Best HR Software Solution in 2021

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Only Indian software in Global Top 20 HR solutions

  • (3)

All-In-One HR Platform.36 apps covering all your requirements across core HR, talent management, payroll and business expenses. ... View Profile



#1 Employee Experience HR Software

  • (1)

An Award-Winning cloud-based HRMS, loaded with features and backed by a dedicated team. ZImyo is the answer to all of your HR management problems. Per ... View Profile


Spine HR Suite

Automated HR Solution

  • (3)

Spine HR suite Seamlessly integrates all the aspects of organizational & human capital development. It improves the performance and accountability of ... View Profile


Nitso HRMS

Comprehensive HRMS Solution

Nitso HRMS is a comprehensive HR & Payroll management, covers complete employee lifecycle in an organisation. Modules: Employee Database with Compen ... View Profile


Wallet HR

HCM Simplified

Crystal HR started its Journey over 25 years back in 1993 when the market especially the SMB segment was still looking for a smart solution to efficie ... View Profile



New age end-to-end HR platform

Darwinbox is a unified HRMS platform, designed for HR leaders of large enterprises across various industries. Empower HRs to manage the entire employe ... View Profile


Pocket HRMS

#1 HR & Payroll Software India

Pocket HRMS can revolutionize your HR and Payroll operations by completely digitalizing your Payroll processing, attendance, digital onboarding and ... View Profile


Zoho People - HR Management App

HR Software that delivers streamlined HR operation...

Zoho People is a cloud-based HRMS that ensures HR operations are streamlined while providing a great experience to your employees. Right from onboardi ... View Profile


Keka HR

Modern HR Software For Modern Workforce

Keka is a Modern HR and Payroll software for small and medium sized businesses that manage employee engagement, it has time tracking, attendance manag ... View Profile



Powerful HR Software

HRMantra is the World's most feature rich HR and Payroll software helping automate the most complicated of hire to retire HR processes easily using it ... View Profile

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HR Software Buyer's Guide

1. HR Software

2. What is an HR Management System?

3. Common Capabilities of HRMS Software

4. Market Trends of HR Software

5. Who Uses HRIS software?

6. Why Do You Need HRMS Solution?

7. Choose the Best HRMS System Vendor

8. HR Software Solution for Different Sectors

9. Choosing An HR Software: Closing Lines

HR Software

One of the most crucial components of a business is the HR team. It is actually the employees and your HR group that runs your business and streamlines the day-to-day operations. In order for your business to grow, the HR resources of your organization need to be aligned with your company's goals. There are basically two ways to do that. First, you overstaff your company with hundreds of HR managers and shell thousands of dollars out unnecessarily. Second, you buy and integrate cloud HR software to streamline human resource management tasks. 

What is an HR Management System?

HR software refers to the digital system that optimizes human resource management activities and caters to the HR objectives of the firm. The software makes it easier for the HR department to allocate their efforts to productive activities rather than carrying out basic employee management work.

Contrary to the popular belief, HR management solution isn't a new concept. In fact, it has been around since 1970. The systems got attention and popularity in the 1990s when the cloud and web-based HR management systems launched. Today, the developers have launched highly customizable and efficient human resource management solutions features that are capable of fulfilling the company's HR goals. These systems are primarily designed for regular management activities. Today, HR software is available for different types and sizes of businesses.

In simple terms, any digital solution that is capable of managing employee data and performing HR-related functions is considered as human resource software. Some of the main functions of these systems are to automate the hectic manual activities, to manage employee information, and track the performance and working hours of employees. The purpose of the HR software is to ensure a better allocation of resources, time management, and better decision making.

Common Capabilities of HRMS Software

Regardless of the size and type of business you own, you need an up-to-date HR system to make the best of your employees’ talent. That is what the HR Sysyem helps you to achieve. By automating some of the most hectic and time-consuming tasks, a human resource management system enables users to focus on their business productivity.

