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Topic: Everest Group PEAK MatrixTM for MPHRO Service
Provider
Focus on Accenture
September 2014
Copyright © 2014 Everest Global, Inc.
This document has been licensed for exclusive use and distribution by Accenture
EGR-2014-3-E-1221
Introduction and scope
Everest Group recently released its Multi-Process Human Resources Outsourcing (MPHRO) Service Provider
Landscape with PEAK MatrixTM Assessment for 2014. This report analyzes the changing dynamics of the
MPHRO landscape and assesses service providers across several key dimensions.
As a part of this report, Everest Group updated its classification of 18 service providers on the Everest Group
Performance | Experience | Ability | Knowledge (PEAK) Matrix for MPHRO into Leaders, Major Contenders,
and Emerging Players. The PEAK Matrix is a framework that provides an objective, data-driven, and
comparative assessment of MPHRO service providers based on their absolute market success and delivery
capability. Everest Group also identified four service providers as the “2014 MPHRO Star Performers” based
on the strongest year-on-year (y-o-y) forward movement demonstrated on the PEAK Matrix.
Buyers can use the PEAK Matrix to identify and evaluate different service providers. It helps them understand
the service providers’ relative strengths and gaps. However, it is also important to note that while the PEAK
Matrix is a useful starting point, the results from the assessment may not be directly prescriptive for each
buyer. Individual buyers will have to consider their unique situation and requirements, and match them against
service provider capability for an ideal fit.
This document focuses on Accenture’s MPHRO experience and capabilities, and includes:
 Accenture’s positioning on the MPHRO PEAK Matrix
 Accenture’s YoY movement on the MPHRO PEAK Matrix
 Detailed MPHRO profile of Accenture
Copyright © 2014, Everest Global, Inc.
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Everest Group separates Multi-Process HRO (MPHRO)
from Single-Process HRO (SPHRO)
Strategy
Judgment-intensive
Transaction-intensive
MPHRO
Outsourcing of multiple HR
processes to one service
provider in an integrated way



HR
strategy
Employee relations
Regulatory and compliance
Global mobility
Performance & succession
Learning
Recruitment
Compensation
Benefits
Payroll
Employee data management
HR information systems and reporting
Employee contact center
SPHRO


Outsourcing of single
standalone HR process
Major SPHRO markets are:
– Payroll outsourcing
– Recruitment Process
Outsourcing (RPO)
– Learning Services
Outsourcing (LSO)
– Benefits Administration
Outsourcing (BAO)
This report focuses on MPHRO market
For this study, we have included MPHRO deals in which
– A minimum of three HR processes are included
– The buyer employee size is 3,000 or more
The analyses includes all deals signed as of December 2013
Copyright © 2014, Everest Global, Inc.
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MPHRO includes outsourcing of multiple HR functions
Employee data
management
 Employee data changes
 Status changes
 New hire processing
 Transfer processing
 Timekeeping
 Cost center assignments
 Time and expense
administration
 Unemployment
administration
 Exit administration
 Vendor management
Payroll
 Strategy
 Payroll preparation
(build to gross)
 Payroll calculation
(gross to net)
 Payroll distribution
 Reconciliation
 Third-party payments
 Payroll tax reporting
and filing
 Vendor management
Strategy
 Policies
 Procedures
 HR job profiles
 Budgeting/forecasting
 Workforce planning
 M&As/divestitures
 Values and ethics
 HR strategy development
Benefits
 Strategy
 Healthcare plans
 Defined benefit plans
 Defined contribution
plans
 Worker's
compensation
 Leave programs
(e.g., LOA)
 Health and safety
 Vendor management
HR
strategy
Employee relations
Regulatory and compliance
Global mobility
Employee relations
 Strategy
 Performance/conflict
resolution
 Union relations
 Employee assistance
programs
 Communication
 Vendor management
Performance & succession
Learning
Recruitment
Strategy
Judgment-intensive
Transaction-intensive
Performance & succession
Strategy
 Career development
 Succession planning
 Performance surveys
 Collation and analysis
 Disciplinary actions
 Vendor management

