Best SaaS HR Software: Features, Pricing, and Benefits

“Customers won’t care about any particular technology unless it solves a problem in a superior way.” – Peter Thiel, German-American entrepreneur and venture capitalist.

Service-as-a-software (SaaS) is a versatile technology used in several organizational contexts. But if there is one sector it is dominating, it is undoubtedly the human resources field!

With the advent of technology and automation, HR processes are highly streamlined in the current business ecosystem. SaaS HR solutions can help organizations optimize their workforce and easily manage HR functions such as recruiting process, payroll, performance management, and onboarding.

So let’s delve deeper into the world of SaaS HR software to understand what these platforms are all about and how they can help your growing organization!

What Is SaaS HR Software?

SaaS HR software is an advanced cloud-based HR system that an independent third-party provider hosts. Many modern human resources management systems nowadays are SaaS solutions. Users need to get a license on a subscription basis and access various features to handle human resource functions.

Software as a service HR is a growing field. A survey of 260 global companies revealed that 46% of organizations use a SaaS HR management platform. In the future, the same research found that 57% of companies expect to invest in a subscription-based SaaS or hybrid HR product by 2023.

HR SaaS software is the future! It is a must-have business asset that can empower HR managers to manage key operations such as recruiting, payroll, benefits, onboarding, and compensation. It can give your organization an instant competitive advantage and lead to an exponential increase in all bottom-line results.

Types of HR SaaS Solution

It is possible to find various HR SaaS products on the market. Whether you are a gigantic company or a new business doesn’t matter. Investing in HR SaaS software can be a turning point. Below are some details about both types of HR SaaS solutions so you can choose the best one.

1. Unified HR SaaS Solution

   An all-in-one HR platform is an HR SaaS solution that handles all human resources functions. For instance, only one platform can handle recruitment, onboarding, training, payroll, etc. As a result of centralized data and automated processes, all tasks can be handled in one place.

   When all of your processes are handled by one interface, it makes moving data through the employee lifecycle much easier, reducing the risk of information silos.

   Managing all your HR processes through a centralized SaaS solution make things easier when it comes to budgeting and invoicing because you only need to deal with one vendor, which makes it easier to control costs.

2. Pure-Play Specialized HR SaaS Tools

   Another alternative is to utilize various HR SaaS tools. Among other software, you can use an applicant tracking system (ATS) for recruitment, a performance management tool for monitoring productivity, a payroll system to calculate wages and salaries, a learning management system (LMS) to handle the training, and so on.

   Dedicated platforms can be a good option for large multinational organizations with true HR professionals for every department. However, reliable platforms have several disadvantages.

   It can be complicated and expensive to buy specialized tools from multiple providers, not just on a cost basis but also on a staffing basis, since employees will need to learn how to navigate numerous platforms. Additionally, the more systems you use, the more likely silos will form.

Key Features of SaaS HR Systems

Following a brief explanation of HR SaaS types, let’s go through some of the features that you should look for in a SaaS HR solution:

1. Applicant Tracking System (ATS)

   The best applicant tracking system (ATS) will increase productivity and make the recruitment process work seamlessly. It supports you in collecting prospect information during the recruitment process. This makes your hiring manager’s job much easier by including email templates, interview scheduling, automated postings on job boards, and resume submission and pre-screening processes.

2. Administration Work

   SaaS HR solutions eliminate paperwork. All employees’ salaries, deductions, and perks allocations are calculated automatically in the payroll system, so manually entering data is unnecessary. Furthermore, employees can enter their personal information and change without involving HR.

3. Employee Self Service

   Self-service is a great administrative feature that reduces the workload of HR personnel since employees can input their information, modify, update, or delete it as needed without HR involvement.

4. Leaves Management

   Your human resource management system’s leaves management will allow you to manage highly complex leave of absence laws and time estimates. Workers can apply for leaves, review their remaining leaves, and approve or disapprove their applications employing ESS.

5. Payroll & Benefits

   By using payroll software, you save time and money by streamlining your payroll management processes. You can be sure your employee pay slips are error-free because human error is reduced. You can edit the details in real time by incorporating payroll data with time tracking, PTO, and an electronic document management system.

6. Learning & Development

   Using SaaS-based HR software, HR can arrange online activity sessions for workers instead of standard lessons, which can take time from employees’ everyday operations. You can also use this feature to train new employees and interns.

