10+ Best HCM Software To Manage Your HR Needs in One Place (2025)
We've tested and demoed dozens of tools to create this guide to the best HCM software. Find pricing info, screenshots, pros & cons, and more below.
More than a software type, Human Capital Management is an economic theory; which states that companies should invest in their employees for them to generate more value. As such, the human capital theory concerns itself with optimizing the education, knowledge, skills, and experience of an employee. In that sense, HCM software manages and optimizes key related processes like training, performance, compensation, and everything essential to employee development. HCM is an organizational philosophy, but as such, what it does overlaps tremendously (as it should) with broader HR software.
HCMs, however, should provide specific competencies for workers in three categories: workforce acquisition, workforce management, and workforce optimization.
This guide will help you understand the big picture of HCM methodology and the pitfalls to avoid. Critical features like HR ops, scalability, and integration capabilities are also covered in detail for each of the vendors we’ve selected. This guide can also help you understand the difference between HCM and HRMS software.
To select the best HCM software, our experts have gathered user feedback, sought insight from HR thought leaders, and participated in product demos with vendors. In our experience, the right way to go about shopping for an HCM platform breaks down into three general questions. First, are the HR ops functionalities in line with what you need? Second, how easily does it integrate with other systems? And third, does it scale, and will it grow with you?
HR Ops
Every company’s needs differ, and no two HCM systems are alike. Specifically, we assessed products for workforce acquisition, workforce management, workforce optimization, performance reviews, learning management, succession planning, and employee onboarding.
Integration Capabilities
Because it’s so important for your new HCM software to work with your existing tech stack, we assessed each platform’s capacity for seamless integration with the standalone tools you might be using currently, such as accounting software, applicant tracking systems, performance assessment tools, and time and attendance software.
Scale
We assessed each company’s HCM software for exponentially flexible features. Take customization and permissions, for example. As companies grow, their org charts tend to get more complex. Where a simple set of customized permissions would suit a team with only managers and non-managers, a more complex team needs the ability to customize permissions for an elaborate, interwoven network.
For anyone interested in more detail on our selection process, we recommend reading more about our editorial guidelines.
Paylocity
Paylocity offers a robust Human Capital Management (HCM) platform that streamlines HR processes, payroll, and talent management into a single, cohesive system. Its user-friendly interface and comprehensive features make it an excellent choice for mid-sized U.S. companies seeking to enhance operational efficiency and employee engagement.
PROS
- Integrates HR, payroll, and talent management, reducing the need for multiple systems.
- Empowers employees with 24/7 payroll and HR data access via desktop or mobile app.
- Scalable to accommodate growing companies thanks to its many modules and product offerings.
- Intuitive interface that’s easy to navigate, supported by extensive online help resources.
- Extensive reporting capabilities to track key HR metrics
- Paylocity’s customer support is highly rated for always being available to answer questions.
- Global payroll support for 100+ countries.
- Provides free and unlimited training modules on the website.
- Paylocity’s mobile app has a good UI and functionality
- The tool is easy to use for both employees and employers.
- Has 350+ pre-built integrations.
CONS
- Creating custom reports can require manual data work.
- Customer support is only available in English, limiting global access.
- Small businesses might find the features more than they need, and the pricing a bit steep for modest budgets.
- According to some user comments, customer support response times can be lengthy and inconsistent.
- Undisclosed pricing.
- It doesn’t have a free trial or free plan.
- Support is available in English only.
- It isn’t the best solution for remote teams looking for a tool to manage payroll and benefits for their contractors.
Paylocity's HCM platform is designed to simplify and automate HR tasks, making it a valuable asset for mid-sized companies aiming to enhance their human resource operations. The unified system encompasses payroll processing, talent management, and employee engagement tools, all accessible through a user-friendly interface.
One notable feature is the Employee Self-Service portal, which grants employees secure, round-the-clock access to their payroll and HR information via desktop or mobile devices. This accessibility fosters transparency and empowers employees to manage their personal information, request time off, and collaborate with colleagues seamlessly.
The platform's automated workflows are particularly beneficial in reducing administrative burdens. By automating routine tasks such as onboarding, offboarding, and compliance tracking, HR teams can redirect their focus toward strategic initiatives that drive business growth.
In terms of compliance, Paylocity offers an intuitive dashboard that provides quick access to work authorizations, EEO and FLSA compliance data, and industry news. This proactive approach helps organizations stay ahead of regulatory changes and mitigate potential risks.
However, some users have noted a learning curve associated with the platform's extensive features, which may require time and training to navigate effectively. Additionally, while the platform is scalable, its pricing structure may be a consideration for smaller businesses with limited budgets.
Overall, Paylocity stands out as a comprehensive HCM solution that integrates essential HR functions into a single platform, enhancing efficiency and employee engagement for mid-sized U.S. companies.
Paylocity’s HCM features are used by over 40,000 companies.
Pricing is customized based on the specific needs and size of the company. Interested organizations should contact Paylocity directly for a personalized quote.
Best For
Mid-sized U.S.-based companies seeking a unified HCM platform that integrates HR, payroll, and talent management to streamline operations and enhance employee engagement.
I used Paylocity every other day to view employee data, approve time-off requests, and track time. I used it biweekly to run payroll and yearly for bonus payouts. I also used it for each new hire to input their data. Additionally, we used it to assign required trainings to the team to ensure compliance with state regulations.
I like that it’s easy to use. Payroll is seamless and easy to submit. New hires are tracked well, and they integrate with payroll once hired. I also appreciate the training features and how easy it is to assign trainings to new hires and track current employees’ progress. It helps us stay compliant.
We decided to use Paylocity to run payroll after moving away from a PEO and bringing everything in-house. We needed a payroll system, and this one integrated easily within our company. We used it for payroll, performance tracking, and time-off tracking. It streamlined our operations, and we’ve been using it for these tasks.
One downside is their customer service, which takes longer to respond. Onboarding all the information at the beginning was somewhat confusing and took a while. Lastly, making changes to payroll sometimes required a lengthy process to resolve.
Paylocity excels in integrating with other systems. For example, they have DocuSign embedded in their platform, making it easy to send offer letters and employee agreements securely, which are then automatically loaded into the employee file. This seamless integration sets them apart from competitors.
Consider the number of employees you have. This system is great for smaller companies, but larger ones with over a few thousand employees might need a different payroll system. Also, consider which features you need. Do you want recruitment and training features, or are you focused solely on payroll? They offer a la carte options, but each comes with associated fees.
Paylocity has evolved by integrating with more systems, allowing for seamless workflows. As mentioned, they’ve embedded DocuSign, making document management more efficient. Over time, they’ve added features like training modules, expanding their library of available trainings to meet user needs.
Paylocity is great for smaller companies, probably under 2,000 employees. It’s ideal for organizations that value organized, easy-to-use systems. The platform’s efficiency and ease of navigation are definite perks.
Larger companies with over 2,000 employees may want to consider a different platform. Companies that don’t need extra tools like training modules might also prefer a simpler system. Additionally, if you need quick customer service responses, this tool might not be the best fit, as their response times can be slower.
Workforce
Workforce.com offers a flexible, all-in-one HCM system purpose-built for shift-based industries. Its deep integrations across scheduling, time tracking, and payroll stood out in our demo. We also liked how this platform helps streamline workforce operations while minimizing administrative overhead.
PROS
- Unified platform for scheduling, time tracking, HR, and payroll on one platform.
- AI-driven scheduling predicts labor needs from POS data and auto-builds cost-optimized schedules.
- Real-time labor tracking via live time clock feeds, wage variance reports, and shift ratings.
