How to Choose the Right HR Software [Buyer's Guide 2024]

A complete buyer's guide on choosing the best HR software. Discover what key features to look for, which steps to take & much more.
Table of Contents

Learn how to choose the HR software of your dreams to enhance your ability to recruit and retain top talent. 

HR software is a widely used tool that helps companies reduce manual tasks and costs. But it also streamlines the way your HR department runs, leading to better productivity and efficiency.

So why is it that so many companies (22%) have an HR tech plan in place but have not implemented it? Because they don’t know how to choose the right HR system. 

It’s no surprise — the selection process is a difficult one, especially if you don’t really know what to look for. Besides, with so many options, how can you choose one when they all promise great things? 

We’ve created this buyer’s guide just for this reason. Learn how to set your selection criteria so you can find the perfect tool for your HR team’s needs. 

Woman choosing HR software

What is HR Software?

Human Resources (HR) software is subscription- or cloud-based software many companies use to manage, optimize, and automate HR-related tasks, such as employee information management. 

These digital solutions work hard to streamline daily HR processes and increase the efficiency and productivity of HR departments. Instead of wasting time doing the same repetitive administrative tasks, HR professionals focus on more productive efforts. 

Plus, since the tools are highly customizable, they can suit any company’s unique requirements, wallet, and business goals. 

But how exactly do they work?

How Is HR Software Used?

The main purpose of HR software is to replace paper documents and assist with: 

  • Keeping employee data updated and organized 
  • Tracking time and gauging employee satisfaction 
  • Monitoring data and creating custom reports
  • Giving feedback in real time and tracking employee performance
  • Streamlining administrative work and creating new workflows
  • Managing benefits for better employee engagement

In a nutshell, it makes HR management’s life easier through automation. Plus, it keeps your people’s data fresh and up-to-date, which enables better collaboration. 

As a result, the HR department can focus on more profitable HR tasks without getting bogged down by time-consuming processes. Yes, an HR platform has plenty of benefits. Let’s take a look at them. 

What Are the Benefits of Using HR Software?

The sad reality is that one in every three new hires will leave a job in the first 90 days if the employee onboarding experience is bad. One of the causes could be a lack of HR technology that would make recruiting new employees easier and more efficient.

However, HR tools are more than just recruiting software. While businesses have many different needs and wants, they all want the same HR benefits: 

  • A boost to employee experience and morale: New HR software improves communication between departments, especially since it’s an app where team members can collaborate. As a result, it’s easy for people to find info about their payslips, holidays, etc. 
  • All data stored in a single place: HR departments using paper-based docs stored in filing cabinets do themselves a great disservice. An HR system gathers your scattered data in one place so it’s easier to search through it. 
  • A streamlined HR workflow: By using automated workflows, you can perform HR-related tasks without fearing bottlenecks. Moreover, you can track the status of each document and process, so you stay on top of things every time. 
  • Improved decision-making: Aside from saving costs, HR tools also allocate resources more efficiently. It saves you time and your HR department can make accurate and timely business decisions. 
  • Secure staff data: HR departments work with personal data, so it’s important to have security measures in place that prevent the risk of cyberattacks.

In conclusion? Using HR software significantly improves the way you handle your employees’ data and makes their experience better. As a result, you’ll have a more efficient department that can focus on what truly matters: its people.

How to Choose the Right HR Software

There are plenty of software providers out there that will try to charm you with flawless benefits administration or seamless payroll processing. But what if it’s not what you need? 

While it’s tempting to choose the first software program that promises you the moon, you should take the time to go through the following steps.

Step #1: Assess your needs

Any software selection process begins with evaluating your organization’s needs. Think of what you’re trying to solve by implementing such a solution. Do you want to streamline your new-hire onboarding process? Or improve your talent-assessment procedures? 

Assessing your workflows closely will allow you to see where your employees encounter bottlenecks and what you can do better. 

