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Nathan Christensen Discusses the Merger of ThinkHR and MammothHR

Nathan Christensen, CEO of the combined company created by the merger of ThinkHR and MammothHR, explained in an interview with TechTarget what the merger means for the firm’s 350,000 customers and its 1,700 channel partners:

If you haven’t heard of ThinkHR Corp. and Mammoth HR, there’s a good reason for that. The two firms sell similar technology and provide HR compliance services through channel partners. Their services are often bundled as white-labeled or rebranded products.

ThinkHR and Mammoth recently merged. While both firms sell similar technology and services, they work with different industries. ThinkHR focuses on the insurance industry, while Mammoth focuses on payroll and human capital management providers. The two firms will maintain their existing brands for now.

This is how the companies sell their products: A customer buys a payroll system, for instance, through a channel partner. Along with payroll, the product may include performance management and onboarding tools. That’s where ThinkHR and Mammoth HR come in. Their HR compliance services and technology may be bundled or offered as add-ons. There will be additional tools to help with some HR functions and call center support for HR issues. In some cases, the HR product offerings are cobranded.

ThinkHR and Mammoth HR tend to work with small and midsize companies, where the number of employees ranges from five to 500. In total, the firms provide services to 350,000 employers and have about 1,700 channel partners.

ThinkHR and Mammoth technology, best practices and HR compliance services are layered on top of HR systems, said Nathan Christensen, who is the new CEO of the combined company. Their tools help users “to properly administer those [HR] functions,” he said. Christensen was the CEO of Mammoth.

Together, their services include a library of legal and HR compliance services, as well as subject-matter experts working in a call center. They field a combined total of more than 100,000 questions a year from clients, Christensen said.

The firms don’t sell an onboarding or an application tracking system. But they do offer HR tools, such as systems that help users write job ads and build employee manuals.

Christensen said the two firms are highly complementary in their services and tech. With the merger, “we can build more things, rather than build multiple versions of the same thing,” he said.
Christensen said small to medium-sized enterprises and middle market firms have been increasing their HR spending. They are modernizing their HR technology and HR processes, but aren’t necessarily seeing improvements in recruiting or turnover reduction, he said.A technology upgrade “needs to be complemented with the expertise and knowledge,” Christensen said.
ThinkHR was founded in 2005 in Pleasanton, Calif., and Mammoth HR in 2001 in Portland, Ore. The financial terms of the merger were not disclosed.