Top 10 HCM Software Vendors and Market Forecast 2017-2022

Worldwide HCM Applications Market to reach $23.5 billion by 2022, compared with $20.3 billion in 2017 at a compound annual growth rate of 3%..

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In 2017, the top 10 HCM software vendors accounted for 46% of the global HCM applications market which grew 10% to approach $20.3 billion in license, maintenance and subscription revenues.

Last year SAP was No. 1 with a 9% market share riding on a 6.4% jump in HCM license, maintenance and subscription revenues. Workday was #2 followed by ADP, Oracle and Linkedin (now part of Microsoft).

We ask the simple question: Who’s buying 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)

Exhibit 1 - 2017 HCM Applications Market Shares Split By Top 10 HCM Vendors and Others, %
Exhibit 1 – 2017 HCM Applications Market Shares Split By Top 10 HCM Vendors and Others, %

Through our forecast period, the HCM applications market is expected to reach $23.5 billion by 2022, compared with $20.3 billion in 2017 at a compound annual growth rate of 3%.

Exhibit 2: Worldwide HCM Software Market 2017-2022 Forecast, $M
Year 2017 2022 2017-2022 CAGR, %
Total 20300 23502 3%

Source: Apps Run The World, December 2018

Top 10 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 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 HCM applications vendors in 2017 and their market shares.

Rank Vendor 2016 HCM Apps Revenues, $M 2017 HCM Apps Revenues, $M YoY Growth 2017 HCM Market Share, % Recent Developments
1 SAP Subscribe Subscribe 6.40% Subscribe Number of SAP SuccessFactors Employee Central customers for Cloud Core HR applications exceeded 2,800 in 3Q18, up from 1,100 in 1Q16. Employee Central has gone live on the SAP HANA database among a number of key accounts including SAP itself.
2 Workday Subscribe Subscribe 38.50% Subscribe Extended Business Planning Cloud from its acquisition of Adaptive Insights to deliver workforce planning apps, while announcing skills cloud, a universal skills language that helps organizations cleanse, understand, and relate job skills data.
3 ADP Subscribe Subscribe 5.79% Subscribe Acquired Celergo for global payroll and WorkMarket for contingent labor management in 2018.
4 Oracle Subscribe Subscribe 3.41% Subscribe Oracle’s ERP and HCM applications reaches annualized SaaS revenues of $2.6 billion, up more than 25%. Oracle also acquired Iridize for personalized and contextual user onboarding and training for cloud applications.
5 Microsoft Subscribe Subscribe 1.10% Subscribe LinkedIn revenue continued to surge at 33% in Microsoft’s latest quarter, underscoring its stickiness among members and recruiters.
6 Kronos Incorporated Subscribe Subscribe 9.37% Subscribe Kronos announced $1.4 billion in FY18 revenues, up from $1.3 billion in FY17. More than 28,000 customers now run Kronos Cloud, up from 24,000 a year ago.
7 Ultimate Software Subscribe Subscribe 22.63% Subscribe Customer count tops 4500+ as Ultimate strengthens ties with Deloitte Canada and other HCM advisory services.
8 SumTotal Systems, a Skillsoft Company Subscribe Subscribe 12.82% Subscribe SumTotal’s 2-year, multi-million dollar innovation effort has resulted in a fully-unified HCM suite built on a single platform for Core HR, talent management,  learning and workforce management.
9 IBM Subscribe Subscribe -4.67% Subscribe After spinning off products like Notes, IBM focuses on core apps for talent management by playing up the Watson analytics engine that powers AI-based HCM solutions.
10 Ceridian Subscribe Subscribe 36.03% Subscribe Both Dayforce and Powerpay have seen robust double-digit gains since going public. In October 2018, Ceridian launched new succession planning capabilities to round out its talent management suite.
Subtotal Subscribe Subscribe 11.93% Subscribe
Other Subscribe Subscribe 8.74% Subscribe
Total Subscribe Subscribe 10.17% Subscribe

Source: Apps Run The World, December 2018

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

  • Top 500+ HCM Applications Vendors and Market Forecast 2017-2022
  • 2017 HCM Applications Market By Industry (21 Verticals)
  • 2017 HCM Applications Market By Functional Market (16 Markets)
  • 2017 HCM Applications Market By Country (USA + 45 countries)
  • 2017 HCM Applications Market By Region (Americas, EMEA, APAC)
  • 2017 HCM Applications Market By Revenue Type (License, Services, Hardware, Support and Maintenance, Cloud)
  • 2017 HCM Applications Market By Customer Size (revenue, employee count, asset)
  • 2017 HCM Applications Market By Channel (Direct vs Direct)
  • 2017 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 eCommerce, Enterprise Performance Management, Sales Performance Management and Treasury and Risk, where first movers remain less established than those that for decades have been entrenched in functional areas like ERP, CRM and PLM.

Exhibit 4 - Worldwide Enterprise Applications Market Forecast 2017-2022, By Functional Market, $M
Exhibit 4 – Worldwide Enterprise Applications Market Forecast 2017-2022, By Functional Market, $M

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

On the buyer side, customers are investing in HCM applications 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 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.

