TECHNOLOGY AUDIT

CA Clarity PPM Version 13

CA Technologies
Reference Code: OI00197-005 Publication Date: March 2012 Author: Tim Jennings

SUMMARY Catalyst
CA Clarity PPM is a powerful and comprehensive solution for project portfolio management, which helps organizations to make better-informed decisions about IT-enabled business projects and new product development. It spans the full project portfolio lifecycle, from idea and requirements capture, business case evaluation, financial and risk assessment, project prioritization and initiation, through to demand and resource management, project tracking and reporting, and benefits realization. Increasingly, organizations must make a series of interrelated decisions about innovating and building new capabilities, transforming their existing processes using new delivery environments such as the cloud, and sustaining the value they derive from these investments. Having an integrated solution to manage this process provides increased visibility for senior management. It also offers more efficient management of demand for scarce resources, reduces project risk, and improves the alignment of the IT organization with business goals and objectives.

Key findings
CA Clarity PPM offers full support for the portfolio management lifecycle, with strong methodologies for portfolio analysis, planning, and optimization. CA Clarity PPM provides in-depth project management capabilities, including schedules, budgets, resources, and tasks, and is well-placed to meet the needs of the project management office (PMO). The solution has strong financial management functionality that can support IT financial management, service costing, chargeback mechanisms, and project billing.

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Version 13 of CA Clarity PPM has put more emphasis on ease of use and an improved interface, with more opportunities for user personalization. It also embraces an Agile approach to planning and innovation management. The solution helps organizations re-evaluate their business applications, assess business alignment and value, and then consolidate and optimize the application portfolio. CA Clarity PPM is available as an on-premise, hosted, or on-demand solution, and more than half of new deployments are via the on-demand (SaaS) option. CA Clarity PPM comprises a very complete set of functionality, and customers should not expect to deploy all of this as a single project. Realizing the full benefits will take in excess of one year, and will require significant change management and education.

Ovum recommends
CA Clarity PPM is best suited to large organizations with a substantial portfolio of ITenabled business projects, many resources to manage, and multiple sources of demand to track and prioritize. In this environment, the product provides a full range of features that meet the needs of multiple stakeholders, including board-level executives, CIOs, program and project managers, and both business and IT planners. Managing this scale of portfolio is a complex task, and CA Clarity PPM delivers a fullfeatured approach to the problem. Nonetheless, CA Technologies offers a range of professional services to help customers to speed up deployment, focus on their most pressing pain points, and achieve business value quickly. Ovum believes it is vital that customers assess their requirements and plan deployment carefully, taking advantage of these services where appropriate. CA Clarity PPM is less well-suited to small and medium-size organizations looking primarily for either a pure portfolio management approach, or lightweight project management tools. There are lower-cost alternatives that can be deployed more easily, and will be a better fit for clients with those requirements.

Value proposition
As technology becomes further integrated into business operations across all sectors, the requirements of IT and business planning become more closely intertwined. Organizations therefore have a requirement to:

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Capture new ideas for innovation, understand the business and technology implications, and build business cases for integrated services to deliver business value. Assess the potential of new delivery models, such as cloud computing, to aid business transformation, while continuing to modernize existing technology assets. Make better-informed investment decisions, and improve visibility into the progress of the project portfolio, in order to manage risk and guide benefits realization.

CA Clarity PPM provides a comprehensive, integrated set of functionality that draws together all of the information involved in the project portfolio lifecycle, and therefore enables a consistent approach to managing transformation programs, projects, enhancements, and new product development across the organization. This approach helps the organization to track all forms of demand on IT and other finite resources, and to optimize the portfolio of projects and/or new product developments to give the maximum value to the business. CA Clarity PPM also enables stakeholders in different roles to gain visibility into the key metrics they need, and to improve management control and consistency. Because the solution combines financial, project, resource, process, service, risk, and many other types of information, it can tie together some of the previously siloed aspects of project and program management, saving time and money, and reducing risk. With the velocity of business cycles increasing rapidly, organizations are looking for tools to help improve the agility of bringing new services, capabilities, and products to market. CA Clarity PPM can be deployed as an on-demand (SaaS) application, and CA Technologies provides a range of services to help customers quickly address some of their major pain points, both of which shorten the time to value. By deploying CA Clarity PPM on-demand startup packages along with CA Services rapid implementation engagements, clients can be up and running with a initial predefined set of functionality within 30 days.

