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ADP - Payroll Services
Vendor Analysis
published on Aug 16, 2024
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Report Overview:
This NelsonHall vendor assessment analyzes ADP's offerings and capabilities in Payroll Services
Who is this Report for:
NelsonHall’s Payroll Services profile on ADP is a comprehensive assessment of ADP’s offerings and capabilities, designed for:
- Sourcing managers monitoring the capabilities of existing suppliers of Payroll Services and identifying vendor suitability for security services RFPs
- Vendor marketing, sales, and business managers looking to benchmark themselves against their peers
- Financial analysts and investors specializing in the Payroll Services sector.
Scope of this Report:
The report provides a comprehensive and objective analysis of ADP’s Payroll Services offerings and capabilities, and market and financial strengths, including:
- Identification of the company’s strategy, emphasis, and new developments
- Analysis of the company’s strengths, weaknesses, and outlook
- Revenue estimates
- Analysis of the profile of the company’s customer base including the company’s targeting strategy and examples of current contracts
- Analysis of the company’s offerings and key service components
- Analysis of the company’s delivery organization including the location of delivery centers.
Key Findings & Highlights:
ADP, founded in 1949 and headquartered in Roseland, New Jersey, provides payroll and HCM management software and services. ADP’s business is organized into the following two business segments:
- Employer Services (~70% of revenues): provides HR Business Processing Services (BPS) and technology-enabled HCM solutions; offerings include payroll services, benefits administration, talent management, HR management, time and attendance management, insurance services, retirement services, tax and compliance services, and people analytics and benchmarking to ~1m clients worldwide
- PEO Services (~30% of revenues): ADP TotalSource provides employment administration outsourcing services for small and mid-sized businesses, including payroll, benefits administration, and compliance services through a co-employment relationship. It services ~15.5k clients and ~700k employees in the U.S.
ADP offers payroll services to clients with one employee up to large, enterprise-sized organizations. It began offering payroll in 1949. It pays ~41m employees across 1m clients and 140 countries. It pays one in six U.S. workers.