Top 10 Cloud HCM Software Vendors, Market Size and Market Forecast 2020-2025

Worldwide Cloud HCM Applications Market to reach $23.8 billion by 2025, compared with $18 billion in 2020 at a compound annual growth rate of 5.7%.

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In 2020, the top 10 Cloud HCM software vendors accounted for 78.2% of the global Cloud HCM applications market which grew 6.5% to approach $18 billion in license, maintenance and subscription revenues.

Last year Workday was No. 1 with a 14.6% market share riding on a 25% jump in Cloud HCM license, maintenance and subscription revenues. Microsoft was #2 followed by UKG, SAP and Oracle.

We ask the simple question: Who’s buying Cloud HCM applications from whom and why? And we provide the answers – supported by decades of research – to our clients around the world. (Sample from our Apps Database)

Top 10 Cloud HCM Software Vendors v1
Exhibit 1 – 2020 Cloud HCM Applications Market Shares Split By Top 10 Cloud HCM Vendors and Others, %

Through our forecast period, the Cloud HCM applications market size is expected to reach $23.8 billion by 2025, compared with $18 billion in 2020 at a compound annual growth rate of 5.7%.

Exhibit 2: Worldwide Cloud HCM Software Market 2020-2025 Forecast, $M
Year202020252020-2025 CAGR, %
Total18062238525.7%

Source: Apps Run The World, April 2021

Top 10 Cloud HCM Software Vendors

Human capital management includes such functions as eRecruiting (applicant tracking), Onboarding (employee profile), Performance Management (assessment, goal management, succession planning), Core HR (personnel administration, benefits, compensation management, payroll), Workforce Management (absence management, activity tracking, scheduling, time and attendance), and eLearning (learning management system).

Here are our forecast assumptions for the Cloud HCM applications market. Talent shortages, demographic shifts, contingent labor surges are reshaping the global workforce as firms of all sizes revamp their HR systems to better acquire, retain and source a new generation of employees. For more on our forecast assumptions, please visit our Quarterly Win/Loss Analysis Scoreboard and our Enterprise

Here are the rankings of the top 10 Cloud HCM applications vendors in 2020 and their market shares.

