Paycom Software (PAYC) Baird 2024 Global Consumer, Technology & Services Conference summary

Leadership and organizational changes

• Recent leadership change was voluntary, with no forced departure.

• Company culture emphasizes treating departing employees well, supporting long-term morale.

• Leadership stability highlighted, with CEO tenure since 1998 and low turnover in key roles.

Product innovation and automation (Beti and GONE)

• Beti automates payroll, allowing employees to identify and fix payroll issues in real time.

• Beti educates users on payroll details, improving accuracy and employee engagement.

• GONE automates time-off requests, providing instant approvals and reducing manual errors.

• Automation is expected to increase across the platform and industry, driving efficiency.

Adoption, change management, and client retention

• Beti adoption requires significant change management, mainly from payroll departments.

• All new clients since 2021 onboard with Beti; existing clients are not forced to switch.

• Beti increases client retention by engaging all employees and creating barriers to exit.

• Communication about Beti's optionality was previously lacking, impacting perception.