What is SaaS HR? 10 Best SaaS HR Software for 2024

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Hiba Ali

Senior Writer:

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green tickPublished : December 16, 2022

As your company grows, you begin to face various challenges, including scaling, managing processes and data, and optimizing your workforce.

In addition to screening, hiring, training, and payroll management, managing human resources becomes more complicated as the number of employees rises, and your sensitive information remains scattered across multiple locations and folders.

software as a service HR solution Source

As a consequence, it results in HR burnout while decreasing overall efficiency. Additionally, if your HR process still revolves around spreadsheets and paperwork stacked in filing cabinets, what you need is HR Management Software.

Increasing interest in HR solutions generated the idea of SaaS-based HR solutions. This article will explore the advantages and functions of a Software as a service based HR solution.

What is SaaS HR?

SaaS HR, also known as Cloud HR software, is a subscription-based solution that allows users to manage their human capital online from anywhere. These days, most human resource management solutions are SaaS-based.

Instead of paying a high up-front cost as you would with traditional on-premise HR solutions, you pay a subscription fee based on the number of users.

SaaS HR solutionsSource

Typically, HR SaaS software includes features for tracking employee time, recruiting, paying employees, performance management, training employees, and workforce management.

Using this system, you can effectively manage various HR functions, which are becoming increasingly popular across multiple industries. In addition, you can control many HR functions remotely through an HR solution, which is easily adapted and cost-effective.

What Should You Look For In A SaaS HR?

As we discussed HR SaaS, it’s time to consider some of the tools you should consider while choosing SaaS HR software:

Features Of SaaS HR

1. Applicant Tracking System (ATS)

The (ATS) applicant tracking system allows you to collect prospect data during recruitment. You can then organize the candidates and narrow the pool of candidates more effectively. Therefore, a suitable ATS should facilitate the recruitment process and boost productivity.

The system usually includes email templates for contacting candidates, interview scheduling features, job postings, and strategies for resume submissions and pre-screening, which makes your hiring manager’s job much more manageable.

2. Employee Self-Service

Employee self-service is one of the most significant advantages of HRMS, in which employees have access to their profile and portal.

Employees can see detailed information about the company terms and conditions, leave policies, payroll, resignation procedures, etc., so they can ask only some of the queries directly to the HR department, thus saving both parties time.

3. Talent Management

Employees are not an expense; they are its greatest asset. With a talent management system, you can look at your job roles and who is in them to find out where you may have gaps.

Talent Management Source

You can keep your company on track by keeping your retention rate low, monitoring tenure, filling vacancies, and calculating the revenues generated by full-time employees.

4. Payroll Management

A payroll software solution streamlines your payroll management process ,saving you time and money while reducing the chance of human error on employee pay slips.

You can also integrate electronic document management systems and time tracking with payroll data to update real-time information. In addition, if your payroll tool has a self-service portal for employees, they can easily submit and amend payroll information when needed, saving you time.

5. Track Employee Performance

The HR team has a critical role to play in assessing employee performance. In the past, companies conducted yearly performance reviews of employees. However, HR software monitors employees’ performance automatically in real-time.

Data collection and analysis become very easy with built-in dashboards, reports, and machine learning. In addition, HR teams can implement suitable new systems or provide additional training within hours with Cloud HR solutions.

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What are the Different Types Of SaaS HR?

HR SaaS solutions can change a company’s fortunes, whether a gigantic, established corporation or a small startup. On the market are several HR SaaS solutions, divided into two categories: all-in-one and pure-play specialized solutions.

Let’s look at both HR SaaS solutions to determine the best fit for your business.

1. Unified HR SaaS Solution

All-in-one HR SaaS solutions are generalist HR platforms that enable you to manage all your human resources functions in one place, such as recruiting, Employee onboarding, performance management, training, and payroll.

You can handle recruitment, onboarding, performance management, training, and payroll tasks through a single platform. The data is centralized, and the processes are streamlined and automated in one place.

Using one interface for all processes makes moving data from one stage to another more accessible throughout the employee lifecycle, reducing the risk of information silos.

Invoicing and budgeting are also a breeze since you only need to deal with one supplier when managing all your processes from a centralized all-in-one HR Automation SaaS solution.

Additionally, dealing with one supplier usually costs less than purchasing dedicated tools for each HR process.

