20 Best HCM Software in 2025

Traditional manual processes, administration work, and legacy systems that once defined HR operations have been transformed with new cloud human capital management (HCM) software solutions.

To navigate modern people-related challenges, HR professionals have leveraged HCM systems, empowering HR teams to optimize their processes, enhance employee experiences, automate manual processes, and drive strategic decision-making.

HCM systems provide robust capabilities and features, including streamlined payroll management, efficient benefits administration, automated time and attendance tracking, and comprehensive employee data management. By harnessing the power of these top HCM software and systems, organizations can reduce HR burdens, enhance productivity, and foster a thriving and engaged workforce.

This article explores the best HCM software and systems on the market and provides businesses with the knowledge to make an informed HCM buying decision.

What Is HCM Software?

Human capital management (HCM) software, often called HRIS (human resource information system) or HRMS (human resources management system), is a comprehensive HR solution designed to streamline and automate various people-related processes and functions within an organization.

It serves as a central repository for employee data, provides tools and features to manage and optimize the employee lifecycle, and enables data-driven decisions regarding talent acquisition, performance management, training, and employee development – making it a focal point of HR transformation projects.

Gone are the days of managing employee records with physical paperwork, manually managing payroll processing, and relying on spreadsheets for workforce planning. HR digitalization has enabled human resource departments to streamline operations, reduce administrative burdens, and unlock the true potential of their people. By harnessing the power of HCM software, organizations can efficiently automate routine HR tasks, enabling HR professionals to focus on strategic initiatives that contribute to the company’s overall success.

From talent acquisition and onboarding to performance management, employee engagement, and learning and development, HCM software offers an integrated suite of tools designed to drive HR efficiency and effectiveness. These modern cloud solutions leverage new technology trends like artificial intelligence, data analytics, and mobile accessibility to deliver real-time insights and enable seamless collaboration across teams and departments.

HCM software takes a holistic approach to talent management, empowering HR professionals to align their workforce strategies with organizational goals.

Features of HCM Software

With HCM systems, manual HR processes and tasks are automated and digitalized to enable people teams with the time to focus on more strategic initiatives and with HR analytics and automated reporting to make data-driven decisions.

Here are key features of HCM software.

• Payroll management: An HCM enables organizations to streamline and automate their payroll management processes, improve accuracy, reduce administrative burdens, and enhance overall efficiency in managing employee compensation. The best systems include automated deductions and compliance monitoring.
• Benefits administration: HCM software provides a platform for employees to enroll in various benefits programs the organization offers, such as health insurance, retirement plans, flexible spending accounts, and more. HCM software streamlines the enrollment process by guiding employees through the available options, providing relevant information, and allowing them to make selections online. Their integrated modules for benefits administration sync monthly health plan charges directly to payroll, reducing manual data entry and eliminating errors.
• Hiring and recruiting: Modern HCMs help manage the recruiting and hiring processes, often integrating with an applicant tracking system (ATS).
• Performance management: With an HCM, people managers can set and track OKRs, conduct performance reviews with employees, set goals, and more.
• Employee onboarding: HCM software automates routine onboarding tasks and paperwork, helping new employees complete all mandatory enrollments and training.
• Workforce management: HCM software enables effective workforce management by providing comprehensive tools and features to streamline various HR processes and enable HR automation. By incorporating these workforce management features, HCM software streamlines HR processes, enhances efficiency, and provides HR professionals with the tools they need to manage the entire employee lifecycle effectively. It helps organizations optimize their workforce, align HR best practices with business goals, and create a positive employee experience.
• Time and attendance tracking: HCM software lets employees submit timesheets and expense claims quickly and easily without manual forms and authorization requests. This reduces manual effort, improves accuracy, ensures compliance, and helps HR teams gain valuable insights into workforce productivity and attendance patterns.
• Compliance management: Modern HCM software plays a significant role in supporting compliance management in different ways, such as – data privacy and security, regulatory reporting, policy management, compliance training and tracking, auditing, and monitoring. By incorporating compliance management features, HCM software supports organizations in adhering to legal and regulatory requirements, mitigating compliance risks, and maintaining ethical practices.
• HR analytics and reporting: An efficient HCM system includes reporting and analytics that helps you gain insights into significant trends affecting your HR operations, such as hiring, performance, turnover, attendance, or time off. This helps HR teams understand the root causes of any issues the organization faces and make informed decisions catering to the workforce’s needs.

