SAP buys Fieldglass for temp worker management

The Fieldglass platform will be combined with SAP's Ariba and SuccessFactors software

SAP is boosting its human resources software portfolio with the acquisition of Fieldglass, maker of a system for finding and managing temporary workers and services. Terms of the deal, which is expected to close in the second quarter, were not disclosed.

Fieldglass' technology, which is used in 100 countries, will work in conjunction with SAP's Ariba procurement software as well as its SuccessFactors HCM (human capital management) applications, both of which are also the result of acquisitions.

All told, the product set will provide "a platform for businesses to manage their entire workforce -- both temporary and permanent staff -- from initial recruiting and on-boarding to ongoing development, performance management, retention and retirement," SAP said in a statement Wednesday.

Private equity-backed Fieldglass is based in Chicago and has about 350 employees, SAP said. It has been profitable for the last eight years and added 2 million users last year, according to a statement.

SAP competes with the likes of Oracle and Workday in the HCM market, which has heated up of late as companies replace aging legacy systems with newer cloud-based alternatives, hoping to gain advantages by improving employee retention, deploying staff more efficiently and making better hires.

The number of contingent workers is expected to grow 30 percent during the next three years, according to research by Ardent Partners, SAP said.

SAP's move to acquire Fieldglass could spark SAP's rivals to make purchases of their own. Fieldglass' competitors include IQNavigator and Beeline.

Chris Kanaracus covers enterprise software and general technology breaking news for The IDG News Service. Chris' email address is Chris_Kanaracus@idg.com

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