CA Technologies Mid-market Re-org: Nimsoft, ARCserve Synergy

CA Technologies Mid-market Re-org: Nimsoft, ARCserve Synergy

CA Technologies has confirmed a mid-market reorganization involving Nimsoft (IT management software) and ARCserve (storage, backup and disaster recovery), which was first reported by MSPmentor. But this is more than a product story. It's part of a broader strategy to make sure CA is accelerating its business with mid-market MSPs (managed services providers) and emerging enterprises, according to Senior VP Michael Crest (pictured). Here's the update.

As part of changes, CA has confirmed long-time company veteran Chris O'Malley -- most recently CEO of CA's Nimsoft business -- has left the company. It sounds like O'Malley and CA are parting on solid terms.

Clues From the CEO

During earnings calls over the past year or so, CA Technologies CEO Bill McCracken told Wall Street analysts that the company would continue to sharpen and accelerate its mid-market business. Key to that effort: CA Technologies is developing more synergies across its Nimsoft, Data Management and Service and Portfolio Management Solutions.

"If you think about what customers want, they want a unified capability," CA's Crest told MSPmentor today. "They don't want complexity. We see Nimsoft as the crown jewel to go forward. It's pretty straightforward."

Crest will be a key person in that effort. Crest has been responsible for the team that develops, markets, sells and supports ARCserve -- an on-premises storage system that has evolved to offer cloud-based versions as well as service provider licensing. Earlier this week, an ARCserve cloud release (hosted in Microsoft Windows Azure) became available through the Ingram Micro Cloud aggregator service. It's safe to say Crest will seek to ensure service providers and partners start to connect the dots between CA's broader software portfolio -- particularly ARCserve and Nimsoft.

CA acquired Nimsoft in 2010. At the time, Nimsoft offered on-premises software for IT management. And the company had a close following among mid-market MSPs. By 2011, CA's Chris O'Malley succeeded Nimsoft Founder Gary Read as Nimsoft CEO. Along the way, Nimsoft also launched cloud-based versions of its software and also pushed into IT service desk solutions.

Names to Know

So how will the Nimsoft and CA teams be focused going forward?

Peter Griffiths, executive VP and group executive, Enterprise Solutions and Technology, explained the new organizational focus in an April 4 memo to CA employees. In part, he stated:
"Looking forward we will continue to invest, focus and build on the IT Management-as-a-Service leadership that Nimsoft and the combination of Nimsoft and CA Technologies as a whole enables. Our goal of being number one in ITMaaS remains unchanged."
In the memo, Griffiths also described the organizational team that now reports to him. They include:
  • "Mark Frost, who will lead the product and solutions teams for Nimsoft and continue to lead the development of the CA SaaS platform. Mark Rivington will now report to Mark.
  • Gordon Daugherty, who will continue to lead marketing and business operations for this team. Pete Harteveld will now report to Gordon.  Mark Frost and Gordon will work closely with Ken Arredondo to address the huge opportunity in the Growth Market with Nimsoft, Data Management, and powerful cloud management solutions.
  • Bill Mann, who will lead our Data Management business, helping partners and service providers deliver superior cloud-based data protection solutions for our customers’ hybrid environments.
  • Lokesh Jindal, who will lead our Service and Portfolio Management business. Lokesh has a long successful history with S&PM and was instrumental in creating our strategic vision for service management.

Exit, Stage Left

In a separate April 4 memo, Chris O'Malley announced his departure within CA and offered a "special thanks" to  CEO McCracken. In the memo, O'Malley described a 26-year journey, evolving from a sales rep in Kansas to Mainframe 2.0 strategies to the more recent IT management as a service effort. In part, he wrote:
"I am glad to leave the company with Nimsoft, Data Management, and Service and Portfolio Management poised for success and with strong leadership in place.  I look forward to seeing you do great things in the future."
O'Malley's sign-off suggested that he could be heading onto some new efforts outside of CA. He wrote:
"As for me, I’m excited about my new adventures ahead and will forever cherish my relationships and experiences from CA Technologies."

Nimsoft's Growth and Culture

Some sources have suggested that Nimsoft is growing fast -- though perhaps not fast enough under CA's ownership. When asked about such speculation, Crest said: "We're very pleased with Nimsoft and how MSPs are embracing the solutions. We simply want to go faster."

Crest noted that Nimsoft has a great culture of speed and agility. "The attributes of Nimsoft will not be foregone. We want to incorporate that culture into the broader CA. Bill [McCracken] wants us to think more like Nimsoft."

MSPmentor, over the long haul, will be watching to see if this week's organizational changes achieves that goal.

The CA-Nimsoft changes became effective with CA's new fiscal year -- which kicked off April 1. It sounds like CA also did some belt tightening elsewhere in the company, cutting about 50 positions from its Long Island offices, according to a local paper there.
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