2. Pure-Play Specialized HR SaaS Tools

A variety of HR SaaS tools can also be used as an alternative. In addition to an applicant tracking system (ATS), performance management tools, and learning management systems (LMS) for managing training and development, you can also use them to monitor productivity.

A dedicated platform for each HR management function can benefit large multinational companies with true HR professionals. However, there are several disadvantages as well.

First of all, if you buy technical tools from numerous providers, it can be tricky and pricey. It costs more, and your HR staff will have to be trained to use various platforms effectively.

It’s also much easier to seamlessly transfer information from one tool to another if you use an all-in-one solution instead of multiple systems. The more systems you use, the more likely silos will develop.

What are the Key Benefits Of SaaS HR?

In today’s information age, SaaS-based HR software gives businesses computing power and the capability to thrive in the era of technology without using traditional HR practices. Here are a few of the most noteworthy benefits business owners can reap by implementing SaaS HR software:

Benefits Of SaaS HR Solution

1. Reduced Labor Costs

Companies spend so much money hiring human resources personnel or deploying proprietary HR management software. The cloud-based HR system offers more value for less upfront cost than a conventional one. In addition, as soon as a cloud-based HR system is deployed, it generates benefits, such as better data and time savings and increased employee satisfaction.

2. Increased employee engagement

As one of the tasks in the HR job description, maintaining employee productivity and engagement is one of the new functionalities. As a result of employee engagement, businesses are more likely to have high customer satisfaction, knowledge sharing, business agility, profitability, and interest from new candidates.

Increased employee engagement Source

In addition, by using HR software correctly, employees can become more humanized at work and improve long-term relationships.

3. Easily Accessible Pay and Benefit Information

HR SaaS Management software lets employees access info about their payment and advantages whenever and wherever they want. Employees can also check the amount of their salary that goes to taxes and more. They can also change how their pay and employee benefits are set up.

For example, employees using cloud HR systems can set up direct deposits without contacting an HR professional, change health insurance, and more.

4. Remain Compliant

Your association can avoid corporate penalties for noncompliance issues with SaaS HR platforms. In addition, this system assures that you comply with federal and state laws so that you do not default on taxes, wages, or other organizational duties. With SaaS HR solutions, changes in the law are automatically updated, so you’re always in compliance!

10 Best SaaS HR Software In 2023

Below are some of the best SaaS HR software for handling all HR tasks:

1. SharePoint HRMS

SharePoint HRMSThe SharePoint human resource management system (HRMS) facilitates finding high-quality candidates, streamlines employee lifecycle management, increases employee engagement and retention, and reduces costs associated with hiring and training.

SharePoint HRMS solutions are most effective for mid-sized and large organizations in the healthcare, manufacturing, professional assistance, and finance sectors.

Key Features

  • Employee KPI tracking
  • Applicant tracking through each stage of the recruitment cycle
  • Recruitment reporting and analytics
  • Gamification


  • Ability to share folders/files across different organizational levels.
  • SharePoint can be tailored to perfectly fit the needs of your company..
  • Advanced level protection is used to protect your data.
  • Frictionless Integration with Microsoft 365 and additional systems.


  • SharePoint modern sites have limitations.
  • Integration requires more development effort.
  • Proper setup of SharePoint can become quite complicated.


  • Plan 1 – $5 user/month
  • Plan 2 – $10 user/month
  • Office  365 ER – $20 user/month

2. Workday

 WorkdayA leading provider of cloud-based management, human resources, and financial applications, Workday specializes in payroll and time tracking, analyzing employee data, talent management, workforce transformation, planning,  analytics and reporting, and human resources management are some of the features of Workday’s Human Resources SaaS solution.

Despite this, Workday is user-friendly and easy to use, and it invests heavily in R&D, keeping it on the cutting edge of artificial intelligence and 3rd party integrations.

Key Features

  • Performance Management
  • Career and Development Planning
  • Cloud Connect for Third-Party Payroll
  • Absence Management


  • Workday is easy to use and has an intuitive user interface.
  • There are a lot of customizable options.
  • Workday offers fine integration with other third-party apps.
  • There is customer support via phone and online.


  • It lacks transparent pricing.
  • There is no free version available.
  • Users have to ask for free trials (for the Workday Adaptive Planning platform).

