Pegasystems Positioned as a Leader in Leading Analyst Firm’s 2009 Magic Quadrant for Business Process Management Suites

Pegasystems (NASDAQ:PEGA) announced today that it has been positioned as a leader in the "Magic Quadrant for Business Process Management Suites,” issued by Gartner, a leading independent technology research firm. Pegasystems was identified among the leaders in an evaluation of 22 vendors included in the report.

Gartner’s Magic Quadrant notes that, "2008 overall has marked a turning point for BPM as a discipline. Our hundreds of interactions with enterprises lead us to conclude that they are scaling up their efforts to establish BPM as an enterprise program — not just apply its methods and technologies to one-off projects.”¹

According to Gartner, "by the end of 2007, the BPMS market reached nearly $1.7 billion in total software revenue and began to exhibit the characteristics of an early mainstream market; that is; it features proven technology, some stable vendors, vendor consolidation and rapid user adoption. The BPMS market is the second-fastest-growing middleware market segment; Gartner estimates that the BPMS market will have a compound annual growth rate of more than 16 percent through 2012, when it will reach a total of $3.6 billion in revenue.”¹

The latest generation of Pegasystems' rules-driven Business Process Management Suite, SmartBPM^®, is a comprehensive solution intended to help businesses plan, build and manage process-management solutions through their entire life cycle. It blends process and business policy rules that help users rapidly deploy and update solutions in response to changing circumstances. Pegasystems has been investing in its Build for Change^® technology for twenty five years, helping enterprises achieve higher levels of agility, delivering immediate business benefits including improved revenue growth, cost reductions and increases in customer retention.

Gartner states, "Our 2009 BPMS Magic Quadrant reflects a significant change in Gartner's approach to evaluating vendors and products to meet the needs of buyers in this market. In previous versions, Gartner defined the market according to technical features and functions, such as process engine or model design. As software infrastructure markets began to shift toward application infrastructure, we started to shift our Magic Quadrants to define markets based on use cases rather than product categories. For our 2009 update, we have shifted our focus to defining the BPMS market based on the top four use cases that BPMSs support. This focus better reflects an essential ingredient in the appeal of BPMS, namely, business professionals can see work in progress (via models) and manage and execute dynamic business processes without exclusive reliance on IT professionals to make desired changes to the process specification. Also, business professionals can collaborate with IT professionals more easily and consistently throughout the process improvement life cycle by using models to provide a shared language and thus improved understanding.”¹

"In my opinion, this report supports that the bar has now been raised on what a Business Process Management Suite needs to deliver. We believe that the principles of active involvement by business user stakeholders and declarative, goal-driven modeling are important factors for customers choosing a BPMS,” said Alan Trefler, Founder and CEO of Pegasystems. "From my perspective, the viewpoints highlighted in the report are core to our commitment to our customers. We believe more and more businesses will come to see the kinds of benefits that our customers are getting with our Build for Change technology, and realize that it is a better way of doing business.”

In this report, leaders were identified as "vendors [who] relentlessly focus on increasing the participation of business roles in process improvement efforts by enabling explicit, model-driven approaches rather than traditional coding. Leaders' products and services especially focus on business process analysts working alongside process owners to transform processes.”¹

For more information on Pegasystems or for a copy of this report, compliments of Pegasystems, go to http://www.pega.com/content/summary.asp?ci=381.

¹ Gartner, Inc., "Magic Quadrant for Business Process Management Suite, 2009,” Janelle B. Hill et al, Feb. 18, 2009

* About the Magic Quadrant

The Magic Quadrant is copyrighted 2009 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

About Pegasystems

Pegasystems, the leader in Business Process Management, provides software to drive revenue growth, productivity and agility for the world's most sophisticated organizations. Customers use our award-winning SmartBPM® suite to improve customer service, reach new markets and boost operational effectiveness.

Our patented SmartBPM® technology makes enterprise applications easy to build and change by directly capturing business objectives and eliminating manual programming. SmartBPM® unifies business rules and processes into composite applications that leverage existing systems -- empowering businesspeople and IT staff to Build for Change®, deliver value quickly and outperform their competitors.

Pegasystems’ suite is complemented by best-practice frameworks designed for leaders in financial services, insurance, healthcare, government, life sciences, communications, manufacturing and other industries.

Headquartered in Cambridge, MA, Pegasystems has offices in North America, Europe and Asia. Visit us at www.pega.com.