Compensation
Benefits
Payroll
Employee data management
HR information systems and reporting
Employee contact center
Compensation
 Strategy
 Job analysis/descriptions
 Job pricing
 Base pay adjustments
 Salary administration
 Bonuses/incentives/awards
 Stock options/purchase
program
 Commissions/draws
 Compensation statement
 Vendor management
Recruitment
 Strategy
 Sourcing
 Screening
 Applicant tracking
 Interview scheduling
 Assessment
 Background checking
 Offer letter management
 Onboarding
 Vendor management
Copyright © 2014, Everest Global, Inc.
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Regulatory & compliance
 Strategy
 Workforce diversity and
anti-discrimination
 Government reporting
 Claims/audits
 Visas
 Exit administration
 Vendor management
Learning
 Strategy
 Curriculum development
 Content design
 Content development
 Content management
 Registration
management
 Scheduling
 Evaluation management
 Vendor management
Global mobility
 Strategy and policy
development
 Assignment package
 Pre-departure activities
 On-assignment activities
 Property services
 Moving services
 Policy exceptions
 Tax planning
administration
 Vendor management
4
Everest Group PEAK Matrix – 2014 MPHRO market
standings
Performance | Experience | Ability | Knowledge
HP
Market success2
Talent2
CGI
PeopleStrong
MidlandHR
Neeyamo
Wipro
HCL
Caliber Point
Emerging Players
Low
Source:
TCS
Genpact
Capgemini
25th percentile
Low
Xerox
Leader
Major Contender
Emerging Player
Star Performer1
75th percentile
Everest Group Performance | Experience | Ability | Knowledge (PEAK) Matrix for MPHRO
75th percentile
High
Leaders
NGA
Aon Hewitt
ADP
Accenture
Major Contenders
IBM
25th percentile
MPHRO delivery capability
(Scale, scope, technology, delivery footprint, and buyer satisfaction)
High
Everest Group (2014)
Copyright © 2014, Everest Global, Inc.
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Accenture is a “2014 MPHRO Star Performer” based on
strong forward movement over time on the Everest Group
PEAK Matrix
Change in Accenture’s positioning on Everest Group PEAK Matrix for MPHRO in 2013
Market success
Leaders
Major
Contenders
2014
Accenture
2013
Accenture’s market success in 2013 within MPHRO:
 Strong growth in terms of both revenue and new
deals signed
– Increased MPHRO revenue to ~US$350-400
million (6% to 8%% YoY growth)
– Signed multiple new deals across North America
and APAC (including the rapidly emerging
Japanese market)
Capability
Accenture’s capability growth in 2013:
 Scale: Maintained FTE scale to about 3,750
 Scope: Strong presence across all geographies, industries, and processes
 Technology: Strong partnerships in the BPaaS space (partnerships with
SuccessFactors and Workday), and investments in analytics, mobile, and
social media capabilities
 Delivery footprint: Has a relatively stable FTE onshore-offshore mix with
about 45% FTEs offshore
Copyright © 2014, Everest Global, Inc.
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Accenture (page 1 of 4)
MPHRO service capability and strategy
Company profile: Accenture provides management consulting, technology, and
outsourcing services, with approximately 289,000 employees; offices and operations
in more than 200 cities in 56 countries; and net revenue of $28.6 billion for fiscal 2013
Headquarters: Ireland, United Kingdom
Key leaders (BPO/HRO business): Michael J. Salvino, Group Chief Executive –
Accenture Operations; Jill Goldstein, Managing Director, Talent and HR BPO,
Accenture Operation
Website: www.accenture.com
Current MPHRO market segment focus
 Buyer segment: Targets buyers interested in broader value proposition in
terms of return on investment in workforce performance and productivity
 Geography: North America, Latin America, Europe, and Asia Pacific
Recent HRO-related developments/investments in 2012-2013
Areas
Developments/investments
M&A/
partnership