- Highly rated mobile app provides employees with access to schedules, pay stubs, time-off requests, and shift swaps.
- Industry-specific flexibility with tools for safety audits, certifications, and role-based compliance.
- Full-service, in-house payroll engine with tax filing and wage garnishment support.
- Centralized employee profiles housing HR data, documents, and compliance logs.
- Automated time-to-payroll workflows reduce manual intervention.
- Onboarding and offboarding steps are trackable, with document bundling and digital forms.
- Employee self-service tools (mobile and web) for leave requests, profile updates, and shift management.
CONS
- Not designed for enterprises with more than 2,500 employees.
- All-in-one positioning limits modular use, with no free trial available until speaking with a representative.
- Built primarily for shift-based environments, limited appeal for global/remote-first teams.
- No standalone access to payroll or HR modules.
- No free trial or sandbox access to test payroll workflows without speaking to a Workforce.com representative.
- Recruitment components are basic compared to specialized ATS systems.
- Their payroll system lacks international tax/localization support.
Workforce was originally a top-of-the-line workforce management tool, and that foundation is still its strongest point. We tested how the system connects scheduling with time and attendance, then flows directly into payroll without requiring data exports or third-party connectors. On par with some top names in this space, Workforce built every module in-house on a single codebase, ensuring tight data continuity.
The dashboard is command-center-like, with live shift statuses, wage variance reports, and schedule versus actual costs all surfaced immediately. There’s also a “Lightwave” live wage tracker that compares labor costs against forecasted revenue, which we know will be particularly useful if you’re in hospitality and retail environments.
A clear differentiator is the AI-based scheduling engine. Using sales or foot-traffic data from POS partners like ROLLER, Square, LightSpeed, and GoTab, the system builds labor-efficient schedules based on configurable productivity ratios (e.g., one staff member per $100 in sales).
Importantly, the payroll module is a native part of Workforce.com’s stack. In testing, once we approved a time card, the system automatically calculated wages, taxes, and deductions. It supports direct deposit and printed checks, and the system files and remits taxes on behalf of the employer. We especially liked that time card edits, certifications, and warnings are stored in a centralized employee profile for seven to ten years, so it’s safe to say it meets most retention policies.
Workforce.com also provides ATS and onboarding tools, but these are tightly integrated with the core platform. From our testing, they were not as robust as those found in Factorial and BambooHR. And since HR modules aren't offered independently, this could be a limitation for orgs seeking point solutions.
It’s a bit of a shame that Workforce doesn’t offer a self-signup free trial, which may deter certain budget-conscious teams. Further, if your SMB grows to over 2,500 employees, this platform may no longer accommodate your HR needs.
Domino’s Pizza, Altitude Trampoline Parks, Louisiana State University, Pinnacle Live, Cedartown Foods, Winnipeg Jets.
Workforce pricing ranges from $5 to $24 per employee per month.
Best For
For SMBs or mid-sized companies based in the U.S., Workforce offers a clean and focused way to manage performance cycles.
I used Workforce on a daily basis, as I was frequently fielding questions from employees and managers. The key workflows I used included time and attendance, fair work week compliance, predictable pay, onboarding, scheduling, and payroll.
These processes were streamlined through the platform, which reduced the need for manual interventions. Workforce allowed me to respond quickly to inquiries and resolve issues efficiently.
The ability to access all functions from a single interface significantly improved my productivity.
- Labor forecasting – Workforce has incorporated AI capabilities to assist with forecasting future labor needs.
- Onboarding – The entire process is paperless and can be completed prior to the employee’s first day of work.
- All-in-one – Everything from recruiting to benefits and payroll is integrated in one place.
My organization transitioned from Kronos to Workforce several years ago. Kronos created a lot of additional work, as we had to make manual entries.
Workforce solved this problem by providing crucial workflow connections throughout the applicant-to-employee process. It allows us to do everything from assigning attendance points to viewing paychecks and resolving payroll issues.
- Benefits – This module is helpful but the weakest on the platform; it's difficult to automate, resulting in frequent manual entries.
- Reporting – There are endless reporting options, but the inability to save templates requires generating a new report each time.
- System upgrades – These often occur during business hours, causing delays in processing critical actions.
Workforce ranks above several similar tools, as the all-in-one option is extremely beneficial for any HR department. I prefer having everything on one system instead of using multiple systems that do not communicate with each other.
Organizations should consider which key modules are required to function on a daily basis before making a purchase. Knowing this up front is important, as adding modules later can create instability in reporting and system performance. Ensuring compatibility with current workflows is also crucial for a smooth implementation.
Workforce has done a great job keeping up with technology advancements. The new AI feature for labor forecasting has been a significant improvement.
Workforce is ideal for any employer with at least 50 full-time employees.
Workforce is a very robust tool, so an organization with fewer than 15 employees may find it too costly for their needs.
BambooHR
We picked BambooHR for its flexibility, UX/UI, and reliability. It is a leading HR software suite with extensive HCM capabilities and also offers optional payroll services for US employees, effectively transforming it into a complete HRMS solution.
PROS
- Offers flexible pricing and customizable packages.
- User-friendly interface streamlines employee management for both employees and HR teams.
- Flexible packaging and custom pricing is the way they roll. You can pick out one or two packages and pick other modules as add-ons based on your needs.
- Very simple and straightforward tool, easy to use.
CONS
- Payroll limited to the U.S.-based workers.
- Support hours limited to U.S. time zones
- Some modules, including time and attendance, performance management, and surveys are available as add-ons with BambooHR.
- Payroll is only available for US-based employees
- Customer support is only offered during US business hours.
- Some modules like time tracking, performance management, and surveys are only available as add-ons.
BambooHR deserves a mention within the HCM space (in most HR tech categories, really), even though they can technically be either an HRIS or an HRMS, depending on the package and add-ons you pick.
Their HCM core features like benefit tracking, reporting, employee directory provide sufficient visibility for short and long-term decision making. Other HCM features like performance management and time tracking, however, are only offered as add-ons. This flexible packaging, however, is part of what makes BambooHR so popular among teams in all many sorts of industries. It’s a tool that can adapt to your evolving needs and there’s likely always something to discover.
Among the 20,000+ companies that use BambooHR, you’d find names like Quora, Universal Group, Reddit, Asana, Change.org, University of Maryland, Grammarly, Stance, Postmates, Wistia, the Jacksonville Jaguars, and ZipRecruiter.
Pricing is not disclosed upfront, but they do offer a free trial of their all-in-one software and then go out of their way to find a version that will suit you. Before they come up with a personalized quote that will align with your budget, however, they are also likely to extend your free trial upon request or even give you a free demo of the advanced features.
Best For
BambooHR can be an ideal choice for companies in search of a customizable HCM tool that provides pricing options that reflect their requirements. Additionally, it is well-regarded by teams that are partially or fully remote.
BambooHR supports the entire employment lifecycle. I use it to onboard employees, send important announcements, review performance, send out engagement surveys, run payroll, generate reports, share files and resources with employees, and offboard employees.
I use BambooHR almost daily to update employee information, track anniversaries and birthdays, and run reports. I also use it for bi-weekly payroll. I appreciate how easy BambooHR is to use and maintain.
I like that BambooHR is user-friendly. It offers good value for the money. It includes strong workflows and automation features.
My clients purchased BambooHR, and I use it daily as I support them with system management and general human resources. They needed a centralized place to store all people data and manage payroll. They also required an automated onboarding process with checklists and reminders.
I have used BambooHR for eight years, and I appreciate how user-friendly it is. BambooHR has allowed my clients to report on their dispersed workforces and share important documents and resources with employees within one system. It has also greatly improved both onboarding and offboarding.
