HR Software

Natasha Wiebusch
Natasha Wiebusch

Table of Contents

In the last decade, the number of HR software products has increased exponentially. Some of these products provide more solutions than others. We understand that with so many options, it can be hard to sort through the good and the bad. That’s why our team has put together a list of HR software with some tips to help you find the best solution for your company.

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What is Human Resources (HR) Software?

Today’s HR software market is flooded with so many different products that it can be difficult to define what HR software is. There are software products that digitize document signing, others that automate payroll, keep time, or track recruiting, and many more. There is even software solely dedicated to making sure different HR software systems integrate with each other.

So how do you define HR software? HR software is a broad category of software products designed to help HR professionals do their jobs more efficiently. They automate tasks and turn traditionally paper-based processes into electronic processes.

The Benefits of Using HR Software

There are many benefits to HR software systems. Overall, which benefits you receive will depend on which HR software system you purchase.

  • Increased Efficiency. Time is valuable. With HR management software, you’ll have more time to focus on company culture, retention, recruitment, and employee development.
  • Fewer Errors. The more you leave to software to calculate or adjust, the less you leave to human error. HR management software will be able to automatically keep time for hourly employees, make tax adjustments, or change benefit elections.
  • Less Compliance Worries, More Strategy! A solid HR software system can help you automate compliance efforts with intelligent reporting, analytics, and record-keeping features.
  • Improved HR Morale. Let’s face it, HR is overworked. This reality has made for some pretty funny memes, but there’s nothing fun about being stuck at the office on a Friday evening. Reducing your office’s workload will help reduce stress and increase morale.

Different Types of HR Software

The HR software market has grown exponentially in the last decade. In fact, according to Grand View Research, the HR software market value is now reaching $10 Billion USD. So, if you can think of an HR problem you typically face, there’s probably software that can help.

Applicant Tracking System (ATS)

ATS software electronically tracks the recruitment and hiring process, all the way from posting a new job to hiring. It creates a central hub for all recruitment recordkeeping and communication.

Benefits Administration Software

Benefits management software helps businesses organize and manage benefits for their employees. This can include 401K retirement plans, other retirement plans, paid time off and medical and dental insurance.

Electronic Signature Software

Electronic signature software, or e-signature software, enables companies to securely create and accept electronic signatures for important documents.

Employee Directory Software

Employee directory software provides an electronic directory of all employee contact information, including their department, job title, location, email, and of course, their name.

Employee Document Management Software

Employee document management software creates a secure electronic location for sensitive employee documents that would usually exist in a file cabinet.

Onboarding Software

With onboarding software, employees can upload their signed onboarding documents, complete their onboarding training, and track their onboarding progress all from their computer.

Paid Time Off Management Software

Paid time off management software is just like benefits management software, except it only helps with paid time off tracking and management.

Payroll Software

Payroll software automates the payroll process. It calculates deductions and taxes, handles payment and direct deposit and sometimes includes timekeeping capabilities.

Time Tracking Software

Time tracking software electronically tracks hours worked for hourly employees.

Training Tracking Software

Training tracking software helps HR departments track the progress and completion of employee training.

Integration Software

Integration software’s sole purpose is to help all of your HR software tools communicate with each other and share data.

All-In-One Human Resources Software

All-in-one HR software is software that has many types of HR software applications to manage multiple aspects of human resources. Although capabilities vary, these software tools will cover, at minimum, the basic administrative aspects of human resources management.

What to Look for in an All-in-One Platform

1.   The Platform Should Cover All of Your Major Administrative Tasks

Any all-in-one software should include tools to manage all major administrative tasks:

  • Hiring
  • Onboarding
  • People Management
  • Payroll
  • Timekeeping
  • Paid Time Off
  • Training Tracking

2. Look for a Focus on User Experience

You can purchase the most powerful all-in-one HR software with every capability imaginable. But if it’s too hard to use, you won’t be getting your money’s worth. Complicated software usually leads to more questions, employees not filing their paperwork correctly (or at all) and disgruntled co-workers.

If you’re on the hunt for an HR software system, search for one that is easy to learn and use. This is often called the user experience (UX), and top HR software companies will have invested in their UX design.