Benefits of HCM Software

Here are some of the most significant benefits of HCM software for your organization.

• Enables data-driven HR decisions: By providing comprehensive workforce data, analytics, and reporting capabilities, HCM software enables HR professionals and decision-makers to make data-driven decisions across various areas of human capital management. It supports evidence-based planning, enhances efficiency, improves workforce outcomes, and contributes to the organization’s success.
• Allows HR teams to focus on more strategic initiatives: By automating manual tasks and providing employees with self-service experiences, HR professionals can dedicate more time to strategic people-related projects.
• Streamlines HR operations: HCM software streamlines HR operations by automating and centralizing various HR processes and tasks. Automation helps reduce manual administrative tasks, improve data accuracy, enhance collaboration, and enable HR professionals to focus on strategic initiatives and higher-value activities. It promotes efficiency, consistency, and compliance in HR operations, improving productivity and employee satisfaction.
• Better employee experience: HCM software drives employee engagement by providing tools and features for communication and collaboration, employee self-service, performance management and feedback, goal alignment and tracking, employee well-being, etc. These features help create an engaging work environment, foster a positive employee experience, strengthen the employee-employer relationship, and contribute to a motivated and committed workforce.
• Improves employee retention rates: HCM software helps track development and provides employee education, promoting employee retention and ultimately cutting down the cost and time of hiring new employees.
• Drives learning and development: By providing tools for learning management, skills assessment, development planning, resource management, and analytics, HCM software empowers organizations to effectively manage and deliver learning and development strategies. It enhances employee skills, fosters a culture of continuous learning, and supports the growth and development of the workforce.
• Structure performance management: HCM software provides a structured and efficient platform for setting goals, providing ongoing feedback, conducting formal evaluations, tracking performance data, and supporting employee development. Furthermore, the software enhances transparency, consistency, and fairness in performance evaluations, fostering a performance-driven organizational culture.

20 Best HCM Software Tools

With over 100 HCM systems listed on G2, creating a shortlist of potential HRIS systems that meet your HR transformation needs can be challenging. We’ve curated a list of twenty of the best HCM systems, complete with G2 review ratings, pricing information, and product capabilities.

Here are the best HCM software:

1. Workday

G2 review: 4.0/5

Pricing: Custom Quote

Workday is one of the most popular HCM software in the market now. Its real-time reporting and analytics feature, like prism analytics, helps make better business decisions. It has a myriad of application modules like financial management, human capital management, financial performance management, etc., which contribute to bringing all the Human resources activities under one umbrella.

Features of Workday HCM:

• Payroll management
• Time tracking
• Human resource management (HRM)
• Talent management
• Data analysis
• Workday skills cloud uses machine learning to automatically align talent with opportunities
• Augmented analytics surfaces insights from vast data sets
• Intelligent automation eliminates manual tasks

2. SuccessFactors

G2 review: 3.9/5

Pricing: Custom Quote

On par with Workday and one of its biggest competitors, SAP SuccessFactors is another efficient HCM software. It has the potential to manage all employee operations throughout their lifecycle in the company. Modules such as – core HR functionalities, talent solutions, analytics solutions, etc., are combined into one single Human Capital Management software.

Features of SuccessFactors:

• Employee self-service
• Position management capabilities
• Absence management
• Global benefits administration
• Global coverage and local compliance
• Integration with SAP and third-party applications

3. Oracle Fusion HCM

G2 review: 3.8/5

Pricing: Custom Quote

Oracle Fusion, the leading vendor of top HCM software, manages the employee life cycle for about 40 million workers in 14,000 organizations across 40 countries. With a single user experience and data model and seamless processes and infrastructure, Oracle Cloud HCM helps you redefine what best looks like for your people.