Some integrations could be improved (e.g., enabling two-way data syncing rather than just one-way). Built-in scheduling functionality would be a helpful addition. I also recall the initial implementation being relatively expensive.
BambooHR is one of the most user-friendly tools in its category. You do not need to be an expert or complete extensive training to use it effectively. Training is available, though, for those who prefer structured learning over hands-on experience.
Buyers should consider how many employees they have and whether they are planning for rapid growth. They should assess their onboarding and payroll needs. BambooHR is a good fit for small to medium-sized businesses but may not be ideal for large enterprises.
BambooHR added payroll functionality a few years ago, which was a valuable improvement.
BambooHR works well for small to mid-sized businesses.
BambooHR is not well suited for large enterprise businesses.
Dayforce
Dayforce is a cloud HCM platform that efficiently handles the employee lifecycle end to end, including payroll, benefits, workforce management, and talent management.
PROS
CONS
Dayforce HCM consolidates data from all employee lifecycle stages, enabling informed decisions and data-driven insights. This comprehensive platform integrates HR, payroll, benefits, workforce management, and talent management. Notably, Dayforce features a flexible rules engine that handles intricate regulatory demands, delivering real-time updates and computation.
- Guitar Center
- Danone
- Spirit Aerosystems
- El Pollo Loco
- Crescent Bank
Pricing for the Dayforce HCM suite is not provided upfront.
Best For
Dayforce HCM is best for enterprises with over 1,000 employees.
Dayforce is a tool we rely on every day for our hourly employees in our plants. It serves as a convenient platform for them to log their time and manage their calendars. Each employee can easily input their time, authorize it, and save the entries without any hassle. What makes Dayforce even more impressive is its self-troubleshooting capability. If any issues arise, the system promptly identifies the problem and provides instructions on how to correct it. This feature is particularly valuable to us, as it eliminates the need for us to individually assist employees over the phone when they encounter time inputting issues. The timekeeping sheet functionality is the primary aspect of Dayforce that we heavily utilize and rely on.
I like the features of Dayforce Dayforce. It's a very user-friendly HR tool that our hourly employees can maneuver effortlessly. The system troubleshoots itself if there's an error.
Our organization was in need of a more user-friendly timekeeping software for our hourly employees located across various plants in our US campuses. We required a consistent payroll and time management system that could be seamlessly implemented across all offices. After exploring multiple HR tools, we ultimately chose Dayforce. The impressive functionality and user-friendly features of Dayforce caught our attention, allowing us to streamline timekeeping processes for all employees nationwide without any issues. Specifically, we opted for the Dayforce version, and the transition to this HR tool has been highly satisfactory. In fact, we have enthusiastically recommended it to several partners and clients who collaborate with our individual plants.
Occasionally, the troubleshooting function of Dayforce can be somewhat perplexing when attempting to identify the root cause of an issue. In the past, we have encountered login problems where employees have had difficulties logging in correctly. Another minor inconvenience we have noticed is that when inputting time, the screen does not automatically display the current day but rather defaults to the beginning of the month.
Dayforce stands out as a highly user-friendly timekeeping software compared to many of its competitors. What sets Dayforce apart is its exceptional customer service, with its team readily available to address any inquiries or issues that may arise. Personally, I have a strong preference for Dayforce over other alternatives we have tested primarily due to its superior functionality.
The primary factors that influence our purchasing decision are the user-friendly nature of the software and its comprehensive features related to timekeeping. Additionally, the troubleshooting function performs effectively, even when dealing with a large group of hourly employees simultaneously logging in.
While I'm not entirely certain, I don't recall the HR tool having the troubleshooting function from the beginning, but I could be mistaken. It appears that Dayforce recognized the importance of addressing the timekeeping challenges faced by larger companies operating on a nationwide scale. They dedicated efforts to meet the specific requirements of such corporations and enhance their capabilities to effectively manage timekeeping across the entire country.
I think it fits larger organizations best.
Maybe smaller companies due to its high monthly cost.
Criterion
Criterion helps midmarket orgs gain better control over their human capital by combining the entire talent lifecycle into a single interface: applicant tracking, onboarding, compensation, benefits, performance, and learning management. The HCM also has good scalability—it can accommodate well whether you have 200 or 5,000 staff.
PROS
- Flexible and reasonable pricing: starts at $4.50 per employee per month.
- All-in-one platform combining ATS, payroll, benefits, and learning management.
- Open API for app integrations.
- Native biometric check-in feature.
- Flexible and reasonable pricing: starts at $4.50 per employee per month.
- All-in-one platform combining ATS, payroll, benefits, and learning management.
- Open API for app integrations.
- Native biometric check-in feature.
CONS
- Mobile app users reported experiencing login issues and frequent crashes.
- There’s a steep learning curve for employer users.
- The implementation process can be lengthy.
- Mobile app users reported experiencing login issues and frequent crashes.
- There’s a steep learning curve for employer users.
- The implementation process can be lengthy.
Criterion satisfies every feature note we were hoping for in an enterprise-centric HCM. It covers talent acquisition, onboarding, attendance, benefits, compliance, communications, enrollments, payroll, and other HR tasks through a single central database. Thanks to this, finding employee information is quick and easy, and its ability to eliminate double data entry is just on par with other robust HCM listed in this buyer guide.
Two standout features of Criterion that receive lots of love from admin and employee users alike are its time tracking and payroll.
The time and attendance feature includes scheduling and labor tracking that can work for both on-site and remote hires. It also supports biometric check-ins where employees can clock in with a fingerprint—a huge plus for teams in environments like factories and warehouses.
As for payroll, Criterion has one-click integration with payroll systems and can process payroll and taxes quickly with minimal user input. Plus, the employee self-service portal that centralizes all communications between managers and staff regarding time tracking, PTO, and performance reviews is such a great element in driving better team collaboration and engagement.
Criterion offers a mobile app that allows workers to track their time on the go. However, it wasn’t as good as we expected, with system crashes and login issue loops happening here and there as we tested it out.
It’s no secret that Criterion is recognizable by its feature richness but not so much in appearance. The UI looks quite dated, and teams prioritizing simplicity over comprehensiveness may find this HCM’s layout a bit too information-heavy.
Owing to its extensive feature set and, especially, formula-driven configurations, employers may encounter some learning curves to get used to all the features Criterion offers. For the same reason, the time to get the software up and running is quite long, with implementation taking 2 to 6 months to finish.
500+ companies, including Scott Steel, Inflector, and Gordon College.
Criterion has three products you can buy separately or jointly: Human Resources costs $7.50 PEPM, Payroll costs $4.50 PEPM, and Talent Engagement costs $4.50 PEPM.
Best For
Criterion HCM is of great use to mid-sized and large enterprises (200 to 5,000 employees), North America-based preferable.
I used Criterion for one year. The key workflows we used included HR, payroll, recruiting, data, employee engagement, and more. HR included documentation, company information, benefits management, and workforce management tasks.
Recruiting included candidate pipelines and talent engagement, and onboarding was seamless since everything for recruiting and HR is in Criterion. Data and reporting were easy to generate and somewhat customizable.
I liked that you could pick and choose which solutions you wanted in your Criterion HCM. We selected every solution they offer ($35 per month per person), so we had a one-stop-shop/all-in-one solution, and at that price, it was a terrific value.
Not every person needed payroll, and not every person needed recruitment, so Criterion was very customizable. I liked that Criterion was simple and easy to use.
I used Criterion for one year. We bought it as an all-in-one solution for our HR needs. We were a small company that needed a simple solution to help with HR, payroll, recruitment, and data. Criterion is a clean, user-friendly platform. It is a great HCM for small companies and functions better than Workday.
