ADP Strengths, Domain Expertise, and Key Differentiators
Drawing on nearly seven decades of outsourcing expertise, ADP provides a comprehensive suite of solutions for human resources, payroll, tax, and benefits administration from a unified platform. As of the fiscal year ending in June 2020, ADP processes payments for over 23 million workers in the United States, representing approximately one out of every six employees. Serving more than 1 million clients, ADP delivers its services through cloud-based strategic software as a service ("SaaS") offerings.
Since 2011, ADP has invested billions of dollars in both acquisitions and internal development initiatives to enhance its Human Capital Management (HCM) portfolio. Beyond its core payroll services, ADP has diversified its presence in the HCM market by offering global solutions for Core HR, recruiting, benefits, compensation, candidate relationship management, performance, and succession planning. These solutions are accessible through Cloud delivery and managed services. Workforce Now stands as ADP's primary Cloud HCM product, while RUN serves as its Cloud-based payroll service. ADP's strength lies in its ability to seamlessly package various products as HR services, ensuring swift availability without complex implementation processes.
Facilitating its clients' transition to the Cloud resembles a streamlined switch from old systems to more intuitive features via Web services, all achieved without requiring IT operations involvement. Leveraging its proven track record in handling intricate process integrations on behalf of users, ADP is positioned to drive widespread adoption of Cloud services. While payroll is a standard inclusion in its Cloud services, ADP is witnessing substantial attach rates as customers incorporate Cloud modules for benefits, time and attendance, and talent management alongside their core HR, payroll, and tax compliance services.
ADP Recent Developments
In October 2023, ADP introduced ADP Workforce Now for Construction, marking the debut of the first all-encompassing Human Capital Management (HCM) solution specifically designed for the construction industry. Built within ADP Workforce Now, this specialized software equips construction firms with the essential tools for precise payroll management, streamlined HR operations, and more effective recruitment and workforce development processes.
In January 2022, ADP unveiled the integration of multi-country payroll functionality into ADP Workforce Now. This enhanced offering is designed to support U.S. and Canadian headquartered businesses that oversee payroll operations in multiple countries, providing them with an integrated system of record.
ADP Workforce Now with Global Payroll addresses the issues posed by disconnected systems by offering native, seamless integration and navigation. Through the implementation of an integrated vendor platform, ADP ensures world-class data integrity and enhances the efficiency of multi-country payroll management, aiding organizations in meeting diverse and increasingly intricate payroll obligations. With this solution, organizations using ADP Workforce Now can effectively manage employee information across more than 50 countries, addressing challenges specific to their business objectives.
ADP Mergers and acquisitions (M&A) Activities
In January 2023, ADP completed the acquisition of Securax Tech Solutions (India) Private Limited, a partner specializing in time and attendance solutions across the APAC region. Headquartered in Bengaluru, India, Securax, established in 2012, boasts a clientele of over 500 customers spanning multiple countries.
In August 2023, ADP acquired Honu HR, a tool specializing in low-code intelligent workflow automation and data integration.
This strategic acquisition reinforces ADP's commitment to simplifying intricate HR processes through automation. By integrating Honu HR's capabilities with ADP's extensive Human Capital Management (HCM) solutions and data proficiency, ADP is positioned to assist clients of varying sizes in minimizing the time spent on manual tasks. This integration empowers clients with insights that drive business outcomes and foster meaningful experiences for their employees.
In November 2021, ADP acquired Integrated Design, a software company specializing in industry-specific Human Capital Management (HCM) solutions designed to streamline intricate workforce data challenges. This acquisition signifies a durable partnership between the two companies spanning the last two decades. By synergizing IDI's expertise with ADP's extensive global presence and comprehensive HCM and Workforce Management solutions, clients will gain access to an improved payroll and HR experience, enabling them to enhance their business growth and scalability.
ADP Customers in ARTW Customer Database
Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying ADP 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 ADP 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 ADP GlobalView, ADP Resource, ADP SmartCompliance, ADP Streamline, ADP TotalSource, ADP Vantage HCM, ADP Workforce Now, customers.
