P O Box 446
18 Richie Lane
Yardley, PA 19067
Miesionczek, President & CEO
Dr. Barry Brian, COO
Albert Longden, CFO & VP of Business Development
Isaac Gadsden, VP Sales & Marketing
Thomas Pitegoff, Secretary & General Counsel
We are the first to market a web-based, enterprise-wide performance management system as a hosted Application Service (ASP). Our
PerformancePilot™ system effectively measures, monitors and improves performance on both individual and organization levels in one integrated application. It combines Management By Objectives and Competency Modeling functions to precisely define job requirements and provide a comprehensive performance appraisal. Automated multi-directional data retrieval collects measured feedback from any desired internal or external source, and provides comprehensive real-time performance reports to each employee and business unit as well as executive management.
PerformancePilot™ automatically identifies specific performance deficiencies and links to specific on-line training resources. Also,
PerformancePilot™ continuously monitors individual and business unit improvement, enables managers to communicate information and fosters a more collaborative manager-employee relationship.
Technology Proprietary Rights
The company has applied for patent protection for the processes underlying the system as an enterprise management application as well as specific functions provided within. We do not expect a determination as to the extent of protection granted until the 3rd quarter of 2000.
PerformancePilot™ is scalable to and appropriate for any size organization. The system is applicable to manufacturing and non-manufacturing industries as it addresses personnel management needs common to all. The company initially intends to target market horizontally to companies with more than 350 employees and offer the system as an application rental. Response to our pilot trial program has resulted in signed pilot trials with Johnson & Johnson and Pfizer, in addition to several smaller companies. The company also has one client under a 3-year contract for the system. As we capture interest in specific markets, we will customize our models, then market vertically to that specific market. Vertical marketing is best accomplished with a strategic partner focused on that market. The company is in advanced negotiations with Right Management Consultants and Drake Beam Morin, the two largest Human Resource consulting companies in the United States, as strategic partners.
The company expects to take advantage of excellent sales leverage. Each client company brings, on average, over 800 users to whom development services may be marketed on-line. With our web-based marketing process and Pilot Trial Program, the company expects to reach a market penetration in our third year of 550 companies bringing 483,000 users and $61.6 million in revenue. The primary revenue stream in the first year will be through application rental or licensing of our system. Subsequently, on-line training and testing will provide an additional revenue stream.
Marketing Sales Distribution
PerformancePilot™ is the only fully-integrated performance application on the market. The need to “try out” the system is paramount as no current benchmarks by which to gauge the system exist in the marketplace. As a result, the company has a system demonstration on its website and has initiated a Pilot Trial Program.
The sales process will be web-enabled to accelerate market penetration, minimize costs and enable the company to monitor and quickly adjust to market response. The offering will be positioned as a more effective performance appraisal and work management process for both individuals and companies, at significant savings in time and cost. Inducement to view the web demonstration will be automatically provided and the site automatically records prospect contact information and encourages sign-up to a pilot trial of the system. The on-line pilot trial allows the prospect to use the system gratis for 30 days. Clients are automatically tracked on the web and may be contacted directly by an internal sales representative near the end of the web-based sales process. At the conclusion of the trial, comprehensive summary reports are presented along with a proposal for rental or license. The trial program is premised on educating the market and building the system’s image as an essential continuous use management tool. With this approach, we can target specific business units in large companies to create a “beachhead” for sale to the company at large, and provide the tools and information for internal “influencers” to support the sales process.
As an Application Service Provider, replication is easily accomplished for any new client company with customized functions provided as a pass-through cost.
ActionAPPS Inc. is the first company to offer an integrated enterprise-wide performance management system as an Application Service (ASP). Competition is expected to arise from ASPs such as Employease migrating to performance applications; enterprise system companies such as PeopleSoft, SAP and JD Edwards migrating to an ASP model; or PC-based HR software companies migrating from “shrink wrap” software applications to the web. Our proprietary position, long-term contracts, high switching costs, low replication costs and technology lead give the company an advantageous market position.