ADP and Workday announces integration between the two platforms (C) S brooks, taken at Workday Rising EuropeAt Workday Rising, Workday announced the extension of its ADP partnership. Workday first announced a partnership with ADP in 2015. It signalled that Workday would cease investment in new territories for its payroll suite and partner with ADP. The first product was support for the French payroll in 2016.

The expanded partnership will see a deeper integration between ADP and Workday, aiming to streamline the experience for payroll administrators. The inference is that deeper integration will reduce the duplication of effort within customers. Giving better visibility of compliance, tax, and payroll across the HCM environment.

Maria Black, President and CEO of ADP, commented, “We are laser focused on providing smart, easy, and powerful solutions that help our clients confidently achieve their goals, and enhanced integrations provide the personalization we know they desire. This deeper partnership with Workday builds on our longstanding relationship to provide a technology-first experience across our shared clients’ entire HCM suite.”

The press release did not disclose details of exactly what the integration will mean for joint customers. ADP does not appear to have made a separate announcement.

Why is this important?

Workday cited a recent ADP Potential of Payroll study saying that “94% of global organizations agreeing that they would like to see integration across all of their systems, while survey respondents estimated they spent an average of 22 hours per week, per country, managing the data flow between these systems.”

Those data points don’t exist in the 2022 report. The 2023 report is not publicly available. The 2022 report noted that integration was something that 25% of organisations wanted to improve upon in the next 2-3 years. With this announcement, ADP and Workday seem to be answering that call.

The report also explained why this was important, noting. “stronger integration across business systems would ensure that business leaders extract the full value from payroll data, transforming the function from an operational to a strategic discipline.”

Carl Eschenbach, co-CEO of Workday
Carl Eschenbach, co-CEO of Workday

Carl Eschenbach, co-CEO of Workday, commented, “This expanded partnership with ADP is an exciting next step in a journey spanning over ten years of jointly servicing one million employees and thousands of customers. By deepening the partnership between our two companies, we are better equipped to expand our global reach and serve our joint customers’ ever-evolving needs.”

Enterprise Times: What does this mean

This is an iteration of the partnership between the two global software vendors and a welcome one. It was not the only partnership announcement made by Workday at the event dominated by its announcements around AI. It also revealed that it had deepened the relationship with AWS and Google Cloud. Also, it had added an integration between AWS and Workday Extend.

This was a positive announcement for joint customers. Though many will want to understand more details on what will happen in future releases.


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