If you are a larger company, Criterion is not robust enough. There was slowness in the payroll system, especially with timecards. There were glitches with the facial recognition feature when using timecards.
Criterion is different from its competitors because of the one-stop-shop/all-in-one solution it offers. Criterion HCM provides customizable solutions for the entire HR lifecycle, including recruitment, HR functions, and payroll. It has a great price point. Data and reporting are built-in, and you can create simple custom reports as well.
Small to medium-sized businesses, including startups, could successfully use Criterion HCM. It is affordable at $35 per month per employee (for the all-in-one solution), or cheaper for those who don't need every solution Criterion offers. Criterion is best for companies that want simple and seamless solutions, not complicated workflows or highly personalized requests.
The integrations and automations have improved. The ability to send product requests is a great option. Facial recognition for employee timecards has been added.
Small to mid-sized businesses, including startups and entrepreneurs will find Criterion a good fit.
Large companies or companies that need complex workflows won’t find Criterion robust enough.
Factorial
We picked Factorial for its balance of core HR depth and modular flexibility. It stands out for localized onboarding, AI-powered performance insights, and built-in employee finance tools, all of which are rare in SMB-focused HCM platforms.
PROS
- Offers a comprehensive HR operations suite, including time tracking, leave management, e-signatures, and self-service.
- Includes a built-in ATS with AI-powered resume screening and automated onboarding handoff.
- Supports structured performance reviews with AI insights, OKRs, and competency tracking.
- Enables localized onboarding workflows tailored to specific countries, states, or entities.
- Modular design allows companies to adopt features at their own pace as they grow.
- Finance tools, such as expense tracking and project time allocation, are included natively.
- Flexible pricing scheme
- Complete HR Suite + ATS
- Strong SMB focus
- Good UX/UI and frequently updated design
CONS
- Does not run payroll internally and requires exports to third-party systems.
- A free trial is only available after completing a sales demo.
- U.S.-based customers don’t have access to built-in rewards integrations for recognition.
- Some users have pointed out that the tools are not very customizable.
- Because it covers such a wide range of functions, we’ve found that modules like payroll and reporting could be further developed.
If your business is growing fast, especially across regions, and you want an HCM you won’t outgrow in six months, Factorial is well worth a look. We spent time testing this platform and came away impressed with how well it balances flexibility and functionality. While many SMB-focused tools prioritize either HR ops or performance features, Factorial delivers both in one clean, navigable interface.
When we walked through the platform, core HR features like time tracking, PTO requests, e-signatures, and employee self-service were easy to configure and felt polished. Everything lives inside a customizable employee profile, and we liked how simple it was to add new tabs or data fields without writing a single line of code. If you want to track onboarding status, salary history, completed courses, or whatever matters to your workflow, you can.
What really stood out was how harmoniously the system connects modules. After test-hiring someone through Factorial’s built-in ATS (which utilizes AI to screen resumes), we triggered a localized onboarding sequence with forms tailored to our test location; no manual routing was required. Performance tools followed a similar logic. We created a review cycle, sent out self and manager forms, and then reviewed the system’s AI-generated summary. We appreciated that it went beyond just offering the report, but also flagged where scores misaligned and suggested next steps, such as assigning a training course or creating a learning plan. For overwhelmed or first-time managers, that’s a real time-saver.
However, unlike Paylocity and Rippling, Factorial doesn’t run payroll internally. The system can calculate time worked, apply compensation changes, and generate clean exports, but you’ll still need to plug those into another system like ADP or QuickBooks. That’s fine if you’re already outsourcing payroll, but if you’re looking for a fully unified system, you might not be a fan of this approach.
We also found integration options to be less ideal. While offering over 80 native connections, Factorial has no direct sync with employee reward and recognition systems in the U.S. Lastly, although there’s a free trial offered, you can’t access it until after a live demo, which slows down hands-on evaluation.
Factorial HCM is used by over 13,000 companies worldwide.
Factorial HCM starts at $8/user/month.
Best For
Small and mid-market orgs scaling across regions, seeking a flexible HCM suite with strong operational tools and built-in growth paths.
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Deel
Deel stands out for offering a flexible, globally compliant HCM system that builds on its core strength in international payroll. It’s one of the few platforms designed from the ground up to support distributed, cross-border teams while enabling growing companies to scale from an HRIS to full HCM with optional add-ons.
PROS
- Manage all types of employees, including contractors and EORs, in 150+ countries.
- Advanced compensation, employee engagement, workforce planning, and learning are available as optional modules.
- Unified payroll and HR data dashboards support strategic workforce decisions.
- Robust workflow automations reinforce Deel’s compliance and reporting capabilities.
- Offers fast, localized support and compliance guidance in 100+ countries.
- Excellent 24/7 customer service with fast onboarding (2-3 days) and local payroll experts in each jurisdiction.
- Seamless integration with platforms like QuickBooks, BambooHR, and Greenhouse, plus custom integration options.
- User-friendly, self-service features enable quick setup; identity verification often takes under 24 hours.
- Automated invoices simplify payments, provided they're in English.
CONS
- HCM capabilities like workforce planning and career management are not included in base HRIS pricing.
- Designed for global teams, Deel may offer additional features that companies operating in a single country don't need.
- Performance and succession planning features are still evolving compared to legacy HCM suites.
- No trial or freemium tier available.
- Key features like onboarding automation are add-ons, which may increase costs.
- Limited flexibility in modifying contracts or service agreements; changes often require an addendum.
- Invoices cannot be generated in languages other than English.
We included Deel in this category because of its increasingly sophisticated approach to talent and workforce management, which are key functions of a proper HCM system. While Deel HRIS covers onboarding, time off, and compliance, what makes this platform worth considering as an HCM is its ability to evolve with your company's complexity: you can access strategic HR offerings like Workforce Planning and Career Management, and even layer in Deel’s payroll products for clearer visibility into workforce costs and planning—only when you’re ready.
During our latest evaluation, this platform impressed us with its ability to centralize the global workforce for contractors, EOR hires, and direct employees under one compliance-first umbrella. The fact that HR and finance teams can slice data by geography, department, or role and get real-time insights into headcount and costs makes it a practical fit for companies scaling globally.
Another thing we liked was the AI labor law assistant. It gave us fast, jurisdiction-specific answers to common compliance questions without having to ping legal. In testing, we found this helpful for quickly answering onboarding and tax questions, especially in new markets. We also appreciated the intuitive layout and self-serve design, which felt welcoming for both HR and non-HR users.
That said, Deel’s HCM experience is still maturing. Strategic features such as succession planning and learning management are limited compared to the legacy HCM suites we’ve featured in this guide. And while the modular pricing is flexible, it can feel quite pricey if you suddenly need multiple upgrades. Also, U.S.-based companies that don’t hire internationally will likely find Deel overbuilt for their needs.
Serving over 35,000 companies globally, including Makerpad, Andela, and Brex.
Deel provides an HRIS platform for $5 per employee/month, which can be combined with add-on tools like Workforce Planning ($18 per user/month) and Career Management ($20 per user/month) to form a comprehensive HCM solution. Additionally, Deel offers contractor, payroll, and EOR services at separate rates.
Best For
Deel is best for remote-first and globally distributed companies looking for an HCM that can evolve with their needs.
Oracle
Oracle is one of the top names in IT. Their HCM is popular among enterprises with more than 1,000 employees and boasted for its implementation and CS practices.