RankVendor2019 Cloud HCM Apps Vendors, $M2020 Cloud HCM Apps Vendors, $MGrowth, %2020 Cloud HCM Apps Market Share, %Recent Developments
1Workday Subscribe Subscribe19.0% SubscribeWorkday eclipses Microsoft as the No. 1 Cloud HCM applications vendors after showing increased traction with more than 3,450 customers picking up its flagship HR offerings including some of the biggest employers in the world. In its latest quarter Workday added 11 new Fortune 500 customers for the core HCM product and it now counts 45% of the Fortune 500 and 70% of the Fortune 50 relying on its products to manage tens of millions of employees.
2Microsoft Subscribe Subscribe15.0% SubscribeAfter making significant inroads into job recruiters and HR executives that eye LinkedIn’s 700 million+ members with great interest, Microsoft now aims to expand its presence in Cloud HCM with Viva for enhanced employee experience that covers learning, workplace engagement, physical and mental well-being, all of which will be embedded and extended into other apps like Microsoft 365 and Teams throughout 2021.
3UKG Subscribe Subscribe21.3% SubscribeThe 2020 combination of Ultimate Software and Kronos to create UKG – now with an annual run-rate of $3 billion+ – has catapulted the vendor to leapfrog incumbents such as ADP, Oracle and SAP as it starts delivering best-of-breed HR and workforce management products to an installed base of 55,000 customers around the world. Upcoming enhancements include expanded payroll offerings with improved user interface and predictive capabilities for better compliance reporting, along with robust analytics and HR service delivery.
4SAP Subscribe Subscribe20.0% SubscribeIn the Cloud HCM market, SAP now has more than 7,100 customers including 4,264 for Employee Central. That covers 179 million users worldwide. Some 110 customers of SAP HCM run its products with at least 100,000 users each. In 2021, SAP plans to beef up its workforce management offerings with plans to deliver robust time and attendance and eventually best-in-class scheduling capabilities.
5Oracle Subscribe Subscribe28.0% SubscribeOracle is expected to strengthen the entire HCM product lifecycle capabilities through increased use of AI and machine learning, better Employee Experience access to all backend systems, while reinforcing the needs to ensure diversity and inclusion, and enhanced cybersecurity protection for work from home employees. It will be anchored by the new Oracle Journeys designed to guide employees through tasks and key milestones while delivering quick access to resources they need across HR and the extended enterprise, such as “Return to the Workplace Journey” as part of the updated Oracle Employee Care Package that may be especially pertinent in the coming months as organizations start going back to in-office operations.
6Cornerstone OnDemand Subscribe Subscribe29.8% SubscribeFollowing the 2020 acquisition of Saba, Cornerstone offers an expanded product portfolio for all facets of HR as it helps a diverse group of clients realize the potential of their people with purpose-built learning and development applications as well as topical eLearning and training content. The combined company covers more than 75 million users and serves approximately 6,000 organizations around the globe.
7Paycom Subscribe Subscribe13.1% SubscribeWith more than 31,000 clients across the United States, Paycom saw uninterrupted growth in 2020 and it quickly rebounded after a slight deceleration in the second quarter. For the second half of the year, Paycom resumed its double-digit subscription revenue gains after successfully upselling and cross-selling a range of HR, payroll and workforce management products to its SMB customers.
8Paylocity Subscribe Subscribe11.0% SubscribeDespite rising layoffs among some of its customers, Paylocity has weathered the pandemic with 11% growth in its product revenues in 2020 as it back-filled its product portfolio last year with the addition of VidGrid for video learning and the $15 million acquisition of Samepage Labs for task management, file sharing, and real-time collaboration.
9ADP Subscribe Subscribe5.0% SubscribeThanks to its improved sales and field support capabilities, ADP has rebounded as its ADP Employer Services division, which offers a range of Cloud and onpremise HCM applications, started to see a turnaround in the second half of 2020 with increased revenues after a 5% drop in the second quarter. In the latest quarter, ADP Employer Services posted a 0.3% rise in sales, while its HR outsourcing arm rose nearly 5%.
10Ceridian Subscribe Subscribe22.5% SubscribeCeridian has succeeded with its Dayforce Cloud HCM products, which posted 23% growth in 2020 to reach more than $500 million in subscription revenues with nearly 5,000 customers and 4.2 million users. It also sells into 38,000 Powerpay customers for payroll, which also serves as a perfect vehicle for Ceridian to convert them into full-blown Dayforce subscribers. In 2021, Ceridian acquired Ascender HCM in Australia, which caters to 1,200 customers mostly in Asia Pacific.
Subtotal Subscribe Subscribe18.8% Subscribe
Other Subscribe Subscribe-22.3% Subscribe
Total Subscribe Subscribe6.5% Subscribe

Source: Apps Run The World, April 2021

Other HCM software providers included in the report are: Asure Software, Beeline, Benefitfocus, Blackboard, Bullhorn, Businessolver, Campus Management, CareerBuilder, Castlight Health, Constellation Software Inc., Epicor, Equifax, Excelity Global, Field Nation, First Advantage, Freelancer, Genesys Telecommunications Laboratories, Gusto, HealthcareSource, HealthStream Inc., Hilan, HireRight, HotSchedules, IBM, iCIMS, Infor, Insperity, Inc., Instructure, Inc., Intuit Inc., iSolved Human Capital Management, Jobvite, Madison Performance Group, Meta4, Morneau Shepell Inc., P&I Personal & Informatik AG, Paychex, Paycor, Paylocity, Peoplefluent, a Learning Technologies Group Company, Roper Technologies, Inc., Saba Software, Sage, ServiceNow, SHL, SmartRecruiters, Snag, Sopra HR Software, a subsidiary of Sopra Steria, Sterling Talent Solutions, SumTotal Systems, a Skillsoft Company, Talentsoft, TOTVS, Tricor Group, Trimble, TriNet, Tyler Technologies, UNIT4, Upwork, Vertafore, Visier, Visma, Vitech Systems Group, WalkMe, Wolters Kluwer, Workday, WorkForce Software, LLC, Works Apps, Xero, Yardi, Yonyou, Zellis (ex NGA Human Resources UK & Ireland), Zoho Corp., and many others.

