Why are they called ‘Success Factors’?

The term “SuccessFactors” comes from the concept of critical success factors (CSFs) in management the essential areas or capabilities an organization must excel in to achieve its strategic goals. When SAP named its Human Capital Management (HCM) solution SAP SuccessFactors, the idea was:

• Organizations succeed when they manage their people effectively.
• Employees are seen as the critical success factors of the business.
• The software helps companies align HR practices (like recruitment, learning, performance, and succession) with business strategy to ensure long-term success.

So essentially, the name “SuccessFactors” reflects the belief that employees are the factors that drive success, and managing them well leads to better organizational performance.