Chad Richison
President and Chief Executive Officer at Paycom Software
Thanks, James, and thank you to everyone joining our call today.
I'd like to discuss how Paycom's automation continues to transform our industry, then I'll review some recent client wins and industry recognition, before turning it over to Craig, who will review our financials and guidance before taking questions.
We are investing in our highly-differentiated automation platform that is delivering ROI for our clients. 20 years ago, user and buyers bought the Paycom system because they wanted to do more for themselves. And today people buy Paycom because they wanted to do more for them without the need for day-to-day involvement in the software. We already have the most automated system in the industry and we are rapidly moving toward full solution automation, driving even more ROI for our clients.
Our award-winning solution, GONE is just one example of how Paycom simplifies task through automation. GONE was recently named a top HR product by HR Executive Magazine and for good reason. GONE is the industry's first fully automated time off solution that decisions all-time off requests.
Before GONE, nearly all time-off decisions were unmanaged. A recent Forrester study found that GONE can generate an ROI of up to 800%. By automating time-off decisions, individual managers save nearly a week of unproductive hours annually.
In addition, the study found that on average, companies using GONE saved nearly five weeks of unproductive time in the areas of HR, finance and accounting every year. Without GONE, 10% of an organization's labor cost goes substantially unmanaged, resulting in increased costs from overpayments, errors in scheduling, staffing shortages and operational disruption.
One example of a client utilizing GONE is an auto dealership with nearly 500 employees spread across multiple locations. GONE saved this client approximately 200 hours of unproductive time per week, while ensuring a consistent time-off request process in apology management across the organization. With Gong, this client reports having reduced decision fatigue among managers and team leaders. Not only is GONE automating mundane task, it is also having a positive impact on employees.
Beti continues to be a differentiator and clients using it are experiencing its benefits. We recently on boarded a 1,000 employee hospital organization with over 20 locations. Utilizing Beti, this bilingual workforce has already reduced their payroll processing by 85%.
This organization also appreciates that their managers benefit greatly from Manager on-the-Go, which consolidated their managerial task into a single app, streamlining approvals, PAF management, applicant tracking, and more. This client currently boasts a 99.7% DDX score, reflecting the user-friendly power of Paycom Software for the organization.
Our development teams have been focused on automating tasks across the platform that are easily adopted by our client base. Because of this focus, both this quarter and throughout the year, we've launched more products and enhancements than any time in our company's history. There are several examples of automation we recently launched that are having a big impact on HR and recruiting departments.
One such automation is our position management enhancement that automates reporting structure and hierarchy changes needed, due to individual employee changes such as promotions and transfers or large-scale organizational changes such as an acquisition or restructure.
Another example of automation is how we enhanced our recruiting module. The advances in our recruiting product have dramatically increased the application completion rates and significantly reduced time to fill. What was already a very fast time to apply process has now been reduced by 50%.
Internally, we developed and deployed an AI agent for our service team. This technology utilizes our own knowledge-based semantic search model and enables us to provide service to help our clients more quickly and consistently than ever before. The AI agent continually improves over time and is having an impact on helping our clients achieve even more value out of their relationship with Paycom.
By utilizing our own AI agent, we were able to connect our clients to the right solution faster, improving our immediate response rates by 25% without any additional human interaction. As a result of our continued focus on solution automation, ROI achievement, world-class service, we also increased our Net Promoter Score 24 points year-over-year.
On the sales side, we are seeing continued momentum, particularly with our outside sales reps. System automation matters more to business than ever before and our sales force is delivering on the market's needs, which is driving our goals. We still have less than 5% of the addressable market. We remain focused on executing strategies that will produce extremely high ROI and automation for our clients, while continuing to differentiate our solution to automation.
Finally, I'm pleased that Paycom was recognized as one of the best employers for tech workers by Forbes and one of the world's best companies overall by Time Magazine. These testaments showcase our culture and the impact our technology is having on workforces all over the globe. We are executing on our 2024 plan and I'm very pleased with the progress. Our success in 2024 will set the foundation for future growth.
With that, let me turn it over to Craig. Craig?