Custom data cuts related to the Cloud HCM Applications market are available:

  • Top 200+ Cloud HCM Applications Vendors and Market Forecast 2020-2025
  • 2020 Cloud HCM Applications Market By Industry (21 Verticals)
  • 2020 Cloud HCM Applications Market By Functional Market (16 Markets)
  • 2020 Cloud HCM Applications Market By Country (USA + 45 countries)
  • 2020 Cloud HCM Applications Market By Region (Americas, EMEA, APAC)
  • 2020 Cloud HCM Applications Market By Revenue Type (License, Services, Hardware, Support and Maintenance, Cloud)
  • 2020 Cloud HCM Applications Market By Customer Size (revenue, employee count, asset)
  • 2020 Cloud HCM Applications Market By Channel (Direct vs Direct)
  • 2020 Cloud HCM Applications Market By Product

Exhibit 4 shows the enterprise applications market by functional area. The highest growth functional markets revolve around smaller segments like Analytics and BI, Collaboration, eCommerce, PPM and TRM, where first movers remain less established than those that for decades have been entrenched in functional areas like Content Management and CRM.

Exhibit 4 - Worldwide Cloud Based Enterprise Applications Market Forecast 2020-2025, By Functional Market, $M
Exhibit 4 – Worldwide Cloud Based Enterprise Applications Market Forecast 2020-2025, By Functional Market, $M

Cloud HCM Win/Loss Analysis As Part Of Enterprise Applications Buyer Insight Customer Database

On the buyer side, customers are investing in Cloud HCM systems based on new features and capabilities that are expected to replace their existing legacy systems. In many cases, competitive upgrades and replacements that could have a profound impact on future market-share changes will become more widespread.

Since 2010, our global team of researchers have been studying the patterns of the latest Cloud HCM software purchases by customers around the world, aggregating massive amounts of data points that form the basis of our forecast assumptions and perhaps the rise and fall of certain vendors and their products on a quarterly basis.

What follows is a sample of our latest findings, which are being updated continuously. Each year our research team identifies tens of thousands of these HCM customer wins and losses from public and proprietary sources.

The research results are being incorporated into regular updates in our Enterprise Applications Buyer Insight Customer Database. You can access the Quarterly Win/Loss Analysis Scoreboard and our Enterprise Applications Buyer Insight Customer Database by becoming a subscriber.

