Streamlining Lease Accounting and Delivering Cost-Effective Technology at ADP
Technology Category
- Networks & Connectivity - NFC
Applicable Industries
- Equipment & Machinery
- Finance & Insurance
Applicable Functions
- Maintenance
- Procurement
Use Cases
- Inventory Management
- Leasing Finance Automation
About The Customer
Automatic Data Processing, Inc. (ADP) is a global provider of business outsourcing and human capital management solutions. The company is headquartered in Roseland, NJ, and serves over 630,000 customers in 104 countries. In fiscal 2015, ADP generated revenues of USD 10.9 billion and employed around 55,000 people worldwide. The company is committed to equipping its workforce with the latest technology and sought a cost-efficient solution to manage thousands of equipment leases.
The Challenge
Automatic Data Processing, Inc. (ADP), a global provider of business outsourcing and human capital management solutions, was faced with the challenge of equipping its workforce with the latest technology in a cost-efficient manner. The company considered leasing equipment as a viable option, but the management of thousands of contracts quickly and simply was a daunting task. The ever-shortening development cycles of IT equipment also posed a risk of turning capital expenditure into sunk costs. Additionally, ADP was seeking to improve its existing lease management approach by enhancing insight into costs, expiration dates, and maintenance. The company was also preparing for new, more complex Financial Accounting Standard Board (FASB) standards that would require all leases to be added to the balance sheet.
The Solution
ADP adopted IBM's lease accounting solution, IBM® TRIRIGA®, to streamline its lease accounting and management processes. This centralized, automated solution transformed processes across the company by triggering a workflow linking the procurement, compliance, and accounting departments every time a new lease was entered into the system. Initially, ADP uploaded leases for the IT solutions supporting its US operations, which numbered approximately 100,000 assets. The company is in the process of adding leases for its Canadian locations and plans to include its European operations within the year. This solution has not only automated the calculation of ADP's forecasted payment schedule but also reduced errors and improved tracking of leases.
Operational Impact
Quantitative Benefit
Case Study missing?
Start adding your own!
Register with your work email and create a new case study profile for your business.
Related Case Studies.
Case Study
Smart Water Filtration Systems
Before working with Ayla Networks, Ozner was already using cloud connectivity to identify and solve water-filtration system malfunctions as well as to monitor filter cartridges for replacements.But, in June 2015, Ozner executives talked with Ayla about how the company might further improve its water systems with IoT technology. They liked what they heard from Ayla, but the executives needed to be sure that Ayla’s Agile IoT Platform provided the security and reliability Ozner required.
Case Study
IoT enabled Fleet Management with MindSphere
In view of growing competition, Gämmerler had a strong need to remain competitive via process optimization, reliability and gentle handling of printed products, even at highest press speeds. In addition, a digitalization initiative also included developing a key differentiation via data-driven services offers.
Case Study
Predictive Maintenance for Industrial Chillers
For global leaders in the industrial chiller manufacturing, reliability of the entire production process is of the utmost importance. Chillers are refrigeration systems that produce ice water to provide cooling for a process or industrial application. One of those leaders sought a way to respond to asset performance issues, even before they occur. The intelligence to guarantee maximum reliability of cooling devices is embedded (pre-alarming). A pre-alarming phase means that the cooling device still works, but symptoms may appear, telling manufacturers that a failure is likely to occur in the near future. Chillers who are not internet connected at that moment, provide little insight in this pre-alarming phase.
Case Study
Premium Appliance Producer Innovates with Internet of Everything
Sub-Zero faced the largest product launch in the company’s history:It wanted to launch 60 new products as scheduled while simultaneously opening a new “greenfield” production facility, yet still adhering to stringent quality requirements and manage issues from new supply-chain partners. A the same time, it wanted to increase staff productivity time and collaboration while reducing travel and costs.
Case Study
Integration of PLC with IoT for Bosch Rexroth
The application arises from the need to monitor and anticipate the problems of one or more machines managed by a PLC. These problems, often resulting from the accumulation over time of small discrepancies, require, when they occur, ex post technical operations maintenance.
Case Study
Robot Saves Money and Time for US Custom Molding Company
Injection Technology (Itech) is a custom molder for a variety of clients that require precision plastic parts for such products as electric meter covers, dental appliance cases and spools. With 95 employees operating 23 molding machines in a 30,000 square foot plant, Itech wanted to reduce man hours and increase efficiency.