ADP Overview
Ownership: - ADP : NasdaqGS
Number of Employees: 63000
Functional Market: Absence and Leave Management, Workforce Analytics, Scheduling, Task Management, Time and Attendance, Core HR, Payroll, Benefits Administration, Compliance, Contingent Workforce, Onboarding, Recruiting, Candidate Relationship Management, Applicant Tracking Systems, Performance Management, Learning and Development, Succession Planning, Compensation,
Key Verticals: Aerospace and Defense, Automotive, Banking and Financial Services, Communications, Construction, Real Estate, Consumer Packaged Goods, Distribution, K12, Higher Education, Federal Government, State and Local Government, Public Safety, Healthcare, Life Insurance, P&C Insurance, Specialty Insurance, Leisure and Recreation, Hospitality, Life Sciences, Manufacturing, Media, Faith-Based Nonprofit, Youth and Elderly Care, Special Cause Nonprofit, Oil and Gas, Chemicals, Professional Services, Retail, Transportation, Utilities,
ADP Key Cloud and HCM Applications
ADP GlobalView, ADP Resource, ADP SmartCompliance, ADP Streamline, ADP TotalSource, ADP Vantage HCM, ADP Workforce Now,
ADP HCM and Cloud HCM Applications Revenues, $M:
Type/Year | 2022 | 2023 | YoY Growth, % |
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Total Revenues, $M | Subscribe | Subscribe | Subscribe |
HCM Applications Revenues, $M | Subscribe | Subscribe | Subscribe |
* HCM Applications Revenues = License + Support & Maintenance + SaaS ( Hardware and Prof. Services are Excluded )
** 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.
ADP Revenue Breakdown by Type:
ADP HCM Applications Revenues By Sub-Functional Markets, $M:
Split by Sub-Functional Markets | % of HCM Revenue in the HR Segment | 2023 HCM Revenues, By HR Segment, $M | |
ADP HCM Applications Revenues By Verticals, $M:
ADP Total and HCM Applications Revenues by Region:
Region | % of Total Revenues | 2023 Total Revenues, $M | 2023 HCM Applications Revenues, $M |
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Americas | Subscribe | Subscribe | Subscribe |
EMEA | Subscribe | Subscribe | Subscribe |
APAC | Subscribe | Subscribe | Subscribe |
Total | Subscribe | Subscribe | Subscribe |
ADP Direct vs Indirect sales
Region | Direct Sales | Indirect Sales | Total |
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Type % | Subscribe | Subscribe | Subscribe |
Revenues, $M | Subscribe | Subscribe | Subscribe |
ADP Customers - Breakdown by Geo, Size, Vertical and Product
List of Verified ADP Customers
No. of ADP Customers: 1 million
No. of ADP HCM Applications Customers: 1 million
No. of ADP Cloud HCM Customers: 825000
No. of ADP Cloud HCM Subscribers: x
ADP extends its services to a vast clientele comprising over 1 million clients across more than 140 countries and territories. Notable among its Human Capital Management (HCM) customers are prominent organizations such as ADT, Benevis, Central Bank, DXL, Education Affiliates, Equinix, Shoe Carnival, Valley National Bank, Wheelabrator, etc.
ADP Market Opportunities, M&A and Geo Expansions
In November 2023, ADP and Convera, a global B2B payments Fintech company, revealed a strategic collaboration to provide ADP clients with a comprehensive end-to-end solution for payroll and payments.
This partnership empowers ADP clients to streamline operations and minimize manual intricacies by consolidating payroll and payment processes within a single integrated platform. Together, ADP and Convera offer globally accessible services that adhere to intricate local and international statutory and regulatory requirements. The collaboration ensures robust layers of security, instilling confidence in businesses as they operate and expand their payroll operations.
In October 2023, ADP unveiled its corporate venture capital arm and innovation lab, known as ADP Ventures. The primary objective of ADP Ventures is to augment and fortify ADP's core business, forge innovative solutions in emerging sectors and regions, and cultivate new assets to capitalize on markets and segments extending beyond Human Capital Management (HCM).
ADP Risks and Challenges
As a technology-driven company providing innovative HR and payroll solutions, ADP is vulnerable to technological disruption. Rapid advancements in technology, including automation, artificial intelligence, and blockchain, have the potential to disrupt traditional business models and reshape the competitive landscape in the HR and payroll industry. Failure to anticipate and adapt to technological disruptions could jeopardize ADP's market position and relevance.
ADP Ecosystem, Partners, Resellers and SI
In December 2023, ADP and Salesforce announced an expanded collaboration aimed at reimagining the client experience for ADP's extensive base of over 1 million clients.
In this enhanced partnership, ADP and Salesforce unite ADP's wealth of data and insights, coupled with decades of Human Capital Management (HCM) expertise, and leverage Salesforce's Customer 360 platform. This collaboration seeks to foster increased collaboration and equip ADP's service teams with the necessary information for delivering real-time, prompt responses to their clients. For instance, service teams will utilize generative AI to swiftly access thousands of ADP FAQs and knowledge articles, enabling them to provide instant answers to client inquiries.
ADP Cloud Platform (PaaS) and Infrastructure (IaaS) Details
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- ADP Public Cloud and Infrastructure (IaaS)
- ADP Platform (PaaS)
- ADP Application Delivery
- ADP Private Cloud and Data Centers
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).
For additional information on our methodologies, here's the link:
https://www.appsruntheworld.com/taxonomy
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