Features of Oracle Fusion HCM:

• Integration with other enterprise systems
• Self-service capabilities
• Comprehensive HR management
• Global compliance
• Advanced analytics and reporting capabilities
• Flexible workflow
• Mobile accessibility

4. PeopleSoft

G2 review: 3.7/5

Pricing: Custom Quote

Oracle’s PeopleSoft HCM delivers a robust set of best-in-class human resources functionality that enables you to increase productivity, accelerate business performance, and lower your cost of ownership. For core HR functions, it has modules like talent and workforce management, labor rules and monitoring, and workforce service delivery.

Features of PeopleSoft: 

• Integration with core HR systems
• Fluid user interface
• Robust financial management
• Talent acquisition
• Self-service benefits administration
• Global payroll
• Mobile expense management
• Workforce analytics and reporting
• Time and labor management
• Asset lifecycle management
• Supplier relationship management

5. Saba Cloud

G2 review: 4.0/5

Pricing: Custom Quote

Saba Cloud HCM software offers a cloud-based intelligent talent management solution used by over 2,200 customers and 31 million users in over 195 countries and is available in 37 different languages. Saba can be implemented as a complete human resources management software solution, or can also be adopted on a module-by-module basis.

Features of Saba Cloud: 

• Learning management system (LMS)
• Performance management
• Social collaboration tools
• Virtual classroom and webinar support
• Talent development and succession planning
• Compliance and certification management
• Content authoring and management
• Competency management
• Mobile learning and offline access
• Analytics and reporting

6. UKG Pro

G2 review: 4.2/5

Pricing: Starting at $40 + $4 per employee

UKG Pro (formerly known as Kronos Workforce Central) is a single automated solution that enables organizations to manage schedules, track time and attendance, comply with leave policies, and measure productivity. This Human Capital Management software is suitable for organizations of all sizes.

Features of UKG Pro:

• Time and attendance tracking
• Labor forecasting and scheduling
• Absence management
• Employee self-service
• Workforce analytics and reporting
• Task management and workforce optimization
• Compliance and labor law management
• Advanced scheduling and shift management
• Mobile workforce management
• Real-time data integration

7. NetSuite

G2 review: 4.0/5

Pricing: Custom Quote

NetSuite offers ERP software as well as Human Capital Management software. The HCM module provides a unique advantage in addressing the HCM challenges through an integrated, intuitive, flexible, and comprehensive HCM solution. It is an easy-to-use software.

Features of NetSuite: 

• Financial management
• Inventory and order management
• Customer Relationship Management (CRM)
• E-commerce and omnichannel retailing
• Project management
• Procurement and vendor management
• Manufacturing and supply Chain Management
• Revenue Recognition
• SuiteAnalytics and reporting
• Customization and integration capabilities

8. UltiPro

G2 review: NA

Pricing: Custom Quote

UltiPro by Ultimate Software is a comprehensive payroll, human resources, and talent management system that provides an end-to-end approach to people management. It can be scaled to meet the needs of companies of all sizes in various industries and provides a centralized database for worldwide workforce information.

Features of UltiPro:

• Payroll management
• Benefits administration
• Time and attendance tracking
• Talent acquisition and onboarding
• Performance management
• Workforce analytics and reporting
• Succession planning
• Compliance and tax management

9. TimeAttend by Replicon

G2 review: NA

Pricing: Starting at $8 per user per month

Replicon’s TimeAttend HCM is a cloud-based solution that makes it easy to collect attendance and time from data, which helps to process payroll accurately and ensure labor compliance for all types of employees. Employees can easily log time and get it approved from anywhere in the office.

Features of TimeAttend:

• Leave management
• Mobile time tracking
• Geolocation tracking
• Real-time dashboards and reporting
• Compliance and labor law management
• Configurable workflows and approvals
• Integration with payroll and HR systems
• Time off accruals and balances

10. CEIPAL Workforce

G2 review: 3.9/5

Pricing: Custom Quote

CEIPAL Workforce allows you to have all your employee information at your fingertips. The mobile Cloud has a great mobile app to manage employee profiles, leaves, expenses, and timesheets from any mobile device. CEIPAL Workforce automatically generates reports from the available data.