Pricing:Starts at $99 per user, per month

3. Dynamics 365 Human Resources

Dynamics 365 Human ResourcesDynamics 365 HR helps businesses and people thrive by creating a better workplace. The solution offers a wide range of HR functionality, including connecting to various HR, recruiting, and talent management apps to develop an HCM system that meets the company’s unique requirements.

With Microsoft Dynamics 365 HR, companies can manage their employees, develop them, create self-service portals, manage to learn, manage compensation and benefits, and manage absences. You can also integrate the system with payroll apps and other third-party applications.

Key Features

  • Sales insights
  • Email integration with Outlook 365
  • Customer service dashboard
  • Activity log and connections to CRM


  • Release management is very simple and intuitive.
  • Efficient HCM with actionable managerial charts.
  • The support team is admiringly knowledgeable and helpful.
  • Automated workflow capabilities with AI assistance.


  • Support communication methods are not defined.
  • Pricing gets costly as a stand-alone.
  • Extra charge for improved support adds to cost.


  • Dynamics 365 Human Resources –  $120 per user/month
  • Dynamics 365 Human Resources Self-Service – $4 Per user/month

4. Ceridian

CeridianWith Ceridian, the future of work will be powered by a single cloud application that combines payroll, HR, employee benefits, and workforce administration in a single platform. As a leading provider of HCM, Ceridian helps organizations deliver experiences that put people first, workforce intelligence across the entire HCM spectrum, and compliance everywhere.

Several key product areas include payroll, global payroll, on-demand pay, workforce management, time and attendance, task management, recruiting and onboarding, etc.

Key Features

  • Succession Planning
  • Payroll Management
  • Leave and Attendance Management
  • Employee Self Service


  • Ceridian integrates well with other systems.
  • One system for payroll, time & attendance. 
  • Excellent reporting capabilities for HR
  • Employee Data Mapping Rules is a very strong and useful feature


  • Reporting could be made more user-friendly.
  • Functionalities are not always consistent across modules.
  • Weekly patches can be time consuming.

Pricing: Custom pricing

5. ServiceNow

ServiceNowEmployees can create a consumer-like customer experience using ServiceNow HR Service while improving HR productivity. Employees now have one place to go for all their service needs, whether just a simple demand for information or a multi-departmental operation like employee onboarding.

Key Features

  • Case and Knowledge Management 
  • Employee Journey Management
  • Enterprise Onboarding and Transitions
  • Employee Document Management


  • ServiceNow is easy to set up and very user-friendly.
  • Artificial Intelligence (AI) allows for a great intuitive user experience.
  • ServiceNow seamlessly tracks an employee’s progress in the company.
  • It is very effective for handling repetitive tasks.


  • It is highly expensive compared to other service providers.
  • The layout of the auto email is very confusing.
  • Capacity management is a missing factor.

Pricing: Custom pricing

6. SuccessFactors HCM

SuccessFactors HCM

SAP SuccessFactors is a leading enterprise resource planning (ERP) software and database provider. Still, it is also a provider of a tremendous cloud-based human resources (HR) software package designed specifically for small and midsize businesses (SMBs).

HR/Payroll, talent administration, HR analytics/workforce planning, and individualized employee experiences are all part of the SAP SuccessFactors Human experience management suite, which helps companies and employees succeed.

Key Features

  • Talent acquisition
  • Career Development and Succession Planning
  • Benefit plan administration
  • Payroll tracking and auditing


  • SuccessFactors HCM provides a lot of HR-based analytics.
  • Supports central repository for different employees across the world.
  • The web portal of Success Factors applications is very user friendly.
  • Seamless workflow from module to module for easy navigation.


  • Lacks add-on options offered by other competitors.
  • The system all together is very slow compared to others.
  • Performance needs to be more optimized when using heavy data.

Pricing: Starts at $8 per user per month 

7. UKG Pro

UKG ProUKG Pro, one of the leading HR SaaS companies, is a global (HCM) human capital management solution enabling users to transform their businesses through HR technology by offering an international workforce experience that connects them to the world.

In addition to payroll, talent management, service delivery, surveys, and everything in between, UKG Pro offers the powerful HRCM suite you need to drive people-focused results.

Key Features

  • Additional HR capabilities (talent management, LMS, etc.)
  • Comprehensive suite
  • Reporting and analytics
  • New hire portal


  • Provide modules that positively impact the organization.
  • Create and distribute employee surveys.
  • Configure data tracking to be company-specific.
  • Spring and Fall updates in UKG Pro are excellent.


