Salesforce Moves into Human Capital Management with Rypple (NewsFactor)

Not content to shake up the CRM market alone, Salesforce.com is moving into a new social-software sector with its latest acquisition. Salesforce has acquired Rypple, a cloud-based social-performance management company, for an undisclosed amount.

With the Rypple assets and talent, Salesforce is entering the human capital management market for the social enterprise. Salesforce will relaunch Rypple as Successforce and create a new HCM division run by John Wookey, executive vice president of advanced applications at Salesforce. The company expects Rypple's tech to also bolster the value of its core products.

"As we developed Chatter, we started thinking more about how we could deploy the concept of social-networking platforms to different business processes and how it could have a huge potential impact on outcomes of those business processes," Wookey said. "The opportunity with Rypple was serendipitous."

A Social-Goals Revolution

The rumblings of a HCM software shakeup have been getting louder over the past couple of years as companies like WorkSimple and Rypple emerged on the scene with social-goals platforms. Traditional HCM software was designed for a generation of workers 30 years ago when the goal was reducing the cost and risk of employing people.

Salesforce believes the modern workforce demands new performance and leadership tools that are completely transparent and allow employees to be connected to their company's mission and each other. Apps from Rypple and WorkSimple, among others, allow for goal setting, feedback, recognition and continuous dialog to help employees align more effectively around the company mission.

"We took the science of team performance and applied the collaborative, transparent, and real-time power of social networks to create a completely new model for managing people and the work they deliver," said David Stein, co-CEO and co-founder of Rypple. "Salesforce.com gives us the opportunity to apply our expertise and extend our vision for Rypple with Successforce."

Mission-Critical Human Capital

Wookey expects the Rypple acquisition to drive Salesforce.com's suite of social products. The company plans to embed some of Rypple's next-generation features into its existing products. For example, people will be able to thank colleagues, win badges and provide recognition -- all from within Salesforce Chatter. And customers of core Salesforce products -- the Sales Cloud, Service Cloud, and Force.com platform -- will be able to connect with new employee feedback tools to help drive business goals and power the future of their employee social networks.

"We had always planned to begin with the business processes that are most critical, which are you onboard and manage employees in a way that aligns what they do every day with the objectives of your company and the mission of the enterprise," Wookey said. "Rypple has credibility with enough customers, and a proven model that works, as well as a team of people who understand the HCM space."

Source: http://us.rd.yahoo.com/dailynews/rss/enterprise/*http%3A//news.yahoo.com/s/nf/20111219/tc_nf/81440

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