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BPM Software Report: Pegasystems

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  • Discussion Forum
    "I have a hard time referring to it as BPM when a person simply automates a business process. To me that is workflow. Granted, we have powerful stand-alone workflow engines now that allow a workflow to route work between more people and systems than ever before, but it is still workflow..."

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    By Lou DiToro

    Gartner has counted 150 products that could be described as belonging to the category of business process management (BPM) software. How do you wade through the myriad offerings to find those companies and tools that are relevant for your organization's work? This column can help. We examine the companies and products that have a strong leadership position in the BPM space to help you understand what sets each apart.

    Pegasystems SmartBPM Suite

    Pegasystems' SmartBPM Suite is a set of rules-based business process management programs designed to make it easier to plan, build, and manage dynamic BPM solutions. The suite is ideal for processes involving decision making based on complicated, frequently changing business rules.

    SmartBPM's strength is human-to-system processing. Typical applications include:

    • Mortgage origination
    • Underwriting
    • Risk and claims adjudication
    • Call center processing
    • Customer service
    • Exceptions handling
    • New product development
    • Retail inventory management
    • Sales promotions and rebates

    The suite's installed base of customers includes:

    • American National Insurance Company
    • America Online, Inc.
    • Credit Lyonnais
    • CSC Healthcare, Inc.
    • General Electric Company
    • VISA
    • WellPoint

    Latest Developments

    SmartBPM (version 5.1), the suite's latest iteration (released in June 2006) provides a new look and feel. Its built-in asynchronous JavaScript XML (AJAX) capability generates immediate feedback for users. Its internationalization capability enables multinational companies to develop a solution in a native language and deploy it globally. Version 5.1 has better diagnostics, increased context-sensitive help and enhanced "pre-flight" capabilities. Improved ergonomics include flash-based movies providing step-by-step tutorials for developers and the ability to test application components iteratively during development. The company said that since its software supports industry standard XPDL, it also supports a variety of third-party modeling tools; it currently has partnerships with Cognos and Proforma.

    Improved navigation and greater usability are key themes for Pegasystems version 5.1.

    SmartBPM supports industry standards (BPEL and SOAP) and common development platforms (Enterprise Java Beans and .NET). It features a library of enterprise connectors and adapters, as well as smart case management. Web portal technology enables companies to collaborate with trading partners and opens up self-service to customers. To manage global policies and processes for record retrieval and retention, SmartBPM can integrate with multiple image repositories and document and content management systems.

    Key Suite Components

    SmartBPM's key components include:

    • PegaRULES Process Commander
    • Process Analyzer
    • Process Simulator
    • Optional modules

    The PegaRULES Process Commander is the suite's process management layer. It offers a browser-based development environment, execution engine, and management dashboard.

    Pegasystems provides several user interface skins that can be used to create the appropriate look and feel for each organization.

    The Process Commander, which provides a rules-based approach to BPM, codifies and executes rules and also drives operation. It assembles a runtime combination of business processes and business rules, adjusting the environment to support each case. When work is received, the Process Commander automatically evaluates the rule base and dynamically assembles the best processes, decisions, and data sources available. Rules and processes are stored as specialized layers of instruction and given a situational context within which to operate.

    Process Commander combines a business rules engine and a process engine. Supporting this environment is an XML Clipboard, which provides a Shared Data Space for system work. Rules and objects are stored in Java Database Connectivity (JDBC)-compliant databases (DB2, Oracle or SQL Server), while the system runs on Windows, Linux, AIX, and z/OS. Process Commander runs within J2EE-compliant application servers, including WebSphere and WebLogic. Its portal-type user interface provides access to system work, while its out-of-the-box views are modifiable.

    The Process Analyzer leverages a data warehouse of historic work and simulated data, with online tools to improve processes. The Process Simulator allows developers to simulate new business processes for testing before they go online. Using wizards, developers can quantify and compare service levels, time, error, and cost reductions.

    Business Rules and Support

    SmartBPM's business rules -- defined in English-like expressions and in decision trees and decision tables -- include declarative and procedural rules, constraints and service level agreements. Skills-based rules describe and define proficiency ratings necessary for a user to complete work.

    In addition, SmartBPM supports:

    • A variety of integration options
    • External organizational structure via LDAP
    • The ability to chain processes together at runtime
    • Internal operator authorization information
    • Major standards including email, CORBA, and .NET

    The suite's multi-dimensional Context Management assesses which process fragments to bind based on a case's attributes. The suite also features flexible reporting capability with wizards to assist business users in defining and refining custom reports.

    SmartBPM offers industry- and process-specific frameworks, including Case and Management and Compliance (SOX) as well as 30 templates to accelerate the creation of process-enabled applications for horizontal industries. The financials services industry set, for example, includes retail banking, credit card and case process templates.

    Server volumes vary by processor size and CPU speed. One account reported approximately 70 million rule invocations per hour running on a single 8-way Intel server. The largest number of concurrent users on one production system is 10,000.

    Software licensing starts at $100,000. Optional modules for simulation, analysis and templates are priced separately.

    The Company

    Known previously, as a business rules vendor, Pegasystems has transformed itself into a pureplay BPM vendor. It is a recognized leader in the human-centric BPMS market. Focused traditionally on financial services and healthcare, it has broadened its customer base to include telecommunications, travel and hospitality, government, retail, manufacturing, and utilities. Pegasystems has 11 offices worldwide and approximately 200 customers. Strategic business partners include IBM, Accenture, CSC, Satyam and Cognizant. In addition, its online Pega Developer Network provides support for developers.

    Useful Details

    Pegasystems Inc. (Nasdaq: PEGA)
    101 Main Street, 7th Floor
    Cambridge, MA 02142-1590
    Phone 617-374-9600
    Fax 617-374-9620
    http://www.pega.com

    Informative resources (registration required):

    White papers
    "Rules are from Mars, Processes from Venus"
    "Design & Developing Smart BPM Applications"
    http://www.pega.com/downloads/whitepaperstechbriefs/whitepaperstechbriefs.asp

    Analyst reports
    The Forrester Wave: Human-Centric Business Process Management Suites
    Doculabs: Pegasystems SmartBPM Suite -- Supporting a BPM Reference Architecture and Compliance Framework
    http://www.pega.com/Downloads/analystreports/analystreports.asp

    Submit Your Company for Consideration

    Do you have a company you'd like to have evaluated in this column? Contact editor (at) bpmenterprise.com with details.

    About the Author:

    Lou DiToro, Contributing WriterLou DiToro is a freelance writer who specializes in writing about business processes and competitive strategy. He welcomes feedback on his articles for BPMEnterprise.com. Contact Lou DiToro at louditoro (at) hotmail.com.

     
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