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SOLUTION ANALYSIS Functionality

CA Clarity PPM is a classic three-tiered web-based application (see Figure 1) with proven horizontal scalability to more than 100,000 users. Different components of the product can be located on separate servers, and used with load-balancing and failover capabilities to maximize resilience. The solution is written in J2EE, and uses a zero-footprint web client. Integration is supported using an open-standard XML gateway, a number of published APIs, and pre-built connectors to common applications. The product is fully multilingual and can support multiple concurrent currencies. In short, it meets the requirements of the largest global enterprise deployments.

Figure 1: CA Clarity PPM v13 architecture

Source: CA Technologies

OVUM

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CA Clarity PPM enables customers to specify a portfolio framework and process to fit in with existing business practices, which can reflect departmental structures and hierarchies. It has a range of tools for portfolio evaluation and comparison, including cost-benefits analysis, financial analysis, risk analysis, business alignment views, budget comparisons, timeline views, and what-if scenario planning. Users can set a variety of parameters for financial, resource, and risk thresholds, and CA Clarity PPM will automatically calculate a set of possible portfolios based on a given set of investments. The product also supports a configurable workflow for portfolio management, helping customers to ensure that phases including idea and requirement capture, business case development, portfolio assessment and prioritization, portfolio balancing, project approval and initiation, and portfolio tracking are carried out in a consistent and transparent way. At the project level, CA Clarity PPM provides most of the detailed capabilities that one would expect to find in a project management tool, including building project plans with work breakdown structures, time recording, definition of project workflows, best-practice project templates and libraries, and task assignments. For project scheduling, CA Clarity PPM includes an interactive Gantt chart that provides project managers with interactive editing capabilities as well as continued support for the open-source Open Workbench tool, and alternative tools such as Microsoft Project. In recent years, the product has also extended its capabilities to embrace Agile project methodologies, and supports a range of Agile planning techniques such as task boards, backlog management (including creating, ranking, sorting, and prioritizing backlog items), user story handling, sprint velocity tracking, burn down charts, and issue management. In the latest release, CA Clarity PPM requirements and Agile planning tools also integrate with the salesforce.com Chatter tool to improve developer and stakeholder collaboration. CA Clarity PPM supports resource planning both at the detailed level, and for overall capacity planning. Skills profiles can be set up for different roles, mapped by organizational hierarchy if required, and pools of resources can be allocated to these roles. Portfolio scenario planning then draws on this data to optimize the use of existing resources, and to highlight where there are shortages and skills gaps. Users can search the resource database by a variety of parameters including individual, role, skills, availability, or organizational breakdown structure. The solution also supports configurable workflows for resource requests and allocations, which can include multiple assignments, escalations, and notifications. One of the challenges for the IT function in planning its work is to track all sources of demand for its services. While new projects will be defined in the planning tool from the outset, about 50% of activity, and 70% or more of the IT budget, involves maintaining existing systems, or responding to incidents. CA Clarity PPM can therefore either link to existing IT service management and helpdesk products, or record incidents and change requests directly, to help keep track of the CA Clarity PPM Version 13 (OI00197-005) Ovum (Published 03/2012) This report is a licensed product and is not to be photocopied Page 5

overall workload. Thereafter it manages the incident lifecycle through to resolution, tracking time and resource usage, and allowing users to view progress. The solution also includes facilities to help customers manage ideas for new capabilities and improvements, before they become formal projects. This can be done through the creation of both internal and external communities, whereby contributors can submit ideas, comment on them, rate them, and vote on them, via Chatter, websites, or mobile devices. These ideas can then be converted directly into project requirements, prior to creation of a business case and further evaluation. Management of the application portfolio has become a key issue for the enterprise, with a need to consolidate and rationalize the many hundreds (and in some cases thousands) of applications that are a significant drain on the operational budget. Here CA Clarity PPM has extended its application portfolio capabilities to build application inventories that detail the main characteristics of each including risk and technical factors, helping the IT department to establish the business processes supported, and then to establish the full cost of providing that business service. Data can be imported from other CA Technologies and third-party solutions, and scenario planning gives improved visibility into the required resources and budget, and helps managers to plan the optimal course of action for the application, whether this is retirement, migration, upgrade, or continuing support. It has become increasingly common to find PPM solutions used in more generic new product development (NPD) environments, and CA Technologies has been a strong proponent of this trend. This is particularly important now that the software development lifecycle is often intertwined with NPD processes in the context of embedded software capabilities. Many CA Clarity PPM customers are applying the solution for NPD, using the idea-management features as part of both internal and customer-led innovation processes. The product also includes features for requirements planning that help to manage the transition from initial idea to full-fledged project plan, improve the linkage between stakeholder requirements and development teams, and provide traceability between requirements, project tasks, user stories, software code, and test routines.

