UKG Among Apps Top 500

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UKG Strengths, Domain Expertise, and Key Differentiators

More than a year after the merger between Ultimate Sofware and Kronos to create UKG, the HCM apps powerhouse has not skipped a beat with continued momentum as well as innovative approaches to help companies navigate all issues relating to HR from hiring to managing employees.

For example, UKG’s AI-powered recommendations have helped managers approve 15 million days off. UKG is taking employee health and safety further with features like pre-shift health and wellness surveys and contactless time tracking using a mobile app or facial recognition technology. Additionally, UKG users are able to leverage a plethora of analytics tools for gauging employee feedback and intelligent forecasting for determining their physical and mental well-being.

In its 2QFY21, UKG reported more than 650 go-lives, compared with 600 in the first quarter, among its customers around the world in key verticals like retail, manufacturing and healthcare. In the public sector, more than 2,500 government agencies rely on UKG to manage their employees. That includes more than 1,000 agenies in North American running UKG TeleStaff to optimize scheduling, labor management, communications, and deployment of public safety personnel and corrections officers.

In September 2021, UKG broadened its alliance with Microsoft to integrate its chatbot with Teams, provide Microsoft Viva employee experience users with updates from UKG Pro and Dimensions, as well as interoperability between UKG apps and those from Microsoft such as Windows 365 virtual cloud PC and Dynamics 365.

The above results validate the synergistic benefits that Kronos and Ultimate Software have been able to produce under one roof as their enlarged product footprint aided by economy of scale is proving to be indispensable for companies to better manage their people assets at a time when employee retention and engagement are more important than ever.

UKG Recent Developments

UKG posted a double-digit rise in sales to reach $3.3 billion for fiscal 2021 with 17% growth in subscription revenue as the vendor saw increased demand for its extensive portfolio of Cloud HCM and workforce management applications, especially among big employers in financial services, retail, healthcare, manufacturing and transportation.

The HCM software powerhouse also added 2,000 new employees in fiscal 2021. Much of its emphasis for 2022 centers around its Life-Work Technology Vision, which includes Candidate Cultivation for candidate relationship management and Workforce Continuity for employers to better respond unplanned life events. Other enhancements help companies identify gig talent, gain performance feedback insights and smart pay analytics. HR Service Delivery improvements with chatbot capabilities represent another milestone for UKG to drive innovation across the entire employee lifecycle experience.

UKG Mergers and Acquisitions (M&A) Activities

In June 2021, UKG acquired EverythingBenefits, a provider of end-to-end benefits technology solutions. Based in New Jersey, EverythingBenefits helps HCM providers, including UKG, benefit brokers, and payroll service bureaus streamline data connectivity between businesses and insurance and retirement plan providers. In September 2021, UKG acquired Great Place to Work Institute, a trusted authority on workplace culture with a mission to help organizations become great workplaces for all. Each year, more than 11 million people across 50+ countries provide feedback to their employers through the Great Place to Work Trust Index survey, which measures employee experience that cuts across regions, race, gender, sexual orientation, age, disability status, level, and role.

UKG Customers in ARTW Customer Database

Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying UKG applications and why? And we provide the answers – supported by decades of research – to our clients around the world. Our Customer database has over 100 data fields that detail company usage of UKG and other enterprise apps by function, customer size, industry, location, implementation status, partner involvement, Line of Business Key Stakeholders and IT decision makers contact details. List of Verified UKG Pro, UKG Dimensions, UKG Ready customers.

UKG Key Enterprise and Cloud Applications

UKG Pro, UKG Dimensions, UKG Ready

UKG Revenues, $M:

Type/Year 2020 2021 YoY Growth, %
Total Revenues, $M Subscribe Subscribe Subscribe
Enterprise Applications Revenues, $M Subscribe Subscribe Subscribe
Cloud Applications Revenues, $M Subscribe Subscribe Subscribe

* Enterprise Applications Revenues = License + Support & Maintenance + SaaS
** All revenue figures are estimates based on public records, Cloud and Non-Cloud business models in Apps Run The World's vendor database, and annual survey results including vendor feedback.

UKG Revenue Breakdown By Type, $M:

Type License Prof. Services Hardware Support & Maintenance SaaS PaaS IaaS Other (Non Enterprise Application Revenues) Total
% of Total Revenues Subscribe Subscribe Subscribe Subscribe Subscribe Subscribe Subscribe Subscribe 100%
Revenues, $M Subscribe Subscribe Subscribe Subscribe Subscribe Subscribe Subscribe Subscribe Subscribe

UKG Revenues By Region, $M

Region % of Total Revenues 2021 Total Revenues, $M 2021 Enterprise Applications Revenues, $M 2021 Cloud Applications Revenues, $M
Americas Subscribe Subscribe Subscribe Subscribe
EMEA Subscribe Subscribe Subscribe Subscribe
APAC Subscribe Subscribe Subscribe Subscribe
Total Subscribe Subscribe Subscribe Subscribe

UKG Direct vs Indirect sales

Region Direct Sales Indirect Sales Total
Type % Subscribe Subscribe Subscribe
Revenues, $M Subscribe Subscribe Subscribe

