Useful Tips You Should Know Before Buying HR Software

Automation has changed the way organizations operate, making quick and simple tasks that used to be both labor intensive and time consuming. It has affected every facet of the business landscape, making organizations more competitive than ever. Automation comes in the form of solutions, among which are HR software, the benefits of which just cannot be overstated. 

HR Software Buying Tips

So what is HR software? To say that HR solutions are beneficial to HR departments would be an understatement. They have become indispensable tools, on which many businesses have come to depend. These products automate practically everything in the HR office, from time and attendance to running payrolls, with more advanced systems even boosting employee productivity through engagement. The HR software market has been transforming, fueled by technologies such as mobile apps and analytics, among many others. These innovations, resulting from the demand from millennial users, have led to more companies’ adoption of such tools, increasing the market’s worth to over $14 billion. Here’s a quick walk-through on the basics of HR software solutions.

In this article, we will present you with tips before buying HR software. By the time you’re done reading, you should be able to decide for yourself what’s the best tool for your company. Examples of these products will also be provided to give you more information on what benefits can be derived from their use. 

For companies who are purchasing their very first HR software, top brass could be just a little too eager to dive into the HR automation pool. After all, these tools are all over the place, with vendors willing to throw in anything and everything just to close the deal. For HR personnel, the mere thought of automation in itself warrants excitement, a boon for any HR worker. 

Sorry to burst your bubble but purchasing an HR solution just cannot be rushed. The investment that these tools entail are quite considerable and you don’t want to end up wasting money on a system that does not provide your HR needs or worse, adversely impacts your existing processes, which could spell trouble for your organization. There are certain things to consider when purchasing HR platforms, which when followed to the letter could ensure that you’re investing in the right tool. You might also check out a HR software comparison list prepared by our team before you proceed.

What Are Some Good Tips Before Buying HR Software?

Before joining the HR software bandwagon, you might want to take into account factors that could influence your tech investment. Contrary to what many believe, purchasing a piece of software doesn’t end with money leaving your coffers and you receiving the product, a lot of things come into play that you should be aware of. The following section presents tips before buying HR software. Read on to learn more about them.

What are some good tips before buying HR software?

1. Evaluate HR Tools

First on our list of tips before buying, evaluating HR platforms before committing to a vendor is always good practice. Gaining good understanding of a system is equitable to knowing features, customization and determining value through pricing. There are many software review sites that can provide you with useful information about such tools.

Job posting is one of HR software’s key functionalities

2. Will The Tool Provide Your Needs?

One should check if an HR software’s features can blend well with your requirements. Familiarize yourself with the different functionalities that come with the product. Prepare a questionnaire relevant to the use of the tool if you prefer. Seeking answers to such inquiries is much better than diving straight into a deal.

3. List Organizational Requirements and Expectations

Although seldom the case, prospective software buyers should set realistic expectations when eyeing a particular HR platform, keep in mind that these solutions are no magic pill and will not resolve your HR problems overnight. However, setting detailed system specifications may help HR software address your needs as most of them are highly-customizable.

4. Watch Demos Where Available

Demos are very valuable when it comes to evaluating HR systems. With demos, you can get to have everything you need from such a tool as they provide you a detailed view of the product’s features. Demos can be arranged by contacting software vendors even from your premises. They involve vendor visits where a product’s benefits are presented but system setbacks are left for you to find out on your own.

You can also run payrolls with HR platforms

5. Come Up With A Shortlist of Vendors

Researching the market for HR systems is highly-recommended, along with the tools that your competitors use. These allow you to determine whether a tool is the right one for your company. HR software vendors can likewise provide you with information about their products. From these, you can weigh their pros and cons, which could lead to a sound purchase decision.

6. Go for Value Additions

A software’s benefits should not be limited to its features and basic benefits. This is due to the fact that determining cost savings during platform implementation could prove to be difficult, hence, the need to focus instead on value additions. Such can be achieved by aligning and streamlining company goals with corporate vision, seeing the problems and challenges that implementation poses and what a platform can do for the company.

