PHH CORPORATION TRANSFORMS ITS IT SERVICES MANAGEMENT ORGANIZATION WITH CA'S CLARITY IT GOVERNANCE SOLUTIONS AND XINIFY SERVICES

Xinify Delivers On-Time/On-Budget CA Clarity Solutions

San Ramon, CA, February 10, 2006 - Xinify Technologies, a leader in providing solutions for optimizing business performance through Business Intelligence Solutions, announced today that it has successfully completed the critical first phase of rolling out the CA Clarity IT Services Management solution for PHH Corporation.

Background

PHH Mortgage's new CIO has redefined IT as a Services Management organization. This involved transitioning from an IT-driven to a business-driven office and facilitating the contractual merging of two highly diverse businesses into one corporation. The Project Office functions as a change agent among senior leaders of PHH to facilitate and embrace the changes required. Most IT budget now resides in the business units and IT services, including project management, are purchased and charged back to the business requiring an integrated financial management solution to allocate costs of internally-funded projects to appropriate business units.

The new Project Office was instantly transformed from IT centric to enterprise centric. As part of this transformation, PHH Corporation required an IT governance solution that enabled them to effectively communicate project status, costs, and priority to the business units within the organization, as well as the newly funded joint venture.

As part of the newly formed IT Services Management organization, the Project Office was asked to play a significant role in the vendor contracts related to both the divesture and the merger of the two companies into the new entity of PHH Corporation, and in the formation of a current joint venture with Cendant NRT Project Office.

Specifically, the Project Office was tasked with migrating CA's Clarity to the new PHH Mortgage and PHH Fleet Management organizations. PHH Mortgage and PHH Fleet Management have been using CA Clarity primarily for time tracking and management as part of the Cendant Corporation. CA Clarity was initially selected by Cendant for its robust feature set and ability to easily integrate to existing internal systems. PHH required a partner with extensive CA Clarity expertise and rapid implementation in order to significantly reduce its hosting costs at Cendant.

Solution

PHH's Project Office was under tremendous pressure to migrate CA Clarity to the newly formed organization within weeks to reduce costs. An initial consulting partner was selected, yet the project was never fulfilled, leaving PHH with a complex situation that required a new partner. CA's certified Clarity partner, Xinify Technologies, had the expertise and bandwidth to assist PHH in their migration. As a leader in providing solutions for optimizing business performance, Xinify has successfully completed many CA Clarity implementations on-time and on-budget for leading IT organizations.

"To deliver business value, Xinify had to first meet PHH's business expectations and IT partner goals in the areas of cost, productivity, and quality of services," said Bud Campbell, General Manager, Eastern Region and the Principal CA Clarity consultant at PHH for Xinify. "Xinify's ability to optimize business performance stems from managing world class program management offices, and leveraging best practice CA Clarity functional, technical and integration expertise," he added.

Xinify exceeded PHH's expectations in quality of service, in-depth CA Clarity expertise and price competitiveness. "In my 20 years in working in IT, I have never worked with a partner as great as Xinify. They have exceeded every customer expectation and enabled CA's Clarity to be the solution of preference in our IT organization," said Maryann Kelly, Director, Project Office, PHH Corporation.

A significant benefit for PHH was Xinify's ability to leverage Clarity's ability to support system partitions. The PHH Mortgage and PHH Fleet Management subsidiaries can now run independent, yet integrated efforts virtual software instances while providing PHH Corporation with a consolidated view of all activity for ongoing governance.

With the migration complete and the new IT Services Management organization formed, the Project Office is rising to the next challenge of managing charge-backs to its new internally-funded projects. The cost accounting and financial management capabilities in Clarity enable the Project Office to generate client invoices using sophisticated rate matrices that convert time into cost for all project activity. PHH can now accurately track cost of its IT workforce using variables such as project complexity, and over time to provide more accurate billings to its internal business units. Given the nature of PHH's business, project leaders are required to provide executive updates on project status with minimal notice. CA Clarity provides the official source of truth for PHH, enabling project leaders to quickly deliver results to the executive staff.