Current MPHRO technology strategy
 Overview: Accenture is a technology-independent service provider, working with
traditional, on-premise, and SaaS technology providers. Solutions are supplemented
with proprietary technologies such as HR Portal and BPO Navigator
 Technology models supported:
Tie-and-run
Support/
augmentation


Customized
replacement/
implementation
Platform-based
solution

Nearshore1
Onshore
~1,675
~295
~1,780
1
Source:
Regulatory
and
compliance
Accenture has completed its acquisition of PCO Innovation–
a leading independent international consulting and systems
integration group that specializes in Product Lifecycle
Management (PLM) software technologies
Analytics and
mobile

Accenture has invested in a technology framework that
utilizes cloud, social media, and mobility
Accenture has developed a mobile app for the HR portal to
offer clients and their employees on-demand access to the
data, assets, and experience

Offered as MPHRO solution
Performance
management

Others
Offshore1
Employee
relations
HR
technologyrelated

Total HRO delivery FTEs = ~3,700
Global
mobility
Learning
Acquired ChangeTrack Research for its analytics-based
tools and services for change management
Accenture has more than 2,200 BPO business advisors who
extract business insights from engagement data, and
generate new business outcomes for clients

To enable cross-border multi-channel commerce solutions
more effectively, Accenture has become the sole global
strategic partner to hybris, a commerce platform
Offered on a stand-alone basis
Recruitment Compenand selection sation
Benefits
Not offered
Payroll
HRIS
SERVICE SUITE
Contact
center
FTEs located in offshore (India, China, and Southeast Asia) or nearshore locations (Eastern Europe and Latin America) and delivering services for North America
or Western Europe.
Everest Group (2014)
Copyright © 2014, Everest Global, Inc.
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Accenture (page 2 of 4)
MPHRO client portfolio
MPHRO experience
Total number of current MPHRO clients – 29
Recent MPHRO wins
Accenture has signed a number of new MPHRO deals signed in the last 12 months, including Diebold
Major MPHRO clients
 Large U.S. Consumer Products Retailer
 International Insurance Company
 Leading Health and Hygiene Company
 NBN
 Unilever
MPHRO revenue (ACV) geography mix
100% = US$374 million1
MPHRO revenue (ACV) industry mix
MPHRO buyer size mix
100% = US$374 million1
100% = 29 deals
Latin America
Others
Asia Pacific
26%
9%
Government 6%
9%
10%
Telecom
3%
Financial
10% 15%
services
Services
Retail Healthcare
Energy
9%
41%
43%
EMEA
1
Source:
Manufacturing
12%
8%
North
America
Mid-market
37%
63%
Large market
Everest Group’s estimate
Everest Group (2014)
Copyright © 2014, Everest Global, Inc.
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Accenture (page 3 of 4)
Key MPHRO delivery locations
Yarnfield Park
Frederiction
Chicago
Niagara
Denver
Pittsburgh Wayne
Charlotte
San Antonio
Stone
Maisons-Laffitte
Paris
Lisbon
Madrid
Milan
San Jose
São José dos Campos
Belo Horizonte
Curitiba
Chesterfield
Milton Keynes
Stavanger
Prague
Warsaw
Bratislava
Bucharest
Rome
Palermo
Dalian
Chengdu
Tokyo
Shanghai
Shenzhen
Delhi
Mumbai
Bangalore Chennai
Cebu Manila
Port Louis
Johannesburg
Buenos Aires
Source:
Everest Group (2014)
Copyright © 2014, Everest Global, Inc.
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Accenture (page 4 of 4)
Everest Group assessment
Delivery capability assessment
Accenture is a Leader on PEAK Matrix for MPHRO
75th percentile
Low
Accenture
Assessment
dimension
75th percentile
Leaders
Major Contenders
25th percentile
Market success
High
Emerging Players
Low
25th percentile
High
MPHRO delivery capability
(Scale, scope, technology, delivery footprint, and buyer satisfaction)
Overall market success
Global MPHRO market share
Percentage
11%
6%
Number of contracts
ACV
Global MPHRO market share over time
Percentage share by ACV
Source:
10%
11%
11%
2011
2012
2013
High
Low
Rating Remarks
Scale
High company revenue and significant delivery force
Scope
End-to-end functional coverage and wide industry coverage
Technology
capability
Experience of working with multiple HRIS, partnerships with Workday
and SuccessFactors, and analytics and mobile-related investments
Delivery
footprint
Global delivery footprint with good usage of offshoring
Buyer
satisfaction
Medium-high overall client satisfaction; high satisfaction in relationship
management and implementation
Overall remarks
Accenture is a Leader in the MPHRO space with a strong foothold in the European market; it
also emerged as a 2013 Star Performer in the MPHRO space
 It has witnessed significant success in the last two years in terms of renewals/expansions as
well as new deals. It is one of the few providers to have the expertise and experience of
combining HRO with FAO and/or PO, to offer multi-tower solutions
 In the last few years, it has made significant advancements in its analytics, mobile capability,
and social media in its HRO solutions and started offering these proactively to its existing
clients; however need to streamline these to provide more tangible benefits to customers
 It also has partnerships with Workday and SuccessFactors, which adds to its technology
prowess
 Reference clients cite its high service quality, implementation capabilities, and strong
relationship management skills as its strengths; however, some clients feel that Accenture
needs to be more proactive in terms of generating new ideas
 Accenture has successfully leveraged offshore locations to reengineer processes and drive
down prices; the good quality of voice services delivered from offshore locations has found
client praise
 It needs to tweak its service model to win clients in the high-growth segments of Asia Pacific
and the mid-market space

