| Type | Public |
|---|---|
| Traded as | NASDAQ: ADP NASDAQ-100 Component S&P 500 Component |
| Industry | Business process outsourcing |
| Founded | Paterson, New Jersey (1949) |
| Headquarters | Roseland, New Jersey, U.S. |
| Key people | Leslie A. Brun (Chairman) Garry Butler (CEO) |
| Revenue | US$ 9.9 billion (FY 2011)[1] |
| Net income | US$ 1.3 billion (FY 2010)[1] |
| Total assets | US$ 34.2 billion (FY 2010)[1] |
| Total equity | US$ 6.0 billion (FY 2010)[1] |
| Employees | 51,000 (June 2011)[1] |
| Website | www.adp.com |
Automatic Data Processing, Inc. (NASDAQ: ADP) Automatic Data Processing, Inc. with about $10 billion in revenues[1] and approximately 545,000 clients, is a provider of business outsourcing solutions. ADP offers a range of human resource, payroll, tax and benefits administration solutions. It is a provider of integrated computing solutions to auto, truck, motorcycle, marine, recreational vehicle, and heavy equipment dealers throughout the world. ADP is one of four U.S. companies to get a AAA credit rating from Standard & Poor's (S&P) and Moody's.[2][3]
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Henry Taub founded Automatic Payrolls, Inc. in 1949 as a manual payroll processing business. In 1957, the company now known as Automatic Data Processing, Inc. (ADP), began using punched card machines, check printing machines, and mainframe computers,[4] with the capability of increasing efficiency and capacity for payroll processing. ADP went public in 1961 with 300 clients, 125 employees and revenues of approximately $400,000. In the next year, the Brokerage Services division was developed to serve the high volume transaction needs of major stock brokerages on Wall Street. The company proceeded to offer dealer services to automotive dealers to handle inventory and accounting transactions.
Throughout the 1980s, ADP’s annual revenues exceeded the $1 billion mark, with paychecks processed for about 10% of the U.S. workforce. The 1990s proceeded to be a growing decade for human resource outsourcing, prompting ADP to become a Professional Employer Organization (PEO). The company in turn went international when ADP Dealer Services acquired Autonom, a German company, Kerridge Computer Co. Ltd., a dealer management systems (DMS) provider to auto dealers in the UK, and the payroll and human resource services company, GSI, headquartered in Paris. In the early twenty-first century, ADP introduced GlobalView, a comprehensive global service solution for payroll processing and human resources administration.
In 2007, the ADP Brokerage Service Group was spun off to form Broadridge Financial Solutions, Inc. (NYSE: BR), removing about $2 billion from ADP's total yearly revenue.[5] ADP was distributing one share of Broadridge common stock for every four shares of ADP common stock held by shareholders of record as of the close of business on March 23, 2007.[6] ADP is sponsor of the ADP National Employment Report as well as the ADP Small Business Report.
ADP serves the marketplace through two strategic groups – Employer Services and Dealer Services.
ADP Employer Services assists organizations from recruitment to retirement. ADP ES serves approximately 545,000 organizations and provides HR, benefits and payroll solutions.
Employer Services serves the marketplace through the following business units:
Dealer Services provides integrated technology services and solutions to about 25,000 automotive dealerships of every size throughout the world, as well as vehicle manufacturers.[7] In 2010, ADP acquired the automotive marketing company Cobalt.[8]
BZ Results (Automotive Dealer Services), winner of the 2006 “Innovative Company of the Year”,[18][19] was purchased by ADP in 2006.[20] At the time, BZ Results was valued at $125 million.