  • Receiving support for UKG Pro has been a real pain point.
  • OE configuration is very manual.
  • The response time for cases is extremely long.

Pricing: Custom pricing

8. BambooHR

BambooHRBambooHR is an all-in-one solution that contains, organizes, and analyzes employee data so that you can manage them with care. Employees are the company’s greatest asset, so handle them with care. Bamboo HR maintains a sustainable company culture, effectively drives compensation and virtual onboarding.

Powered by dynamic editing and reporting tools, BambooHR lets you manage all the information using a mobile app or website anywhere in the world.

Key Features

  • Centralized Employee Database
  • Automated Time Off 
  • Employee Self-Service
  • Applicant Management


  • Landing screen is user friendly and visually appealing.
  • BambooHR supports pay rate records per employee.
  • It provides a very useful set of auditing tools and reports.
  • It manages the personal information of employees.


  • The calendars are hard to understand.
  • There is no attendance feature for employees.
  • The API is a bit complex on the time tracking side.

Pricing :Custom pricing

9. ADP Workforce Now

ADP Workforce NowFor businesses with more than 50 employees, ADP Workforce Now, one of the best HR SaaS companies, provides a comprehensive, cloud-based talent management and human capital management solution.

As part of a fully integrated ADP Workforce Now suite, human resources, payroll, employee benefits, talent management, labor management, and HR Analytics are all incorporated into one single database. With ADP Workforce Now, HR teams can focus on their people and drive business results instead of mundane tasks like payroll and proactive compliance.

Key Features

  • Performance Management
  • Compliance Verification
  • Succession Planning
  • Recruiting / ATS


  • Onboarding is super quick and easy.
  • Taxes are calculated and paid automatically on your behalf.
  • Time & Attendance allows for easy collection of time from 35 various locations.
  • Open enrollment & new hire benefit selections are easy and user-friendly.


  • The implementation process needs to be improved.
  • Dependent and beneficiary options are limited.
  • The reports are a little hard to navigate.

Pricing: Custom pricing

10. Ascentis

AscentisIn addition to online timesheets, clock-in/out functionality, scheduling, and more, Ascentis Time is a fully automated time and attendance system. With Ascentis, you can manage all aspects of HCM for midsize companies.

These services include HR and benefits, recruiting and onboarding, talent management, time tracking, and payroll. In addition, with Ascentis HR, HR managers and employees have access to data on their mobile devices and insights into trends with deep analytics within employee metrics.

Key Features

  • Payroll Management
  • Leave and Attendance Management
  • Employee Self Service
  • Asset Management


  • Setting up users like managers is pretty decent.
  • Ascentis HR is easy to use.
  • Benefit enrollment platform and vendor file feeds.
  • Making an extremely wide variety of reports available


  • ESS portal is not APP friendly.
  • The customer support is not very responsive.
  • The benefits module is a challenge.

Pricing: Custom pricing

SaaS HR Solutions: Why Companies Should Invest in Them

An HR process is one of the essential components of a modern company, be it recruitment, payroll, performance, or promotion. A human resources SaaS solution will automate all the tasks in your organization  with zero error; it requires a high level of accuracy, and even a slight mistake can prove costly. No need to worry; incorporate one into your organization.

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It is easier to operate an organization’s entire business with a smooth flow of operations if the human resource management system is efficient. In addition to avoiding scaling difficulties and the inability to integrate modern software, businesses that use legacy HCMs can avoid issues associated with streamlined HR functions.

Modernizing the HR department of business organizations avoids risks associated with legacy systems and saves money by eliminating the need to find solutions to those issues.


SaaS HR solution simplifies the job of hiring managers by automating applications, recruitment processes, and on-the-job training. Its capabilities include personnel tracking, payroll, benefits administration, recruiting, and onboarding.

According to our research, SharePoint HRMS is the best SaaS HR system for HR managers.

Most modern human resources management systems (HRMS) are indeed SaaS-based.

Using SaaS HR, you can track employee performance automatically and in real time, analyze data using built-in dashboards and statements, and learn from your workers. In addition, SaaS HR solutions allow your HR department to seamlessly deploy new strategies and provide additional training within hours of the implementation.

Updated : November 26, 2023

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