To get a clear picture, here are some questions you can ask yourself: 

  • Are you currently using another HR system but it’s falling short?
  • What are your HR department’s most common challenges? 
  • Are there any time-consuming HR processes?
  • Are your employees satisfied with the current solution? 
  • What is your budget and what is the return on investment (ROI) you expect? 
  • Is your team tech-savvy or will they struggle with onboarding? 
  • What are your organization’s policies regarding data security? 

Step #2: Identify your must-have features

We all have a wishlist of what we want most. Maybe it’s a new Apple product or a fancy shirt — the world’s our oyster.

When it comes to choosing your HR solution, it’s no different. After you’ve identified your requirements, it’s time to start hunting for the functionalities you need. 

So, this critical step involves creating a list of your must-have features and making them a priority when evaluating HR solutions. Here’s a small list of the features you definitely need (we’ll talk more about them later): 

  • Employee self-service: Born to improve employee productivity. 
  • Analytics and reporting: To gain insights into employee turnover, absenteeism, etc. 
  • Recruitment management and onboarding: Helps remove hiring stress. 

One of the most critical non-negotiable features is integration. With this handy feature, you can access your data directly in the tool you’re working in. 

For example, Guru’s HRIS sync automatically connects employee data from your HR software, making it accessible from anywhere else you’re working—no context-switching necessary. Thanks to enterprise AI search, Guru gives you instant answers to your HR queries right in your workflow. 

After making this list, narrow down your options until you find the tool that meets your requirements. Be careful, though. HR software is always evolving; plus, many solutions probably offer every feature on your list, which means more cost.

Try to find a tool that solves your current shortfalls — and see later on if you must expand. 

Step #3: Assess your budget

After prolonged evaluation, you’ve finally found the tool that seems perfect. However, when you look at its price tag, you cringe. It’s way more expensive than you’ve thought and you realize you don’t have the money for it. 

That’s why this step is so important. You’ll have to set a budget for the new software before you make a costly mistake. 

So, consult with key decision-makers, like the finance, management, and HR departments. Together, you can create a budget that keeps your expectations realistic. 

Keep in mind that the price of HR software depends on factors like business size, features, and the pricing model. Think carefully about how much you’d like to spend on the new toy, but also don’t forget about additional costs. 

For instance, some tools have migration and implementation fees that can add up to the upfront costs of the software.

Step #4: Create a list of vendors

The HR software market is full of good solutions that help businesses meet their goals, and it’s predicted to be worth $62.5 billion by 2032

The only downside is that there are too many solutions available, making it harder for you to choose the right one. But this is why we’re here, to tell you what you can do to make the selection process easier. 

When it comes to evaluating software providers, you can start by checking out buyer’s guides (like this one). These informative articles compare the top HR tools to one another, so you can clearly see which one’s the best for your use case. 

To aid you, here’s what you can ask yourself: 

  • Can you afford it? 
  • What is the tool’s top feature? 
  • Which are the top options for your use case?
  • Does the tool meet your needs and standards?
  • What do customers have to say about it?
  • Which are the best-rated tools in your category? 
  • Is it easy to use and navigate or does it hinder user experience? 
  • Does it have a free trial or demo? 
  • Is it suited for small businesses or big enterprises? 

Answering these questions will help you trim your list, bringing us to the next step.

Step #5: Create a shortlist

You have a huge list of HR software systems that meet your needs, fit your budget, and have the features you want. But you’re not getting closer to finding an answer. 

Well, this is where this step comes in handy. Now that you have all the info you need, it’s time to narrow down your options till you only have a handful (three to five). 

During your research, you most likely already have a few solutions in mind that made a good impression. It’s not a bad idea to compare them again to your list of must-have features and your budget before testing them. 

Don’t know how to do that? Here are a few tips: 

  • Read reviews: Go on trusted review sites like G2 or Capterra and see what people have to say about the tools. 
  • Look for case studies: Most HR software vendors have case studies that show how they solved people’s problems.
  • Ask your teammates: What do your peers think would fit best with your business? Use their feedback to aid your decision-making efforts. 
  • Contact a sales rep: If you have any questions or concerns about the tool, don’t hesitate to contact the vendor directly.