List of Cloud HCM Customers

CustomerIndustryEmpl.RevenueCountryNew Product
2UEducation5519$574.0MUnited StatesWorkday HCM
3M CompanyManufacturing96163$32.76BUnited StatesWorkday HCM
Academy Sports + OutdoorsRetail20000$4.83BUnited StatesWorkday HCM
Agilent Technologies, Inc.Life Sciences16370$5.16BUnited StatesWorkday HCM
Bain CapitalBanking and Financial Services1000$105.0MUnited StatesWorkday HCM
Bass Pro ShopsRetail40000$8.10BUnited StatesWorkday HCM
Brady CorporationManufacturing5400$1.08BUnited StatesWorkday HCM
City and County of DenverGovernment11100$2.35BUnited StatesWorkday HCM
City of San MateoGovernment475$140.0MUnited StatesWorkday Payroll
H&E Equipment Services, IncConstruction and Real Estate2254$1.17BUnited StatesWorkday Performance Management
Fiserv, Inc.Banking and Financial Services44000$14.85BUnited StatesWorkday Prism Analytics
AdientAutomotive2500$223.0MUnited StatesWorkday Recruiting
C&S Wholesale Grocers, Inc.Distribution15500$25.00BUnited StatesWorkday Recruiting
90 SecondsProfessional Services200$23.0MSingaporeLinkedIn Talent Solutions
Abunayyan HoldingOil, Gas and Chemicals4500$800.0MSaudi ArabiaLinkedIn Talent Solutions
Divi ResortsLeisure and Hospitality2900$900.0MUnited StatesLinkedIn Talent Solutions
Oticon AustraliaManufacturing600$80.0MAustraliaLinkedIn Talent Solutions
San Francisco SymphonyNon Profit500$9.1MUnited StatesLinkedIn Talent Solutions
AllianzInsurance147425$135.73BGermanyLinkedin Learning
MarketoProfessional services1500$400.0MUnited StatesLinkedin Learning
State of MissouriGovernment55890$30.00BUnited StatesLinkedin Learning
Alaska Air Group, Inc.Aerospace and Defense23376$6.55BUnited StatesKronos Workforce Dimensions
Amcor USADistribution35000$9.30BSwitzerlandKronos Workforce Dimensions
Cheney Brothers, Inc.Distribution3000$2.00BUnited StatesKronos Workforce Dimensions
CoorsTek, Inc.Manufacturing5900$850.0MUnited StatesKronos Workforce Dimensions
FreshDIrectRetail3000$600.0MUnited StatesKronos Workforce Dimensions
Lifespan CorporationHealthcare15000$2.00BUnited StatesKronos Workforce Dimensions Analytics
Rouses MarketsRetail6500$900.0MUnited StatesKronos Workforce Dimensions Analytics
City Beach AustraliaRetail2000$250.0MAustraliaKronos Workforce Dimensions Core HR
Vigor Industrial LLCManufacturing2300$560.0MUnited StatesKronos Workforce Dimensions Core HR
Airlite Plastics Co.Manufacturing900$120.0MUnited StatesKronos Workforce Ready
ALPLA Inc.Manufacturing1400$200.0MUnited StatesKronos Workforce Ready
Farmer BrothersConsumer Packaged Goods1521$595.0MUnited StatesKronos Workforce Ready
Goodwill Industries of Monocacy Valley, IncNon Profit335$18.0MUnited StatesKronos Workforce Ready
Air Canada JazzTransportation4400$1.67BCanadaUltiPro HCM
BH Management Services, LLCConstruction and Real Estate2500$1.00BUnited StatesUltiPro HCM
BregLife Sciences1210$200.0MUnited StatesUltiPro HCM
Festival FoodsRetail7500$700.0MUnited StatesUltiPro HCM
Mid-Atlantic Health CareHealthcare3700$1.00BUnited StatesUltiPro HCM
Mitchell InternationalProfessional Services2500$450.0MUnited StatesUltiPro HCM
Pulice Construction Inc.Construction and Real Estate650$160.0MUnited StatesUltiPro HCM
AGCO CorporationManufacturing20961$9.04BUnited StatesSAP SuccessFactors Employee Central
Apleona GmbHProfessional Services17000$4.14BUnited Arab EmiratesSAP SuccessFactors Employee Central
Battelle Memorial InstituteLife Sciences22000$6.20BUnited StatesSAP SuccessFactors Employee Central
Block CommunicationsMedia2500$500.0MUnited StatesSAP SuccessFactors Employee Central
Canada Life Assurance CompanyInsurance10500$3.26BCanadaSAP SuccessFactors Employee Central
Collinson GroupProfessional Services2100$300.0MUnited KingdomSAP SuccessFactors Employee Central
DeLavalManufacturing4500$1.10BSwedenSAP SuccessFactors Employee Central
Devon Energy CorporationOil, Gas and Chemicals1400$4.83BUnited StatesSAP SuccessFactors Employee Central
Discovery LimitedBanking and Financial Services12000$2.38BSouth AfricaSAP SuccessFactors Employee Central
Flowers Foods, Inc.Consumer Packaged Goods9700$4.12BUnited StatesSAP SuccessFactors Employee Central
Agilent Technologies, Inc.Life Sciences16370$5.16BUnited StatesSAP SuccessFactors Learning
Capital GroupBanking and Financial Services7500$7.60BUnited StatesSAP SuccessFactors Learning
CommerzbankBanking and Financial Services49410$9.46BGermanySAP SuccessFactors Learning
Academy Sports + OutdoorsRetail20000$4.83BUnited StatesOracle HCM Cloud
Accelya Holding World S.LProfessional Services3000$300.0MSpainOracle HCM Cloud
Accolade Wines Australia LtdManufacturing1700$653.0MAustraliaOracle HCM Cloud
BAE SystemsAerospace and Defense85800$23.21BUnited KingdomOracle HCM Cloud
Cantor FitzgeraldBanking and Financial Services10000$1.00BUnited StatesOracle HCM Cloud
City of AtlantaGovernment7921$2.62BUnited StatesOracle HCM Cloud
DanieliManufacturing9378$2.87BItalyOracle HCM Cloud
DFC Global CorporationBanking and Financial Services1700$275.0MUnited StatesOracle HCM Cloud
Dyson LtdManufacturing12500$5.70BUnited KingdomOracle HCM Cloud
Enerpac Tool GroupManufacturing2300$493.0MUnited StatesOracle HCM Cloud
First Abu Dhabi BankBanking and Financial Services5400$2.89BUnited Arab EmiratesOracle HCM Cloud
G4S plcProfessional Services1200$1.50BUnited Arab EmiratesOracle HCM Cloud
Darden Restaurants, Inc.Retail180000$8.08BUnited StatesCornerstone HR Suite
Bourne Leisure LtdLeisure and Hospitality16500$1.36BUnited KingdomCornerstone HR Suite
Haven Leisure LtdLeisure and Hospitality9000$300.0MUnited KingdomCornerstone HR Suite
The University of AucklandEducation13000$230.0MNew ZealandCornerstone HR Suite
Advanced Technology Services, Inc.Professional Services3400$350.0MUnited StatesCornerstone Learning Suite
Bourne Leisure LtdLeisure and Hospitality16500$1.36BUnited KingdomCornerstone Learning Suite
State of North CarolinaGovernment81000$51.29BUnited StatesCornerstone Performance Suite
RLI Insurance CompanyInsurance1050$915.0MUnited StatesCornerstone Performance Suite
C. H. Robinson Worldwide, Inc.Distribution15262$16.63BUnited StatesCornerstone Recruiting Suite
BlackHawk IndustrialProfessional Services710$400.0MUnited StatesPaycom HR Management
Boxer Property Management CorpProfessional Services1000$100.0MUnited StatesPaycom HR Management
Egenera, Inc.Professional Services305$79.0MUnited StatesPaycom HR Management
Goodwill Industries Bay AreaNon Profit710$24.0MUnited StatesPaycom HR Management
Oberg IndustriesManufacturing800$13.0MUnited StatesPaycom HR Management
Veterinary Practice Partners, LLCProfessional Services1370$300.0MUnited StatesPaycom HR Management
Zelis HealthcareHealthcare600$100.0MUnited StatesPaycom HR Management
MinerTransportation550$150.0MUnited StatesPaylocity HCM
NestLabsManufacturing1000$340.0MUnited StatesPaylocity HCM
San Francisco SymphonyNon Profit500$9.1MUnited StatesPaylocity HCM
Addus HomecareHealthcare5002$648.0MUnited StatesADP Vantage HCM
Holiday RetirementLeisure and Hospitality11000$2.00BUnited StatesADP Vantage HCM
Kratos Defense and Security SolutionsOil, Gas and Chemicals3000$717.0MUnited StatesADP Vantage HCM
Rush Enterprises, Inc.Distribution7244$5.81BUnited StatesADP Vantage HCM
Waste ProUtilities2600$464.0MUnited StatesADP Vantage HCM
SanMarRetail4000$1.50BUnited StatesADP Vantage HCM
Alcami CorporationLife Sciences1038$250.0MUnited StatesADP Workforce Now
Bentall KennedyConstruction and Real Estate1100$800.0MCanadaADP Workforce Now
Capstone Real Estate Services Inc.Construction and Real Estate850$50.0MUnited StatesADP Workforce Now
CECO EnvironmentalProfessional Services985$417.0MUnited StatesADP Workforce Now
Double Down IncMedia280$66.0MUnited StatesADP Workforce Now
Gun Lake CasinoLeisure and Hospitality1200$100.0MUnited StatesADP Workforce Now

