SumTotal Systems

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SumTotal Systems, Inc.

Type	Public
Industry	Software
Founded	1985
Headquarters	Gainesville, Florida , USA
Key people	Ronald Hovsepian, CEO Jeffrey Laborde, CFO
Website	www.sumtotalsystems.com

SumTotal Systems, Inc. is a software company based in Gainesville, Florida that provides human resource management software and services to private and public sector organizations.^[1] The company uses multiple cloud-based channels, including Software as a Service (SaaS), Hosted Subscription, and premises-based licensure. The company has regional offices in the US, Canada, Europe, and the Asia-Pacific region.^{[citation needed]}

In September 2014, SumTotal was acquired by SkillSoft, a provider of online learning to corporate training organizations.^[2]

History[]

The company now called SumTotal Systems originated in the 2003 merger of Click2learn (Asymetrix) and Docent Software.^{[citation needed]}

1997-2002: Background as Asymetrix[]

Asymetrix Learning Systems, based in Bellevue, Washington, was founded in 1984 by Paul Allen and funded through his Vulcan Ventures.^[3] Asymetrix then spent around ten years developing software for online education.^[3] Among the first products from this development period was ToolBook.^[4] Other titles included Asymetrix Librarian and the e-Learning Network - an early software as a service product. Additionally, an early three-dimensional rendering system Asymetrix 3D F/X was released in 1994 and later renamed Web3d.^{[citation needed]} Asymetrix also produced a variety of screen savers for a short period,^{[citation needed]} and developed Compel (a graphical presentation and prototyping program).^[5]

The company was recapitalized in 1995 with more funding from Allen.^[3] In October 1996, SoftBank invested about $3.8 million in Asymetrix. In September 1997, Asymetrix acquired Aimtech for about $3.1M in stock. In October 1996, the company spun off its client/server tools into a newly created wholly owned subsidiary, ASX Corporation, which was renamed ConQuer Data, Inc. It was later renamed Infomodelers, which was then sold to Allen.^{[citation needed]} Further acquisitions followed. In September 1997 Asymetrix acquired Oakes Interactive Incorporated, Acorn Associates Incorporated and TopShelf Multimedia for approximately $2.1 million. In the first half of 1998 it acquired New York-based Meliora Systems and Illinois-based Strategic Systems Associates.^{[citation needed]} In 1998 Asymetrix went public. The June initial public offering (IPO) raised approximately $31 million. After the IPO, Allen controlled about 45% of the shares.^[3] Asymetrix was listed on the Nasdaq exchange with the ticker symbol ASYM, with a lukewarm market reception.^[6] In September 1999 Asymetrix issued $10 million in preferred stock to Vulcan and Marshall Capital.^[7]

In October 1999 Asymetrix's name was changed to click2learn.com, when James A. Billmaier was its chief executive.^[8] Between 1995 and 1999, like many companies in the dot-com bubble, Click2learn reported growing revenues but continued operational losses.^{[citation needed]} Kevin M. Oakes took over as chief executive in January 2000.^[9] In early 2000, the company spun off its graphics and rendering software as InfoModelers, which was acquired by Visio Corporation.^[10] Other noteworthy acquisitions included the May 2001 purchase of IntelliPrep Technologies, Incorporated and Meliora who made Ingenium.^{[citation needed]} As products were consolidated into their Aspen Enterprise Productivity Suite, losses continued through 2002, resulting in operational cost control measures including reductions in workforce.^[11] In 2003 click2learn (formerly Asymetrix) and Docent announced intentions to merge.^[12]

1997-2002: Background as Docent Software[]

Docent Software was founded in 1997 and based in Mountain View, California.^[13] David Mandelkern and Pardner Wynn founded the company, with Wynn as chief executive and Mandelkern as chief technology officer^[13] The company developed business-oriented training software. Pardner and Cynthia Wynn (then married) had developed Stanford Testing Systems in 1994, doing business as TestPrep,^[14] which was incorporated into Docent software holdings.^{[citation needed]} Docent was funded by venture capital in six rounds from investors such as Norwest Venture Partners, Advanced Technology Ventures, and Invesco. It had operating losses for 1997, 1998, and 1999.^[13] David R. Ellett replaced Wynn as chief executive in July 1998 on the cusp of the dot-com bubble. In 2000 Docent filed for an initial public offering (IPO) and went public on NASDAQ on September 29, raising approximately $85 million in the process.^[15] Later, Docent acquired gForce Systems in October 2001 for $5.3 million, which included about $4.7 million in debts and liabilities. Following the years of operating losses, R. Andrew Eckert joined as president in December 2001 and ultimately replaced Ellett as CEO in April 2002.^[16] After growing to over 200 employees at the time of the IPO, by 2002 the company had reduced its staff by 20% to cut costs.^[17]

2003-2004: Formation of SumTotal Systems[]

In 2003 click2learn (formerly Asymetrix) and Docent announced intentions to merge. click2learn's shareholders received slightly more than half of the stock in the merged company - former shareholders in Click2learn owned about 52% and Docent about 48% of the shares. At the time of the merger, click2learn employed over 300 people, 100 of which were in Hyderabad, India, and Docent employed an additional 170.^[12] The combined company became Hockey Merger Corporation in February 2004 while a new name was planned.^[18] On March 18, 2004, the new name SumTotal Systems was announced for the combined company,^[19] with headquarters in Gainesville, Florida. The merger was completed in 2004.^{[citation needed]} Shares in the new company were listed on the Nasdaq exchange with symbol SUMT (previous symbols were CLKS and DCNT).^[19]

2005-2017: Acquisitions[]

In October 2005, SumTotal acquired Pathlore, a mid-market learning management systems company with a focus in state and local government and healthcare.^[20] In 2006 SumTotal acquired the privately owned software company MindSolve Technologies, founded in 1994, for about $12 million. Mindsolve focused on performance management software.^[21] In May 2009 Vista Equity Partners, the largest software-only private equity fund, agreed to acquire SumTotal for $160 million^[22] and closed the transaction in July 2009.^[23]

On January 5, 2011, GeoLearning was acquired by SumTotal.^[24]

In July 2011 SumTotal acquired CyberShift, a Parsippany, New Jersey software company focused SaaS multitenancy workforce management and expense solutions^[buzzword], and Accero, an enterprise payroll and benefits solution^[buzzword] provider.^[25] The two acquisitions added features to SumTotal's employee life-cycle management software. At the time of the acquisition, CyberShift's 1000 customers grew SumTotal's customer base to around 3400, and employees to around 1000.^[26]

In August 2014, Skillsoft Limited, a computer-learning software and content provider, announced that its subsidiary, Skillsoft Corporation, had entered into an agreement to acquire SumTotal Systems, LLC from affiliates of US-based private equity firm Vista Equity Partners.^[27] In September 2014, SumTotal was acquired by SkillSoft.^[2]

Products and services[]

SumTotal's solutions^[buzzword] include learning management, workforce management, talent management, HR, planning, analytics, payroll and benefits.^[28] The company delivers its solutions^[buzzword] through multiple cloud-based vehicles: Software as a Service (SaaS), Hosted Subscription, and in some cases premises-based licensure. The company has multiple regional offices in the US, Canada and outside of North America including Europe and APAC.^{[citation needed]}

See also[]

• List of talent management system companies
• Green Park Business Park
• History of virtual learning environments
• List of learning management systems
• Software industry in Telangana

References[]