Ceridian’s Payroll and HR Software Solution: A Review

Ceridian's Sweet Spot & Competitor Solutions

Ceridian's Payroll Sweet Spot

Though Ceridian do not specify an ideal employee population for its payroll software, the best fit (based on current customer size) appears to be the middle market (broadly defined as 500-2500 employees). However, the company does have a number of larger enterprises that have adopted its payroll solution, the largest of which has approximately 30,000 employees. The ideal vertical market sectors targeted by Ceridian include Financial Services, Government, Manufacturing, Professional Services, and Retail; and current marquee clients leveraging Ceridian software are World Vision, Ace Hardware, The National Rifle Association (NRA), Bass Pro Shops, VCA Antech, and GameStop.

When you’re looking for a payroll solution, shortlist Ceridian if:

• Your business is within one of the above-named vertical markets.
• You need a solid payroll solution undiluted by a wider focus on functions such as talent management.
• Your organization has a high concentration of complex U.S., Canadian, or UK payroll needs.
• You favor an on-premises payroll software system over a SaaS solution.
• Your organization is already using Ceridian’s outsourced payroll services.

Alternative Solutions

Payroll and HR software buyers may wish to look further afield if:

• Your organization operates globally and needs both global payroll and HR functionality from a single provider.
• You are seeking deeper integration into additional ERP capabilities like financials, CRM, etc.
• Your company needs the flexibility and innovation that comes from an established, "true" multi-tenant SaaS HR solution

Ceridian Competitors

Factoring in the combination of outsourcing and payroll capabilities, Ceridian's direct competitor is Automatic Data Processing (ADP). For buyers looking for integrated workforce management functionality there may be some overlap with offerings from Kronos, however, Ceridian’s solution has limited functionality by comparison. Additional competitors with similar payroll functionality include Paychex; Paylocity Corporation; Intuit Online Payroll; and SurePayroll.

Concluding Remarks

As the broader HR technology market heads towards a unified HR suite (bringing together payroll, core HR and talent management capabilities), Ceridian’s tighter focus should not prevent it from being considered as a viable option—especially for those organizations that are looking to leverage "best-of-breed" technology solutions (a label that can certainly be applied to Ceridian’s payroll offering). There are many "name" vendors that offer the other side of the HR suite coin but are lacking the strong payroll and HR fundamentals that are Ceridian’s strengths – Taleo, SumTotal, and Halogen are three names that come to mind.

In the final analysis, it must be acknowledged that Ceridian’s path has been a rocky one at times, but the right strategy, backed by parent company THL’s financial muscle, could refocus the company on innovation in the areas of SaaS, mobile functionality, consumer technologies, social media and analytics to widen both Ceridian’s market appeal and client base.