HR software is a smart investment in today's competitive business environment. To manage your employees and keep their performance aligned with your business' vision and mission, it is important to find and invest in a high-quality HR management solution. Here, we have mentioned the common capabilities of the HR solution.

  • Employee Management

The core functionality of any HR solution is managing the employee management system. Hiring the best talent for the vacant position, managing employees across multiple departments, tracking their performance, and nurturing them are some of the common goals you can achieve with the HR solution.

The high-end HR solution will manage employees and company records efficiently. This data is recorded in such a manner that the HR staff and employees are able to access any information they want on a centralized platform. The human resource department must be able to retrieve the employees’ data in simple clicks. Additionally, the software allows companies to record the personal details of each employee. This includes their ID verification documents, letter application, appointment letters, qualifications, training and experience, certificates, job position, responsibilities, and more.

The main purpose of this solution is to make the HR-related information accessible.

  • Recruitment Software

According to the research, 22% of employees quit their new jobs in 40-45 days. That being said, the recruitment process happens to be the first and most important element of the HR management tasks. In fact, the major responsibility of an HR team is to interview each applicant and select the best candidate for the position. So, a recruitment module is a must in HR software. This module helps the recruitment team in preparing job advertisements, scanning the applications, checking the background details of the applicants, comparing their qualifications and experience, and hiring the best and most suitable applicant for the job.

We have already mentioned the importance of a qualified and experienced workforce in your organization. HR software solutions simplify the recruitment process. They ensure smoother recruitment operations. From managing resumes to comparing candidate's applications to conducting interviews, these cloud-based HR management systems can be of great help for your HR recruitment team.

  • Payroll

Payroll management is another important aspect of HR software.  There is more to the payroll process than issuing a paycheck to your employees every month. Companies are supposed to record the compensation of each employee in their database so that they can access and use this information whenever they need it. It is important for businesses to offer accurate remuneration to the workers. Nothing in the HR payroll system is more complicated than payroll. As it involves calculations, there is a high risk of manual error. Mistakes in the employee’s salary and wage calculation can bring down your employee’s morale.

Even issuing the paycheck is a complicated process. Businesses have to comply with the state and federal tax regulations when disbursing salaries to workers. It is nearly impossible for even accountants and professionals to issue paychecks to each employee. You will need to deduct the taxes, benefits, and off-days payment from the final amount. This could be a tedious task for your HR team. Furthermore, most companies compensate their employees according to the number of days and hours they worked.

So, how are you going to remember the leave days of each employee?

That’s when the payroll module in the HR and payroll software comes handy. It helps you track the attendance of employees and their total leaves. The solution calculates the total payment you owe to your employees in simple clicks. No need to hire an accountant for the job. As long as you know the basics of the HR and payroll system and how to operate it, calculating the compensation of employees and recording them in the system will be a piece of cake. The software obtains and processes the data to do calculations. It also enables you to export this data to MS Excel and PDF.

Some modules of this system include commissions, bonuses, and incentive management features. You could even connect the payroll module with the financial system so that you don’t have to duplicate entries for regular transactions in different modules. Once the financial and accounting module is synced with the HR payroll system, the remuneration-related transactions will automatically be recorded in each system.

  • Time and Attendance Software

Tracking the number of hours each employee has worked can be super challenging for businesses. It is difficult and time-consuming to find leave applications and calculate the number of leaves the employees take every month. Now that the salary and wages of the employees are based on their total working hours, it is important for businesses to install a solution that could record their attendance and working hours.

It is impossible to track management time-off manually, even if you have employed a qualified HR team for it. Moreover, it is nothing but a waste of time. You can rather use this time and energy for productive activities, such as marketing. The leave management software records time-off, worked hours, sick-day leaves, etc.

You can also customize this software according to your compensation pattern. For instance, you can exclude the national holidays from the amount deducted from employees' salaries. You can also give employees access to this information so that they know why their salary is deducted.

