Multi-Country Payroll Outsourcing (MCPO) – Service Provider Landscape with PEAK Matrix™ Assessment 2015

5 Mar 2015
by Rajesh Ranjan



The Multi-Country Payroll Outsourcing (MCPO) is one of the fastest growing markets within the HR space. It grew at a rate of approximately 20% to reach ~US$1.2 billion in annualized revenue in 2014 and is currently dominated by only a handful of service providers. However, as a result of the rapid growth in evidence, providers are beginning to adopt new strategies to gain market share. While technology and partnerships continue to play an important role, providers are now coming up with innovative solutions to maximize their process and geographic coverage. Value-added services, such as mobility, analytics, and online dashboards, are also gaining importance. Hence, buyers need to look at the provider’s offer spectrum in its entirety to drive maximum cost and business impact for their organization.

In this research, we analyze the global MCPO market across the following dimensions:

  • MCPO market overview
  • MCPO PEAK Matrix 2015
  • Key insights on the PEAK Matrix dimensions

PEAK Matrix

Scope of analysis

  • Deals that necessarily include the “payroll calculation (gross to net)” subprocess as part of the scope
  • Deals including at least two countries
  • Deals wherein services are provided to third-party clients
  • All industries and geographies

Market Size and Growth


This report gives an overview of the market and analyzes the areas in which service providers differentiate themselves. Based on the comprehensive Everest Group PEAK Matrix, each of the 16 MCPO service providers are segmented into Leaders, Major Contenders, and Emerging Players. Additionally, this report provides key insights on individual PEAK Matrix dimensions as well as service provider assessment and remarks about each of these providers. Some of the findings in this report are:

  • Multi-Country Payroll Outsourcing (MCPO) market grew at a rate of approximately 20% CAGR to reach ~US$1.2 billion in annualized revenue in 2014
  • The growth story is expected to continue in the coming years with an expected CAGR of 20-25%
  • The service provider landscape can be divided into three categories of players, each with their own distinct value proposition – MCPO specialists, HRO-only providers, and broad-based BPO/HRO providers
  • Everest Group classifies 16 MCPO service providers on the Everest Group Performance | Experience | Ability | Knowledge (PEAK) Matrix into three categories of Leaders, Major Contenders, and Emerging Players
  • Everest Group also provides service provider assessment and remarks about each of these providers

Everest Group has a complimentary four-page PEAK Matrix preview document for this service provider landscape report.


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