ADP specializes in providing cloud-based human capital management (HCM) solutions, which include services such as HR, payroll, talent management, time tracking, tax, and benefits administration. These services cater to over 1.1 million clients globally and handle payroll for more than 42 million workers across 140 countries. ADP's main products are RUN Powered by ADP for small businesses, ADP Workforce Now for mid-sized and large businesses, and ADP Vantage HCM for large enterprises. Additionally, ADP offers ADP SmartCompliance to assist with compliance and regulatory needs.
ADP operates primarily in the human capital management industry, offering solutions through three main business segments: U.S. HCM Solutions, U.S. HR Outsourcing (HRO) Solutions, and Global Solutions. The company generates revenue by providing a variety of services, including payroll processing, benefits administration, talent management, and workforce management. Its Employer Services segment targets businesses of all sizes, while the Professional Employer Organization (PEO) segment, known as ADP TotalSource, offers co-employment and HR outsourcing services.
ADP serves a diverse range of clients across multiple industries, with its solutions marketed through a direct sales force and indirect channels such as partnerships with accountants and banks. The company does not rely heavily on any single client for its revenue. Key factors impacting ADP's business performance include its ability to innovate and enhance its product offerings, integrate technologies like artificial intelligence and machine learning, and provide data-driven insights to its clients.