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Automatic Data Processing,
Inc. is a provider of business outsourcing. It is also a provider of computing
services to automobile and heavy equipment dealers. ADP is one of four U.S.
companies to get a AAA credit rating from Standard & Poor's (S&P) and
Moody's.
History
In 1949 Henry Taub founded
Automatic Payrolls, Inc. as a manual payroll processing business. In 1957, the
company changed its name to Automatic Data Processing, Inc. (ADP), and began
using punched card machines, check printing machines, and mainframe
computers. ADP went public in 1961 with 300 clients, 125 employees and
revenues of approximately $400,000.
From 1985 onward, ADP’s
annual revenues exceeded the $1 billion mark, with paychecks processed for
about 10% of the U.S. workforce. In the 1990s ADP began acting as a
professional employer organization (PEO). Around this time, the company
acquired Autonom, a German company, Kerridge Computer Co. Ltd., a dealer
management systems (DMS) provider to auto dealers in the UK, and the payroll
and human resource services company, GSI, headquartered in Paris.
In 2007, the ADP Brokerage
Service Group was spun off to form Broadridge Financial Solutions, Inc. (NYSE:
BR), removing about $2 billion from ADP's total yearly revenue. ADP was
distributing one share of Broadridge common stock for every four shares of ADP
common stock held by shareholders of record as of the close of business on
March 23, 2007. ADP is sponsor of the ADP National Employment Report as well as
the ADP Small Business Report.
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