Customer Industry Empl. Revenue Country Vendor New Product
Rush Enterprises Automotive 6700 $4.86B United States ADP ADP Vantage HCM
Orion Marine Group Construction and Real Estate 1200 $466.0M United States ADP ADP Vantage HCM
SanMar Consumer Packaged Goods 4000 $530.0M United States ADP ADP Vantage HCM
Lundbeck Life Sciences 5119 $2.62B United States Benefitfocus Benefitfocus Marketplace
Aegide-Domitys Construction and Real Estate 2300 $398.0M France Cegid Cegid Talent Management Solution
Optus Professional Services 8350 $6.30B Australia Ceridian Dayforce HCM
Rubio’s Coastal Grill Retail 4200 $1.00B United States Ceridian Dayforce HCM
Denver Broncos Professional Services 1400 $300.0M United States Ceridian Dayforce HCM
Power Construction Construction and Real Estate 600 $1.00B United States Ceridian Dayforce HCM
SUEZ Utility 90000 $18.36B France Cornerstone OnDemand Cornerstone HR Suite
University of Georgia Education 18725 $1.60B United States Cornerstone OnDemand Cornerstone Learning Suite
University of Tennessee Education 9744 $1.70B United States Cornerstone OnDemand Cornerstone Learning Suite
Press Ganey Associates Healthcare 996 $100.0M United States HealthStream HealthStream Learning Center
ArcBest Distribution 13000 $28.21B United States IBM IBM Watson Talent Frameworks
Goodwill of North Georgia Media 3000 $143.0M United States IBM IBM Watson Talent Frameworks
AmTrust Financial Services Banking and Financial Services 9300 $5.96B United States iCIMS iCIMS Recruit Applicant Tracking System
Southeastern Grocers Retail 66000 $10.50B United States iCIMS iCIMS Recruit Applicant Tracking System
NorthStar Anesthesia Healthcare 2465 $446.0M United States iCIMS iCIMS Recruit Applicant Tracking System
Mackenzie Health HealthCare 2900 $300.0M Canada Kronos Kronos Workforce Dimensions
Best Market Consumer Packaged Goods 3237 $300.0M United States Kronos Kronos Workforce Dimensions
Southcoast Health Healthcare 7400 $838.0M United States Kronos Kronos Workforce Central
RWJUH Education 10100 $1.50B United States Kronos Kronos Workforce Central
Ward Transport & Logistics Transportation 1500 $350.0M United States Kronos Kronos Workforce Central
MGM Resorts International Leisure and Hospitality 78000 $10.37B United States Kronos Kronos Workforce Ready
Brookstone Retail 2000 $500.0M United States Kronos Kronos Workforce Dimensions
CHRISTUS Health Healthcare 33000 $4.92B United States Kronos Kronos Workforce Ready
Roche Bros Retail 4600 $389.0M United States Kronos Kronos Workforce Central
University of Colorado Boulder Education 7800 $1.60B United States Kronos Kronos Workforce Dimensions
HHS – Hospital Housekeeping Systems Healthcare 11000 $600.0M United States Kronos Kronos Workforce Central
Mercy Healthcare 44000 $5.00B United States Kronos Kronos Workforce Central
Village Of Rosemont Leisure and Hospitality 4236 $54.0M United States Kronos Kronos Workforce Central
Sedano’s Supermarkets Consumer Packaged Goods 3000 $450.0M United States Kronos Kronos Workforce Central
U.S. Bancorp Banking and Financial Services 74000 $20.04B United States Nice Systems NICE Performance Management
Arcadis Construction and Real Estate 27000 $3.40B Netherlands Oracle Oracle HCM Cloud
Saudi Telecom Company Communication 17000 $13.00B Saudi Arabia Oracle Oracle HCM Cloud
West Midlands Police Insurance 10884 $728.0M United Kingdom Oracle Oracle HCM Cloud
Vanderbilt University Education 9162 $4.13B United States Oracle Oracle HCM Cloud
UW Health Healthcare 18000 $2.90B United States Oracle Oracle HCM Cloud
Southwestern Energy Oil and Gas 2597 $3.13B United States Oracle Oracle HCM Cloud
Ithaca College Education 1600 $234.0M United States Oracle Oracle HCM Cloud
Office Depot Retail 24067 $14.50B United States Oracle Oracle HCM Cloud
BrightSource Energy Utility 450 $13.50B United States Oracle Oracle HCM Cloud
Stockland Construction and Real Estate 1440 $2.60B Australia SAP SAP SuccessFactors Employee Central
KENGEE Consumer Packaged Goods 3000 $500.0M China SAP SAP SuccessFactors Employee Central
Chimelong Group Co. Ltd. Leisure and Hospitality 10000 $950.0M China SAP SAP SuccessFactors Employee Central
Grupo Q Automotive 2400 $500.0M El Salvador SAP SAP SuccessFactors Employee Central
Grupo Q Automotive 2400 $500.0M El Salvador SAP SAP SuccessFactors Employee Central
Kesko Oyj Retail 23173 $10.68B Finland SAP SAP SuccessFactors Employee Central
DEUTZ Construction and Real Estate 3754 $1.48B Germany SAP SAP SuccessFactors Employee Central
Mercedes-AMG Automotive 1400 $7.70B Germany SAP SAP SuccessFactors Employee Central