7. Expect Price Changes During Implementation

Pricing changes are bound to occur during system implementation. Price differences should be identified along with the details of extra fees, when they are charged. Despite software and customer support having fixed pricing, installation costs associated with fees and additional hardware can bloat your bill.

HR solution dashboards make all needed tools readily accessible

8. Know the Terms of Contract and License

Before they offer value-additions, software vendors would give priority to their interests, a sad but understandable fact. This is why prospective buyers should thoroughly read and understand any software licensing agreement before committing to one. Contracts should clearly lay out and define license terms and conditions and if necessary revisions and additions demanded.

9. How Much Are You Willing to Spend?

For large businesses, the question of financing the implementation of an HR system may not warrant discussion. However, for small businesses, knowing industry trends and the things needed from such a product is just as important as the budget. Doing so would ensure that your organization will get the right tool at the right price.

10. Avoid Installation, Implementation and Escalation Issues

For worry-free HR software shopping, looking for providers who have experienced and competent IT personnel is the way to go. If ever you encounter system issues after the installation, technical support teams should likewise be available at all times. You should also ask the vendor if it guarantees repairs and how long does it usually take to resolve such problems. In the event that answer to these do not satisfy you, you may want to move on to the next provider.

Strategic business goals can be set and achieved with HR software

Examples of HR Software

Searching for the right HR application could take some time, especially if it’s your first time to shop for one. Here, we provide you with a list of HR solutions that come highly-recommended. Their features, functionalities and pricing will be discussed in detail. Here are our picks:

1. BambooHR

Popular online HR software BambooHR is highly-suited to small and medium-size companies. The app, which comes in subscription-based pricing are targeted at businesses whose employees number between 50 and 500. It is capable of managing staff administration and recruitment. Valuable features such as time off and applicant tracking and payroll and leave management allow users to save time and focus on more pressing matters. Categorized reports and customized workflows are likewise possible with the system. It supports third-party app integrations and eSignature. You can easily try its features at no cost to you when you sign up for a BambooHR free trial here.

What’s even better is that the tool can provide users with visibility into employee retention and turnover with the use of strategic indicators. Its user interface sports a sleek design, from which all HR processes, employee data and reporting features can be accessed. And because it follows performance using a stripped-down mechanism, it is definitely ideal for growing businesses. The system is likewise suited to decentralized and remote teams as its apps can run virtually on any device and operating systems.

Bamboo HR pricing details are not publicly available. Contact the vendor to get a customized quote.

2. Zoho People

Zoho People is a widely-used HR management software that is designed to cater to the needs of small and medium-size organizations. It showcases a myriad of features and apps that include leave, time and attendance, and workforce management, all accessed from a single console. It is both a money and time-saving piece of software that also promotes employee collaboration. Want to check its features before subscribing to a plan? You can easily sign up for a Zoho People free trial here.

The best feature of the app is its ability to control all HR processes from a single hub, which at the same time allows easy access to valuable resources. It likewise enables employees to report times, request time-offs or check schedules from their mobile devices. This in turn encourages improved worker performance and subsequently, increased productivity. Zoho People also syncs with other apps, getting rid of the need to manually enter data.

Zoho People is available in a variety of pricing models, which include a free version. Its Essential HR plan comes at $1/employee plus tax or $0.83/month plus tax (billed annually). A Professional package comes for $3/employee plus tax or $2.5/employee per month plus tax (billed annually). Its Premium plan costs $3/employee plus tax or $2.5/employe per month (billed annually). Finally, the Enterprise package is priced at $5/employee plus tax or $4.16/employee per month plus tax (billed annually).

3. Freshteam

Employee productivity suite Freshteam is an HR solution developed by vendor Freshworks. It is rich in features and functionalities, able to manage different processes, which include CRM, employee recruitment and applicant tracking. Using the software, you get to have total control over your recruitment process without compromising candidate quality. It also acts as a fully searchable database, providing safe storage for all your information. For businesses that are looking for an HR tool with robust recruitment and tracking functionalities in a singular solution.  It is highly recommended that you check the features first before committing to a plan. This is easy when you sign up for a Freshteam free trial here.