Go-to-market strategy
CA Technologies markets CA Clarity PPM across all industry sectors, with the highest adoption rates being seen in IT-intensive sectors such as financial services, government, healthcare, and telecoms. The main use cases for CA Clarity PPM can be both IT and business-focused and include classic project portfolio management, Agile planning, IT governance, new product development, and application portfolio management. More often though, customers are seeking to CA Clarity PPM Version 13 (OI00197-005) Ovum (Published 03/2012) This report is a licensed product and is not to be photocopied Page 6

do elements of all these disciplines, fostering a more integrated approach to the development and application of business technology, and greater control and visibility into managing the business of IT. CA Clarity PPM is best suited to larger organizations, and CA Technologies typically targets Global 2000 businesses and larger public sector bodies with more than 100 IT staff and in excess of 50 major IT projects running at any one time. Ovum is a strong proponent of the project management office (PMO), both IT-focused and at enterprise level, and CA Technologies sees this as an important factor in adoption. However, the solution will also be used in a wide range of business and IT roles. CA Clarity PPM often replaces manual spreadsheet-based solutions for portfolio management, or point solutions that address individual aspects of PPM but don't have the breadth of facilities available. CA Technologies now has in excess of 1,400 customers using the product. About 75% of sales are direct, with 25% driven by partners including global SIs, alliance partners, and specialist resellers. The companys major partners are Deloitte, Accenture, and Acquity Group. CA Technologies was a relatively early adopter of the SaaS or on-demand model for CA Clarity PPM, and more than 50% of new deployments now opt for this mode of operation. For large organizations, which are often widely distributed, this makes it much quicker to get primary stakeholders to use the software, and enables remote workers and third parties to easily submit and view project-level information.

Deployment
Typical implementation times range from four weeks for a basic departmental solution for portfolio management, through to in excess of a year for full adoption. However, CA Clarity PPM is almost always deployed using a phased approach and CA Technologies aims to provide customers with incremental capabilities at least every 90 days during the overall project. One or two in-house resources are required for smaller deployments, and two to three for larger deployments. Significant input will also be required from senior IT and business stakeholders to define the project portfolio management characteristics and processes. CA Clarity PPM has four potential modes of deployment: standard on-premise managed by the customer, on-premise managed by CA Technologies, a dedicated hosted deployment in a CA Technologies data center, or the on-demand SaaS solution. Licenses are characterized by two levels of required functionality: managers and team members, and on-premise pricing begins at $125,000. On-demand pricing uses a one-year fixed fee model, which subsequently converts to per-user pricing with first-year starter packages available for 100 users in the $50,000 range.

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CA Agile Vision for Agile planning, CA Product Vision for product lifecycle management, and CA Idea Vision for idea and innovation management are on-demand services that are licensed separately from the main CA Clarity PPM product. CA Technologies has a range of professional services to help customers scope, deploy, and get value from their investment in CA Clarity PPM. These include: Strategic services such as PPM maturity assessments, roadmaps for deployment, assistance with developing the business case for PPM and CA Clarity PPM, and health checks of existing installations. Implementation services offerings, ranging from standard product installation to rapid implementation services offerings (RISOs) that provide a pre-packaged solution to efficiently get the application up and running and in use. CA Technologies also offers a range of customized deployment services. Education-related offerings, including on-site and web-based training, and CA Productivity Accelerator (CAPA), which provides customized context sensitive help to enable the customer to deliver process specific training to support ongoing adoption and skills development. Pre-built content offerings, including solution accelerators and pre-built components, providing pre-configured reports, portlets, integrations, data management, and other elements to support key PPM objectives. Custom development and maintenance, which can be used to deliver customer specific processes, reporting, and integration requirements through the use of costeffective offshore development resources.