  • Talent Management

An entry-level HR system can evaluate an applicant's talent based on their experiences and qualification. But, a high-end solution is capable of assessing their skills beyond the interview stage. Once you have recruited the employee, you can gather information about their performance, satisfied customers, and their contribution to the success of your firm. Some HR management systems are smart enough to generate automatic feedback, while others provide you with the analysis reports that can be used to give accurate feedback to each employee. Either way, the system helps you evaluate your employees' performance.

Your employees will be able to access the feedback report either through the dashboard or interface (it depends on the type of HR software you choose). One advantage of this feature is that you don’t have to conduct meetings to discuss the employees’ performances or send an email notification to each employee. The system does it all for you. Employees can access the feedback on their dashboard or they receive an automated email with their performance reports.

  • Employee Self-Service

An important feature of cloud HR software is employee self-service. Most HR systems come equipped with the built-in self-service feature that enables your employees to check certain information from a user-friendly dashboard. So, when your employee needs information about their salary, performance feedback from the HR team, personal or financial information, tax-related details, and other info, they will not bother you.

Self-service functionality is an important element of an HR system. Using this feature, your employees can submit their leave applications, record attendance, check benefits, and monitor training. So, the next time your employees need time-off, they can request it easily with the employee management software.

  • Training and Learning Management

Every business needs to provide the best training to their workforce to keep them up-to-date with the current market trends. One of the crucial modules of HR management solution is the Learning Management System (LMS). Some solutions come pre-loaded with useful educational and training materials, while other systems allow an option to upload a customized training source for employee training.

In fact, some HR solutions are compatible with third-party training apps and software that could offer the best possible training courses to your employees. Your employees need regular training and proper certification to give their best performance. It is also important to keep them up-to-date with the latest industrial and business trends through proper training. What could be a better way to train your employees than by allowing them access to the best human resource management software?

  • Dynamic HR Reports

A high-quality HR management system is the one that offers a clear and comprehensive view of the company's whole workforce in a single, user-friendly dashboard. Not only the owner but managers and the HR department must be able to know the current employment status and employees' productivity levels.

Just collecting and presenting data to the manager will not suffice. An ideal HR management solution will provide you with the operational and actionable insights that could help business plan their future strategies.

  • Onboarding

You can’t expect your new employees to start to work the same day they are hired and deliver 100% efficient and accurate performance. They need to be trained and educated about their responsibilities, the company they are working for, what all your company does, the final objectives, number of departments, and other details. You will also need to introduce a new employee to the staff and business associates.

Imagine how much time it could take to train a new employee (especially for large-scale companies). And, it is not only about introducing the new member of the company to the existing employees. The process involves thorough training, which can take several days. Do you know why employees quit jobs in 45 days? They find it difficult to get along with their co-workers. Some employees face difficulty in getting familiar with the work environment.

Some HR solutions have the onboarding module that makes your new hires familiar with the organization and the co-workers. The new employees can find important and relevant details about your company, its goals, the other employees, departments, salary pattern, and their job responsibilities in one system. The system delivers the most accurate and up-to-date information about your organization. You only need to give these employees access to the HR management solution and onboarding module. That's it! The module has every detail of your company.

  • Performance Management Software

The overall success and efficiency of the company depend on the employees' performance. That is why most companies prioritize employee's motivation and training over everything. The employees' performance management system details also help you with payroll management. By tracking the performance of each worker, you can calculate the accurate salaries or wages they deserve. This will create a sense of equality and unbiased payment structure in your company.

Market Trends of HR Software

Every year, new market trends keep emerging in the HR industry. The companies that embrace these changes sooner are the ones that survive the competition, while others are left behind. It has become important for companies to understand the HR industry shifts. The sooner you understand and implement these trends, the higher the survival rate of your company will be.

Here, we’ve mentioned a few important HR application transformations that are expected to revolutionize the industry in the coming years. Let’s have a look:

market trends

  • Artificial Intelligence

AI has been making constant appearances in market trends. Artificial Intelligence has become a hot topic for all industries. But, people expect this technology to have a great impact on human resource management solutions.

