Western Europe HCM Applications Vendor Shares, 2010

This IDC study presents in-depth analysis of the Western European market for human capital management (HCM) and payroll applications, with all data expressed in constant dollars. The study ranks the largest vendors by functional markets (HCM and payroll applications, respectively), by subsegment (five HCM subsegments), by deployment model (SaaS versus on premises), by country (seven countries/regions) and by company size (three company size brackets). Finally, the study contains essential guidance on key strategic priorities for HCM and payroll application vendors.

"We now see the $2.4 billion HCM and payroll applications market being one-third payroll, one-third core HR, and one-third talent and workforce management applications. Furthermore, we are seeing SaaS-based solutions coming of age and capturing significant market share, approaching one-fifth of the entire software market including maintenance," said Bo Lykkegaard, research director, European Enterprise Applications at IDC. He continued, "After a comprehensive market consolidation that happened in 2010 and 2011, standalone niche vendors in learning and recruitment have virtually disappeared and the majority of market participants now offer HCM suites for the total employee life cycle."