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HR software simplifies the employee management process and helps to optimize the HR workflow. Here are the list of the Top 5 HR management software for 2023.
From employee hiring and onboarding to payroll and performance management, HR software systems are now being used for multiple purposes. Cloud-based software solutions and process automation features are helping companies streamline their HR workflows.
The major purpose of employing HR management software in a business is to cut down unnecessary manual tasks and enhance the overall employee experience. HR managers can save time and effort by automating daily documentation and administrative tasks. Most of the top companies are leveraging HR Management software to streamline their HR processes.
Let’s learn what is HR Management software.
What is HR management software?
HRM software also called a Human Resources Management System (HRMS) or Human Resources Information System (HRIS) refers to a combination of software systems and processes that helps to manage and optimize routine HR operations in an organization.
HRM systems combine various HR functions like payroll management, leave records, performance tracking, storage of employee information, training records, and more. They act as self-service platforms for HR managers and employees providing them with easy access to data.
HR Management software allows organizations to manage all workforce management activities from employee self-service and payroll processing to more advanced features like workforce planning and talent management.
Key benefits of HR management tools/ software are:
- Reduces bottlenecks in HR workflow
- Improves employee performance
- Enhances employee experience
- Easy access and secure storage of data
- Improves overall business efficiency
Different types of HR management software
HR Management tools can be categorized into different types based on their functionalities. Some software serves a single purpose while others cover a wide range of HR functions. Let us understand more about these software systems.
- Human Resources Information System (HRIS): An HRIS can serve multiple functions like payroll & benefits, recruitment & applicant tracking, legal documentation, employee records, etc. It can be integrated with other HR software systems or can be used as an all-in-one software database.
- Performance Management: Performance management software helps the HR team to monitor and manage the performance of employees. These systems can be used to evaluate productivity, set performance goals for employees, and track performance.
- Applicant Tracking System (ATS): Applicant Tracking Systems are used to simplify the recruitment process. ATS covers different activities under the hiring process like job posting, screening candidates, and storage of applicant details.
- Employee Onboarding: Onboarding software helps new joinees easily complete the onboarding process in an organization. It makes the job of hiring managers more hassle-free. The aim of onboarding systems is to enhance employee experience and reduce manual tasks.
Now let us look at some of the most popular HR Management software used by organizations.
Here’s our pick of the top 5 HR Management software for digitizing workforce management activities.
1. Zoho People
Zoho People is a cloud-based Human Resources Management software that can be used for both big and small enterprises. It encompasses a wide range of functions such as timesheets, performance management, leave tracking, and employee benefits management. Zoho People allows HR teams to adapt quickly to changes and stay agile. It is one of the most popular tools used by organizations to enhance employee experience and build an efficient workforce.
It has various automation features to help HR professionals reduce their manual workload and improve process efficiency. Zoho People is highly recommended for the following functions:
- Time & attendance management
- Performance management
- Learning & development
- Employee database management
Zoho People offers a 30-day Free trial for users. They have many paid plans starting at a price of $0.83/employee/month.
- Essential HR
- People Plus
2. Workday HCM – Best for human capital management
Workday HCM is a Saas software used by businesses of all sizes to manage all HR workforce management activities in a single platform. It can be used for workforce planning, time and attendance tracking, financial management, payroll management, analysis, and reporting.
Workday also has functionality for managing learning and development activities. This software is popularly used in industries like education, retail, healthcare, manufacturing, IT, financial services, etc. Workday HCM has in-built reporting and analytics tools that help to track important KPIs and make informed decisions.
Workday caters to many Fortune 500 companies such as Amazon, Patagonia, Thomson Reuters, Bank of America, Rolls Royce, 3M, Puma, and many more.
Workday HCM has a mobile application that can be accessed from anywhere on the go. Workday software has annual pricing starting from $300.
Workday offers the following modules:
- Recruitment & Onboarding
- Training & development
- Time & Attendance
- Performance management
- Salary & Benefits
- Employee files
BambooHR is an all-in-one workforce management software that collects employee data into a single database and provides informative insights. This software is best suited for small and medium-sized organizations. This portal can perform various functions such as employee records, performance analysis, job application tracking, leave request, payroll, and task automation.
BambooHR also helps to track key employee metrics and generate reports based on the findings.
Some of the key features of BambooHR software are:
- Highly secure database
- User-friendly and intuitive interface
- Powerful reporting features
- Advanced tools for easier tracking
- Automated onboarding and off-boarding process
- Responsive Mobile app
BambooHR software has two packages namely – Essentials and Advantage. The Essential package starts at $5.25 per month and offers basic HR management functions and employee self-service. The advantage package comes with additional features like onboarding, recruitment, payroll, time tracking, and performance management, etc.
4. ADP Workforce Now
ADP is a popular cloud-based HR tool suitable for companies of all types and sizes. It is also an all-in-one suite for HR, talent management, time management, employee payroll & benefits, administration, and more. It is a single database that facilitates data integration across various departments of the organization.
ADP Workforce Now makes use of AI and ML technologies to provide real-time data which is relevant for workforce management.
ADP Workforce Now offers a powerful mobile self-service application that allows employees to manage their attendance, leave requests, manage payroll, contact information, etc from anywhere.
This software is capable of processing large amounts of data and identifying various patterns and trends related to recruitment, payroll, and benefits. Using machine learning features, ADP helps to zero in on the right candidates from a large talent pool.
ADP offers easy mobile access to track time, attendance, and other relevant information through any mobile device.
ADP Workforce Now offers the following modules:
- Employee Onboarding
- Applicant Tracking
- Payroll Management
- Time & Attendance tracking
- Learning management
- Digital Record Keeping
ADP Workforce Now has the following packages:
- Payroll Essentials
- HR Plus
- Hiring Advantage
- Performance Plus
ADP subscription price varies according to the modules included and the size of the company. A typical plan can cost you around $15 – $25 per employee per month. ADP also charges a one-time implementation fee which is 10-20% of the annual cost.
Zenefits is an affordable cloud-based HR management solution that is ideal for use in small enterprises. It is one pocket-friendly software that offers all necessary HR functionalities. The application simplifies HR administration tasks and reduces manual paperwork to save time and effort.
Small and mid-sized businesses can leverage the tools offered by Zenefits to manage their workforce and achieve higher productivity. Zenefits Payroll management features allow users to access their payroll & benefits information, tax details, attendance, etc. The built-in compliance assistant feature helps users to track their compliance and check deadlines. Zenefits mobile app is available for iOS and Android to provide anytime access for users to manage their leave requests, work hours, etc.
Following are a few modules offered by Zenefits:
- Employee Recruitment & Onboarding
- Time Management & Leave Requests
- Documentation of Employee Data
- Compliance Management
- Compensation & Benefits
- Reporting & Analytics
- Employee Skill Assessment
- Performance Tracking
- Free Trial
- Essential package starting at $8 per month per employee
- Growth package starting at $14 per month per employee
- Zen package starting at $21 per month per employee