One major advantage of AI in HRMS software and the recruitment industry is automation. According to the research, Artificial Intelligence tools are far better and efficient in taking employee surveys than humans. Companies no longer need to rely on HR experts to go over hundreds of job applications and resumes. AI has made it possible for the industry to automate this task and leave everything to the system.

It also avoids human errors and human bias from the interview evaluation stage. The recruitment module in the HR application software is designed to streamline the recruitment process from the beginning. Not only does it help review employee applications, but artificial intelligence enables companies to record and evaluate their performance when they are hired.

  • Augmented and Virtual Reality

We all think about the gamers, headsets, and science fiction when it comes to virtual reality. So, it is common for people to wonder what is the connection between virtual reality and human resource management. Well, the truth is virtual reality is one of the major trends in the HR industry. Both augmented reality and its sibling VR are considered the essential tools for HR management software.

They help with recruitment and employees’ onboarding processes. For example, virtual reality will enable companies to give their new employees a virtual tour of the office. It also makes it easier for companies to offer proper training to new employees.

  • Employee-centric Culture

The success of any company depends on the hard work and productivity of its employees. So, employees’ satisfaction has always remained a priority for businesses.

Companies have started focusing on building a great and healthy employee experience with the business. In fact, it is considered as important as customer experience. An employee-centric culture is the one that puts employees' satisfaction and requirement above everything. It is when boosting the morale of workers becomes the top priority of the organization.  The reasons why businesses are focusing more on the employee's experience are:

  • Better productivity
  • Company’s growth
  • Increases employees’ loyalty towards the brand

One of the important aspects of employee-centric culture is focusing on the employees’ personalized experiences. Each employee has their unique workplace needs. To ensure that these requirements are catered and the employees get a safe and healthy work environment, businesses invest in the advanced HR management software that has a special module for employees. It enables employees to submit their feedback or suggest the changes they need in the workplace.

  • Real-Time Feedback

The traditional way of sending reviews and feedback to employees is considered outdated. Earlier, employees' performance was evaluated only once every year. Businesses would organize meetings to discuss the employees' performance and productivity. The best human resource management software has the employee feedback module that enables the HR department to submit their feedback from time to time. It also allows employees to view feedback and work accordingly.

The real-time feedback offers ample opportunities to the employees to give their best performance. It also promotes a meaningful and seamless communication about the personal as well as professional development of employees. People working for your company need to know their contributions to the success of your firm.

They need regular feedback to improve and grow both personally and professionally. The real-time feedback trend in the HR management solution has already been embraced by many large-scale companies and SMEs. Even in today's world, there is so much hr software for startups/small businesses that are available. It is one of the constructive ways to engage in a positive conversation with your employees and give them the guidance they need to progress.

  • Integration Capabilities

It might not sound as interesting and important as the other futuristic HR trends mentioned above, but integration is one of the most essential aspects of a quality HR management system.

The software you purchase must have the ability to collaborate with other essential technologies. This helps streamline your routine management tasks. Be it the marketing solution or management app, the HR software must be compatible with third-party integration. This promotes the smoother functioning of the firm.

So, without the integration capability, the HR software will not be considered fully automated. After all, you still need to ensure that the information is copied to different modules.


Who Uses HRIS software?

Whether you have just commenced your business or running a large-scale firm, the fact that your business needs the HR software does not change. Even businesses that employ only 7-10 employees need HR software to optimize management operations. In fact, the number of employees you have hired has nothing to do with the decision of buying an HR solution. The system does a lot more than issuing paychecks to your employees or deducting taxes from their payments.

As your business grows, the HR requirements and responsibilities change. That is when you decide to implement the human resource management solution to cater to the growing business needs. It manages your entire workforce and streamlines HR management tasks. So, all types of business, regardless of their type and size, need a quality HR management system to grow.

Why Do You Need HRMS Solution?

