pegasystems remained a publicly traded company[1] on the Nasdaq,[18] with 3,000 employees, 30 offices, and 'more than half a billion dollars in revenue.'[1] As of February 2015, the company had active partnerships with IT outsourcing companies such as Hexaware, Tata Consultancy Services, InfosysBSE, WiproBSE, HCL Technologies, Accenture and Cognizant. By September of that year, companies who had built teams of Pegasystems specialists included Virtusa (engineering and solution delivery partner since 2001), Accenture, Ernst & Young and Cognizant.[17] Between 2005 and 2015, Pegasystems had average sales growth of 21% per year.[20] There was a steady rise in the company's share price in 2015,[21] with higher than expected revenues from the year prior.[22] In January 2016, it was reported that Pegasystems planned on raising its number of employees significantly,[23] and the company announced the acquisition of OpenSpan Inc. in April 2016.[24] Based in Atlanta, Georgia, OpenSpan specialized in robotic process automation and workforce analytics software.[25]

In 2016, Pegasystems announced the launch of the Pega University Academic Program (UAP), offering training and certification on the Pega 7 platform for educators and students.[26] Since 2006, the company has held an annual users' conference, PegaWorld.[3][27] Clients Google, Aflac, and Anthem gave testimonials on using Pega software at the 2018 PegaWorld conference.[28]

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Products and services[edit]

Pegasystems develops and supports software[23] for customer engagement[1] and operations.[23] In particular, Pegasystems specializes in software for business process management (BPM) and customer relationship management (CRM),[8] and is seen as offering more bespoke technology than competitors such as Oracle Corporation or SAP ERP.[29] The company's current core software product is the Pega Platform, part of its Pega Infinity suite of applications for customer engagement and digital process automation, which are designed to connect customer interfaces with back-end process automation.[10] Pegasystems states its applications are certified to work on Google Cloud and other public cloud platforms, including Microsoft Azure, Amazon Web Services, and Pivotal’s Cloud Foundry.[30] In 2018 Pega announced platform additions that used artificial intelligence for marketing campaigns, customer interfaces, and robotic automation, as well as a Blockchain kit for Ethereum.[31]

As of late 2013, Pegasystem’s core software, PegaRULES Process Commander (PRPC), was related to BPM.[8] Pegasystems Inc. in March 2016 announced Pega Client Lifecycle Management (CLM), an application 'that streamlines and automates corporate client onboarding' for banks by '[orchestrating] complex CLM processes on a global scale in a single application, reducing onboarding time by 70 percent and reducing costs by 60 percent.'[32][33] The company has added artificial intelligence into its customer service software to allow interactions to occur on multiple communication channels at once.[34] The company’s low-code development platform was highlighted in a 2018 Wall Street Journal article, with Pegasystems’ chief technology officer explaining that the software allowed developers to 'drag and drop [ready-made software components] to configure applications,” minimizing development time.[35]

Clients and notable projects[edit]

Pegasystems specializes in the following industries: financial services,[23][36]insurance, life sciences, healthcare,[23] government, manufacturing,[23]high tech,[7] communications and media, energy, and utilities. While core areas have traditionally included banking and financial sectors, more recent areas include manufacturing, life sciences and healthcare.[23] As of 2013, other clients included 'largely Fortune 500 companies' such as ING, Lloyds Banking Group, BAA,[8] and the state of Maine, which commissioned Pegasystems to create a BPM system to cut administrative costs. By July 2014, PayPal, Cisco Systems, and Philips were using Pegasystems’ CRM software,[7] and BNY Mellon announced they would be integrating Pega into its operations as part of their efficiency strategy.[36]

See also[edit]

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References[edit]

