DEBUG: PAGE=domain, TITLE=View all Vendors,ID=1466,TEMPLATE=vendors
toggle expanded view
VENDORparam =
Title = View all Vendors
Description =

Search across all vendors:

ADP - U.S. SMB Payroll Services

Vendor Analysis

by Elizabeth Rennie

published on Jan 22, 2020

Access to this report is restricted to logged in clients with access. Login to get full access

Report Overview:

This NelsonHall assessment analyzes ADP's offerings and capabilities in U.S. SMB payroll services

Who is this Report for:

NelsonHall’s Payroll Services Vendor Assessment for ADP is a comprehensive assessment of ADP’s U.S. Small and Medium Business (SMB) payroll services offering and capabilities designed for:

  • Sourcing managers monitoring the capabilities of existing suppliers of payroll outsourcing and identifying vendor suitability for payroll services RFPs
  • Vendor marketing, sales, and business managers looking to benchmark themselves against their peers
  • Financial analysts and investors specializing in the support services sector
  • HR and payroll decision makers.

Scope of this Report:

The report provides a comprehensive and objective analysis of ADP’s U.S. SMB Payroll services offering, capabilities, and market and financial strength, 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, is a provider of HR management software and services.

ADP’s business is organized into the following two business segments:

Employer Services (~70% of revenues): provides HR BPO and technology-enabled HCM solutions; offerings include payroll services, benefits administration, talent management, HR management, time and attendance management, insurance services, retirement services, and tax and compliance services to over 810k clients worldwide

PEO Services (~30% of revenues): under ADP TotalSource provides employment administration outsourcing services for organizations with 10 to 200 employees, including payroll, benefits admin, and compliance services through a co-employment relationship; servicing over 12.5k clients and over 562k worksite employees in the U.S.

Within Employer Services, ADP’s offerings include software and services for:

  • HR administration
  • Payroll services
  • Tax and compliance
  • Workforce Management (WFM)
  • Benefits administration
  • Recruitment process outsourcing (RPO)
  • Talent management
  • Insurance services
  • Retirement services
  • Payment and compliance solutions
  • Pre-employment

In 1998, ADP launched its first SaaS-based payroll solution, EasyPayNet, and currently has several cloud-based HCM solutions available including:

  • ADP TotalSource: for existing PEO clients
  • RUN Powered by ADP: for organizations with <50 employees
  • ADP Workforce Now: for mid-market organizations with up to 5k employees in the U.S. and Canada
  • ADP Vantage HCM: for U.S. headquartered organizations with >1k employees, and outside the U.S. via integration with ADP Global Payroll 
  • ADP Global Payroll: for large multinational organizations; available in ~140 countries.

ADP’s has offered payroll services since its inception in 1949 and pays ~40m employees (~26m in the U.S. and ~15m internationally) across ~810k payroll clients (~$2.1 trillion annually moved on behalf of its clients and client employees) paying one in six U.S. workers.  ADP provides payroll services to clients with a single employee up to >150k employees. 

Login to get full access: