Niku Enables Leading Health Care Provider to Deliver Hosted IT Solutions; Montefiore Medical Center's EHIT Leverages Clarity by Niku to Offer Outsourced IT Services

REDWOOD CITY, Calif.--()--Feb. 22, 2005--Niku Corporation (Nasdaq:NIKU), the leading vendor of IT Management and Governance Systems (IT-MG), today announced that its Clarity(TM) system is allowing Emerging Healthcare Information Technology (EHIT) to successfully deliver outsourced IT services. EHIT, a subsidiary of the Montefiore Medical Center, is using Clarity(TM) as a complete solution for the selection, management, and assessment of IT project portfolios at greater New York area hospitals.

EHIT offers hosted application and data services to hospitals of 400 beds or fewer via the application service provider (ASP) model. This innovative service has permitted Montefiore not only to retain its IT department but also to realize revenue from it. EHIT has used Niku products tactically for a number of years to handle project scheduling. In choosing Clarity to underpin outsourced services, EHIT is operating at a strategic level through its ability to offer full-fledged IT-MG solutions to smaller hospitals. Current clients that utilize the full range of ASP services include Montefiore Medical Center, Montefiore's subsidiary Contract Management Organization, and Bronx-Lebanon Hospital Center. Additionally, St. Vincent's Hospital in Connecticut turned to EHIT for the implementation of its Computerized Physician Order Entry.

"In today's tough economic climate, it's getting difficult for smaller hospitals to afford dedicated IT departments," said Jack Wolf, CEO of EHIT and CIO of Montefiore Medical Center. "Our goal at EHIT since 2001 has been to provide them with the high-quality support they require to practice modern medicine and reduce their operating costs. Clarity has made it possible to improve the ways we support these hospital facilities and to evaluate our results in human and dollars-and-cents terms."

"As medical practice becomes increasingly sophisticated, lives depend on information managed by IT systems. Montefiore Medical Center is respected worldwide for leading-edge medical treatment in cardiology, psychiatry, and immune deficiency," said David Hurwitz, Niku's Chief Marketing Officer. "Through its highly effective ASP model and use of Clarity to drive project management and operational goals, Montefiore will achieve the same leadership in information technology."

Clarity in Action

Nearly 300 EHIT employees support more than 11,000 staff members at Montefiore Medical Center alone. The hospital's IT department had used Niku Workbench, a project scheduling tool, for 15 years prior to the EHIT spin-off. The new organization implemented Clarity in 2001 because it recognized the need for a strategic, business-oriented IT-MG solution. EHIT currently manages about 300 IT projects at a time, such as providing clinicians with wireless device access to patient data. EHIT leverages Clarity to implement the same types of projects at client hospitals and to offer more traditional IT services such as desktop support. Clarity helps EHIT deliver a secure, disaster-tolerant data center as well as HR, billing, and laboratory services applications. Currently, EHIT uses Clarity for project planning, time reporting, and billing and is planning to introduce new functionalities.

"Without Clarity, we could not have implemented an ASP model," said Marge Sanfratello, Manager - Project Office, EHIT. "Clarity keeps project planning, time reporting, and billing on track. For example, we have increased time reporting accuracy to about 90 percent, which allows us to allocate resources appropriately and manage projects much more effectively than ever before."

Clarity has achieved significant results for EHIT and other customers in several areas:

IT Portfolio Selection - Clarity makes it possible to engage all stakeholders in IT portfolio modeling and selection, ensuring that the project portfolio is aligned with business goals. Operational and IT executives typically use Clarity for scenario planning, comparing alternative paths, and selecting optimal investments.

IT Project Delivery - Clarity enables a seamless transition into project delivery. With its proven Global 2000 Architecture, unique "role-based precision security," and best practices basis, Clarity supports internal and outsourced workgroups in real time, regardless of physical location.

IT Portfolio Assessment - Clarity provides accounting and bill-backs for individual projects and benchmarks at the portfolio level--enabling business and IT to review success metrics and understand the true cost and business value of an IT portfolio.

About Niku

Niku Corporation (Nasdaq:NIKU) is the global leader in IT Management and Governance (IT-MG) software solutions and two-time winner of the Gartner PPM Summit "Best Vendor" award. More than 400,000 users at industry leaders such as Avon, BT, Cesky Mobile, Columbia House, Harrah's Entertainment, HSBC, Kas Bank, Manpower, Mueller Milch, Nissan, Philips, Royal Caribbean Cruise Lines, SingTel Optus, Skandia UK Group, and Unilever depend on Niku software to maximize their "Return on IT." Niku is a publicly held company with global presence.

For more information, contact or visit


Kickstart Consulting for Niku Corporation
Jill Hara, 310-559-7746


Kickstart Consulting for Niku Corporation
Jill Hara, 310-559-7746