Step #6: Test the shortlisted tools

Got your shortlist ready? Awesome! Now, it’s time to put them to the test.

Plenty of HR software solutions have demos, free plans, or trials that you can take advantage of to see how they perform before you commit. While a tool might look good on paper and in screen captures, maybe it’s not as intuitive as you thought. 

Seeing it in action and getting hands-on experience will help you decide if it's worth the money. You can test it yourself or ask your HR department to take it for a spin (or both). 

Your HR people’s feedback should highly influence your final decision. 

Step #7: Select HR software

Finally! The time for making a decision is nigh. While you might feel confident in your choice, is your HR department on the same wavelength? Do they feel the same?

Maybe your team is not as tech-savvy as others and they’re afraid of using such a tool for the first time. In this case, it’s important to clearly tell them that you’re implementing a new HR tool and to invite them to speak about their concerns with someone in charge. 

Moreover, some vendors have onboarding and training resources that let your employees learn the tool. Make sure they familiarize themselves so you can properly integrate the tool into their operations. 

So much talk about features, but we’ve yet to explore them. Let’s fix that.

What Features to Look for in HR Software

Any HR software has plenty of cool features like performance management, analytics and reporting, and learning and development. But what are the top features an HR tool should have? Well, start with these: 

  • Employee self-service: Is your HR department often bombarded with too many employee requests about payslips or vacation requests? A self-service portal can solve these problems and boost productivity by letting employees view PTOs or clock in and out on their own. 
  • Recruiting and talent management: Acquiring top candidates is an arduous process. And then you must fight hard to keep them in your company. A good HRIS software tool simplifies hiring and removes the stress associated with it. 
  • Payroll systems: Getting lost in mathematical calculations or even forgetting to pay your employees on time is easy. HR solutions with payroll functionality can help you handle taxes and pay stubs without hassle, significantly reducing your workload. 
  • Integrations: It’s pretty counterintuitive to constantly switch between apps while you’re working. That’s why your chosen HR tool should play nicely with your existing systems. Take Guru, for example. It seamlessly connects with your HRIS to automatically populate fields in employee profiles and create a single source for employee data. 
  • Benefits administration: This is another key feature of HR systems as it allows you to carefully manage employee benefits, such as health insurance or performance bonuses. It’s critical for maintaining goodwill in your company and increasing retention rates. 

One more thing. With the increasing popularity of artificial intelligence (AI), more HR systems will use it to eliminate resource-intensive processes and repetitive tasks. 

According to Gartner, 76% of HR leaders believe their organizations must adopt AI solutions in the next year or two if they are not to lag behind. So look for solutions that already use AI to simplify your work. 

Enough about features, though. Let’s see some of the best HR software currently available. 

5 Tools to Consider in Your HR Software Selection Process

There’s a lot of planning and research involved when it comes to choosing the right HR software. The chosen tool should meet your business needs and should carefully integrate with your workflows.

Otherwise… 😬

Now that you know which features to pay attention to, it’s easier to select the perfect HR software solution. Our carefully selected options also help.

1. BambooHR

BambooHR is a user-friendly platform that automates key HR tasks such as employee database, payroll, and onboarding. 

Source: G2

This solution helps you quickly find, hire, and onboard top talent. By using a robust applicant tracking system, you can create engaging experiences for your new hires from day one. 

Moreover, BambooHR enhances employee experience and performance by creating a thriving environment. The tool can measure employee satisfaction and gather relevant feedback to ensure employee well-being.

See what users have to say: 

“I love the ability to automate and organize performance reviews, evaluate the work culture, and keep everything HR-related in one place.” 

Plus, BambooHR integrates with Guru! 

2. Gusto

Gusto offers an online payroll and HR solution that helps your HR staff with tasks like benefits, hiring, resource management, etc. 

Source: G2

Its main purpose is to make payroll effortless by automatically filing your taxes and identifying tax credits, which might save you money. Plus, Gusto syncs your team’s PTO, hours, and holidays with payroll, so you have all you need to keep employees happy.

The tool has a simple onboarding process, making it easy to understand and use.

