SumTotal Systems Rated a Leader in Total Installation Satisfaction for Global Enterprise Category in Bersin & Associates LMS Customer Satisfaction Study

Learning and business performance provider excels in installation satisfaction, content integration and content development tools; named an outperformer in solution value, customer service and ease of use

MOUNTAIN VIEW, CA (March 8, 2005) - SumTotal™ Systems (SUMT), the largest provider of learning and business performance technologies, services and processes, today announced that it has been named a customer satisfaction leader in total installation satisfaction, and that it outperforms other global enterprise providers in several other key dimensions of customer satisfaction. In a new study entitled, “2005 LMS Customer Satisfaction Study: An Industry Analysis of the Customer Experience with Learning Management Systems,” from Bersin & Associates, a research and advisory firm focused on enterprise learning research, SumTotal was named a leader or co-leader in the categories of total installation satisfaction, content integration quality and quality of content development tools. SumTotal also was acknowledged as outperforming its peers in solution value, business partnership, customer service, ease of ownership and ease of use.

The broad-based annual study analyzed a wide range of vendor attributes -- all from the customers’ perspective. All respondents to the 2005 survey had one or more learning management systems (LMS) implemented, and represented organizations of all sizes, vertical segments and number of learners. 70% of respondents were from corporate organizations, 16% from government organizations and 11% from non-profit organizations. The study was conducted in late 2004 and early 2005, and covered offerings from 15 LMS vendors.

SumTotal was defined by the report as a global enterprise provider, with the ability to serve the needs of global enterprises with advanced features for multi-language support, domain management, global sales and global support and services. Only three other vendors of the 15 vendors profiled were listed in this category.

In its press release on the study, Bersin & Associates highlighted the finding that “Overall satisfaction is highly correlated with a vendor’s implementation and support services.” Based on input from more than 660 systems administrators, training managers and executives from organizations across numerous industry sectors, SumTotal was named a customer satisfaction leader in “Total Installation” among the global enterprise providers in the report. The factors included in Total Installation are: ease of installation; installation on time; and installation on budget.

SumTotal also was named a customer satisfaction leader in content integration quality and in quality of content development tools, reflecting customer enthusiasm for its industry-leading learning content management system, TotalLCMS and ToolBook, its simulation and content authoring solution.

In addition to its category leadership, SumTotal was named a peer group Outperformer in the global enterprise category in five other areas, including:

• Business Partnerships - SumTotal understands the customer’s business needs and goals and responds to customer input on product direction and development
  
  
• Solution Value - SumTotal's solutions increase productivity and meet the customers business needs



• Customer Service - SumTotal provides timely, high-quality technical support



• Ease of Ownership - SumTotal's solutions are easy to install, customize and upgrade



• Ease of Use - SumTotal's solutions are easy for both learners and administrators to understand and use
  

“While there has been a lot of commentary on customer satisfaction in our industry, there has been almost no tangible, independent data to support that commentary,” said R. Andrew Eckert, SumTotal CEO. “It’s safe to say our industry has needed an independent customer satisfaction study like this for a long time. We’re very pleased to see it completed because it validates many of our own customer satisfaction surveys. At SumTotal, we feel strongly that a clear picture of customer satisfaction across many different areas ultimately benefits our customers and our industry as a whole. As a result of a study like this, we are able to continue learning how to better serve our customers and help them drive results.”

“We are especially proud to be named a leader in installation satisfaction, which we have always felt is one of the most critical components of customer success,” Eckert added. “Our high rating in this category is a reflection of more than 700 successful implementations – each with a dedicated focus on configuring our solutions to help customer meet their most critical business goals.”

SumTotal offers a careful and comprehensive implementation methodology that includes a thorough evaluation of an organization’s business needs, organizational structure and technological environment, combined with one of the swiftest implementation schedules in the industry.

About Bersin & Associates
Bersin & Associates is the only research and advisory firm solely focused on enterprise learning with a comprehensive research program targeted to the needs of learning professionals and executives. In 2001, Bersin & Associates introduced the What Works series, primary research that offers learning practitioners factual and practical insight that can improve program effectiveness and results, reduce costs, and avoid time-consuming and costly mistakes. The company specializes in five research areas: blended learning, content development, LMSs and infrastructure, measurement and analytics, and planning and strategy. The company develops industry-leading research studies, assists in corporate implementations, and provides support and services to corporations and e-learning vendors.

About SumTotal Systems, Inc.
SumTotal Systems Inc. (NASDAQ: SUMT) is the business performance and learning technology industry’s largest single provider of technologies, processes and services. Formed by the merger of industry pioneers Docent and Click2learn, the company is uniquely focused on helping organizations harness and manage mission-critical intellectual power to solve real-world business problems and produce significant bottom-line results. SumTotal has helped accelerate performance and profit for more than 600 of the world’s best-known companies and federal and local government agencies, including Microsoft, AT&T, US Army, Air Force, Navy and Coast Guard, Vodafone, Aetna, Accenture, Cendant, Harley-Davidson, Wyeth, Wachovia and D & B. SumTotal Systems is headquartered in Mountain View, CA, with offices throughout the US, as well as in London, Paris, Heidelberg, Sydney, Tokyo and Hyderabad, India.

Safe Harbor Statement/ Forward-Looking Statements
"Information in this press release contains forward-looking statements. These statements represent SumTotal Systems’ expectations or beliefs concerning future events and include statements, among others, regarding SumTotal Systems’ new product, SumTotal Enterprise Suite 7.0. These statements are not historical facts or guarantees of future performance or events and are based on current expectations, estimates, beliefs, assumptions, goals and objectives, and involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from the results expressed or implied by these statements. Readers of this press release are cautioned not to place undue reliance on any forward-looking statements. Additional factors that could cause actual results to differ include, but are not limited to (i) unknown errors or bugs in SumTotal Enterprise Suite 7.0; (ii) unexpected shipment problems or delays of SumTotal Enterprise Suite 7.0; (iii) customers or partners delaying purchasing decisions; (iv) the acceptance of SumTotal Enterprise Suite 7.0 and future product offerings; (v) the ability to successfully implement SumTotal System’s solutions; (vi) the ability to successfully address technological developments and standards; (vii) ability to successfully manage growth, significant current and expected additional competition, and the need to continue to expand product distribution and services offerings; and (viii) other events and other important factors disclosed previously and from time to time in SumTotal Systems' filings with the Securities and Exchange Commission, including the quarterly report filed on Form 10Q on November 15, 2004. SumTotal Systems assumes no obligation to update the information in this press release."