Compared with the traditional license-centered human resources software, SaaS(Software-as-a-Service) software based on cloud computing provides a brand-new business model. Compared with the traditional "buy-out" model of C/S(Client/Server) and B/S(Browser/Server) architecture, Workday, as one of the earliest human resources software adopting this model, has been used since 2004. The cloud-based human resources software service model is more sought after by the capital market. On 20 10, 10, 13, the share price of Workday IPO rose by 74% on the first day, with a market value of $9.5 billion. Since then, the stock price has risen all the way, which is also known as the largest IPO in the US technology industry since Facebook went public.
Workers' past lives.
Speaking of Workday, I have to mention two companies that have enemies with it-Salesforce and Oracle Bone Inscriptions. The former is a close relative and the latter is an enemy.
Salesforce raised the banner of SaaS software's great success. It is the founder of the global SaaS business model and one of the most successful companies to carry out SaaS business today. Mark, CEO of Salesforce? Benioff once put forward a famous slogan "No software". When users regard software as a service, they don't need to buy their own servers or a set of complex enterprise management software. Instead, we "rent" the corresponding functional modules according to the demand, pay a certain service fee every month, and host all the data and software on the website of SaaS service providers. Users have obvious advantages in cost, update speed and compatibility. SaaS is a typical long-tail business model with the characteristics of low investment, high income and easy implementation and management.
On the one hand, the success of Salesforce seized the best opportunity for the integration of software and Internet; On the other hand, through continuous technological innovation, the same software can meet the needs of multiple customers and give users the best experience; At the same time, it will develop to the infrastructure platform of SaaS providers and establish an industrial ecosystem. In June 2004, Salesforce was successfully listed on the new york Stock Exchange. According to its financial report for the fiscal year ending April 30, 200014, the total revenue of Salesforce in the first fiscal quarter of fiscal year 200015 reached $ 123 billion, a year-on-year increase of 37%.
Although the situation of "ending software" has not really come, the wind direction of the whole software industry has already changed. Software giants such as IBM, Oracle, SAP and Microsoft have realized the importance of SaaS and on-demand computing, and have begun to embrace the SaaS model to make the whole market more active. According to Gartner's report, it is estimated that the SaaS market will grow at a compound growth rate of 265,438+0% in 2065,438+02-2065,438+07, from $65,438+076 billion in 2065,438+02 to $45.8 billion.
It can be said that the success of Workday and other SaaS model software lies in copying the model of Salesforce. Unlike IBM, SAP and Oracle, which need to acquire other SaaS-based human resources software, Workday is based on cloud computing from the beginning and delivered to customers in the form of multi-tenant SaaS services, which gives Workday a first-Mover advantage. Workday was founded in 2005 by Anne Near? Busley and Dave? Duffield founded it. In 2004, Oracle Bone Inscriptions acquired PeopleSoft in bad faith at a high price of more than 654.38+000 billion US dollars. As a last resort, Busley and Duffy had to leave the company they founded. In less than a year, Duffield and Busley set up Workday to help laid-off former PeopleSoft employees. Workday "killed" powerful competitors Oracle and SAP with relatively more favorable price, lower overall cost and more modern feature set. Workday is also for big customers. Today, the annual growth rate of the user base is close to 100%, and about half of the customers come from competitors such as Oracle Bone Inscriptions or SAP, including Flextronics, an American supply chain service provider that was pried away from SAP in 2008, with more than160,000 employees worldwide.