HR Software for Small Business

This article was written by Kyle Lagunas. Kyle is the HR Analyst at Software Advice. He keeps his audience up to date on important trends, technology and best practices in the world of human resources. Focussed on offering a fresh take on points of interest in his market, he’s not your typical HR guy.

In the past, HR professionals in small businesses had been reduced to relying on a haphazard system of spreadsheets and paper records for managing their core employee information. With the emergence of web-based and software-as-a-service (SaaS), though, small-to-mid-sized businesses (SMB) have a more cost-effective way to access the HR technology that was once only available to big-budget enterprise businesses. Human resources management systems (HRMS), being an example.

The number of vendors offering HRMS solutions to small businesses continues to grow, and many HR people are often left feeling like fish out of water when it comes to these powerful software solutions. Because finding the system that’s right for your organisation can be a serious challenge, I put together a list of a few of the more popular HR systems for small businesses. It’s not an exhaustive list. Rather, think of it as a starting point.

ActionHRM HRMS
ActionHRM delivers a powerful punch for automating a broad range of HR functions in its web-based HRMS. Having served the SMB market for over 10 years, the folks at ActionHRM understand that small businesses have very diverse needs. As such, they offer three different packaged options – ranging from Basic to Enterprise – for scalable functionality. Its intuitive interface is one of its strongest features, as it’s easy to learn and easy to implement.

BambooHR
Fact: HR professionals are better known for their people skills than they are for their technological aptitude. BambooHR’s web-based HRMS is changing this by focusing on a simple solution that automates your most essential HR functions. It also offers scalable functionality for deeper integration via partner programs. It’s straightforward and users rave about how easy it is to use. It’s ideal for organisations with 50 to 1000 employees.

Sage Abra HRMS
Sage Abra is a widely popular solution committed to understanding and responding to the needs of its customers. Their HRMS solution – available as a hosted solution or installed on site – offers a feature rich suite of applications to automate and enhance any number of HR processes. Sage Abra is designed for organizations with 50 to 5,000+ employees. Combined with its scalable functionality, it’s a great choice for organisations planning for growth.

Comparing Systems: From Basic Needs to Bells and Whistles
When comparing HR systems for your small business, there are a few key items that you should take into consideration.

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Each HRMS offers different applications and modules for varying degrees of process automation. And while some HR systems boast across-the-board functionality, you should focus more on what your organisation really needs, rather than getting lost in all of the bells and whistles. Here are a few of the core functions most small business HR departments are looking for, as well as a breakdown of who offers what.

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*BambooHR partners with a number of other HR technology providers, integrating their best-of-breed applications to offer extended funtionality to its users.

Of course, this is nowhere near a comprehensive list of HRMS options for the SMB market, but it’s a good start. What other systems are you using? Any pro tips for your fellow HR professionals?