PROS
CONS
Oracle’s HCM suite is built for the cloud and made for connecting every single HR process. It’s good for teams looking to have a single source of truth for HR data in order to improve decision making. Their product includes talent management, recruiting, workforce management, payroll, and HCM analytics. The interface is not the best-looking out there and UX can be frustrating for employees and HR alike, but they're still one of the top choices for large scale implementations.
- Axa
- Blackboard
- Deutsche Bahn
- Marriott, Cisco
Oracle doesn’t provide pricing details for their HCM upfront. To get a quote, you’d have to request a demo, but they also offer interactive product tours that you can take before chatting to a sales rep.
Best For
Enterprises with over 1,000 employees in most parts of the world.
As an HR business partner, I used Oracle to manage employee employment information from hire to post-employment with the company. It was our system of record for employees. For the organizations I supported, I was in Oracle every day, managing changes. Once employees were hired from our recruiting system, they were integrated into Oracle so they could be managed from an HCM perspective. For example, from what department they reported to, any job code changes they had, or changes in seniority and pay, I would make appropriate updates. I would enter changes in the system on behalf of management and ensure accuracy.
There were several things I appreciated about Oracle. One attribute I appreciated was the simplicity of display on each page. There was not too much to sort through on each page that would distract or confuse me about what I needed to review or change. Another aspect I appreciated was the processing of transactions. The forms were simple, so processing was simple, and transactions would very rarely get "stuck" waiting on a particular user's approval the way it was implemented in our company. Lastly, I appreciate how the system would load quickly, and rarely was the system down, disrupting or delaying HR processes that needed to happen in a timely manner.
I worked for a Fortune 500 company that purchased Oracle PeopleSoft for their HCM software. I had used it for approximately seven years during my time there as the HRIS/HRMS system. My company purchased Oracle PeopleSoft with the intention to manage all People transactions, from pay, transfers, and all job-related information, in a timely and efficient manner. When you are managing tens of thousands of employees' data quality, ease of use and efficiency are key. The benefit of this system was having most of our employee data in one place for HR to manage employee information for the duration of the employee lifecycle.
There were a few things I disliked about the version of Oracle we had. It was limited to HR professionals to make changes to employees. For example, if HR was on training or vacation, managers were unable to make changes such as temporary upgrades or transfers. A second limiting factor was the lack of help tests. Without someone training you, you might not know how to navigate to the correct form you need. Lastly, Oracle seemed limited in its configurability options, so we had to use outside systems to manage all our HR processes (such as performance management ATS (recruiting)).
Oracle seems pretty antiquated to me and lags a bit behind the competition. While most HCM software is constantly evolving, the version of Oracle I used seemed to be a bit behind the competition. If I were deciding between various HCM systems, I would certainly add Oracle to my list to consider and compare for my needs, but I'm not sure it would make it to the top of the list for what we need.
There are a lot of criteria people should think about when purchasing human capital software. Cost, features, useability, tech support, and configurability are at the top of mind when considering unique business needs.
During the seven years I used Oracle at my company, I did not see much evolution. It remained pretty stable and served its purpose for that time.
I would say Oracle is a good fit for mid-sized organizations that are pretty stable (not in a high growth stage) and don't need a lot of customer support or configuration.
Oracle would not be a good fit for a large organization that is growing, has unique employee pay structures, is complex, and needs user security profile customization.
Rippling
Rippling is a prominent platform for HCM. And more than that, it gives growing teams flexibility in their shopping. All Rippling modules — applicant tracking, onboarding, self-service, payroll, benefits, time tracking, training, engagement, and reporting — can be purchased according to customers’ needs.
PROS
- Rippling offers a full-feature HCM with great automation support.
- Payroll automatically updates work hours, deductions, and tax filings.
- Supports both US and global payroll.
- Strong integration capabilities (500 third-party apps).
- The Benefits module enables users to collaborate with their preferred broker.
- Provides a mobile app.
- Modules can be purchased separately or wholly as a full suite.
- All-in-one platform for employee management + PEO services offered, and even a suite of other IT products
- With 500 integrations, it’s very likely that they integrate with other key tools from your tech stack.
- Operates globally with any currency
- Workflow automation
- Analytics opportunities
- Provides a holistic view of company outflows—headcount costs included
CONS
- No payroll automation
- There’s no free trial, not a tool for tight budgets
- Telephone support is an added fee
- Not a great fit for teams greater than 2,000
- The mobile app can be slow and doesn’t perform as well as the web browser version.
- Total buy-in to Rippling is essential
- Very SMB-oriented, in case you’re a larger company.
- New features tend to be buggy in ways that tech teams are not accustomed to fixing
Rippling stands out as a strong HCM platform, providing a complete cycle of human capital management functions, encompassing acquisition, management, and optimization.
The features are rich in automation and customization, while the UI maintains a clean look that soothes the eyes. We’re surprised at how fast the solution has evolved since it started the business back in 2016.
Integration capabilities are a standout feature for Rippling, with over 500 software solutions connected across various categories. The self-service feature empowers employees to manage onboarding, benefits, compensation, and personal information through mobile accessibility.
Furthermore, Rippling has taken good care of workforce management and optimization, offering US and global payroll automation for faster payroll processing. Running payroll for employees and contractors is quick, taking only a few minutes. The synchronization between the time tracking app and payment app ensures accurate work hours, deductions, and tax filing. Additionally, the benefits administration tool offers flexibility, allowing us to select our preferred broker and choose from 4,000 plans.
However, we expected more accessible customer service, as Rippling doesn’t offer 24/7 support, and phone consultations come at an additional cost. Additionally, the requirement to purchase the Rippling Unity module to access other modules limits flexibility.
Vox, Maximum Games, Superhuman, Compass Coffee, Highnoon.
Rippling pricing starts at $8 per employee per month. Contact the Sales rep for more info.
Best For
Rippling is a powerful HCM for both US-based and international teams to manage their workforce. With its current feature set, the ideal team size is from 50 to 2,000 team members.
When I was using Rippling, I used it daily. Employees interacted with Rippling tools and features from their hiring date. From signing forms to background checks and benefit enrollment, Rippling handled multiple onboarding tasks.
When an employee was terminated, this also triggered specific actions in Rippling. A helpful feature was Rippling’s ability to assist with state-based tax rules. Leave management was also streamlined through Rippling.
Leave management and payroll functions made Rippling’s cost worthwhile. Hiring administrators for those functions would have been more expensive. I-9 and W-4 compliance became a much easier process and saved time and effort.
Rippling also offered background checking, training reminders, and anniversary reminders, which helped improve employee satisfaction.
My former company used Rippling for about three years, and I used it for one year. Rippling provided a solution for streamlining payroll and onboarding processes. The main attraction was that it replaced several software tools that were previously used.
The integration into the work cycle was easy and user-friendly. The automation and consolidation of systems eased the burden on different departments that needed to stay in constant communication.
Some of the workflows were not intuitive and were complex to set up. While the cost was reasonable at the time, it has been rising. Support tickets did not always receive fast responses.
Many departments could use Rippling. Most competitors only offer payroll or HR solutions.
Compare the cost of Rippling to the cost of hiring individuals to perform each function manually. Consider the organization’s overall goals. If the goal is to integrate departments and streamline processes, Rippling is a strong option.
Customization has improved and is helpful.
A large workplace. A small or midsized company may not find Rippling worth the cost.
A fully international company could struggle with using Rippling.
WorkDay
Workday is a popular HRMS solution, primarily targeting enterprises. It offers a centralized source for managing workforce administration, engagement, compensation, and benefits data across various worker types. This includes contingent workers, employees, contractors, and retirees, making it a comprehensive solution for all aspects of workforce management.