Source: Apps Run The World, April 2021

Further Readings

The HCM Top 500 report series covers more than 3,000 pages of content, make sure that you don’t miss any of the 500+ profiles by becoming a subscriber. Or you can catch the highlights with the following links:

More Enterprise Applications Research Findings

Based on the latest annual survey of 3,000+ enterprise software vendors, Apps Run The World is releasing a number of dedicated reports, which profile the world’s 500 largest Enterprise Applications Vendors (Apps Top 500) and the world’s 500 largest Cloud Applications Vendors (Cloud Top 500) ranked by their 2015-2020 product revenues.

Their 2019 results are being broken down, sorted and ranked across 16 functional areas (from Analytics to Treasury and Risk Management) and by 21 vertical industries(from Aerospace to Utility), as shown in our Taxonomy. Further breakdowns by subvertical, country, company size, etc. are available as custom data cuts per special request.

Research Methodology

Each year our global team of researchers conduct an annual survey of thousands of enterprise software vendors by contacting them directly on their latest quarterly and annual revenues by country, functional area, and vertical market.

We supplement their written responses with our own primary research to determine quarterly and yearly growth rates, In addition to customer wins to ascertain whether these are net new purchases or expansions of existing implementations.

Another dimension of our proactive research process is through continuous improvement of our customer database, which stores more than one million records on the enterprise software landscape of over 100,000 organizations around the world.

The database provides customer insight and contextual information on what types of enterprise software systems and other relevant technologies are they running and their propensity to invest further with their current or new suppliers as part of their overall IT transformation projects to stay competitive, fend off threats from disruptive forces, or comply with internal mandates to improve overall enterprise efficiency.

The result is a combination of supply-side data and demand-generation customer insight that allows our clients to better position themselves in anticipation of the next wave that will reshape the enterprise software marketplace for years to come.