Dendrite Establishes Pharmaceutical CRM Effectiveness Business Unit; Opens CRM Center of Excellence in Norcross, Georgia; Launches CRM Software Enhancement Kit.

Business Editors

MORRISTOWN, N.J.--(BUSINESS WIRE)--Sept. 16, 2003

With the global pharmaceutical industry increasingly requiring expert, flexible business process outsourcing services to facilitate improved management of its customer relationships and to maximize its CRM software investments, Dendrite International, Inc. (NASDAQ:DRTE) today announced that it has established a fully dedicated pharmaceutical CRM effectiveness business unit. It will include Dendrite's recently established CRM Center of Excellence, support the company's new CRM Software Enhancement Kit offering, and provide specialized services to life science and consumer goods companies that have deployed non-Dendrite-developed software, including proprietary solutions and those developed by third parties such as Oracle, Siebel, and SAP.

CRM Center of Excellence Established

Dendrite has established a CRM Center of Excellence at its Norcross, Georgia facility dedicated to providing services to pharmaceutical companies using software applications developed internally or by third parties. Dendrite Group President Sheli Gupta, co-founder and former CEO of SAI--the leading provider of pharmaceutical home office sales and marketing solutions (now a Dendrite business unit), will serve as Vice President and General Manager of the new center.

The ISO 9001: 2000-certified facility, which will include dedicated resources for international clients, provides managed hosting, hardware services, help desk services, application consulting and support services, collaborative learning services, 21 CFR Part 11 regulatory validation services, training, account management, as well as operation support and program management.

"In order to provide the deployment and service flexibility and expertise that is increasingly being demanded by the global pharmaceutical industry, Dendrite is committed to developing a world-class service facility for customers regardless of which software applications they use," said Dendrite President and COO Paul Zaffaroni. "The Norcross facility has a strong history of delivering top service levels to Synavant customers, while Dendrite has consistently provided superior service to companies using our software. Within this CRM Center of Excellence, we will blend our many years of experience, knowledge and expertise, and best practices to offer an unrivaled scope of high-quality, cost-effective service capabilities."

Employing nearly 220 personnel, including more than 40 professionals certified on third party-developed SFA software, the CRM Center of Excellence supports five major U.S. customers, representing approximately 14,000 field users, which use various versions of non-Dendrite software and analytics. The call center--which is Help Desk Institute Certified (HDI), Help Desk 2000 Certified, and includes Microsoft Certified Systems Engineers (MCSE)--is staffed with 100 customer service representatives who support more than 60 additional software applications.

A Dell, Toshiba, IBM, Epson, and HP warranty-certified repair center, the hardware services department conducts all aspects of asset management, including repair, upgrade, and support for laptops/palmtops, printers/monitors, docking stations/expansion bays, and accessories such as CD-ROM and floppy drives, cable and power cords, as well as batteries and chargers. In 2002, the service center, which includes A+ certified technicians, repaired or upgraded more than 25,000 laptops and handheld devices for sales representatives and shipped over 140,000 replacement parts and peripherals to support representatives in the field.

"Outsourcing CRM-related services is becoming an increasing priority for pharma enterprises, and being able to support multiple vendors gives a user organization the flexibility to pull together the best fit from the various aspects and vendors of CRM," said Gartner Principal Analyst Dale Hagemeyer. "It also allows pharma companies to deploy CRM as a turnkey proposition without trying to estimate what support they will initially need. Therefore, over time the right mix of insourced and outsourced support can be achieved."

CRM Software Enhancement Kit Launched

Dendrite has launched a new CRM Software Enhancement Kit to provide industry-specific, best-of-breed software and service solutions to make third party-developed software installations more effective. It blends Dendrite's information management, business intelligence and analytics, commercial operations solutions, and CRM channel solutions, and consists of:

-- Complementary applications: best-in-class custom PDA 

solutions, market-leading field analytic solutions, and sales

force effectiveness modules to enhance sales channel

management functionality

-- Operations support tools: leading-edge sample management

solutions developed by Dendrite's SAI business unit,

pharma-specialized field force alignment tools and services,

and customer master databases built for unique industry data

sources

-- Data integration and configuration services: value-added

services to complement CRM system installations

"Previous implementations of various CRM solutions have illustrated challenges with data-loading, sales data, territory alignments, reporting, PDA-based applications, as well as PDMA compliance and system validation," said Sheli Gupta, Vice President and General Manager of Dendrite's CRM Center of Excellence. "We believe companies require both complementary applications to help them better address industry-specific business needs, as well as support tools for more effective field force management. As the leading and most experienced pharmaceutical field force service provider, Dendrite can also help address data integration and system configuration needs, while being well versed in company-specific business issues."

About Dendrite

Dendrite develops and delivers solutions that increase the productivity of sales, marketing, and clinical processes for pharmaceutical and other life science clients. For more information, visit www.dendrite.com.

Note: Dendrite is a registered trademark of Dendrite International, Inc.

The foregoing contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. The statements may be identified by such forward-looking terminology as "expect," "believe," "may," "will," "intend," "plan," and similar statements or variations. All of our "outlook" information, including future revenues, margins, earnings and earnings per share, cash flows and cash balances, cost savings and synergies, and other future financial and operating measures, constitute forward-looking information. Such forward-looking statements involve significant risks and uncertainties, including those which may result from our dependence on the pharmaceutical industry; dependence on major customers; economic pressures and legislative and regulatory impact on our customers; fluctuations in quarterly revenues due to lengthy sales and implementation cycles for our products; our fixed expenses in relation to fluctuating revenues; interest rates and foreign currency exchange rate fluctuations; successful and timely development and introduction of new products and versions; rapid technological changes; increased competition; timing of the execution and implementation of customer contracts, including potentially longer decision-making cycles by customers; international operations; our ability to attract and retain key personnel; the protection of our proprietary technology; our ability to compete in the Internet-related products and services market; the continued demand for Internet-related products and services; the ability of our third party vendors to respond to technological change; our ability to maintain our relationships with third party vendors; results from strategic relationships; increasing geopolitical concerns around the world and their impact on the world economies in which we operate; catastrophic events which could negatively affect our information technology infrastructure; difficulties disposing of certain of our facilities; unexpected changes in accounting regulations, standards or interpretations; and our ability to timely and successfully integrate our acquisitions, including Synavant, and our ability to successfully achieve and realize the planned cost savings and synergies from such acquisitions. Other important factors that should be considered are included in the "Factors That May Affect Future Operating Results" section of the Company's 10-K, 10-Qs, and other reports filed with the SEC. Actual results may differ materially. The Company assumes no obligation for updating or revising any such forward-looking statements to reflect actual results, new information, changes in assumptions or other changes or circumstances affecting such forward-looking statements.