As we move through 2024, technology is playing a bigger role in business than ever before. Remote work, AI, and decisions based on data have become the standard.
This makes having reliable HCM (Human Capital Management) software essential, not just a bonus. It helps make HR tasks easier, improves efficiency, and keeps businesses competitive in this fast-paced world.
Today’s workplaces are full of challenges for HR professionals. Besides hiring, keeping, and developing talented employees, they also need to follow legal rules and meet regulatory requirements.
In this blog, we’ll look at the top 10 HCM software for 2024, discussing their features, benefits, and real-life uses. Our goal is to help you choose the right HCM software for your organization, giving you the tools needed to succeed in this fast-changing field.
Best HCM Software of 2024:
1. UKG Pro: Businesses looking to leverage AI and advanced analytics.
2. Adrenalin: Businesses looking to automate HR task and improve employee performance
3. Cornerstone: Organizations that prioritize employee learning and development.
4. Zoho Recruit: Ideal for small and medium-sized businesses seeking an affordable solution.
5. Peoples HR: PeoplesHR is ideal for SMBs seeking a comprehensive, user-friendly HR solution.
6. Workday: Large enterprises are looking for a robust HCM solution.
7. SAP Success Factors: Large, global enterprises that require a comprehensive HCM solution.
8. Oracle HCM Cloud: Enterprises with complex HR processes.
9. Rippling: Businesses that want to streamline HR and IT processes.
10. Talent OZ: Companies that want an easy-to-use HR system to hire, onboard, and manage employees.
Table of contents
What is HCM Software?
Human Capital Management (HCM) refers to the strategies companies use to manage their workforce, aiming to boost productivity, retain employees, and increase engagement.
HCM Software, also known as HRIS (Human Resources Information System) or HRMS (Human Resources Management System), is a digital tool that helps HR and managers oversee the entire journey of an employee from hiring to retirement.
This software can include various features like resource management, learning and development tools, change management, workforce automation, and other applications designed to help businesses manage their employees effectively.
What’s the Difference Between HCM and HRM Software?
While HCM (Human Capital Management) and HRM (Human Resource Management) software manage organizational resources, they are not the same.
HRM software primarily focuses on managing and organizing daily HR tasks, like payroll, attendance, and employee records.
HCM software goes beyond daily tasks by also supporting the strategic aspects of workforce management.
This includes areas like organizational development, change management, employee engagement, and leadership development. Essentially, HCM software helps align your HR activities with broader business goals.
We can think of HCM software and HRMS software as being on the spectrum. HCM software is positioned on the left side, focusing on strategic workforce management, while HRM software is on the right side, supporting more operational tasks.
What are the Benefits of HCM Software?
1. Improving Employee Engagement:
HCM software improves engagement with tools like pulse surveys and recognition programs. It helps identify at-risk employees and take action to retain them.
2. Analyzing Employee Efficiency:
It tracks employee productivity, giving insights into which areas need improvement. Managers can use this data to optimize processes and plan future workforce needs.
3. Increasing Learning and Development:
HCM software supports career growth by tracking training and development. It helps employees find opportunities for learning, improving retention and growth.
How to Choose the Best HCM Software ?
With so many HCM (Human Capital Management) system providers competing for your attention, finding the right one for your organization can be overwhelming. To help you make the best choice, consider the following factors when comparing HCM software:
1. Usability:
One of the toughest parts of choosing an HCM system is evaluating how easy it is to use. While a user-friendly design is important, you should also consider how quickly your employees can learn the new system. How often does the platform get updated with new features and design improvements?
Additionally, check the level of support the vendor provides. Is there clear documentation? What support options are available if something goes wrong?
2. Core Features and Functions:
Talent Management: This feature helps businesses with recruitment, employee engagement, compensation, leadership development, and performance.
It’s like a CRM for your workforce, helping you manage and understand your people in detail. A good HCM system will offer all these functions, along with automation to speed up repetitive tasks.
- Talent Management: Handles hiring, performance, and employee engagement.
- Workforce Management: Tracks and plans workforce capacity, including freelancers.
- Performance Management: Automate performance reviews.
- Training & Development: Helps employees choose training and managers assign learning opportunities.
- Employee Self-Service: Allows employees to update info and submit timesheets.
- Compensation Management: Analyzes pay data for fair compensation.
- Workflow Automation: Automates routine HR tasks.