7. Performance Management

   You can supervise every element of the HR process utilizing the best SaaS HR system or HR SaaS application, which makes performance management a critical aspect of working individuals. It contributes to your group’s encouragement and productivity by tracking goals and KPIs, conducting staff appraisals, and gathering helpful 360 feedback.

How Does SaaS HR Software Differ From Traditional HR Systems?

SaaS HR software varies from traditional HR software in many ways:

1. Payment Models & Ownership

   SaaS HR systems are owned and managed by a separate third-party service provider. Users can download it to their computer systems based on their purchased licenses. Most vendors charge a subscription fee based on the number of system users instead of a cumulative software cost.

   On the other hand, traditional on-premise HR software is installed on an organization’s internal servers. Users can download it to their computer systems based on their purchased licenses. It is expensive; hence, most companies limit on-premise HR software to a limited number of users.

2. Installation & Maintenance

   Since traditional SaaS on-premise HR software is installed on a company’s servers, they need a proper IT infrastructure to upgrade and maintain it periodically. This can be quite cost-intensive and laborious; hence most larger organizations with IT capabilities invest in on-premise software.

   In striking contrast, your service provider centrally conducts SaaS HR software updates and system maintenance. Users receive continuous technical support and do not need to worry about installation or maintenance issues.

3. Location Of Software Assets

   With SaaS HR solutions, all the significant software assets are in the cloud. This makes it easy for users to operate the system from anywhere – it is location-independent as only an Internet connection is required to log in.

   You can access on-premise HR software centrally through a physical location; hence it is less flexible than SaaS platforms. However, the bright side is that users do not remain dependent on an Internet connection to access their HR software.

Why Use HR SaaS Solutions?

HR software is transforming the way organizations conduct routine employee management activities. Research shows that the global HR software market will grow to 30 billion dollars by 2030.

If you are wondering why organizations take the plunge and invest in SaaS HR solutions, here are some instrumental benefits of HR SaaS software:

1. Better Employee Management

   With an automated SaaS HR solution, your human resource team will better monitor employee performance and productivity. Most modern software as a service HR tools have advanced time tracking and attendance capabilities making it a breeze to measure employee working hours and calculate overtime wages.

2. Seamless KPI Monitoring

   One of the most significant advantages of SaaS HR software is that it can quantify key employee performance indicators and meet targets. Real-time monitoring allows managers to check if team members are on track with deadlines and provide personalized feedback to attain organizational goals.

3. Stringent Compliance

   With SaaS HR platforms, your organization can be sure of avoiding any corporate penalties for non-compliance issues.

   The system ensures strict compliance with Federal and State legal requirements to ensure you do not default on taxes, payment of wages, and other administrative functions. SaaS HR solutions automatically update all changes in the law to ensure you stay in compliance without any hassles!

4. Flexible Approach

   Companies do not have to worry about scaling up or down with SaaS HR software as it is highly customizable and scalable. This means that even if your business operations or team size increases, your service provider can always provide additional features or modules at a minimal cost – great flexibility for all kinds of businesses!

5. Smart Talent Management

   SaaS HR systems can help you attract the best talent by automating recruitment and onboarding processes. It automates the ATS’s (applicant tracking system) critical functions that save recruitment managers time, money, and effort.

   This enables your core HR department to focus on the strategic objectives of hiring the most suitable candidates to fill vacant organizational positions.

5 Best SaaS HR Software: Features, Pricing, and Benefits

It is time to jump to SaaS-based HR software – your organization can accrue phenomenal benefits and instantly increase business revenues. While there are many available automated software as a service HR products, it is essential to research the pros and cons of all options before making an informed decision.

If you are overwhelmed by the sheer number of choices, don’t worry! Here is a hand-picked list of the best SaaS HR software solutions that you should consider for your organization:

1. Freshteam

The best SaaS HR system for growing teams, Freshteam can handle various human resource management system functions such as recruiting, onboarding, performance management, workforce management, and payroll. It is an intuitive, user-friendly, and affordable platform that can help organizations attract top talent, manage HR workflows, and manage employee time off.

 Key Features

• Employee management
• Reporting and analytics
• Organizational charts
• Talent management
• Onboarding
• Candidate evaluation
• Document management

Pros

• It delivers an elaborate daily, weekly, and monthly report.
• The filters and tags help to keep stuff easy and effective.
• Lots of customization available.
• User-friendly interface & extremely easy to use.

Cons

• The mobile version needs improvement.
• The interface is buggy, and sometimes the search does not work.
• The analytics are hard to use.