Of course, it is possible to run your business without human resource management software. But, how long do you think you can survive the competition without a system that could automate the important yet hectic business management tasks?

If you are still not convinced, here are a few reasons why you need to reconsider your decision about the HR solution.

Need of HRMS Software

  • Saves Time

We have already mentioned how HR solution can save plenty of time in different management processes. Human resource management is a large and complex department. Even if you hire professionals and HR experts, chances are they will take time to issue payroll, conduct interviews, hire employees, train them for their jobs, and perform other HR-related activities.

A high-quality and comprehensive HR solution is all that you need to automate these tasks and reduce the manual workload. The HR team can utilize this time to focus on other productive activities.

  • Staff Onboard Training

Training is an important function of the HR department. Every new employee they hire needs to go through the training process to understand their job, responsibilities, company’s goals, and what the company expects from them.

If you still rely on the outdated training methods, then it is time to make a shift to the trending HR management solution for advanced employee training. Let your employees gather the educational and training materials on one platform.

  • Reduce Risk of Manual Errors

The main reason why all sizes of businesses purchase HR management software is the reduced risk of manual errors. The HR solutions are designed in a way that there is no chance you can input wrong data. You will get a push notification if you have entered information in an inappropriate format.

Now that the calculation of employees’ remuneration is done electronically, there is slim to no chance of manual errors. The tax is deducted automatically i.e. according to the federal and state tax regulations. The software calculates the monthly salary based on the employee’s productivity and worked hours.

  • Integration

Integrating third-party application or software is possible with the best HRMS system. If you want to save time on recording the same transaction entries in different systems, then HR software that allows easy integration will be an ideal option for you.

You can integrate the solution with the accounting and marketing solutions for smoother management. Some vendors even provide training on how to integrate the HR management solution with third-party apps.

  • Saves Money

You may need to spend a few bucks on installing an HR management solution. The total cost of the software depends on the number and type of modules you choose. But, it does cost a monthly subscription.

However, HR solutions save you money in the long run. It saves manual errors that can cost thousands of dollars to your business. The solution saves time that can be used on other products and marketing activities that will result in growth. Moreover, it saves the cost of training and educating the new employees.

  • Easily Accessible

Anyone with a smartphone and internet connection can access your HR management solution as long as they have the login credentials. In other words, the best HRMS software is compatible with different screens and smartphones. So, your employees can access the system even when they are home. You get to decide who you’d like to access the HR management solution.


Choose the Best HRMS System Vendor

Installing a new human resource management system isn’t something you will be doing regularly. So, it has to be done right. You need to select and invest in software that can promote your firm’s growth and support your employees and brand for years to come. Here are some steps to achieve your objective.

  • Determine Your Requirements

You can’t start your research for the best vendor before determining your organization’s requirements. The best HRMS software comes equipped with a plethora of features. Buying a solution that comes with several in-built functionalities that are of no use to your business and employees will be a waste of time and money.

If you want a cost-effective solution, then you have to find out your exact requirements and the modules your business need. Then, you can base your research on these needs. Also, we have compiled the top 5 factors to consider before the HR Software implementation process.

  • Consult your Staff and Employees

Each party that is going to be affected by a new HRMS solution needs to know about your plan of implementing or replacing the HR system. Not only will it help ease your selection process, but it gives you an idea of what your staff and business associates think about your decision.

Remember that consulting your employees and staff before making a purchase is important. They may also give suggestions that can help you with the HRMS selection.

  • Set Budget

Though the decision of selecting the HR solution should not be based on the price solely, it is still important for businesses to establish a budget before making a purchase. You will need to pay a monthly subscription fee to the vendor. Additionally, some vendors charge a certain fee for the implementation of the system in your business. This mainly happens when you want to customize the software so that it fits your organization.

  • Discuss it With Vendors

Buying HR software is a long-term investment. You will not want to implement a system that barely helps your HR department. So, it is best to discuss the features and certain terms with the vendor before sealing the deal.