  1. ^ abcdefghijRogers, Bruce (February 24, 2015). 'Alan Trefler's Pegasystems Is On A Mission To Transform Customer Engagement'. Forbes. Retrieved March 19, 2017.
  2. ^Worldwide Offices, Pegasystems
  3. ^ abcAbout – Timeline – Worldwide Offices, www.pega.com, retrieved March 28, 2017
  4. ^ ab'10-K SEC Pegasystems'. fintel.io/doc. February 20, 2019.
  5. ^Pegasystems Announces Financial Results for the Fourth Quarter and Full Year 2017
  6. ^Investors, Pegasystems
  7. ^ abcdeFarrell, Michael B. (July 6, 2014). 'Seven things you should know about Alan Trefler'. Boston Globe. Retrieved March 20, 2017.
  8. ^ abcdefgGoodwin, Bill (November 21, 2013). 'Pegasystems CEO Alan Trefler plans his next move for the $500m software company'. Computer Weekly. Retrieved March 18, 2017.
  9. ^High, Peter (September 18, 2017), 'Pegasystems Is A 34-Year-Old Startup That Is Built For Change', Forbes
  10. ^ ab'Pega Launches Infinity Digital Transformation Suite, Canto DAM Updates, More News'. www.cmswire.com. June 8, 2018.
  11. ^'The single-easiest way to make customers fall in love with you'. Mashable. May 1, 2015.[unreliable source?]
  12. ^'Do you know where all of your company's business rules are?'. Computerworld. IDG Enterprise. 39 (21): 25. May 23, 2005. ISSN0010-4841. Retrieved February 2, 2014. Rules engines have been around since the early 1990s when companies such as Pegasystems Inc. in Cambridge, Mass., Fair Isaac Corp. in Minneapolis and ILOG in Mountain View, Calif., sold them. They were typically used in rules-heavy industries such as finance and insurance. Over the past few years, however, many vendors have entered the market, and more companies are looking at rules engines as a way to gain greater flexibility in business operations.
  13. ^ ab'SEC drops Pegasystems probe'. Boston Business Journal. Biz Journals. April 10, 2002. Retrieved March 19, 2017.
  14. ^Goldbaum, Lisa R. (May 13, 1998). 'Is The Accounting Cloud Over Pegasystems Finally Lifting?'. Barron's. Retrieved March 20, 2017.
  15. ^Henschen, Doug (March 18, 2010). 'Pegasystems To Buy Chordiant For $161.5 Million'. InformationWeek. Retrieved March 19, 2017.
  16. ^ ab'Pegasystems acquires Antenna Software'. Business Standard. October 16, 2013. Retrieved March 20, 2017.
  17. ^ abGoodwin, Bill (September 2015). 'Why Pegasystems' CEO, Alan Trefler, has learned to think smaller'. Computer Weekly. Retrieved March 27, 2017.
  18. ^ abcPhadnis, Shilpa (May 7, 2014). 'Pegasystems buys Bangalore analytics startup MeshLabs'. Times of India.
  19. ^ abcCutler, Kim-Mai (June 9, 2014). 'Pegasystems Acquires Co-Browsing Tool Firefly, The First Investment By First Round's Dorm Room Fund'. TechCrunch. Retrieved March 21, 2017.
  20. ^Oberweiss, Jim (February 10, 2016). 'A Basket Of Keepers Among Small-Cap Tech Stocks'. Forbes. Retrieved March 27, 2017.
  21. ^'Pegasystems posts 2Q profit'. Yahoo!. July 29, 2015. Archived from the original on October 27, 2016.
  22. ^Winhoffer, Lindsey (July 31, 2015). 'Pegasystems Reaches New 12-Month High Following Earnings Beat (PEGA)'. Watchlist News.[dead link]
  23. ^ abcdefgRaj, Y V Phani (January 21, 2016). 'Cloud to drive Pega growth'. Metro India. Archived from the original on July 2, 2016. Retrieved March 27, 2017.
  24. ^'BRIEF-Pegasystems Inc acquires OpenSpan Inc'. Reuters. April 12, 2016. Retrieved March 27, 2017.
  25. ^Primack, Dan (April 13, 2016). 'Term Sheet — Wednesday, April 13'. Fortune. Retrieved March 27, 2017.
  26. ^'Pegasystems launch UAP'. The Hans India. Hyderabad, Telangana, India. July 2, 2016. Retrieved March 28, 2017.
  27. ^Scardina, Jesse (June 19, 2017), 'CRM AI is the top topic at PegaWorld 2017', Tech Target
  28. ^'Aflac, Commonwealth Bank of Australia, Google, and Liberty Global join PegaWorld 2018 Keynote lineup'. www.pega.com. May 17, 2018.
  29. ^du Preez, Derek (June 10, 2015). 'Pega CEO claims most CRM apps are nothing more than 'conformist online rolodexes''. Diginomica. Archived from the original on September 20, 2015.
  30. ^'On CRM: Pega Now Works on Google's Cloud Platform Because Why Choose Sides?'. www.forbes.com. June 6, 2018.
  31. ^'Pegasystems gives the channel the Infinity option'. www.computerweekly.com. June 2018.
  32. ^Groenfeldt, Tom (March 21, 2016). 'Banks Earn Fees Faster – Pegasystems Cuts Corporate Onboarding Time By 70 Percent'. Forbes. Retrieved March 27, 2017.
  33. ^Kurmanath, K V (September 15, 2016). 'Pegasystems unveils enhanced KYC app'. The Hindu Business Line. Retrieved March 27, 2017.
  34. ^Hyken, Shep (March 4, 2017), 'Moving From Omni-Channel To A Channel-Less Customer Experience', Forbes
  35. ^Castellanos, Sara (February 21, 2018), 'How Low-Code Can You Go? IT Tests 'Disruptive' App Development', The Wall Street Journal
  36. ^ abKline, Alan (June 12, 2014). 'How BNY Mellon Aims to Stay on Top for the Next 230 Years'. American Banker. Archived from the original on March 8, 2016.

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External links[edit]

Pega Software

Retrieved from 'https://en.wikipedia.org/w/index.php?title=Pegasystems&oldid=912314627'