Most of the start-ups or small businesses in the early days follow an informal approach to Human Resource management like keeping manual books and records, day-to-day logging activities. Although it may work with a small workforce, it turns out to be a nightmare with increasing workforce and in a long time.

An independent survey in 2013 found that small business owners were wasting more than four billion hours each year on admin, almost 41% were apathetic and low on energy for running their companies.

The easiest and only way out through this problem is to invest in a good HRM software that reduces daily chores and handles daily HR tasks like record keeping, payroll, attendance and much more. Many HRM software is available at low rates providing high-quality services related to employee management. Though sometimes costly, it’s a worth-having investment if you’re still having second thoughts.

This article will cover all the topics that you need to keep in mind while investing in HRM software and give valuable information on what parameters are essential to get included in a complete solution. We’ll also look at some of the HRM software that is popular currently with a brief overview of its benefits and licensing policies. By the end, you’ll surely be able to select a suitable software solution for your business needs.

Types of HRM Software

Much task-oriented software such as Performance, hiring, training is available in the market, but there are major two types of HRM Software that cover all the separate topics.

First is Core HR that deals with traditional employee management activities such as admin, employee portal, attendance system, leave request, payroll and much more. All the primary and necessary activities of small business get covered in Core HR.

Second is the Strategic HR package which contains analytics for employee reviewing, hiring and retaining the best staff for a long time overall development. Few Strategic HR analyzes the performance of employees with specific criteria.

How to choose the Right HR Software

A wide range of features are available in a complete software solution, but the more comprehensive solutions come with higher pricing. So how to choose the correct one?

Firstly, analyze your demand for services currently and in the next five years. The key features needed for a basic HR software are mentioned below. Generally, small businesses don’t require performance analysis, hiring process management and plan review in software, so it gets eliminated from your requirement.

Chat room or communication tool is nowadays a fundamental requirement of HRM since businesses are becoming more integrated and require internal employee communication. Therefore it must not be checked off.

It is necessary to narrow down your choices to two or three is the best way to make a final decision. Most of the service providers offer a free trial period, and even for those that don’t, the cost of a single month is not high.

Features needed in a basic HRM

Self-Service Options – Options like detail updates, time-off requests, service payments must be there in a basic HR Software.

Time and Attendance – Managing employee’s records and integrating with payroll, Time tracking attendance, leave records are some of the significant features. Some software also offers more detailed time to track for shift workers.

Performance Reviews – Software must keep a track record of employee’s performance to affect other factors like increment and promotion.

Reporting – Facility to analyze your employee data and create customized reports on things like employee satisfaction, attendance, turnover.

Smartphone Access – Mobile application or mobile-friendly site must be available for the employee to access from anywhere and at any time. The mobile site must be responsive to have user-friendly experience.

Some HR Softwares

Zoho People

Zoho people is one of the best solutions for employee management with it’s simple and flexible system to manage all your HR processes to give more control over your employees. It is free to use until five employees after that Zoho offers attractive monthly pricing range.

Zoho offers secure and centralized employee data storage at low prices which is appreciable. There are many other features such as:

  • Easy time & Attendance tracking
  • Performance reviews
  • Workflow automation
  • Event and mail reminders
  • User customized forms
  • Document storage and Management


BambooHR is aimed at small businesses and supports electronic signatures so that you can avoid the tedious task of getting paperwork signed and keeping paper copies. They also provide round-the-clock assistance to its clients for a more significant and much better experience. It’s HR solutions are used by companies like SoundCloud, Quora, and Vimeo.

BambooHR provides its services with a monthly subscription based on employee workforce and a one-time implementation fee. Applicant Tracking System is an additional feature that is a much-needed addition towards HR management. Features include:

  • Customized workflows
  • Easier Self Employee On-boarding
  • Electronic signatures
  • Performance Management Software (add-on feature)


Cezanne’s HR software is a Cloud-based Human Resource management solution which is easy & quick to deploy, manageable and remarkably cost-effective. Though, Cezanne’s is highly complex for small business and aims at mid-sized companies. If your business is rapidly growing, it is a better option.

Role-based security, centralized reporting, recording & tracking disciplinary processes, Online recruitment and Applicant tracking system are some of the highlights of Cezanne’s HR management solutions.


BreatheHR is a cloud-based HR software solution specifically for small and medium-sized businesses. It controls all HR functions, processes and employee data. BreatheHR lets you manage expenses, employee data, payroll, recruitment, benefits, onboarding, training, absence, workloads, performance and more.

BreatheHR offers user-friendly visibility dashboards, comprehensive analytics and extensive reporting facilities to make sure your business runs efficiently. It also offers 14-day free trial to get the experience of its HR solution.

Pricing of a basic HR solution by BreatheHR prices at $99/month for up to 100 employees and then $199/month up to 250 employees. Other featured modules like Recruitment and Recruitment Plus cost extra if included in the package.


In this article, you’ve got an overview of some of the best HR software available and what its features are. We’ve also provided you with insight on what parameters must be kept in focus while choosing a software solution for your business.

A thorough study of these HR solutions mentioned above is recommended before selecting it for business needs. Also, it is vital to research on business demands currently and work for better estimated future obligations. You can even go through free trials of this software to get a live on-hand experience. The study will help you choose the best software.