To date, PHH Corporation has leveraged Clarity to:

• More accurately schedule resources thereby increasing productivity
• Effectively manage more than 300 concurrent projects
• Deliver projects on-time and on-budget
• Streamline project charge-backs reducing costs
• Increase overall project ROI
• Align IT initiatives with top business priorities throughout PHH
• Transform PHH's IT organization from a technology provider to a services management organization
• Retire redundant, expensive-to-maintain in-house portfolio, resource and demand management systems.

The Future

As PHH's IT department continues its transformation into an IT Services organization, the Project Office envisions leveraging additional Clarity functionality to complete its vision. The Project Office is in the process of converting its manual resource management and capacity planning process to CA Clarity to address accuracy, over-capacity and ultimately speed time to results. With a limited number of people available and a multitude of new projects, PHH will leverage Clarity's capacity planning to achieve the highest ROI from their new IT project portfolios.

PHH also requires additional demand management capabilities to replace its internal home-grown system for managing project requests, ideas, incidents and tickets. The Project Office will be evaluating CA's Business Service Optimization solution to ultimately replace its non-integrated, costly home-grown system.

About PHH

Founded in 1946, PHH Corporation began by creating the industry's first financial lease program, and continues to be an innovation leader. The company was re-established as an independent, publicly-traded company with the January 2005 spin-off from Cendant Corporation. In addition, Cendant and PHH Corporation have formed a joint-venture Cendant Settlement Services Group (CSSG).

PHH Corporation's mortgage and vehicle management subsidiaries provide outsourced services to corporate customers. PHH Mortgage, previously operating as Cendant Mortgage, is one of the top ten retail originators of residential mortgage loans in the United States. The fleet management business, PHH Arval, is the second-largest provider of commercial fleet management services in the United States and Canada. PHH is recognized as a leader in leveraging technology for client services, most recently having been awarded the CIO Enterprise Value Award for technology.

The PHH Mortgage Project Office (PMO) was established five years ago to manage high revenue-generating projects. The Project Office is an enterprise PMO residing within the IT organization. Project leaders are responsible for all expenses, resources, forecasts, FASB regulation monitoring, and project deliverables. Within the Project Office, each project leader manages several multi-million dollar projects with a 6-9 month delivery cycle. The Project Office incorporates PMBOK, ISO 9000 and CMM methodologies. Project leaders must interact with multiple cost center owners and provide executive updates at a moment's notice. Eighty to 90 percent of capital IT budget is managed by the Project Office.

Facts on PHH

• PHH Corporation
  Mount Laurel, NJ
  phh.com
  
  Financial Services
  Mortgage and Fleet Management
  
  Annual Revenue
  $757M (FY 2004)
  
  Employees
  5,000
• CA Products
  • CA Clarity Project Manager
  • CA Clarity Portfolio Manager
  • CA Clarity Resource Planner
  • CA Clarity Studio
• Key Business Benefits
  • Enhanced IT operational efficiency
  • Increased project success rate
  • Improved resource utilization
• CA Advantages
  • Integrated single source of truth
  • Streamlined project charge-backs, billing and financial reporting
  • Reduced support costs
  • LDAP integration to existing internal systems
• Key Product Name Features
  • Project management
  • Time tracking
  • Resource management
  • Project charge-backs
  • Portfolio management
• Key Business Processes
  • Portfolio management of more than 100 strategic IT and business-sponsored projects
• Competition
  • PHH Corporation selected CA Clarity over Primavera, Business Engine, and Microsoft Project Enterprise

About Xinify

Xinify (z'-nee-fy) is a leader in the optimization of business performance through Business Intelligence Solutions delivering professional custom services. Xinify delivers solutions and services across Business Process Management, Change Management, IT Asset and Financial Management, Project Portfolio Management, Service Management, IT Governance and Compliance and Enterprise Application Integration. Xinify "Business Intelligence" solutions combine the information "locked away" inside of separate corporate systems to create a "transparent" data rich environment for enhanced decision making. The "360 degree view" provided by Xinify's Business Intelligence Solutions helps clients to improve the performance of their systems while developing stronger relationships with customers, partners, suppliers, and employees. Xinify Technologies is headquartered in San Ramon, CA with offices across the US and R&D offshore development center in Bulgaria and Brazil. For more information, visit www.xinify.com.

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