Features of CEIPAL Workforce:

• Applicant tracking system (ATS) implementation
• Vendor management system (VMS)
• Candidate relationship management (CRM)
• Onboarding and offboarding
• Workforce analytics and reporting
• Talent management and succession planning
• Employee self-service
• Compliance and background checks
• Integration with job Boards and HR systems

11. HRweb

G2 review: 4.3/5

Pricing: Custom Quote

HRweb includes functionalities for employee information tracking, leave tracking, tracking time, employee reviews, and recruitment. It is integrated with QuickBooks, which helps you become more organized by quickly retrieving all your important files from one location.

Features of HRweb: 

• 360-degree feedback
• Customizable employee profiles
• Notifications and reminders
• Performance dashboards
• Compliance documentation management
• Employee onboarding

12. Zenefits HCM

G2 review: NA

Pricing: $35 per company and $5 per employee per month

Zenefits has a series of specialized apps that lets you manage all Core HR functions such as compensation management, insurance, tax management, calculation of payroll as well as keeping employee records. The system also logs employee attendance and records time sheets designed specifically to comply with US taxation and employment laws.

Features of Zenefits HCM: 

• Employee document storage
• Employee self-service portal
• HR analytics and reporting
• Customizable workflows and approvals
• Open enrollment management
• Compliance assistance

13. Gusto HCM

G2 review: 4.0/5

Pricing: $39 per company + $12 per employee per month

Gusto (formerly ZenPayroll) is a fully-featured payroll, benefits administration, and compliance management platform. Designed to serve mainly small businesses across the United States, the software provides tools to manage core HR needs such as time tracking, hiring, onboarding, and training. Employees can complete their personal details into online accounts and track all paperwork in one central place.

Features of Gusto HCM: 

• Tax filing
• Customizable reporting
• Integration with accounting software
• Employee surveys and feedback
• Email reminders
• Automatic payroll calculations

14. Bamboo HR

G2 review: 4.5/5

Pricing: $7 per user per month

Bamboo HR offers Human Capital Management software that includes an applicant tracking system (ATS) and other HRIS software to manage all aspects of the employee lifecycle. The software also provides robust reporting and analytics capabilities, allowing HR professionals to gain insights and make data-driven decisions.

Features of Bamboo HR: 

• Applicant Tracking System (ATS)
• Customizable approvals
• HRIS software to manage employee lifecycle
• Ease of use
• Performance management

15. Zoho People

G2 review: 4.4/5

Pricing: Starting from $4.16/person/month

Zoho People is one of the most simple and flexible HCM systems that cover employee management operations, from records, time/attendance, and leave. Zoho People is integrated with the most popular Zoho productivity systems and comes with open APIs and webhooks that make it fully scalable and customizable.

Features of Zoho People:

• Employee database and record management
• Billable time rate management
• Business tool integration
• Time, attendance, and PTO
• User, role, and access management
• Tracking time to project/task

16. SumTotal Systems

G2 review: NA

Pricing: NA

SumTotal is a Human Capital Management software solution for small to mid-sized businesses across almost all industry verticals. It has a superior user experience and can be implemented without third-party vendors.

Features of SumTotal Systems:

• Personnel tracking
• Implementation without third-party vendors
• Employee evaluation
• Easy integration with other systems
• Recruitment and onboarding

17. Paycor

G2 review: 4.0/5

Pricing: Custom Quote

Paycor is a unified HCM solution that ensures employee data is in one place. It helps automate tedious work and mitigate compliance risk. It also helps managers better understand your business with robust analytics and insights.

Features of Paycor: 

• Compliance and reporting
• Employee self-service portal
• Analytics and insights
• Mobile app access
• HR management
• Benefits administration

18. Rippling

G2 review: 4.8/5

Pricing: Custom Quote

Rippling combines all of the workforce systems normally scattered across a company, like payroll, expenses, benefits, and computers. Every part of the employee lifecycle can be automated using Rippling.