Everest Group (2014)
Copyright © 2014, Everest Global, Inc.
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Appendix
Copyright © 2014, Everest Global, Inc.
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Everest Group classifies the MPHRO service provider
landscape based on its PEAK Matrix
Performance | Experience | Ability | Knowledge (PEAK) Matrix
Everest Group Performance | Experience | Ability | Knowledge (PEAK) Matrix for MPHRO
High
Leaders
2nd or 3rd quartile performance
across market success and
capability
4th quartile performance across
market success and capability
Emerging Players
Low
Low
Source:
Top quartile
performance across
market success and
capability
75th percentile
Major Contenders
25th percentile
Market success1
(Number of active MPHRO clients and total revenue)
75th percentile
25th percentile
MPHRO delivery capability
(Scale, scope, technology, delivery footprint, and buyer satisfaction)
High
Everest Group (2014)
Copyright © 2014, Everest Global, Inc.
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Service providers are positioned on Everest Group
PEAK Matrix based on evaluation of two key
dimensions
Measures success achieved in
the market. Captured through a
combination of total number of
MPHRO clients and MPHRO
revenue
Market success
Leaders
Major Contenders
Emerging Players
Delivery capability
Scale
Measures the scale of
operations through:
 Overall company
revenue
 HRO FTEs
1
2
Scope
Measures the scope of
services provided through:
 Breadth and depth of
MPHRO services
 Geographic breadth of
scope, depth of scope
and concentration
 Breadth and depth of
industries served
 Breadth and depth of
buyer size
Measures ability to deliver services successfully.
Captured through five subdimensions
Technology capability
Measures the capability
and investment in
technology through:
 Technology Model
 Investments in HRrelated technology
 Analytics and mobile
capability
 IT infrastructure and
ADM capability
 Partnerships
Buyer satisfaction
Delivery footprint
Measures the delivery
footprint and the global
sourcing mix through:
 Delivery footprint across
seven regions1
 Balanced shoring
capability
Measures the satisfaction
levels2 of buyers across:
 Goal realization
 Process delivery
 Implementation
 Technology
 Relationship
management
 Renewal Rate
 Overall satisfaction
North America, Latin America, Western Europe, EEMEA (Eastern Europe, Middle East, and Africa), India, China, and the rest of Asia Pacific
Measured through responses from three referenced buyers for each service provider
Copyright © 2014, Everest Global, Inc.
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Additionally, Everest Group awards the “Star Performers”
title to providers that demonstrate the strongest forward
movement over time on the PEAK Matrix
Market success
Methodology
Everest Group selects Market Star Performers based on the relative YoY movement of each
service provider on the PEAK Matrix
Year 1
Service
provider
Year 0
In order to assess advancements on
market success, we evaluate the
performance of each of the service
providers on the PEAK Matrix across a
number of parameters including:
 Yearly ACV growth
 The number of new contract signings
Capability
In order to assess advancements on
capability, we evaluate the performance of
each service provider on the PEAK Matrix
across a number of parameters including:
 Annual growth in scale
 Increase in scope of services
 Expansion of delivery footprint
 Technology- / domain-specificinvestments
The top quartile performers on each of the
identified parameters are identified and the
“Star Performer” rating is awarded to the
service providers with:
 The maximum number of top-quartile
performances across all of the above
parameters and
 At least one area of top quartile
performance in both market success and
capability advancement
2014
MPHRO Star Performers
