SaaS HR vendor lands global deal with Siemens

SuccessFactors' applications will be rolled out to 420,000 users worldwide

SuccessFactors, maker of SaaS (software as a service) applications for employee performance and talent management, announced Monday that it has landed a global agreement with Siemens, in another sign of the on-demand model's growing acceptance by enterprises.

The San Mateo, California, vendor's software will be rolled out to 420,000 users in 80 countries, and in 20 languages, according to SuccessFactors.

In a statement, Siemens said it went with the vendor in order to standardize on a single platform and separate "strategic execution and management" from its transactional HR systems. Siemens added that it is pursuing a cloud computing strategy in general, believing it can lower IT costs and speed up processes.

"Siemens is a traditional SAP house. For their team to make a big bet on SuccessFactors represents the new type of thinking present among many CIOs and enterprises today," Forrester Research analyst Ray Wang said in an e-mail.

"Their software vendors may not be innovating fast enough to keep up with the enterprise's requirements."

SuccessFactors declined to release the exact price tag on the deal, but said no single customer represents more than 5 percent of its revenue, which was US$35.2 million in the first quarter, a 50 percent increase over the year prior.

The vendor claims to have 2,700 customers and 4.7 million end-users.

While companies worldwide are reining in IT spending as the global recession persists, SuccessFactors occupies an opportune niche, said Paul Albright, chief marketing officer.

"CEOs and CFOs are looking to come out of the economic downturn much faster, with more focus and vigor," he said.

Therefore, companies are investing in software that helps set employee goals and gets top performers "in a position to have the biggest impact," he said.

But industry observers are predicting big growth for SaaS applications overall. The global SaaS market will reach $8 billion this year, up from $6.6 billion in 2008, and it will skyrocket to $16 billion by 2013, according to a recent Gartner report.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags SaaSHRsiemensSuccessFactors

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Chris Kanaracus

IDG News Service
Show Comments

Cool Tech

Toys for Boys

Family Friendly

Stocking Stuffer

SmartLens - Clip on Phone Camera Lens Set of 3

Learn more >

Christmas Gift Guide

Click for more ›

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Aysha Strobbe

Microsoft Office 365/HP Spectre x360

Microsoft Office continues to make a student’s life that little bit easier by offering reliable, easy to use, time-saving functionality, while continuing to develop new features that further enhance what is already a formidable collection of applications

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?