Work with your Ceridian account leader and ask for briefings as soon as possible related to management changes and plans.\u00a0 ((Knowledge Infusion, May 31, 2007.\u00a0 \u201cCeridian – What to do today\u201d Retrieved from http:\/\/knowledgeinfusion.typepad.com on June 10, 2007.))<\/li>\n<\/ul>\nPrivate equity seems to be the strategy of choice when it comes to raising capital these days.\u00a0 The assumption is that it\u2019s less risky for the organization and since there are plenty of willing investors out there with pockets full of cash, it\u2019s also an easier route.\u00a0 It also gets them out of the overabundant accounting requirements in effect these days.\u00a0 Companies are looking to private equity however because they may not be producing the stock returns they would like or more often than not, are not producing the revenues and profits necessary to keep the market happy.\u00a0 The root of this problem is often that they don\u2019t really have enough liquid capital to invest in R&D or acquisitions to fund growth the way they\u2019d like to.<\/p>\n
In Ceridian\u2019s case, I\u2019m guessing that the lack of stock price growth hasn\u2019t been great for the last 7-8 years and they are in need of additional funding for R&D.\u00a0 What\u2019s frightening to me is that Ceridian R&D has traditionally been extremely poor.\u00a0 They have gone out and purchased applications or created market partnerships, but they have not really been able to stick with a suite of products until their current HR\/Payroll Web (HPW) offering.\u00a0 Even that has seen multiple iterations, not of technology but of branding.\u00a0 Ceridian seems to like to confuse the marketplace with jargon when they should be focused more on their strategy.\u00a0 My hope is that private equity can put them back on track.<\/p>\n
Knowledge Infusion is right though.\u00a0 These guys are still the second biggest player out there.\u00a0 Nobody is going to let them fail and strand millions of employees without paychecks.\u00a0 However, there might be a lag of 6 months to a year as the strategy is readjusted and we find out what the real priorities are going to be.\u00a0 Certainly developing HPW will be one of them, but I personally don\u2019t know if KI is right that HRO is another.\u00a0 They have not had huge success competing in HRO, and the market is demanding talent right now.<\/p>\n
The bottom line is that if you were pissed off at Ceridian already and were going to change, now you have another reason to.\u00a0 However, if you are pretty happy with them, sit tight and see what happens.\u00a0 The whole point of getting some more money is to make things better, so give them a chance.<\/p>\n","protected":false},"excerpt":{"rendered":"
I\u2019m a bit late with this one, but I wanted to provide some analysis as to what I think this means for Ceridian and their clients. The Ceridian Corporation, a human resources company, said last night that it had sold…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_coblocks_attr":"","_coblocks_dimensions":"","_coblocks_responsive_height":"","_coblocks_accordion_ie_support":"","footnotes":""},"categories":[3],"tags":[],"class_list":["post-751","post","type-post","status-publish","format-standard","hentry","category-vendors"],"_links":{"self":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/posts\/751","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=751"}],"version-history":[{"count":0,"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/posts\/751\/revisions"}],"wp:attachment":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=751"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=751"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=751"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}