UKG Customers - Breakdown by Geo, Size, Vertical and Product

List of Verified UKG Customers

No. of UKG Customers: 50000

No. of UKG Enterprise Applications Customers: 50000

No. of UKG Cloud Customers: x

No. of UKG Cloud Subscribers: x

Currently, UKG sells into more tahn 55,000 organizations around the world. In Q2 of 2021, UKG brought more than 650 customers live - up from 600 in 1Q - on UKG solutions worldwide — including companies based in Africa, Asia, Australia, Central America, Europe, North America, and South America — across a wide variety of industries such as retail, manufacturing, and healthcare. Organizations spanning every major industry globally use UKG to support their people. UKG’s AI-powered recommendations have helped managers approve 15 million days off and UKG is on track to exceed 10 billion employee punches by 2023. Companies with workforces as big as half a million employees using Dimensions are utilizing the full-suite to addresses exceptionally complex business needs while helping to care for and engage their people. Auchan Retail France, Baptist Community Services, Biltmore, The City of Oklahoma City, Eclipse Advantage, NJ Transit, and Vancity are also transforming their workforces with Dimensions by empowering their people and unburdening their managers.

UKG Market Opportunities, M&A and Geo Expansions

UKG is beginning to realize the benefits of its enlarged product footprint as hundreds of new customers are adopting its full suite of HR and workforce management applications including UKG Pro HCM, UKG Dimensions, HR Service Delivery and Employee Voice.

Customers with tens of thousands of employees report their desire to use an unified solution in order to meet a variety of personnel and workplace requirements. SMBs also find it easier to run a single system to manage their HR, payroll, scheduling and time and attendance functions, something that used to require disparate products that did not generate insights and seamless workflow. In other cases, some of these employers used to be spend hours, or up to 4.5 FTEs, just to handle manual punch entry.

Already, UKG delivers unified inbox for notications, single suite-wide business intelligence, employee well-being survey and near real-time payroll and accruals for customers running UKG Pro and Dimensions. More seamless integration to optimize user experience, augmented analytics and compliance will be next.

What that underscores is the ability of UKG to tackle some of the most complex HR and workforce management challenges facing companies of all sizes as they continue to adapt to a changing world.

UKG Risks and Challenges

Accelerating the migrating path among UKG Workforce Central customers will be the key to building on the momentum that the vendor has been able to achieve since completing the merger in April 2021. Increasing the awareness of the joint solution and ultimately wallet shares among its 55,000+ customers will also take time and effort.

The task is considerable given UKG needing to accommodate the needs of one of the world's largest collections of HCM, payroll, and time and attendance users with varying requirements when many of them are still struggling to operate effectively during the pandemic.

With its outsized influence and customer count, there will be less room for errors now that UKG is either the No. 1 or No. 2 HCM applications vendor in any of the verticals or countries that it sells into. As a result, the stakes are higher than ever for UKG to deliver the best possible outcomes for customers including some now relying 100% on it for added HR, payroll, compliance, time-keeping and system support requirements.

UKG Ecosystem, Partners, Resellers and SI

In 2021, UKG signed more than 250 technology and services partners as part of its UKG Marketplace. New partners BookJane1 and CareRev2 provide on-demand access to qualified, vetted healthcare professionals, so that unexpected absences can be filled more quickly. primeVIEW from primeCARE2 enables healthcare facilities to optimize nurse scheduling with Five Star views through the UKG Dimensions dashboard.

By introducing technology partnerships with integration Platform as a Service (iPaaS) providers The Cloud Connectors3 and Joynd3, in addition to existing iPaaS partners, UKG Pro customers now have access to thousands of additional pre-built integrations and solution connectors, reducing the complexity of integration projects, lowering costs, and accelerating deployment windows. Modulus Data has also added its point of sale (POS) integration, connecting UKG to popular POS systems4, including e-Restaurant, Lightspeed, NCR Aloha, POS Nation, Revel Toast, TouchBistro, and others.

UKG has direct sales teams across major markets including North America, UK, Europe, Australia, China, and India. In order to extend its reach across these markets, and emerging markets such as South East Asia, Middle East, and Africa it is focused on building out its channel ecosystem. For example, Health Matrix is a provider of technology solutions to the healthcare sector in the Middle East, and Bytes Technology Group sells across all industry sectors in Africa and the Middle East. Other new reseller partners include Valueteam in Brazil, Hyperlink in the Middle East, NGA in Europe and Group Seidor in Spain and Portugal that go after untapped opportunities in different regions.

UKG also struck a deal with Qimpro to drive workforce transformation in India. UKG further extended its reach into the Chinese market by forming a reseller agreement with Capgemini. In addition to these reseller based partnerships, its direct sales are working extensively with global consulting companies such as Accenture, Deloitte, Cap Gemini, PWC, E&Y, IBM, and Cognizant.

UKG Cloud Infrastructure Insights

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Research Methodology

Data used in research reports are derived from publicly available documents, continuous surveys of applications vendors, customers, resellers, Independent Software Vendors, systems integrators and other verifiable sources.

Vendor shares and market forecast results are based on a combination of existing databases as well as demand side and supply side research conducted throughout the year with validation from vendors, customers, channel partners and documentations such as earnings releases and 10Q and 10K filings, vertical industry studies, regional and country-level statistics from public and private institutions(i.e. colleges, universities, government agencies and trade associations).

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