Features of Rippling:

• Pre-tax deductions
• Enrollment planning
• Self-service portal
• Benefits record management
• User, role, and access management

19. Viventium

G2 review: 4.5/5

Pricing: Custom Quote

Viventium is a SaaS-based human capital management solution that provides a remarkable user experience. It is a flexible and easy-to-use software. It also comes with expert guidance so clients can be sure their payroll is done right.

Features of Viventium:

• Tax calculation
• Payroll entry
• Reporting and dashboards
• Time off
• Compliance and reporting
• Talent acquisition and onboarding

20. Paylocity

G2 review: 4.4/5

Pricing: Custom Quote

Paylocity offers a flexible and scalable solution for efficient HR and payroll management. Paylocity can easily be integrated with other software, making automation and task management easier. Additionally, onboarding documents can be pulled automatically from the onboarding application to the web pay application with Paylocity.

Features of Paylocity:

• Automatic Tax Payment
• Tax filing
• Tax Calculation
• Web Portal
• Mobile Accessibility

How to Choose HCM Software

Here are a few considerations when choosing the right HCM software for your business.

1. Your business size and industry

HCM vendors design HR solutions for specific use cases. For example, Workday, SuccessFactors, and UKG are all enterprise HCM systems intended for large organizations of 1,000+ employees. Smaller HCM vendors like Gusto is perfect for a small sized business, while Bamboo HR is a great HRIS for medium-sized and growth companies.

Additionally, organizations in different sectors require specific HCM needs. The healthcare industry requires a higher level of compliance among its employees, with vendors like Oracle and Workday both having specific healthcare HCM solutions.

2. Your HCM requirements and needs

When evaluating potential HCM software vendors, consider your current and future needs. You need to think about how this software can support you in the near and long term. Some HCM providers may offer a boost to your business processes now but won’t be able to scale and adapt as your company evolves.

What are your biggest current needs? Is it benefits administration and payroll or performance management and L&D? Different HCM vendors provide capabilities designed for specific use cases or can come “per module”. Knowing the most important capabilities will help you short list your HCM vendors.

3. Compliance and security

Compliance and security are two critical criteria when selecting an HCM software partner.  Depending on your company’s size, you may face multiple regulatory bodies with rapidly changing requirements, and your HCM software must be able to meet them. Failure to meet compliance requirements can result in costly penalties for your business.

Also, security risk is an important consideration when choosing HCM software. Whichever HCM platform you choose will handle sensitive information that must be secure at all times.

4. Evaluate HCM vendor history

You can learn much about an HCM system provider by evaluating their past.

Examine the histories of any prospective vendors to see how they’ve treated their customers, how they’ve invested in innovation, and how they’ve grown in their market. This information can give you a glimpse into how they might operate in the future.

HCM Software Clicks Better With Whatfix

The path to implementing a new HCM system can be difficult, but proper planning can make the journey smoother. Choosing the right team and technology and carefully preparing for a rollout is key to getting the most ROI on your company’s new HCM software.

With a digital adoption platform (DAP) like Whatfix, organizations can support an HCM implementation and ensure its long-term success by enabling end-user employees with in-app guidance and self-help support to drive adoption and provide continuous performance support.

Whatfix’s no-code editor empowers HR leaders and IT teams to create product tours and checklists to help onboard employees to the new HCM, create in-app pop-ups and beacons to draw attention to certain modules and embed a self-help wiki that populates with common FAQs on how to best use an HCM platform.

Whatfix’s Analytics provides in-depth product and user analytics to map user journeys, identify dropoffs and friction points, segment your HCM users into cohorts (think people managers vs new employees), and understand overall HCM adoption levels.

Whatfix DAP for HCM unleashes the full potential of your new HCM or HRIS suite. Whatfix drives your workforce’s HCM adoption with personalized onboarding, in-app guidance and training, and real-time support that’s contextual to the role of each employee.