PROS
- Workday process flows are easily adjustable to conform to global and local needs.
- Self-service is available for both employees and managers.
- AI-driven assistance for detecting skills gaps.
- Mobile apps...
- Offers phone, email, community, and live chat support.
- Complies with the General Data Protection Regulation (GDPR) and includes a robust, configurable security model.
- Accessible customer support from the community, live chat, and telephone.
- Compatible with 300 HR systems such as ERP/GL, CRM, HR, and PSA.
- Configurable dashboard with AI and ML-driven insights.
- Ability to maintain real-time alignment of budgets and workforce plans.
- SOC 2 Type 2 compliance.
CONS
- Not transparent with pricing.
- No free trial is available.
- Long implementation process (4.5 months on average).
- Navigation for beginners can be confusing and may need training to understand all features.
- Mobile apps aren't very user-friendly.
- Undisclosed pricing.
- No free trial for its talent management software.
- Time-consuming implementation period (average 4.5 months).
- Challenge navigating for first-time users may require training.
- Issues with logging in were reported by users.
Workday excels at personalization by tailoring recommendations, tasks, and search results to individual users based on their roles.
Other aspects of the business processes functionality stand out, too, especially for multinational businesses. WorkDay helps teams achieve operational consistency while also allowing customization of workflows for specific location requirements.
The platform also offers performance assessment capabilities that provide visibility into the workforce's current capabilities. This enables swift identification of skills gaps and facilitates prompt action in sourcing and training internal talent development.
Despite its popularity with larger organizations, Workday's mobile app underperforms compared to the software itself. Users report issues with the time clock system, frequent crashing, and sign-in problems on both Android and iOS platforms.
Additionally, the implementation process for Workday's HCM can be time-consuming, averaging around 4.5 months, and involving multiple individuals and departments.
Quicken Loans, AstraZeneca, Target, Dell, Bank of America.
Workday pricing is undisclosed on the website. You need to contact Sales for a quote.
Best For
Workday is awesome for large enterprises with multiple branches that are looking for an inclusive HCM solution that is scalable and with great reporting capabilities.
The key workflows that we use Workday for include employee electronic files, running reports, keeping attendance, performance processes. We have over 320,000 employees and the employee electronic file needed to be customized to our needs. Certain elements such as the performance of an employee, rehire status, offer letter, and other employee related data needed to be located in one place. Strategic reports such as location data, performance trends, flight delays and hundreds of other reports are neatly stored. Attendance is vital, this feature is important in keeping up with vacation time used, earned, and sold. The connection between the time clock and Workday saves the company money because of its ability to cross check automatically.
I love that Workday is set up to have administrators who cross check local changes, hold all employee data, keep historical data and maintain who made changes in the employee file. The cross checking minimizes mistakes that can’t be figured out except by a manager who no longer works for the company! With such a large employee base, the ability to be able to keep up with everyone is paramount.
My company was really trying to get organized, and we felt that Workday was the ideal product we needed! We needed to be in a position where different individuals could access employee files. Different authorizations needed to be granted to different levels of managers. This tool offered organization and a tremendous amount of adaptation to what we needed as a global company. We have had Workday for three years and we are super happy with it!
The cons of Workday are that it can only give the information that you input into the system. Workday does not blend reports; the user has to tell Workday what to do. The best way for the Workday system to improve I think is for back office imaging to have a more active role in the information that is programmed into Workday.
Workday is different from its competitors because it has the ability to build files. As technology changes any software that is going to remain effective has to have a stacking component.
For anyone considering to purchase Workday, i’d recommend having full time programmers to enhance the core of the software. This product is extremely sophisticated and requires a lot of programming. Workday is not for the small business!
Workday is fantastic because the software is forever evolving. Workday knows what the end user wants and that is the ability to export files to excel, and add and subtract components to create a more accurate document.
Workday is designed for very large companies that survive off of statistics. Workday's strong suit is its ability to build on other reports.
Small businesses
Paycor
Paycor is an HCM system that offers a wide range of features, including payroll, time tracking, benefits administration, and employee self-service. The software is designed for small and medium-sized teams to streamline their HR processes and improve employee engagement.
PROS
- Paycor has a robust payroll solution that is easy to navigate.
- User-friendly employee self-service portal.
- Has multiple plans for small businesses and custom plans for teams with 50-1000 employees.
- Often runs discount programs.
- Works well on both Android and iOS devices.
- Is acquiring the people development platform Verb to strengthen its learning management system.
- Paycor payroll solution and mobile app are both straightforward to use.
- Intuitive self-service employee portal.
- Offers multiple modules for small businesses and custom plans for teams with 50-1000 employees.
- Unlimited payrolls.
- Offers discounts frequently. Though not listed on their site, a free trial is available to those who contact the support team directly.
- On-demand pay is available for all plans.
- With the acquisition of the people development platform Verb, it has improved its employee learning experience.
CONS
- Lacks transparent pricing.
- Customer support isn’t very responsive.
- Not the right choice for businesses with 1000+ employees or require advanced customization.
- Undisclosed pricing.
- Customer support is reported to be slow at times.
- It is not a good fit for teams with 1000+ employees or those requiring advanced customization to meet their unique requirements.
Paycor is easy to use and can be customized to meet the needs of businesses with 2 to 1,000 headcounts. The software also offers a variety of payroll and HR features, such as ledger integration, AutoRun, direct deposit, on-demand pay, tax withholding, and reporting tools.
Paycor's employee self-service portal allows employees to access their pay stubs, timesheets, and benefits. Employees can also change their contact and banking info. Through Paycor, employees can finish onboarding paperwork online, choose the benefits package and payment methods, and update their information as needed. Moreover: all of this can be done from the app.
In May 2023, the software just rolled out a new feature named PayCor Engage on its mobile application. This newly launched feature allows employees and employers to interact with each other on the app, which is a massive benefit for engagement and transparency, especially for remote employees.
Paycor has also just acquired the people development platform Verb. We hope that with this acquisition, there will be an uptick in customer service and reporting quality in addition to improving its employee learning functionality.
Regarding Paycor’s downsides, we have heard some users complaining that the support team can be hard to contact at times. As for reporting and analytics features, Paycor charges extra for some custom reports, which are, unfortunately, less intuitive than one would hope.
Wendy’s, McDonald’s, Detroit Zoo, The Cincinnati Bengals, The YMCA.
Paycor pricing varies and depends on your team size and the modules you select.
Best For
SMBs looking for an HCM with flexibility and strong payroll capability will benefit most from Paycor.
We used Paycor mainly for payroll processing. It worked well for our US employees, but we could not get it to work for our expatriate employees from Germany. It made running payroll fast. The worksheets for entering payroll were easy to follow, and I liked how we could see the total before hitting submit. The benefits feed was also easy to understand.
The worksheets were easy to use and understand. The reports were clear and well organized. Running hourly payroll was time-efficient.
My organization bought Paycor when we were looking for a PEO company. We were looking for something that could handle most HR tasks (payroll, benefits, and compliance reporting). The additional employee tracking was beneficial.
We used Paycor for about five months during our start-up phase. We moved away from Paycor when we found a boutique PEO that better fit our organizational needs.
There was a disconnect with running expatriate payroll. We had consistent errors. It was difficult to get timely feedback and responses.
Paycor was similar to others that we used, and I did not see substantial differences between them. I prefer the current PEO company mainly for the customer service aspect.
Paycor would work better for local employees. If you are dealing with international employees, I would look for a better option that specializes in handling expatriates.
I’m not sure how the tool changed or evolved over time.
Small, local organizations can benefit from Paycor.