Pricing

• Free
• Growth – $59.99 per month
• Pro – $99 per month
• Enterprise – $169.99 per month

2. Sage HRMS

Sage HRMS is a top-rated HR SaaS solution provider for small to mid-sized businesses, enabling managers to handle the entire employee lifecycle. To create a streamlined work environment, Sage HRMS software has advanced HR capabilities to manage time & attendance, payroll, recruiting, compensation, and onboarding. It is a navigable system that is easy to use and does not require intensive user training.

 Key Features

• Employee self-service portal
• Core HR + Leave management
• Time and attendance
• Recruitment
• Applicant tracking

Pros

• Customization of templates and dashboards.
• Employee reviews & goal setting.
• Time off policies are authentic and clear.
• It is extremely easy to use the review process function.

Cons

• A unique holiday can be challenging to set up.
• Custom reporting and history
• Setting up detailed profiles for workers can be cumbersome.

Pricing

• Leave Management – $5.50/month per person
• Performance Management – $3.00/month per person
• Shift Scheduling – $3.00/month per person
• Timesheets – $3.00/month per person
• Expenses Management – $1.50/month per person
• Recruitment Management – $200/month, unlimited persons

3. Cezanne HR

Cezanne HR is a modern and flexible HR SaaS solution provider with comprehensive features that streamline human resource workflows. Some of its core modules include applicant tracking, timesheets, performance management, and career management. Cezanne HR is highly customizable with many configuration options and provides excellent customer support.

 Key Features

• 360 Degree Feedback
• Time & Attendance
• Time Off Management
• Employee Database
• Vacation/Leave Tracking

Pros

• The payroll tracking capability is flawless.
• Workflow and easy management in Cezanne HR are exemplary.
• Effortless employees experience management.
• It generates effective and clean real-time reports.

Cons

• The tracking ability of payroll data can be very slow.
• Customer support needs improvement.
• UI is a little hard.

Pricing

• Starts from £200.00 /month

4. People HR

People HR is a popular SaaS HR system designed for small to mid-sized enterprises that can automate traditional HR functions. It can handle various HR processes, including recruitment, personnel tracking, performance review, and compliance. People HR strives to reduce paperwork and human errors through its intuitive and navigable interface.

 Key Features

• Self-service capabilities
• Absence and leave management
• Employee data security
• Performance review and appraisal
• Reporting and analytics
• Time and attendance

Pros

• The self-service of data is great.
• The reports are generated easily through the system.
• The holiday & annual leave planner is amazing.
• It is extremely affordable.

Cons

• The UI is quite basic, but it can be more satisfactory.
• The mobile app does need improvement.
• The org chart isn’t very user-friendly.

Pricing

• Professional – £5.00 per user per month
• Enterprise – £7.00 per user per month
• Elite – £9.00 per user per month

5. Zenefits

Sophisticated SaaS-based software that can empower HR teams to increase capabilities, Zenefits is a leading human resource platform. It has diverse features, including payroll management, applicant tracking, document management, and advanced report generation. Zenefits has a flexible and user-friendly interface that makes quick, seamless implementation easy.

 Key Features

• Automated Onboarding
• Payroll Management
• Time Off Tracking
• Configurable People Analytics
• Performance Management
• Employee Engagement Surveys
• People Hub

Pros

• Raising payroll is user-friendly & easy.
• Reporting & benefits administration.
• Clocking in and out is very comfortable & straightforward.
• It is extremely affordable.

Cons

• Vacation tracking for employees is a little tricky.
• Customer support is slow to respond.
• There are not many integration options.

Pricing

• Essentials – $8 / month per employee
• Growth – $16 / month per employee
• Zen – $21 / month per employee

Closing Thoughts

Human resources are the foundation for successful business organizations. Investing in SaaS-based HR software can help your organization boost productivity, operation efficiency, and revenues.

Invest in a credible service vendor for a customized SaaS HR solution to meet your unique business requirements. It is a sure-shot way to reach the pinnacle of business success and drive efficiency in all vital HR processes!

Khyati Sagar

Khyati Sagar is a seasoned HR and payroll expert with over a decade of experience in the field. She has worked with businesses of all sizes, from small startups to large corporations, helping them optimize their HR and payroll processes. As a passionate advocate for technology-driven solutions, she is always on the lookout for the latest advancements in HR and payroll software. When she’s not working, you can find her hiking or playing basketball with her friends and family.