Maintenance is charged at 20% of license cost for on-premise, and provides 24x7 follow-the-sun support from globally located support teams (maintenance is included with on-demand subscriptions). Customers can also purchase additional levels of support including a designated support engineer and on-site support from CA Services. Suncorp is one of Australia's largest financial services providers, offering both general and life insurance and banking services. The company adopted Agile project management methodologies and wanted to achieve better visibility into project progress and costs. The company has an enterprise PMO, but individual business units were using a range of different, often manual, tracking tools. Suncorp's PMO deployed CA Clarity PPM in 2011 to 1,900 users to address resource utilization and forecasting, project portfolio management, and demand management. All existing

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project data was migrated to the new system, and the PMO ran a roadshow to raise awareness across the business. Staff working on Agile projects use CA Clarity PPM to track their time and progress, and this is used to generate project billing information for the CFO office. Suncorp has found that it can complete projects faster, and maintain better alignment with strategic business priorities through its CA Clarity PPM deployment. Avis Europe is the region's leading car rental company, serving 8 million customers across 112 countries. The company wanted to improve the efficiency of its major business programs, particularly in terms of improving resource utilization. It was finding it difficult to coordinate and optimize across multiple dispersed project teams in different countries. Existing spreadsheet-based tools were not able to cope with the complex matrix of projects, resources, and regions. Avis deployed CA Clarity PPM in late 2009 using the on-demand model, and working with CA Technologies partner Sandhill, had the system up and running within 90 days. It is now used by 150 people working on 20 strategic projects, and is providing significant improvements in portfolio management, project planning, and resource utilization. Having a single, consistent source of project and program data has also enabled faster decision-making and coordination across distributed teams. Nordea is one of the largest financial services companies operating in the Nordic and Baltic regions of Europe, providing banking services, plus life and pension products, to more than 11 million customers. Headquartered in Stockholm, Sweden, Nordea manages 142bn in assets and has a network of more than 1,400 branches and call centers staffed by 30,000 employees. Following the economic downturn, many financial services organizations such as Nordea renewed their focus on optimizing their IT cost structure, not only to minimize costs, but also to maintain the agility to react rapidly to changing market conditions. To gain better insight into its application portfolio, Nordea implemented CA Clarity PPM, using it to track all its 3,300 business applications, including banking systems, CRM solutions, and human resources and accounting applications. As a result of the project, Nordea has identified 150 applications to retire, resulting in cost savings of 3.5m, has simplified IT support and maintenance, and has enhanced business agility to enable faster implementation of new services. Nordea also projects further savings of 10% to 15% of its total application maintenance costs over the next few years.

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DATA SHEET Key facts about the solution

Table 1:
Product name Version number Industries covered Relevant company sizes

Data sheet
CA Clarity PPM 13.0 All sectors Medium to Large Product classification Release date Geographies covered Platforms supported Project Portfolio Management Dec 2011 All
Microsoft Windows Server 2003*/2008 (R2) Red Hat Enterprise Linux 5.0 Or 6.0 SUSE Enterprise Linux 10 Or 11 *Solaris 10 AIX 5.3 Or 6.1 *HP/UX 11 Iv3 IA64

(*Note: CA Technologies only provides support for upgrading customers with pre-existing installations on Solaris, HP-UX., and Windows Server 2003) Languages supported Deployment options URL All major languages On-premise, hosted, SaaS http://www.ca.com/us/proje ct-portfoliomanagement.aspx Licensing options Route(s) to market Company headquarters Perpetual, term Direct, partners One CA Plaza Islandia NY USA 11749 Tel: +1 800 225-5224 www.ca.com UK & Ireland headquarters Ditton Park Riding Court Road Datchet Slough North America headquarters As above

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Berkshire SL3 9LL Tel: +44 (0)1753 577733 www.ca.com/gb/ Asia-Pacific headquarters 6 Eden Park Drive North Ryde New South Wales Australia 2113 Tel: 1800 023 386

Source: Ovum

OVUM

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APPENDIX Methodology
Ovum Technology Audits are independent product reviews carried out using Ovums evaluation model for the relevant technology area, supported by conversations with vendors, users, and service providers of the solution concerned, and in-depth secondary research.

Author
Tim Jennings, Chief Analyst, Ovum IT
tim.jennings@ovum.com

Ovum Consulting
We hope that this analysis will help you make informed and imaginative business decisions. If you have further requirements, Ovums consulting team may be able to help you. For more information about Ovums consulting capabilities, please contact us directly at consulting@ovum.com.

Disclaimer
All Rights Reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior permission of the publisher, Ovum (an Informa business). The facts of this report are believed to be correct at the time of publication but cannot be guaranteed. Please note that the findings, conclusions, and recommendations that Ovum delivers will be based on information gathered in good faith from both primary and secondary sources, whose accuracy we are not always in a position to guarantee. As such Ovum can accept no liability whatever for actions taken based on any information that may subsequently prove to be incorrect.

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