Workday, a leading provider of enterprise cloud applications for finance and human resources, has recently announced its acquisition of Peakon, a Danish employee engagement platform. The deal, valued at $700 million, is expected to close in the first quarter of Workday’s fiscal year 2022, subject to customary closing conditions. This strategic move by Workday aims to further strengthen its position in the HR technology market and provide its customers with enhanced tools to drive employee engagement and retention.
Understanding Peakon’s SAAS-based employee engagement platform
Peakon, founded in 2014, offers a Software-as-a-Service (SAAS) platform that enables organizations to measure and improve employee engagement through real-time feedback and actionable insights. The platform leverages advanced analytics and data-driven methodologies to gather feedback from employees and provide organizations with valuable insights into their workforce’s sentiments, concerns, and overall engagement levels.
With its user-friendly interface and intuitive design, Peakon allows employees to provide feedback on various aspects of their work experience, including company culture, leadership effectiveness, and career development opportunities. The platform then aggregates and analyzes this feedback, providing managers and HR professionals with actionable insights to address areas of improvement and enhance employee satisfaction.
Workday’s strategic move to enhance its HR offerings
By acquiring Peakon, Workday aims to bolster its existing suite of HR solutions by integrating Peakon’s employee engagement capabilities. This move aligns with Workday’s commitment to providing its customers with comprehensive tools to effectively manage their workforce and drive employee success.
Workday’s existing HR solutions already encompass a wide range of functionalities, including talent acquisition, performance management, and learning and development. By incorporating Peakon’s employee engagement platform into its offering, Workday will be able to provide its customers with a holistic solution that covers the entire employee lifecycle – from recruitment to retirement.
The benefits of combining Workday and Peakon
The integration of Workday and Peakon brings several benefits to organizations looking to enhance employee engagement and retention. Firstly, the real-time feedback provided by Peakon’s platform allows managers and HR professionals to identify areas of improvement promptly. This enables organizations to take proactive measures to address concerns and create a more positive work environment.
Secondly, the data-driven insights generated by Peakon can help organizations make informed decisions regarding employee development and career progression. By understanding employees’ sentiments and aspirations, organizations can tailor their learning and development programs to meet individual needs, ultimately driving higher levels of engagement and job satisfaction.
Furthermore, the integration of Workday and Peakon enables organizations to leverage the power of artificial intelligence (AI) and machine learning (ML) algorithms. These technologies can analyze vast amounts of data to identify patterns and trends, providing organizations with predictive analytics that can help them anticipate potential issues and take proactive measures to mitigate them.
Conclusion
Workday’s acquisition of Peakon represents a significant step forward in its mission to provide comprehensive HR solutions to its customers. By integrating Peakon’s employee engagement platform into its offering, Workday aims to empower organizations with the tools they need to measure, understand, and improve employee engagement. This strategic move not only enhances Workday’s position in the HR technology market but also reinforces its commitment to driving employee success and satisfaction. As the deal closes in the coming months, organizations can look forward to leveraging the combined capabilities of Workday and Peakon to create a more engaged and productive workforce.