Employease Yearns to be Your Enabler

The software-as-a-service (SaaS) ecosystem just got bigger.

Employease, an on-demand provider of HR solutions, has released a new web
services offering that allows companies to integrate various solutions onto
a single platform.

It’s own.

According to Jeff Beinke, vice president of product marketing, Employease Extend will allow companies to link data from their HR
system to other enterprise systems, such as customer relationship
management, financials, and security systems.

Thus, data from Employease benefits solutions can be exported in real time
to a company’s network security system, so that new hires could be given
quick access — or so that terminated employees can be locked out immediately.

“What we’re creating is an employee information ecosystem,” Beinke told

That will enable Employease to make the jump from being a simple solutions
provider to a veritable portal for a variety of Web services.

“This makes them money by putting them in an enablement position,” noted
Jeff Kaplan, CEO of THINKStrategies, a Boston-based consultancy.

Kaplan said Employease is taking its cue from AppExchange, an
ecosystem launched
by salesforce.com earlier this year.

“This shows how SaaS is moving from being product to platform-oriented,” he

Merrill Lynch analyst Kash Rangan noted in a new report that
this strategy could be a winning formula for on-demand players.

“Salesforce.com’s launch of AppExchange, and NetSuite’s more recent
introduction of NetFlex, is significant,” he wrote.

“It is a very compelling strategy,” giving those companies “additional
development resources and channel capacity.”

According to Beinke, Employease can offer itself as a platform because its
solution was originally designed as a service-oriented architecture.

And the company is uniquely positioned for this strategic shift, noted
Kaplan agreed, because of the number of employee lives that it touches.

Although privately held, Beinke revealed that revenue at Employease grew by
55 percent from Q1 2005 to Q1 2006. The firm has more than 1,500 customers with
more than 900,000 employees using its systems.

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