Top Analyst Firm Positions SuccessFactors in “Leaders” Quadrant in 2009 Report on Employee Performance Management Software

SuccessFactors' Position is Based on Its Completeness of Vision and Ability to Execute

SAN MATEO, Calif.--(BUSINESS WIRE)--SuccessFactors, Inc. (NASDAQ:SFSF), the global leader in on-demand performance and talent management solutions, today announced that it has been positioned in the “Leaders” quadrant by Gartner, Inc. for the Magic Quadrant for Employee Performance Management Software.

“strong product functionality and superior customer experience with the vendor and its products… and strong or emerging multinational solutions (with corresponding service and support).”

The “Magic Quadrant for Employee Performance Management Software,” by Jim Holincheck and Thomas Otter, and published February 3, 2009, estimates, “that the market for EPM software was more than $450 million for the 12 months ending on 30 September 2008.” Gartner defines leaders in this Magic Quadrant as companies that had “strong product functionality and superior customer experience with the vendor and its products… and strong or emerging multinational solutions (with corresponding service and support).”

With SuccessFactors’ announcement that the company exceeds 4.5 million global users, with more than 1.5 million users added in 2008, SuccessFactors is now one of the largest SaaS companies and is the leading provider of on-demand performance and talent management solutions.

“Now more than ever, organizations of all sizes are looking for unbiased, thoughtful analysis of where to invest their dollars, so SuccessFactors is honored to be recognized as a leader by Gartner in its Magic Quadrant for our market. I would personally like to thank the hard-working team I’m fortunate to lead at SuccessFactors,” said Lars Dalgaard, founder and president of SuccessFactors. “I believe this recognition validates the constant innovation and customer-first attitude that the world has come to expect from SuccessFactors.”

The SuccessFactors Performance and Talent Management Suite, which includes Performance Management, Goal Management, 360 Degree Reviews, Succession Management, Compensation Management, Learning and Development, Recruiting Management, Employee Profile, and Analytics and Reporting applications, creates a company-wide network of information related to employee performance, including skill-sets, interests, career aspirations, ability to relocate, experience, languages spoken and more. By providing deep, real-time, company-wide visibility into such critical performance data, companies are able to make better, more informed decisions about how to promote, recruit, compensate, reward and manage their entire employee base.

About the Magic Quadrant

The Magic Quadrant is copyrighted February, 2009 by Gartner Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner’s analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the “Leaders” quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

About SuccessFactors, Inc.

SuccessFactors is one of the fastest growing public software companies and the leading provider of on-demand employee performance and talent management solutions. The Company enables organizations of every size, and across every industry and geography, to achieve high-performing workforces through goal alignment and execution, talent development and planning, and pay-for-performance initiatives. From 92 customers and approximately 282,000 end users in 2003 to more than 2,600 customers and more than 4.5 million end users today, SuccessFactors' solutions are widely deployed across 60 industries in over 185 countries in 31 languages. Founded in 2001 with offices around the world, the Company employs passionate people focused on revolutionizing the future of work. For more information, visit: http://www.successfactors.com.