SEPTEMBER 18, 2006
INNOTAS ACCELERATES GROWTH WITH MORE THAN 2,000 USERS WORLDWIDE
OAKLAND, CALIF., SEPTEMBER 18, 2006— Innotas, the provider of the only pure, on-demand Project Portfolio Management (PPM) solution specifically designed to meet the needs and cost constraints of mid-sized organizations, emerged out of stealth mode today poised for growth with more than 2,000 users worldwide.
Every year in the United States, approximately 25 percent of the US GDP is spent on projects, which equates to more than $3.1T. Yet, projects as a whole, are one of the most poorly performing entities in global business.
"Most IT projects do not meet objectives. More than half are delivered late, over budget, or worse — late and over budget. And, 15 percent of IT projects fail to meet objectives all together ," said President and CEO Keith Carlson, Innotas. "The discipline of Project Portfolio Management brings together processes, people and technology, with the objective of helping organizations deliver projects as promised. With the industry's only pure on-demand PPM solution, Innotas has the right PPM solution to help organizations achieve this goal."
"In fact, our customers are endorsing the Innotas PPM solution by signing a record number of new contracts just in the last few months," Carlson continued. "We've recently increased our customer base by 20 percent, and are on pace this quarter to triple the number of orders from last quarter. As we move into our next phase of growth, our focus is to have the absolute best product in the PPM space, foster customer loyalty, continually exceed our financial goals, and to grow and enable our world-class team."
According to Gartner, the dynamic PPM software market is poised for between 11 percent and 16 percent CAGR, reaching nearly $6.2 billion in 2010 (March 11, 2006 Forecast: Application Development and Project Portfolio Management Software, Worldwide, 2005-2010). "The SMB/mid-market is the fastest growing sector for on-demand software," said Matt Light, research director focusing on applications development for Gartner. "A per-user, per-month pricing model is a fixed cost, allowing companies to predict their expenses. Companies that offer a pure, on-demand delivery model for Project Portfolio Management software will give small and mid-sized companies something they want and need — feature-rich capabilities, ease of use and implementation, and a reasonable price."
Innotas' successful approach to serving the unique needs of small and mid-sized companies is evidenced by its long and diverse list of mid-market customers, including Athabasca University, Takata Restraint Systems, Zimmer, Shoebuy.com, The AEon Group, Compugen, iLeo, TAP Solutions, Internet Security Systems and Sendmail. The Innotas customer list also includes divisions of larger companies such as ADP and T-Mobile.
A number of customers have selected Innotas because other PPM vendors are compromising the purity of the SaaS business model, which means they won't be able to turn around product enhancements as quickly as Innotas. Innotas has already delivered 50 product releases via its on-demand delivery model, none of which have required re-training or re-implementation, which are typically massive efforts with installed software.
"Most vendors in the PPM market are focused on the old-school 'installed model,' which makes their solutions cumbersome to use, costly to implement and near-impossible to maintain," said Jeffrey Falk, director of product development, The Members Group. "With the SaaS model, we don't have the overhead of maintaining the solution in-house, and we're able to take advantage of functionality releases faster because they come out every few weeks rather than once or twice per year."
"With Innotas' on-demand PPM, we can easily introduce functionality that our internal business partners require, while maintaining minimal overhead and gaining a faster time to market," Falk continued. "Most PPM vendors are tailored to handle large organizations, and they don't understand the unique needs of mid-market customers. It's truly a breath of fresh air to work with Innotas, a company that recognizes our needs and is able to respond proactively to the requirements of our ever changing business environment."
Compugen, a large Canadian IT services provider, selected Innotas because of its low total cost of ownership, realizing a hosted service model for PPM would best serve the company. "The economics are very compelling, especially the low up-front investment and the low cost of maintenance over time," said Gerry Skipwith, vice president of services for Compugen.
Additionally, Skipwith selected Innotas because the vendor's PPM solution has industry leading technology that enables improved tracking of resource utilization. Compugen needed real-time information in aggregate with the ability to drill into the details of specific projects and individual workers. "With Innotas, I can see how my organization is performing in real-time, make adjustments as needed, and get involved quickly when there are problems — before they become big problems," said Skipwith.
About Innotas
Innotas provides the only pure, on-demand Project Portfolio Management (PPM) solution specifically designed to meet the needs and cost constraints of mid-sized organizations. The company's business model is based entirely on the concept of on-demand software, significantly lowering the total cost for customers while enabling Innotas to accelerate product innovation. With more than 2,000 users spanning a wide range of industries including financial services, healthcare, retail, high technology, telecommunications and energy, Innotas keeps IT organizations continually focused on the right IT initiatives while managing projects, as well as associated resources and capital, as efficiently and effectively as possible.
Innotas investors include ComVentures, a top tier Silicon Valley venture capital firm with a strong track record for investing in early-stage technology startups; ArrowPath Venture Partners, a venture capital firm focused on early and expansion stage companies developing enterprise and infrastructure technologies; and Cedar Circle, an investment firm funding visionary entrepreneurs. For more information on Innotas, a privately-held company based in Oakland, California, dial +1-510-281-2300 or go to www.innotas.com.