International organizations with thousands of employees may not find Paycor helpful.
SAP SuccessFactors
SAP SuccessFactors is one of the big names in HCM. They’re currently pushing the boundaries of the category itself, calling their product an HXM suite, for Human Experience Management.
PROS
CONS
SAP is trying to transform traditional human capital management into a more employee-oriented endeavor. Through their HXM, they are trying to put the worker’s experience as the main focus of the way companies engage with their people. Their product helps HR managers deliver experiences that resonate with employees while shaping their strategy.
One thing to consider is that SAP, like many of the biggest companies doing HCM products, has been criticized for having a frustrating user experience. With their shift towards being an HXM, however, it looks like they're tackling that issue and moving in the right direction.
- American Airlines
- Ernst & Young
- Hero Group
- Terex
- Watco Companies
Pricing for SAP’s HXM suite is only available upon request.
Best For
Enterprises looking to improve UX
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UKG
UKG is the merger of Ultimate Software and Kronos. As such, it brings over 70 years of experience with People tech into the HCM space. Ultipro became UKG Pro, their feature-rich HRMS, packing features like performance and time & attendance management.
PROS
- UKG is a robust product with extensive experience in HCM and Workforce Management technology.
- UKG includes UKG Pro for HRMS and UKG Ready for workforce management, providing a comprehensive set of tools to address various HR needs.
- Administrators can customize user visibility within the system through configurability.
- The Ultimate Community provides valuable on-demand information and fosters networking among UKG Pro users.
- It offers an iOS app and an Android app for employees.
- Super robust product, packing years of experience with HCM and Workforce Management technology
- Since they offer UKG Pro for HRMS and UKG Ready for workforce management, you could arrive at a combination of products that suits many of your HR needs from the same set of tools.
CONS
- Lacks a unique selling point or specific focus on niche businesses compared to newer tools, making it more suitable for larger companies.
- Users report ongoing issues with logging in to the Android app.
- Can be pricey for budget-minded companies.
- Compared to newer tools, UKG Pro and UKG Ready tend to miss a unique selling point or a specific focus on a certain type of business. While they work great for bigger companies in all sorts of industries, very niche operations might have a hard time adapting to the tool.
- Similarly, UKG offers many solutions under one umbrella, so it's not the best fit if you're looking for only a handful of specific use cases.
UKG, born from the merger of Ultimate Software and Kronos, delivers a wealth of features designed to meet the needs of enterprise-size teams.
One of the standout qualities of UKG is its ability to handle multiple aspects of employee management. From hiring and onboarding to performance management and succession planning, this platform provides a holistic solution for HR needs.
Drawing on over 70 years of combined experience in people tech, UKG brings a robust and extensive set of capabilities to the table. The fusion of Ultimate Software's UltiPro and Kronos' workforce management expertise has resulted in UKG Pro. This powerful HCM tool offers performance management and time and attendance tracking features.
UKG also provides UKG Ready, derived from Kronos, which enables functions like time and attendance, scheduling, and Affordable Care Act (ACA) compliance. This comprehensive approach eliminates the need for multiple tools and offers a unified experience.
While UKG has many strengths, we did notice a few drawbacks. The platform may not have a distinct selling point or a specific focus on niche businesses compared to newer, more specialized tools available in the market.
Furthermore, there have been reports of login issues with the Android app, which can be frustrating for users needing easy access to information.
Pricing is another aspect that requires careful consideration. UKG may be out of range for organizations with limited budgets. According to our research, licenses generally start at around $600.00 per year for every 5 users.
Tesla, Marriott, Yamaha, Aramark, Puma, Sony Music, Samsung.
- Pricing for UKG is not provided on their website.
- Typically, pricing is based on a per-employee-per-month model, with options for annual or monthly billing.
- To obtain an accurate quote, it is necessary to contact a sales representative. But based on our research, licenses generally start at around $600.00 per year for every 5 users.
Best For
UKG is an excellent HCM solution for companies operating in the Americas, EMEA, and Asia/Pacific regions, ideally with a minimum employee count of at least 7. UKG Pro can cater to companies with 75-500 employees, while UKG Ready is for companies with a headcount of 500 and beyond.
I use UKG daily. It is used for performance reviews and performance improvement plans. Grievances and corrective actions are tracked in the system. UKG provides a way to send out employee communications or policies and then obtain employee certification that they have read and understood them. The survey tool is beneficial for targeted or company-wide surveys as well as exit interviews. The ticketing system is used to address any related questions or needs.
I appreciate how easy it is to complete the I-9 verification process through UKG. Employee communications are streamlined and can be sent to targeted audiences using employee attributes. The survey tool comes with survey templates that are easy to modify for our needs.
It was important to have a tool that could easily allow us to conduct and track performance reviews, manage employee grievances or corrective actions, collect and submit government-required information (EEOC), automate onboarding, and conduct I-9 verification. We lacked a way to track HR-related requests, identify who was responsible for addressing them, and monitor how long it took HR to respond. We did not have an easy way to track or schedule people-related communications. Our employees had to go to multiple areas to access people-related information. UKG addressed all of these needs and more. I have used UKG for more than a year now.
It is not easy to modify certain areas of UKG to fit our needs. UKG is designed to be very standardized and somewhat basic, which can be a problem for companies that need a more agile system. The survey tool is a bit clunky, and the data reporting is harder than I would like it to be. Reports from the system in general are difficult to run. Responses to issues or needs are sometimes lacking.
UKG is a great mid-range tool. It provides enough flexibility and automation to be helpful but isn’t overwhelming in its offerings either.
Evaluate what systems you wish to link to UKG. Some of these are easy and some are not. Make sure you understand your HR workflows and the gaps you’re trying to fill. This will make the startup process with UKG much smoother.
We are relatively new in our use of the tool, so its evolution over time is not yet obvious.
UKG is perfect for small, medium, or large organizations that would benefit from automation, templates, and a ticketing system.
UKG would likely be too robust for very small organizations or those that do not have an established HR department.
Sage People
Sage People offers a scalableHCM cloud solution, covering the entire HR process and delivering real-time actionable HR analytics. With customizable dashboards, users can create recruitment plans and delve into metrics such as attrition and time-to-hire.
PROS
- Good range of workflows for globally-distributed teams
- Lots of local expertise from payroll and compliance consultants
- Good range of workflows for globally-distributed teams
- Lots of local expertise from payroll and compliance consultants
CONS
- Integrations offerings are somewhat limited
- Some users report the mobile app lacks core functionalities
- Not many integrations
- Some users have found the mobile app to lack core functionalities
Sage People is a customizable HR suite with HCM capabilities. It’s a great option for companies in the small to medium enterprise range (150 - 5k employees) that have a global presence. It’s a very broad product that also integrates with the rest of Sage's ERP suite, which includes tools for finance, accounting, business management, and more.
CRU, Lovehoney, Showbrook Bank, Enigma Industrial Services
While the pricing for Sage People isn't disclosed, you can take an interactive tour and see the tool for yourself. Afterwards, you can get in touch with their team to get a customized quote.
Best For
SMBs with a distributed team, especially those that use Salesforce. Also medium enterprises with a global workforce.
Sage is used as the main HRIS for company recordkeeping and daily updates. It also serves as the payroll provider, assisting with regular rate of pay and overtime calculations. We have used it for Workers' Comp billing and valuation as well.
It is extremely helpful in our recruitment needs by keeping everyone on task during the hiring process. It is also a strong onboarding tool that simplifies the process for both new employees and the HR staff.
I like the management tools. I like the feel and workflow of the product. I also like the overall aesthetics.
