ServiceNow, UKG Partner for AI-Enhanced Employee Productivity
In April 2025, ServiceNow (NYSE: NOW) and UKG announced a groundbreaking collaboration at the annual ServiceNow Knowledge conference in Las Vegas, aiming to significantly enhance employee productivity and efficiency through the integration of their AI solutions. ServiceNow, a leading provider of AI platforms for business transformation, and UKG, a renowned SaaS solution leader in human resources, payroll, and workforce management, have joined forces to create a seamless and autonomous AI experience for employees. At the heart of this partnership is the integration of UKG's AI capabilities with ServiceNow's next-generation AI Agent Fabric. This combination is designed to simplify both routine and complex operational and administrative tasks, enabling employees to focus more on strategic, high-value activities. The enhanced AI-driven work environment is expected to revolutionize digital employee experiences across various sectors, including retail, healthcare, and manufacturing. Bill McDermott, ServiceNow's Chairman and CEO, emphasized the people-centric approach of the collaboration, stating, "ServiceNow and UKG place humans at the center of every innovation, aiming to create transformative experiences in the new era of AI collaboration. AI is changing how businesses operate, helping them adapt faster to changes and deliver greater value. Our shared goal is to ensure that every employee, every customer, and every business can harness the power of AI to benefit humanity." Jennifer Morgan, the CEO of UKG, echoed similar sentiments, saying, "By integrating UKG and ServiceNow's AI agents into a single, cohesive platform, our clients can concentrate on their most critical objectives—mission, progress, and impact. As tasks become more efficient, employees' potential is unleashed, contributing to the overall success and growth of the organization from the front office to the front line." Preliminary data from The Josh Bersin Company suggests that AI applications designed to improve existing workflows can boost productivity by 15% to 50%. Moreover, the use of AI agents to handle common and intricate tasks can achieve even greater efficiency gains, with productivity improvements of over 300%. The joint vision of ServiceNow and UKG is to implement efficient automation across all departments, allowing employees to shift their attention to more challenging and strategic work, thereby increasing their overall impact on the enterprise. The collaboration involves the seamless connection of UKG's AI solutions to ServiceNow's AI Agent Fabric platform. This will enable a more coherent and efficient execution of tasks ranging from payroll processing to employee management and HR services. For example, in the retail sector, AI agents can streamline inventory management and customer service processes, while in healthcare, they can assist in scheduling appointments and managing patient records, freeing up staff to focus on patient care. In manufacturing, the technology can optimize supply chain operations and maintenance schedules, enhancing production efficiency. One of the primary benefits of this partnership is the enhanced flexibility and responsiveness it brings to enterprises. By automating mundane and time-consuming tasks, companies can better adapt to rapid changes in the market and customer demands. Additionally, the integrated platform will offer unprecedented data insights, aiding managers in making informed decisions and improving overall organizational performance. Industry experts have shown significant optimism about this collaboration. Josh Bersin, founder and CEO of The Josh Bersin Company, praised the strategic alliance, stating, "This level of partnership, leveraging agent-to-agent orchestration technology, provides enterprises with a seamless and unified way to deploy and utilize AI. It promotes scale, enhances employee productivity, and drives long-term growth for businesses." He added that both ServiceNow and UKG have a history of developing transformative solutions, and their combined efforts are poised to deepen their influence in the industry. ServiceNow, founded in 2004 and headquartered in San Francisco, has established itself as a global leader in AI platforms. Its technology connects people, processes, data, and devices, facilitating business transformation and productivity enhancement. Over the years, ServiceNow has garnered trust and support from a wide range of clients across different industries. UKG, on the other hand, stands out as a cloud software provider specializing in HRM, payroll, and workforce management solutions. With over 80,000 clients worldwide, UKG leverages vast datasets on populations, work, and employee sentiments, coupled with advanced AI, to connect employees with valuable insights and improve organizational outcomes. Together, ServiceNow and UKG are poised to deliver tangible benefits to enterprises and their employees, marking a new chapter in the future of work. Their collaboration not only promises to modernize the digital employee experience but also to set a new standard for AI integration in the business world. Industry insiders anticipate that this partnership will accelerate the adoption of AI-driven solutions, fostering innovation and growth across multiple sectors. The combination of ServiceNow's robust AI platform and UKG's extensive HR expertise and data assets is a powerful one, likely to influence the trajectory of AI in business operations and workforce management. Both companies' leadership in their respective fields suggests that this collaboration will lead to significant advancements in how organizations leverage technology to empower their workforce and drive success.