Try to collect as much information about the vendor and the software as possible. You could ask the vendor directly or gather this information from their clients. An ideal HR system solution is the one that is easy to implement, compatible with the third-party applications, equipped with the right set of modules, and is cost-effective.


HR Software Solution for Different Sectors

Human resource management technology is worth more than $15 billion worldwide. It is considered as the fastest growing sector in the IT industry. Every business needs top HR software to streamline human resource tasks. However, the requirements of each sector differ. Let's see what kinds of HR software fits the needs of different sectors.

  • HR Solution for Enterprises

One of the major challenges the large-scale companies or enterprises face is the outdated HR model. According to the research, a majority of the large-scale firms had a 5-year old HR solution. The older the software is, the more problem it created in the company. For example, integrating an outdated model to the new apps or third-party solutions is not possible.

Likewise, the outdated HR systems are probably the on-premises software. So, low adoption rate, incompatibility with smartphones and other convenient devices, and outdated features are some of the biggest issues the enterprises face with outdated models. For enterprise solutions, an ideal HR model has payroll administration, performance management system, talent management, workforce planning, learning and training management, collaboration tools, reporting, mobile access, and time tracking modules.

  • HR Solution for SMEs

Small businesses need HR solutions as much as enterprises. To streamline the HR management and workflow, it is important for SMEs to integrate a cost-effective and high-quality HR system into their company. No matter how tight your budget is, an HR solution is a must. Fortunately, the cloud-based, latest, and top HR solutions are available at an affordable price. You only need to find the right vendor that offers premium HR solutions at a competitive price.

Now that you run a startup or a small-scale company, chances are you will need limited modules in the HR software. This gives you an opportunity to customize the system and pay for only the modules you use. Some of the key functionalities of an HR system for small businesses include employee self-service, performance management, time tracking, payroll, reporting, benefits administration, and social recruiting. The best part is that most HR systems are cloud-based. This can save you thousands of bucks on the IT infrastructure cost. You will be surprised if you compare the cost of implementing the HR solution in your business with the amount you can save in the long run.


Choosing An HR Software: Closing Lines

The one-size-fits-all approach never works in the HR software industry. The modules that are extremely important for some companies may not be needed by others. That is how the system works. You can customize your HR software according to your standards. You only need to choose your HR software that is customizable and easy to learn.


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Frequently Asked Questions [ FAQs ]

The success of a brand largely depends on its workforce. Sure, you can hire HR managers. But, even HR staff needs some assistance to carry out the management operations smoothly. After all, it is not only about distributing salaries and wages to each employee.

The responsibilities of HR managers is to conduct interviews, fill vacant positions with the fresh talent, hand out salary to each employee after tax and benefits deduction, record their working hours, track their overall performance, compare the performances of each employee, and the list goes on. HR software helps automate these tasks and streamline your management operations.


Yes, a little knowledge of how to run the cloud-based software might be needed. But, that’s it! Some vendors offer software training. So, there is nothing to worry about.

The length of an implementation project depends on the modules you select and the type of HR software you integrate into your firm.

On average, it takes no longer than 30-40 days for an HR system to be integrated into your firm. However, the total length of the project could be higher if you implement on-premises software.

The payroll module of your HR management solution can be integrated with the accounting software. Every time you run payroll, the entries are automatically recorded in the accounting books. You don’t have to go through the hassle of recording these transactions in the ledger manually.

Similarly, the software supports multiple integrations.

The HR software is customizable. For instance, if you run a small-scale business and have a handful of employees, you can pick the HR management software featuring payroll, time & attendance tracking, and some crucial administrative activities. If you own a large company, you can request the software developers to customize the solution according to your business requirements and add all the necessary modules that you may need to streamline the human resource management.

While the HR system helps streamline your management, some businesses report certain issues with the system. The most common ones include excessive time spent on ID verification, slow system, difficult to access, and etc.

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Page Last Updated On 17 Apr 2021
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