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Published June 14, 2025·Last updated May 10, 2026·By WorkdayNegotiations Editorial
Case Study · Manufacturing

Multi-Module Bundle Restructured: $5.4M Saved Across HCM, Payroll, Time, and Adaptive Planning

IndustryManufacturing
Employees24,000
Savings$5.4M
$28M+
Client savings
500+
Engagements
34%
Avg reduction
14
Modules

Modules involved

Workday HCM Core, Payroll (US + UK + Mexico), Time Tracking, Adaptive Planning (Financial), Help, Journeys. Five-year master agreement with three regional payroll add-ons co-termed under a single end-date. The original bundle had been assembled across three separate purchase events between 2020 and 2023 — none of which were renegotiated as a single unified contract.

Challenge

A global manufacturer with 24,000 employees across 14 countries was approaching the renewal of a Workday bundle that had grown organically over four years. HCM had been the original 2020 purchase. Payroll (US) was added in 2021 at a separately negotiated PEPY. Adaptive Planning was added in 2022 through Workday's account team, again at a stand-alone PEPY. UK and Mexico payroll modules were layered on in 2023 as the company expanded internationally. Time Tracking was added the same year.

By the time of the renewal, the contract was a stack of five separately negotiated PEPY lines with mismatched annual uplift caps (4%, 5%, 6%, 7%, and 'CPI + 2'), inconsistent true-up methodology across modules, and a co-term structure that had been adjusted twice. Workday's first formal renewal quote treated the whole bundle as one renewal at a blended 7.4% annual uplift, and presented a 'volume discount' that the deal desk positioned as a 12% concession.

Internally, the controller's office had been preparing for the renewal for six months but had no benchmark data on how the blended PEPY compared to peers. The CFO suspected the bundle had been built up at premium pricing during a period of rapid growth and that the 'volume discount' was largely cosmetic. The renewal date was eleven months out — sufficient runway for a full negotiation cycle.

Compounding the challenge: the Adaptive Planning module had been added under a separate Workday business unit (the former Adaptive Insights team), and its commercial model differed materially from the HCM/Payroll modules. Workday's deal desk argued that Adaptive could not be unbundled. This turned out to be incorrect — and recovering it was worth roughly $900K of the total savings.

The 'volume discount' Workday presented in their first quote was math we couldn't even verify against the underlying SKU pricing. Once we had real benchmark data, the gap was enormous.
CFO — Global Manufacturer

Approach

We engaged on a fixed fee basis with a defined six-month scope: benchmark, redline, three rounds of negotiation, and signature support. The fee was set up front, well under 2% of the projected savings, and the client retained 100% of the negotiated value. The engagement ran twenty-four weeks from kickoff to signed renewal.

Weeks one through five was discovery and benchmark assembly. We decomposed the bundle into its five constituent contracts, mapped each SKU to its current PEPY, modeled the true-up history module by module, and built a unified leverage file. We then benchmarked each module independently against peer companies in the 18,000-30,000 employee range across manufacturing, industrial, and consumer goods verticals. The benchmark showed HCM was 14% above median, Payroll (US) was 22% above median, Adaptive was 31% above median, and Time Tracking was roughly at-market.

Weeks six through fourteen was the structured Workday engagement. We rewrote the redline package as five separate negotiation tracks — one per module — rather than allowing Workday to negotiate the bundle as a single line item. This is a critical move in multi-module deals: Workday's deal desk routinely uses the bundle as a single negotiating surface, masking the math on individual SKUs. By forcing module-by-module pricing, we exposed where the premium was concentrated.

Weeks fifteen through twenty was the live negotiation. Four rounds of redlines, two executive escalations to Workday's senior pricing leadership, and a competitive process on the Adaptive Planning module specifically — using two FP&A alternatives that were genuinely viable replacements. The competitive pressure on Adaptive forced Workday's deal desk to materially re-price that line, which then opened space to re-price the HCM and Payroll lines as well.

Weeks twenty-one through twenty-four was contract execution. Final redline cycle, legal review, signature. We also restructured the co-term to align all five modules on a single five-year end date with a unified true-up methodology — a structural win that will compound at the next renewal.

Savings breakdown

  1. HCM PEPY rebalanced to cohort median — $1.7M over five-year term. HCM PEPY was reset from 14% above median to 4% below — recovering both the premium and capturing additional discount through volume justification.
  2. Adaptive Planning re-priced through competitive leverage — $1.4M over five-year term. The Adaptive line was re-quoted three times under credible RFI pressure from two alternative FP&A platforms, settling at a PEPY 22 points below the original.
  3. Payroll (US + UK + Mexico) unified pricing — $1.1M over five-year term. The three regional payroll modules were renegotiated as a single global payroll line at a blended PEPY, dropping the regional premium Workday had layered into the UK and Mexico modules.
  4. Annual uplift cap unified at 3.5% — $680K over five-year term. The five mismatched annual uplifts (ranging 4-7%) were replaced with a single 3.5% cap across all modules, compounding savings across years two through five.
  5. True-up methodology rewrite — $340K over five-year term. New methodology excludes contingent workers and adds downward true-down rights across all five modules — eliminating an asymmetric clause that had cost the client roughly $110K per year in the prior structure.
  6. Co-term realignment and SKU rationalization — $180K over five-year term. Co-term unified, plus removal of two SKUs (Journeys and a Help add-on) that had been added speculatively in 2022 and never deployed.
Forcing module-by-module pricing was the single most important move in the engagement. Workday had been negotiating with us against a blended number that hid where all the premium was sitting.
VP Procurement — Same Client

Outcome

Total documented savings against the baseline (Workday's first formal renewal quote): $5.4M over the new five-year term, with a present-value calculation that exceeded $4.6M. Each line item was independently verified against Workday's quote artifacts and the prior contract pricing.

The structural wins were as important as the dollar savings. The five-module bundle is now a single unified contract with one co-term date, one annual uplift cap, and one true-up methodology. This eliminates the operational complexity that had built up across four years of bolt-on purchases and creates a clean negotiating surface for the next renewal cycle. The procurement team estimates that the unified structure alone will save 200+ hours per year in contract administration and reconciliation work.

Our fixed fee was a fraction of the documented year-one savings. The CFO described the engagement internally as the highest-leverage spend in the procurement portfolio for the fiscal year — though they declined attribution by name, which is standard for this type of work.

How we'd approach yours

Every Workday engagement is unique, but the negotiation discipline transfers. We run all engagements under one of two commercial models — you choose.

Model A · Fixed Fee

Fixed Fee Engagement

Scoped deliverables. Predictable cost. You know the fee before we start. Benchmarks, redline strategy, and live deal support across every contract SKU, integration, and professional services line item.

Model B · Gain Share

Gain Share Engagement

Zero upfront cost. Our fee is a percentage of verified, documented contract savings over baseline. No savings, no fee. Aligned incentives, end-to-end.

Multi-module deals are different

Bundles need module-by-module discipline

The biggest mistake in multi-module Workday renewals is letting the vendor negotiate the bundle as a single number. The math hides where the premium lives. We force module-by-module pricing and benchmark each line independently — that's where the real leverage shows up.

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