SAP’s SuccessFactors Deal Closed at Last

SAP announced that they had acquired the stock of SuccessFactors as of yesterday, February 15.  The deal SAP announced in December has finally closed, and SuccessFactors is now SuccessFactors, an SAP Company.  SuccessFactors falls under the umbrella of SAP America rather than SAP AG, and will continue to operate as an independent business unit, as Sybase does.

David Ludlow, SAP’s Group Vice President, Line of Business – HR, expects that SAP’s current HCM offering and SuccessFactors will remain largely separate. Although the functional overlap between SAP’s current on-premise HCM software and SuccessFactors’ on-demand BizX suite is complete, their two deployment methods are absolutely distinct.  Ludlow foresees that SAP will continue to develop its on-premise HCM offering, while the SuccessFactors’ software will provide cloud capabilities.

SuccessFactors will continue to develop its own unique cloud offerings.  Lars Dalgaard, SuccessFactors’ CEO, has high hopes that the acquisition will increase SuccessFactors’ rate of innovation.  He expects that new developments previously planned for the next 10 years will now be able to be completed within 1 or 2 years’ time.

Together, SAP and SuccessFactors will work to develop a standard solution to integrate their different offerings.

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