IBM, the technology giant, on Monday announced the acquisition of Kenexa, a leading provider of recruiting and talent management solutions for $1.3 billion in cash. The acquisition bolsters IBM’s leadership in helping clients embrace social business capabilities while gaining actionable insights from the enormous streams of information generated from social networks every day.
By this acquisition tech giant will be able to on-board range of Kenexa’s technology offerings that include recruitment, onboarding, employee assessment, interviewing, performance and compensation management, career development, goal alignment, succession planning and employment branding platforms. Moreover IBM will integrate Kenexa’s approximately 2,800 employees and operations from 21 countries into its software and services groups.
According to IBM press release, The acquisition bolsters IBM’s leadership in helping clients embrace social business capabilities while gaining actionable insights from the enormous streams of information generated from social networks every day.
Kenexa, a leading provider of recruiting and talent management solutions, brings a unique combination of Cloud-based technology and consulting services that integrates both people and processes, providing solutions to engage a smarter, more effective workforce across their most critical business functions.
Kenexa complements IBM’s strategy of bringing relevant data and expertise into the hands of business leaders within every functional department, from sales and marketing to product development and human resources. As a result of this synergy, clients will be able to attract and develop the right skills to build the right teams, for the right projects, the first time.
Alistair Rennie, General Manager, Social Business, IBM, stated “Every company, across every business operation, is looking to tap into the power of social networking to transform the way they work, collaborate and out innovate their competitors, IBM is uniquely positioned to help clients generate real returns from their social business investments, while helping them gain intelligence into the data being generated in these networks to be more competitive in their markets.”
Rudy Karsan, Chief Executive Officer, Kenexa, stated, “The customer is the big winner in all this because the combination of our two organizations will deliver more business outcomes than ever before, Together, Kenexa and IBM will be unmatched in the industry, offering solutions that extend from strategy to the technology platform to the delivery of services for clients.”
In the context of how social business technology is supporting the emergence of big data and the need of analytics in the enterprise , according to a report generated by IBM .The report reveals that around 57 percent of CEOs has social business as the top priority and over 73 percent are investing significantly to draw insights into available data.
This is the IBM’s 8th acquisition this year and company believes that this transaction will close up in the upcoming fourth quarter this year subjected to Kenexa’s shareholder and regulatory approvals and also other customary closing conditions .