Understanding the Market Segment Industry Analysis

3 Year Trend

Workforce Logistics Year Sub Contract Employees Remote Employees 19999%10% % (VAR Magazine) 25% (Kronos Research)

Market Segments Hourly Professional Hourly Salary 51% 26% 23%

Market Saturation Manual Fully Automated Partially Automated 40% 30%

Market Segment Potential In 1,000’s

10 to 19 Employees Number of Establishments 1,800,000 Total Market Value $250 Million Average Sale $600  Over 90% of establishments  Difficult to reach 1.8 million establishments  Impossible to make a profit with $600

20 to 49 Employees Number of Establishments 549,785 Total Market Value $192 Million Average Sale $1,750  Has only 30% of the establishments as  Nearly the same value opportunity  Still need to mitigate cost of sale

50 to 99 Employees Number of Establishments 188,676 Total Market Value $166 Million Average Sale $4,500  Relative Success

100 to 249 Employees Number of Establishments 109,860 Total Market Value $260 Million Average Sale $10,937

250 to 499 Employees Number of Establishments 27,922 Total Market Value $150 Million Average Sale $20,312

500 to 999 Employees Number of Establishments 10,620 Total Market Value $124 Million Average Sale $48,300

Over 1,000 Employees Number of Establishments 6,008 Total Market Value $215 Million Average Sale $112,500

Market Segment Potential In 1,000’s

Advertising  Markets  Solutions for Small Businesses  Enterprise Solutions

Solutions for Small Business Goal Minimize prospecting cost Affordable strategies Maximize selling effort Professional literature Collateral materials accomplish most of the selling

Solutions for Small Business Strategy Cards Payroll service relationships Web links (updated web site) Follow up with first class literature

Enterprise Solutions Goals Advertise a national and professional image Build confidence and trust in the market place Communicate our technology edge

Enterprise Solutions Strategy Case studies White papers More trade shows Executive Briefings Professional collateral material Competitive implementation services

What Industry Are You In?  Time and Attendance  Time & Labor  Labor Management  Front line labor management  Employee Relationship Management (ERM)

Implementation Web Sales Training MaintenanceInstallation Integration BA/AE Project Manager User Community Purchasing

Why Implement Services?

Employee Self Service ApplicationPlannedIn Use Employee Communications95%75% 401k service85%72% Open Enrollment88%55% Benefit inquiries88%47% Training registration73%40% Personal inquiry85%38% Personal data maintenance88%38% Time card entry64%37% Withholding changes77%32% Electronic paystubs72%29% Vacation, leave requests53%22% Family status/life event changes88%22% Services for retirees32%10%

Manager Self Service ApplicationPlannedIn Use Travel and expense management65%42% Time card approval and reporting65%33% Labor & Budget analysis42%25% Management reports73%18% Employee changes and transfers69%11% Approvals65%11% Leave management50%5% Workforce planning*29%2% *Workforce planning is a strategic application

Value of Self Services Employee Size2001 Budget2001 In Use$ per Employee Over 50,000$1,800,000.00$2,300,000.00$ ,000 to 49,999$1,300,000.00$1,600,000.00$ ,000 to 9,999$1,200,000.00$1,350,000.00$ ,000 to 4,999$1,100,000.00$1,300,000.00$ to 999$ 900,000.00$1,100,000.00$1,466.67