The “Star Performers” designation relates to YoY performance for a given service provider
and does not reflect the overall market leadership position. Those identified as “Star
Performers” may include “Leaders”, “Major Contenders”, or “Emerging Players”
Copyright © 2014, Everest Global, Inc.
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FAQs
(page 1 of 2)
Does the PEAK Matrix assessment incorporate any subjective criteria?
 Everest Group’s PEAK Matrix assessment adopts an objective and fact-based approach (leveraging service
provider RFIs and Everest Group’s proprietary databases containing providers’ deals and operational capability
information). In addition, these results are validated / fine-tuned based on our market experience, buyer interaction,
and provider briefings
Is being a “Major Contender” or “Emerging Player” on the PEAK Matrix, an unfavorable outcome?
 No. PEAK Matrix highlights and positions only the best-in-class service providers in a particular functional/vertical
services area. There are a number of providers from the broader universe that are assessed and do not make it to
the PEAK Matrix at all. Therefore, being represented on the PEAK Matrix is itself a favorable recognition
What other aspects of PEAK Matrix assessment are relevant to buyers and providers besides the “PEAK
Matrix position”?
 PEAK Matrix position is only one aspect of Everest Group’s overall assessment. In addition to assigning a “Leader”,
“Major Contender” or “Emerging Player” title, Everest Group highlights the distinctive capabilities and unique
attributes of all the PEAK Matrix providers assessed in its report. The detailed metric level assessment and
associated commentary is helpful for buyers in selecting particular providers for their specific requirements. It also
helps providers showcase their strengths in specific areas
What are the incentives for buyers and providers to participate/provide input to PEAK Matrix research?
 Participation incentives for buyers include a summary of key findings from the PEAK Matrix assessment
 Participation incentives for providers include adequate representation and recognition of their capabilities/success in
the market place, and a copy of their own “profile” that is published by Everest Group as part of the “compendium of
PEAK Matrix providers” profiles
Copyright © 2014, Everest Global, Inc.
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FAQs
(page 2 of 2)
What is the process for a service provider to leverage their PEAK Matrix positioning status ?
 Providers can use their PEAK positioning rating in multiple ways including:
– Issue a press release declaring their positioning/rating
– Customized PEAK profile for circulation (with clients, prospects, etc.)
– Quotes from Everest Group analysts could be disseminated to the media
– Leverage PEAK branding across communications (e-mail signatures, marketing brochures, credential packs,
client presentations, etc.)
 The provider must obtain the requisite licensing and distribution rights for the above activities through an
agreement with the designated POC at Everest Group
Copyright © 2014, Everest Global, Inc.
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At a glance

With a fact-based approach driving outcomes, Everest Group counsels
organizations with complex challenges related to the use and delivery of the
next generation of global services

Through its practical consulting, original research, and industry resource
services, Everest Group helps clients maximize value from delivery strategies,
talent and sourcing models, technologies, and management approaches

Established in 1991, Everest Group serves users of global services, providers
of services, country organizations, and private equity firms in six continents
across all industry categories
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London
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