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Finding the ideal HR software for your exact business needs can be exhausting and overwhelming, however this HR software purchasing guide can help minimize your frustration and ease the process greatly. It is essential to consider your unique HR needs in addition to your technology requirements. Remember, just because one software solution works well for a successful organization does not mean it will work well for your business.


Long gone are the days of only using HR software as an administrative tool. Today, these software applications are also seen as investment opportunities and used as a way to maximize the employee experience. More and more businesses are realizing the importance of employee satisfaction. If an employee is happy and satisfied with their job and job performance, they will be more productive, less likely to leave to a competitor and make the lives of their coworkers more enjoyable. These are all ways in which any company will benefit from investing in HR software to improve employee relations. It will also help to more easily identify problem areas within the company and with individual employees.

Another trend is that of organizations in search of a single-vendor solution. In fact, many companies are willing to compromise various advanced technological features simply to have one vendor in ERP and HR software. The convenience of having all aspects of the business integrated into one solution has become highly valued by many businesses. Companies are also taking to the cloud for an enhanced and easier user experience. People want a simple solution that is also going to provide functionality rather than complicated systems that require searching through endless folders and files to complete a simple transaction, and the cloud is the ideal solution for many.


You can choose between two primary types of software, which also have various accessibility options. Traditionally, HR software is downloaded to your hard drive and stores all employee data and applications internally. Today, more and more companies are choosing software as a service (SaaS) system solutions which are cloud based and accessible from anywhere in the world at anytime on your mobile devices.

It is possible to access both solutions remotely and they both require employee training, however an SaaS system is typically viewed as more user friendly and more easily accessible. SaaS systems typically have an app for your smartphone and tablet for the ultimate convenience and updates and system changes are far easier to integrate; whereas, a hard drive based solution is slightly more limited in accessibility and more complicated to update. However, a hard drive based solution is often able to handle larger quantities of data, has greater securely, operates more quickly and their app development is gaining momentum.


An HR software system exists for nearly all electronic devices. You can use them on internal PCs, tablets, smartphones and even computer labs in hotels the world over during emergency situations. As long as you have an Internet connection on your device, you can access a software solution. Before you choose a solution, be certain that you can access the system when and from where necessary for your team. If you manage a team in several different locations, you want to be sure they can all access the information required to complete their job. Also, be certain that the system is compatible with your operating systems such as Windows, iOS or Android.


You should consider a number of aspects when choosing the right features for your needs. Consider which aspects of your existing structure can easily be integrated such as payroll, benefits, compensation, etc. Consider the frequency of which and from where this system will be required to be accessed. Consider the number of employees who will require access and whether or not the system has privacy controls and limited permissions so that management and other team member do not all have access to sensitive and protected employee information. It is also important to consider whether or not any independent employees or third party partners will require access. All of these considerations will affect the right HR system for your organization.

Do not forget to ask about additional costs. Many systems will charge extra for access to features you might determine to be necessary. And, do not forget to think about the future. If you have expected growth, be certain the system can handle additional employees and be mindful of whether or not they charge more for such anticipated growth. Regardless of the type of solution a company chooses, the one feature they all require, or should require, is analytics and reporting capabilities. Without having easy access to your data with the ability to review it in easy-to-read formats, the system becomes significantly less effective and less efficient.

Choosing a Dealer or Vendor

A few of the most important aspects to consider pertaining to the selection process of a dealer or vendor is support and training. You and your team will require in-depth training on the system. Some vendors will provide extensive training at an additional cost; whereas, others will provide on-site training as part of the service for free. Some dealers will provide additional training each time a new feature or update is introduced, while some will send tutorials for you to learn on your own. On-site training will improve the effectiveness and efficiency of the system throughout the organization and minimize costly mistakes.

Also, it is important to consider whether or not the system provider offers extensive support for the times technical complications arise. There will be technical issues at some point and you need support. Some providers have live online chat sessions, others have live representatives to phone anytime day or night and others have limited support during working hours only. Many people believe selecting the proper vendor partnership is equally as important as the software itself.

This HR software purchasing guide will help you evaluate the aspects that are most important for your business needs before you choose a system. Do not forget to consider your devices, your long-term growth strategy and that your system partner is also of critical importance. The right HR software solution will save you money, create efficiency and improve employee satisfaction resulting in greater profits and happier customers. The right system can improve the health of your organization on every level.