We chose Sage People for a client of ours. Our client had 250 employees and limited HR personnel. They needed simple solutions, extensive reporting, and ease of use for weekly payroll and recordkeeping. Sage People provided easy ways to manage the volume of work the company generated in HR, making it possible for just two people to handle.
The first thing I noticed is that it has issues linking to other applications. Bridges were sometimes needed when this should not have been necessary. The system can be clunky at times and hard to maneuver. It would be easier to navigate and resolve issues if many areas were not so unnecessarily complicated.
Sage is much more comprehensive than most payroll and HRIS systems. You get more value for your investment, including customizations that improve the program's utility.
Consider what type of management tools you want readily available. Identify who will be using the system and for what purposes. If you have unique needs, Sage is a strong option because their integration teams can help customize the program to better align with your business model.
I remember this program in its early stages, and it has become much more intuitive and robust. Over the years, Sage has incorporated feedback from various companies and industries to evolve into a viable solution that nearly any organization can use.
Sage is well-suited for management-minded users and employers focused on compliance with payroll laws and regulations. It also works well for companies that prioritize accuracy and need access to customizable reporting.
Small companies. The complexity and cost make Sage impractical for organizations with limited HR needs.
Pitfalls of Buying Human Capital Management Software
When in the market for an HCM, the main thing you want to watch out for is picking a system that actually delivers on the practices that define human capital management. Unfortunately, HCM is little more than a buzzword for some people, to the point that they’ll throw the term here and there even if they don’t really have a product that addresses those requirements.
So how do you make sure that you’ll get what you need? If we take a tip from ADP’s 10 tips for evaluating HCM systems, the best bet is to identify your future HCM requirements first. This entails defining what you want to accomplish in terms of employee management and HR functions, and understanding how this may be underserved right now by current tech stack.
In other words, narrowing down what you expect from the tool and understanding whether it’s an HCM suite you need or just a regular HR management tool. The two tend to be confused with each other, and there are times where you could get the exact functionality you need from core HR software and spend less; even if you need to get additional tools, such as an applicant tracking system or a payroll management tool.
How are Most HCM Solutions Priced?
The thing with almost every HCM solution is that they’re built for the enterprise sector. Some of them are certainly made to accommodate SMBs, or any sort of organization size, but even in those cases, pricing is rarely discussed up front.
The reason for this, like with a lot of SaaS tools, is that costs can vary widely depending on the actual size of your business (however big) and the needs you’re looking to cover. For instance, some vendors will have a Core HR product that is priced per employee per month, and separately-priced modules for more particular necessities like benefits management and employee experience.
Key HCM Software Features
In order to build a list of requirements and use it effectively to evaluate vendors, it will help to know which are the key HCM software features and how these can support your goals.
As mentioned at the beginning of this article, human capital management software is implemented in three categories; workforce acquisition, workforce management, and workforce optimization. We’ll look at the key features from each category:
- Workforce Acquisition: This part of HCM is concerned with managing applicant tracking, recruitment, onboarding, and pretty much every early stage of the employee lifecycle. For modern tools, it should also include employee self-service so you know the recruitment and onboarding process can be expedited.
- Workforce Management: Although sometimes a category of its own, for the purposes of HCM, this is the tier where we could consider all the core HR tools. These include the daily administrative work of the HR department, such as payroll, benefits administration, leave and absence management, time tracking, and an HR service center. For features in this category, you should look mainly towards automation and efficiency.
- Workforce Optimization: This is where the ‘workforce as competitive advantage’ part of HCM really finds its momentum. Optimizing the workforce to align with business goals includes performance management, workforce planning, training & learning management, employee engagement, and reporting & analytics. This category is all about generating actionable insights that let you use data in your decision making and make sure that HR is doing its part in steering the workforce in the proper direction.
Questions to Keep in Mind when Demoing HCM Software
As you start demoing various HCM software solutions, it’s important to prepare and attend these meetings with some questions already in mind. These inquiries should aim at answering whether the solution in question will indeed address the main use cases and core needs that you’re looking for.
Of course, the most concerning of these questions shouldn’t be saved for the demo at all, but rather handled prior, through an email thread for instance, so you won’t waste time on a demo if X or Y solution turns out to be incompatible with your core needs.
Further, the demo should also help check certain boxes that your internal stakeholders care about, such as integrations, security, data management, self-service portals, features, etc.
You should write down a list of those questions, share it with your team, and maybe have stakeholders add to it as well. While that list will be unique, here are some common questions when demoing an HCM that should help get you started:
- What integrations are key to us? Does it integrate with ATS/payroll system/any other systems you might have that impact workforce management?
- Does this solution have SSO capabilities?
- Are there multiple authorization levels for different types of users?
- Is there a maximum number of employees it will support across the workforce?
- What types of reporting capabilities does it have?
- Does it include features to help HR communicate with employees (i.e. mass emails, filtering messages by criteria)?
- What kind of tasks can we automate or streamline with this tool? How many man hours can we expect to save doing so?
- How much technical training will be required?
- What kinds of technical support are provided?
- What recruiting capabilities are built-in?
- Which HR processes will be automated?
- How will information be exchanged with carriers (for employee benefits)?
- Does it accommodate benefits carriers’ rules?
- How can we import employee data into this system? (API, Excel spreadsheets, employee records, other databases, and paper documents)
- What built-in security measures does it contain?
- Does your solution feature pandemic-related tools like a vaccine management system?
FAQs on buying HCM software
Moving on, here are some of the most frequently asked questions from HR professionals when it comes to human capital management software:
What is the best HCM system?
While some of the top vendors in HCM software are Workday, SAP SuccessFactors, ADP Workforce, and UKG, “the best” is really a matter of your business size and requirements. There are many HCM vendors, out of which there are likely 1-2 that will align perfectly with what you’re looking for.
What is the difference between HCM, HRMS, and HRIS?
The main difference between HRIS, HRMS, and HCM is that the former two refer to a specific type of software, systems of information, as their names imply (human resource information system and human resource management systems). HCM, on the other hand, stands for human capital management. This is a set of business practices around the acquisition, management, and optimization of a business’s workforce.
What is HCM software?
HCM software is a software tool that takes most features that you would expect out of a labor management platform, but builds it purposefully for the business practices that encompass human capital management. This software puts together widely-varying features such as workforce planning, performance reviews, and employee onboarding in a single management platform where they can all help to generate insights that drive broader business decision making.
Why do definitions of HCM, HRMS, and HRIS vary so much?
This is a good question precisely because the definition of each term varies widely from vendor to vendor, and among HR professionals as well. That being said, the differences between each software category are all about features and use cases. Most thought leadership indicates that HRIS is the most circumscribed type of solution, focusing on core HR needs. HRMS takes it up a notch in features, while still sticking to HR use cases, and HCM is about rounding up all those features with strategic planning for the business in mind, with the workforce as the main component to analyze and optimize.
Last Advice on Buying HCM software
To wrap this up, we’ll assume that you’ve read everything above and have a couple of vendors in mind to reach out to and book a demo. To send you off to this part of the buying process, there’s one last piece of advice that can help a great deal when evaluating HCM software providers.
These demos should revolve around your HCM requirements, and you should try to avoid having one-size-fits-all demonstrations whenever possible. To do this, share your list of requirements and questions beforehand, asking them to show that specific functionality. Since reporting is such a big part of human capital management, you could even give them data for them to run into the system.
This way, you and your team will get to truly see how much of a fit the tool is for you, as well as gauging for factors like intuitiveness and overall user experience. Couple this guide with resources like our very own HR & recruitment software buying organizer, and you’ll be on your way to find the perfect platform for your HCM needs.
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