Fieldglass, one of the largest vendor management system providers, is being acquired by German business software provider SAP. A German company, SAP provides HR management capability through SuccessFactors and business procurement and business collaboration via Ariba. Fieldglass will fill in the middle for contractor or contingent labor force, according to SAP Spokesman Jim Dever.

‘This is actually the sweet spot between those’, Dever said. ‘This gives us an end-to-end solution. It’s total workforce management’.

SAP expects to complete the transaction, which is subject to regulatory and other closing conditions, in the second quarter. Terms were not disclosed.

Fieldglass had total global VMS spend under management of US$27.4 billion (€19.8 billion) in 2012, according to Staffing Industry Analysts.

‘The acquisition of Fieldglass creates a compelling advantage for SAP customers as they access, attract and manage talent via the networked economy’, said Bill McDermott and Jim Hagemann Snabe, co-CEOs and members of the SAP’s executive board. ‘Combining Fieldglass with SAP is a significant milestone in our strategy to help businesses simplify everything’.

Fieldglass expects no change in its management team, employee base or day-to-day operations.

‘Fieldglass will continue to build out its global team and operations with the added benefit of SAP’s resources and expertise’, said Arun Srinivasan, Fieldglass’ vice president of marketing and strategy. ‘Fieldglass will retain its identity and continue to operate independently as a SAP company in their cloud line. This deal positions Fieldglass to serve our global customers and partners better in the long-term through increased investments in product, infrastructure, and services’.

Fieldglass is used in more than 100 countries and 16 languages.