Those of you who follow the Human Capital Management market will have read that Workday have acquired Peakon this week press release here. A move like this was inevitable with the shift to Human Experience Management (HXM) over the last couple of years with the conversation being led by the SAP SuccessFactors and Qualtrics ecosystem. It’ll be interesting to see how Workday incorporate Peakon’s technology into their product, how it’s priced, and how they’re going to spin Qualtrics’ recent IPO as a key differentiator with their product (continuing to spin of the “power of one” mantra the sales team rely upon).
An area that workday can likely get ahead is deep integration. The promises of deep integrations between SAP SuccessFactors and Qualtrics haven’t entirely been met, and the separation of Qualtrics from the SAP banner, spinning off on its own, is something that Workday ought to jump on immediately. Workday ought to be working with some key implementation partners on demonstration environments that meet customers’ HXM needs now to demonstrate how the Peakon technology, embedded within Workday, can deliver on some areas that are difficult to build-out using the SAP SuccessFactors and Qualtrics ecosystem.
Workday, however, still need to work heavily on the time and attendance limitations within their product, particularly if they are going to make a dent on the large industrial businesses that rely on rosters, contractors, and a workforce dispersed across geographies. SAP SuccessFactors isn’t strong in this space either, however SAP have a strong partnership with UKG Kronos integrating their Workforce Dimensions product in a meaningful manner with SuccessFactors. Workday don’t yet offer anything similar, with the best current offering being an integration of a near end-of-life Kronos product, white-labelled as “e-time” and sold with ADP‘s payroll solution. The problem here (ignoring the end-of-life issues) is that the integration is shallow and transacts on a lot of out-of-date information.
The acquisition of Peakon is an excellent move by Workday to get in front of the HXM marketplace, however the product still has some development required to get ahead in the time and attendance space.
If you have an interest in the HCM/HXM market and are currently looking for your next employment opportunity, I’m currently recruiting to fill a number of project roles on an exciting global HCM/HXM transformation for the Glencore Copper business. Details of the project and the roles being recruited for can be found here.