By Freya Purnell
Following SAP’s successful acquisition of SuccessFactors, the two companies have moved quickly to announce their unified product direction for human capital management solutions (HCM).
The companies will now combine SuccessFactors Business Execution (BizX) Suite with SAP solutions to provide an end-to-end integrated solution to help with some of the biggest HR challenges businesses are facing.
SuccessFactors Employee Central will be the core human resources (HR) offering in the cloud, and SAP has indicated that it plans to “boldly invest in it”, resulting in exponential growth.
SAP will continue to offer the SAP ERP Human Capital Management on premise for core HR – again, SAP plans to invest significantly in the functionality, user experience, and mobile and in-memory technology capabilities of this solution.
While talent management components from SAP ERP HCM will be continued for the next decade, SuccessFactors Performance Management, SuccessFactors Compensation Management, SuccessFactors Recruiting and SuccessFactors Learning Management, along with social learning from SuccessFactors Jam, will be the companies’ talent management solutions going forward.
SuccessFactors Workforce Analytics will be powered by SAP HANA, revolutionizing people analytics in the process by making aggregate HR benchmark insights available in the clod to hundreds of thousands of customers. This move is one of the development priorities for the two companies, as it will dramatically speed existing processes.
According to Dr Vishal Sikka, member of the SAP Executive Board, Technology and Innovation, the companies have already seen great results using HANA with SuccessFactors Employee Central – improving its performance by more than 1000 times, from nine minutes to 200 miliseconds.
Lars Dalgaard, founder and CEO, SuccessFactors, said the delivery of the unified product direction within just days of the tender offer close demonstrates the agility of the combined organisations.
“We are providing immediate clarity on our BizX roadmap to ensure we deliver the best possible suite of solutions for our customers. The customer must always win. We cannot wait to share more of what we’ll offer our customers in the next few months,” Dalgaard said.
Around 14 per cent of SuccessFactors customers currently run their systems side-by-side with SAP, and SAP and SuccessFactors plan to accelerate the development of integration solutions with third-party solution providers.
For SAP customers, the companies intend to deliver integration packages between the two offerings – cloud-based talent, core HR, recruiting, learning and social solutions, and workforce planning and analytics solutions from SuccessFactors, and on-premise core HR from SAP.
Further details of the companies’ overall cloud strategy, product roadmaps and go-to-market approaches beyond HCM will be revealed at a dedicated influencer event prior to the SAPPHIRE NOW and SuccessFactors SuccessConnect events.