- Compliance: Helps track and resolve compliance issues.
- Workforce Analytics: Provides insights into employee metrics like turnover and recruitment.
3. Scalability:
When choosing an HCM system, make sure it fits your organization’s size. Vendors usually target either small to mid-sized businesses (SMBs) or larger enterprises, so know where your company falls. Also, consider how the system will handle growth.
Will costs increase as you add more users? Does the vendor offer features that will support your organization as it grows?
4. Compliance:
To avoid costly compliance failures, choose an HCM system that supports the specific regulations required in your region, or internationally if needed.
5. Security:
HCM software deals with very sensitive information, like social security numbers. Ensure the system offers strong protection against cyber-attacks and unauthorized access to keep your data safe.
6. Integrations:
Make sure your chosen HCM system can integrate with other essential business systems, like your ERP (Enterprise Resource Planning) system and third-party payroll providers. Most vendors should offer a good range of ready-to-use integrations.
10 Best HCM Software in 2024
1. UKG Pro:
UKG Pro (formerly Ultimate Software) is a comprehensive HCM solution that focuses on enhancing employee engagement and optimizing workforce management through advanced analytics. Its AI-driven features help businesses make data-driven decisions and improve employee productivity.
Key Features:
- AI-driven workforce management
- Employee engagement tools
- Customizable dashboards
- Unified platform for HR, payroll, and talent management
Best For:
Businesses looking to leverage AI and advanced analytics to optimize workforce management and boost employee engagement.
2. Adrenalin:
Adrenalin is a powerful HCM software designed to manage all aspects of an employee’s journey in a company. It’s focused on making HR processes smoother and more efficient.
Key Features:
- Automated HR Processes: Streamlines tasks like hiring, onboarding, and managing employee data.
- Employee Performance: Offers tools to track and improve how well employees are doing in their jobs.
- Payroll Management: Ensures that employees are paid correctly and on time.
- Customizable Reports: Provides detailed reports to help businesses make informed HR decisions.
Best For: Businesses looking to automate HR tasks, improve employee performance, and manage payroll efficiently, all in one place.
3. Cornerstone:
Cornerstone OnDemand is a versatile HCM platform focused on learning and talent management, helping businesses develop and retain top talent.
Key Features:
- Learning Management: Offers a wide range of training and development tools for employees.
- Talent Management: Helps identify and nurture future leaders within the company.
- Recruitment: Supports businesses in finding and hiring the best talent.
- Performance Tracking: Allows continuous tracking and improvement of employee performance.
Best For:
- Organizations that prioritize employee learning and development and want to manage talent effectively to stay ahead in the competitive market.
4. Zoho Recruit :
Zoho Recruit is cloud-based recruitment software designed for HR teams and recruitment agencies. It offers an Applicant Tracking System (ATS) and Candidate Relationship Management (CRM) to streamline the hiring process from candidate sourcing to onboarding.
Key Features:
- Applicant Tracking System (ATS): Manages job postings, tracks applicants, and handles resumes.
- Resume Parsing: Automatically extracts key details from resumes, simplifying data management.
- AI-Powered Candidate Matching: Matches candidates with jobs based on qualifications.
- Customizable Workflows: Allows creation of tailored recruitment processes.
- Interview Scheduling: Syncs with calendars to schedule interviews easily.
- Candidate Management: Tracks progress and feedback throughout the hiring process.
- Reporting & Analytics: Provides recruitment insights for data-driven hiring decisions.
- Mobile Access: Manage recruitment tasks via a mobile app.
- Integration: Connects with third-party tools like email, calendars, and other Zoho products.
- Custom Portals: Personalized portals for candidates to apply and track their status.
Best For:
- SMBs: Ideal for small and medium-sized businesses seeking an affordable, user-friendly solution.
- Recruitment Agencies: Great for staffing agencies needing strong candidate tracking and management tools.
5. PeoplesHR:
PeoplesHR is a cloud-based human resource software designed to help businesses manage HR tasks efficiently. It offers a full range of tools that cover every stage of an employee’s life cycle, from hiring to offboarding.
Key Features:
- Employee Information Management: Keeps all employee data organized in one place.
- Leave Management: Simplifies leave requests and balance tracking for HR and staff.
- Attendance Management: Tracks attendance and ensures accurate payroll and compliance.