3. All-in-one HR Software Should Emphasize Data Security

An all-in-one HR software should have solid security features to protect company information. Why? Because regardless of your role within HR, information security is always important. Although it’s nice to have all of your HR management information in one place, you’re also exposing more information to potential security risks.

4. Look for Custom Reporting Features

Great all-in-one HR management software will not only collect data for you, it will also give you the ability to answer important strategic HR questions and analyze any trends related to your workforce through its reporting capabilities.

For example, you may want to see what your total compensation is per department, how many employees completed their yearly training in a particular quarter, or what your turnover rate is for entry-level positions. This kind of reporting should be easily accessible through your HR software system.

The Top 3 All-in-One HR Software of 2021

1.   Eddy

Eddy HR is a full-service HR software management system that provides hiring, onboarding, people management, paid time off (PTO), payroll, time tracking and training tracking solutions for small to medium-sized companies. We’re focused on providing the best one-stop solution for HR with the best user experience. And, because we know our clients are on the go, we’re designing the Eddy HR phone application.

Why we like it: We truly believe we’re the best because, unlike so many of our current competitors, we’ve invested in creating software that is powerful, user-friendly and intuitive. With our software, you’ll spend less time rummaging through clerical duties and more time executing your HR strategy.

2.   Rippling

Rippling is an HR management and IT software system that provides multiple HR management solutions, including payroll, benefits, time tracking, training tracking and recruitment. Rippling focuses on increasing information security.

Why we like it: We like Rippling because it addresses the basic administrative HR needs, and because of its application management and integration features. With Rippling, you can integrate your HR software with other team-related apps, like Zoom or Slack.

3.   Paycom

Paycom provides HR management solutions for the most important administrative HR tasks, including recruiting, payroll, people management, time tracking and talent management.

Why we like it: We like Paycom because it provides employee training through its Paycom learning platform. However, it’s important to note that capability is a double-edged sword since you’ll be limited to using only Paycom’s training for your workforce. If you’re in a specialized industry or if you want more flexibility in your training, Paycom’s full-service package may be limiting.

How to Pick the Software that’s Right for You

Choosing your new HR management software is an exciting process, but you want to make sure you choose the best software for your company. When you’re searching for new software, keep the following in mind:

1. Consider Your Company Size

If you’re running a small company or a family company, you won’t want to pay for software designed for large or global companies. For example, Workday is one of the biggest HR management software companies on the market. Although powerful, Workday is geared toward large companies. If your company has a small workforce, Workday probably isn’t the right software for you.

2. Go with an All-in-One HR Management Software

Given that Eddy HR is an all-in-one software, it’s no surprise that this is our advice. Here at Eddy, we created an all-in-one solution because we understand the frustrations HR offices have when they can’t get data to integrate, they need to train employees in multiple software applications, or when they realize they’re paying way more on multiple subscriptions.

Our advice is to choose an all-in-one HR management software solution because it’s a better product. Plain and simple.

3. Take a Tour

Most software companies let you take a tour of their product either via a demo or temporary access. Before signing anything, make sure they let you see what their project can do. A demo won’t just help you confirm it has the capabilities you need, it will also give you an opportunity to evaluate the user experience.

Take a tour of Eddy!

4. Choose Your Budget

As with any new expenses, you’ll have to determine how much you can invest. If you choose to go with multiple HR software systems, remember that every system you purchase will most likely be subscription-based. This means you’ll have multiple charges a month for each system. The pricing for most HR software systems is based on how many employees your company has.

Questions You’ve Asked Us About HR Software

How much does HR software cost?
Pricing for HR software varies, but there are three main factors that help determine the price: the software’s capabilities, your company size and the software company. When comparing prices, remember that many software companies charge per employee.
Do I really need HR software?
The question isn’t whether you need HR software or not, but whether the benefits will exceed the cost. Because we believe our workforce is the most important aspect of our company, we’d say the benefits of a great HR software most certainly exceed the cost.
Natasha Wiebusch
Natasha Wiebusch

Natasha is a writer and former labor and employment attorney turned HR professional. Her experience as a litigator and HR trainer inspired her to begin writing about anti-discrimination laws in the workplace. As a writer at Eddy HR, she hopes to provide helpful information to both employees and HR professionals who need help navigating the vast world of human resources. When she’s not writing, you might find her cheering on the Green Bay Packers or hiking in the Northwoods of Wisconsin.

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