Planning a Resilient Future Strategy: Multi-country Payroll (MCP) Solutions State of the Market Report 2021
State of the Market

22 Dec 2020
by Anil Vijayan, Priyanka Mitra, Ravjot Sachdeva

The Multi-country Payroll (MCP) solutions market is among the most competitive and fastest-growing markets in the Human Resources Outsourcing (HRO) space. The importance of MCP solutions has further increased following COVID-19, due to the increasing need to ensure compliance and employee wellness and reduce costs through the digital transformation of payroll systems. Therefore, providers have upped the ante when it comes to providing next-generation MCP solutions and services to clients. They are adding significant capabilities to their platforms in terms of dynamic and configurable dashboards, advanced analytics, automation, cloud implementation, and various advanced employee support features. They are also investing in enhancing their delivery footprint and service scope to keep up with the demands of this fast-growing market. In this research, we analyze the MCP market across various dimensions:

  • Impact of COVID-19 on MCP solutions
  • MCP market overview
  • Solution and transaction trends
  • Service provider landscape
  • Outlook in the medium term


  • Deals for which the payroll calculation (gross-to-net) has been necessarily outsourced
  • Deals that have at least two countries in scope
  • Deals for which the payroll solution (technology/platform) is included in the scope
  • All industries and geographies


This report provides comprehensive coverage of the 2019-2020 MCP solutions market and analyzes it across various dimensions such as market overview, solution and transaction trends, and service provider landscape. Some of the report’s findings are:

  • The MCP market grew rapidly at 13-15% from 2018 to 2019. Growth is expected to pick up after a slight slump in 2020
  • Proactive measures taken by service providers in 2020 helped cushion the pandemic’s impact
  • Buyers headquartered in North America and Europe, the two most mature markets, are leading MCP adopters globally. Adoption is increasing in the emerging markets of Asia Pacific and Latin America
  • The market has experienced strong adoption from small and midsized MNCs spread across two to five countries
  • ADP, Alight Solutions, and TMF Group dominate the MCP market in terms of market revenue. The three companies together hold a majority of the total market revenue


Human Resources

Sourcing and Vendor Management


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