Boehringer Ingelheim Life Sciences 50000 $21.14B Germany SAP SAP SuccessFactors Employee Central
Commerzbank Banking and Financial Services 48743 $9.94B Germany SAP SAP SuccessFactors Employee Central
Apleona GmbH Construction and Real Estate 22000 $2.00B Germany SAP SAP SuccessFactors Employee Central
Teva Pharmaceuticals Life Sciences 57000 $22.39B Israel SAP SAP SuccessFactors Employee Central
Intesa Sanpaolo S.p.A. Banking and Financial Services 96892 $7.35B Italy SAP SAP SuccessFactors Employee Central
Sberbank Banking and Financial Services 270000 $15.37B Russia SAP SAP SuccessFactors Employee Central
Sberbank Banking and Financial Services 270000 $15.37B Russia SAP SAP SuccessFactors Employee Central
Telefónica Communication 125000 $11.95B Spain SAP SAP SuccessFactors Employee Central
Telefónica Communication 125000 $11.95B Spain SAP SAP SuccessFactors Employee Central
L’Occitane en Provence Consumer Packaged Goods 8630 $1.32B Switzerland SAP SAP SuccessFactors Employee Central
Arvato Financial Solutions UK Professional services 3500 $1.00B United Kingdom SAP SAP SuccessFactors Employee Central
Associated British Ports Transportation 2432 $550.0M United Kingdom SAP SAP SuccessFactors Employee Central
Arvato Financial Solutions UK Professional services 3500 $1.00B United Kingdom SAP SAP SuccessFactors Employee Central
Pets at Home Distribution 7500 $1.11B United Kingdom SAP SAP SuccessFactors Employee Central
Associated British Ports Transportation 2432 $550.0M United Kingdom SAP SAP SuccessFactors Employee Central
City Football Group Media 800 $636.0M United Kingdom SAP SAP SuccessFactors Employee Central
Welcome Break Consumer Packaged Goods 4500 $834.0M United Kingdom SAP SAP SuccessFactors Employee Central
Microsoft Professional services 131300 $110.00B United States SAP SAP SuccessFactors Employee Central
ZS Associates Professional Services 5000 $850.0M United States SAP SAP SuccessFactors Employee Central
Cintas Professional services 41000 $6.48B United States SAP SAP SuccessFactors Employee Central
Mars, Incorporated Consumer Packaged Goods 80000 $35.00B United States SAP SAP SuccessFactors Employee Central
Brooks Brothers Retail 5500 $900.0M United States SAP SAP SuccessFactors Employee Central
General Motors Automotive 216000 $152.36B United States Skillsoft Skillport Learning Management System (LMS)
Bosch Manufacturing 400500 $89.47B Germany SmartRecruiters SmartRecruiters Talent Acquisition Suite
Conexus Credit Union Banking and Financial Services 900 $170.0M Canada Ultimate Software UltiPro
Phoenix Suns Leisure and Hospitality 600 $218.0M United States Ultimate Software UltiPro
Los Angeles Dodgers Media 375 $522.0M United States Ultimate Software UltiPro
United States Olympic Committee Professional Services 500 $350.0M United States Ultimate Software UltiPro
Warren Equipment Company Retail 1700 $500.0M United States Ultimate Software UltiPro
Crescent Hotels & Resorts Leisure and Hospitality 6000 $1.20B United States Ultimate Software UltiPro
AmeriPride Retail 6000 $600.0M United States Ultimate Software UltiPro
VELUX Construction and Real Estate 10200 $2.81B Denmark Workday Workday HCM
TomTom Professional Services 4800 $903.0M Netherlands Workday Workday HCM
Office Depot Europe B.V. Professional Services 6500 $11.60B Netherlands Workday Workday HCM
Airbus Group Aerospace and Defense 134000 $74.00B Netherlands Workday Workday HCM
Centrica Utility 60000 $36.50B United Kingdom Workday Workday HCM
Aggregate Industries Construction and Real Estate 4100 $400.0M United Kingdom Workday Workday HCM
Denny’s Leisure and Hospitality 8900 $529.0M United States Workday Workday HCM
Point Loma Nazarene University Education 1250 $300.0M United States Workday Workday HCM
3M Life Sciences 91000 $31.70B United States Workday Workday HCM
Zillow Construction and Real Estate 3334 $1.08B United States Workday Workday HCM
ConAgra Foods Consumer Packaged Goods 32000 $17.70B United States Workday Workday HCM
Cook County Government Government 22000 $600.0M United States WorkForce Software EmpCenter
Nebraska Furniture Mart Retail 5006 $1.21B United States WorkForce Software EmpCenter
Goodwill of Central and Southern Indiana Professional Services 3500 $156.4M United States WorkForce Software WorkForce Suite

Source: Apps Run The World, January 2019

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 2015-2017 product revenues.

Their 2017 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.

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