- Payroll Management: Automates payroll, tax filings, and payslip generation.
- Recruitment Management: Streamlines hiring by managing job postings, resumes, interviews, and candidate tracking.
- Performance Management: Helps with performance reviews, goal setting, and feedback for employee development.
- Training and Development: Manages training programs and tracks progress.
- Employee Self-Service: Employees can access their data, request leave, and update personal info.
- HR Analytics and Reporting: Provides insights with data analytics for better workforce decisions.
- Mobile Accessibility: Accessible via mobile for convenience and flexibility.
Best For:
- SMBs (Small to Medium-Sized Businesses): PeoplesHR is ideal for SMBs seeking a comprehensive, user-friendly HR solution.
- Organizations Seeking Complete HR Management: Perfect for companies looking for an all-in-one platform to handle HR tasks from hiring to payroll.
6. Workday:
Workday offers a comprehensive HCM platform that includes HR management, payroll, benefits administration, and talent management. Its standout feature is the advanced analytics and reporting capabilities, which provide deep insights into workforce data.
Key Features:
- Talent management, payroll, benefits administration, workforce planning, and advanced analytics.
Best For:
- Large enterprises are looking for a robust HCM solution with powerful reporting and analytics.
7. SAP SuccessFactors:
SAP SuccessFactors is a global HCM solution designed for enterprises with operations in multiple countries. It focuses on employee experience and talent management, providing tools for performance management, learning, and workforce analytics.
Key Features:
- Global HR management, employee experience, talent management, and workforce analytics.
Best For:
- Large, global enterprises that require a comprehensive HCM solution with strong talent management capabilities.
8. Oracle HCM Cloud:
Oracle HCM Cloud offers a wide range of HR functionalities, including talent management, workforce planning, and analytics. Its highly customizable modules allow businesses to tailor the platform to their specific needs.
Key Features:
- Talent management, workforce planning, analytics, and customizable HR modules.
Best For:
- Enterprises with complex HR processes require a highly flexible and customizable HCM solution.
9. Rippling:
Rippling is a unique HCM solution that integrates HR with IT management, allowing businesses to manage employee data and devices in a single platform. It automates administrative tasks, such as onboarding and offboarding, saving time and resources.
Key Features:
- Integrated HR and IT management, automated administrative tasks, and employee management.
Best For:
- Businesses that want to streamline HR and IT processes through a unified platform.
10. TalentOz:
TalentOz is a cloud-based HCM solution that focuses on simplifying HR tasks and engaging employees effectively.
Key Features:
- Simplified Recruitment: Helps businesses find and hire the right people quickly.
- Employee Onboarding: Makes it easy for new employees to get started and settle into their roles.
- Performance Reviews: Provides tools to evaluate and improve employee performance.
- Self-Service HR: Allows employees to manage their own HR needs, like requesting leave or updating information.
Best For:
Companies that want an easy-to-use HR system to hire, onboard, and manage employees while keeping them engaged and motivated.
Why Choose Ensaantech as Your HCM Software Partner?
Ensaantech provides HCM and cloud-based HR and payroll software solutions for businesses of all sizes, from startups to large enterprises.
With Ensaantech, managing HR tasks becomes simple thanks to an all-in-one platform that’s easy to use, highly secure, and equipped with advanced analytics.
Offering scalable options, affordable pricing, and dedicated support, Ensaantech ensures smooth and secure human resource management, making them the ideal partner for your HR software need .
FAQ’s
HCM (Human Capital Management) software helps with everything about an employee, from hiring to retirement. It makes HR tasks easier, improves how things work, and helps your business stay ahead by organizing processes and making smart decisions.
Regular HR software handles daily tasks like payroll and attendance. HCM software also includes important tools like managing talent, keeping employees happy, and analyzing the workforce, helping HR activities match your business goals.
HCM software works for businesses of all sizes. Small businesses can use it to make HR tasks easier and manage employees better. Big companies can use its advanced tools for more complex HR needs.
Consider things like how easy it is to use, the main features, if it can grow with your business, if it follows rules and laws, security, and if it works well with other business systems. Pick software that fits your business size and future.
Yes, trusted cloud-based HCM software providers focus on safety with things like data encryption, regular updates, and controls to protect employee information.
HCM software includes tools like surveys, recognition programs, and managing benefits that help increase employee engagement by meeting their needs, leading to better retention and satisfaction.