With Freshteam job postings can be designed and described according to your needs as well as shared on online portals and career websites. It is mobile optimized and can be used in conjunction with social media platforms like Twitter, LinkedIn and Facebook. If you require automated candidate screening, the solution can do it for you by automatically parsing and populating candidate profiles.

The product is being offered in three pricing packages, which include a free version. Its Blossom package costs $50/month. A Garden plan is available for $100/month while its Estate package can be bought for $200/month.

4. Gusto

A total HR platform, Gusto provides users with functionalities that include HR, payroll and benefits management and compliance. It is highly-suitable for small businesses, offering companies powerful HR automation capabilities and an interface that is easy to use. Key features that are bound to help any HR department such as payroll tax computation and payment through check or direct deposit, compensation insurance and 401(k) also come with the system.

The app is the tool of choice for many US organizations, with over 60,000 companies depending on the system for their payroll needs. It offers health insurance in 17 US states, including Arizona, California, Florida, Georgia and Illinois, among many others, with more states in the pipeline. The platform excels in local and federal state tax computation, payment and submission, effectively preventing errors.

Perhaps what makes Gusto a very popular tools is the fact that it comes in a single pricing model, which starts at $39 plus $6 per person. This package comes with all needed features and add-ons like health insurance, other benefits and HR tools. You can easily sign up for Gusto free trial here.

5. Trakstar

Cloud-based employee performance evaluation tool Trakstar is designed for use by local government offices. It has capabilities that include performance tracking, feedback provision and goal management, to name but a few. In appraising staff performance, the system uses succession planning and goal management. It also sports management tools that can suit all types and sizes of businesses. What’s good about the solution is that access to employee evaluations is not limited to management with staff getting access to the same. If you want to assess if this software is right for your business you can easily do so when you sign up for a Trakstar free demo here.

The platform promotes paperless working environments, enabling users to focus on more pressing tasks. You can also measure performance by formulating questions and rating them. Feedback is facilitated by the solution’s tracking functionality in real time, which can be used in coming up with data-driven business decisions. Goals can also be set together with individual time frames, allowing for the alignment of employee goals with those of the company’s.

Trackstar is priced depending on an organization’s number of workers. A price calculator that provides pricing information is available on the vendor’s website.

6. ZipTiger Recruit

ZipTiger Recruit provides HR teams and recruiters with a 360-degree recruitment management platform designed to help attract promising individuals and easily identify the most qualified talents. This cloud-based software provides you with complete control over the entire recruitment journey, from posting job listings to hiring the best candidates from your pool of talents. Staffing agencies can also utilize ZipTiger Recruit to effectively manage their staffing requirements and present a neatly organized shortlist of candidates that meet the qualifications and standards for each job vacancy.

Designed to simplify the recruitment process, ZipTiger Recruit features automated notifications for both candidates and recruitment teams. With this, you can rest assured that no candidate falls through the cracks and your team is aware at all times for any important updates. Coupled with its assessment functionalities, ZipTiger Recruit effectively speeds up the assessment stages and shortlist candidates much faster.

The platform comes equipped with tools for scheduling interviews, bulk actions for grouping candidates, interview checklists, talent assessment, reporting, and more.

Now that you’re done going through these tips before buying HR software, shopping for one should be easier for you. But if you feel that you need to know more of these tools, this top 20 HR software guide will walk you through some of the most popular solutions in the category.

Emily Watson

By Emily Watson

Emily Watson is a human resource management expert specializing in workforce planning and HR development. Throughout her years in the industry, she has also dabbled in career path development, employee training, and workforce management. In her four years as a contributor for FinancesOnline, she has reviewed over a thousand HR tools ranging from recruitment platforms to unified human capital management suites. She has also created in-depth analyses of emerging HR technologies and trends to provide companies worldwide with the data they need to keep up with industry shifts.

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