Customers say: “Its interface is clean and easy to navigate, and we appreciate its knowledge base of resources to help us stay compliant…”

And, Gusto integrates with Guru.

3. HiBob

HiBob is a modern HR platform that automates the way HR departments work and drives more engagement and productivity. 

Source: G2

You can customize the tool based on the way you operate, whether that’s on-site, remote, or hybrid. 

What people appreciate is “the simplicity of the product. It’s so easy to store employee data and add custom fields for whatever extra info you need to add.” 

HiBob helps you manage your Core HR processes, showing you critical info about your employees, such as birthdays, who’s sick, work anniversaries, etc. 

And guess what? HiBob integrates with Guru!

4. Rippling

Rippling provides a workforce management system for a company’s payroll, expenses, benefits, and devices. 

Source: G2

Rippling is simple. “I think my Grandma could use it, it’s so easy.” Users can quickly find what they’re looking for, whether it’s paystubs or PTO requests. 

Moreover, this HR solution automates all your operations and keeps them in one place, from onboarding to offboarding. 

Overall, Rippling does what all HR software does. It helps you pay employees on time, manage the team’s benefits, handle performance reviews, and keep track of time and attendance. 

You can get the best of both worlds by using Rippling and Guru together.

5. TriNet

TriNet is an HR, payroll, and outsourcing platform suitable for small and medium-sized businesses in any industry. 

Source: G2

It offers plenty of HR functionalities that solve many time-consuming tasks, such as risk mitigation and compliance, payroll, and human capital expertise. 

“I like how easy it is to reach a real person through their customer support if an issue arises,” says one reviewer. But people also appreciate the tool being easy to use and how it manages the entire employee lifecycle. 

In addition, TriNet allows you to take care of payroll and employee benefits from a single dashboard. Since it also automatically syncs data across the platform, it leads to fewer errors and more optimized operations.

Try TriNet and Guru together today.

Over to You

So, how are you feeling? Like you can tackle anything? 😊 We hope so. 

This guide definitely helped you learn how to choose HR software that suits your business needs. So don’t be afraid to follow these steps and find the right HR solution for you. 

But why not also take Guru along for the ride? 

Guru is an AI-powered search, intranet, and wiki tool that’s ideal for giving teams fast access to the info they need daily. It gives the HR department a single, trusted platform to centralize policies, checklists, and handbooks so they can work smarter and faster. 

Give it a chance — sign up for Guru today.

Frequently Asked Questions (FAQs)

What are the different types of HR software?

Different types of HR software help you automate core HR tasks, including: 

  • Human Resources Information System (HRIS) to centralize information.
  • Human Capital Management (HCM) for achieving business goals.
  • Applicant Tracking System (ATS) to aid your recruiting efforts.
  • Human Resource Management System (HRMS) for better process optimization.
  • Performance management software for handling performance reviews.
  • Learning Management System (LMS) to aid learning and development of employees. 

How much does HR software cost?

HR software can cost from $25 to $80 per month.

A report from Software Path, however, stated that the average cost of HRIS systems is around $12,625 for each user or $210 per user per month. 

The cost of HR software can vary depending on different factors, such as the size of your organization, the pricing model, and the specific features and functionalities you need. 

How do you choose between HRIS and payroll software?

HRIS and payroll software have different roles. HR platforms manage many aspects of the HR department, such as recruiting, training new employees, or talent management. 

Payroll software, on the other hand, only takes care of paying your people and issuing invoices. 

So, choose a payroll solution if you need to automate payment. If you want to manage more aspects of HR, then you need an HRIS.

Learn how to choose the HR software of your dreams to enhance your ability to recruit and retain top talent. 

HR software is a widely used tool that helps companies reduce manual tasks and costs. But it also streamlines the way your HR department runs, leading to better productivity and efficiency.

So why is it that so many companies (22%) have an HR tech plan in place but have not implemented it? Because they don’t know how to choose the right HR system. 

It’s no surprise — the selection process is a difficult one, especially if you don’t really know what to look for. Besides, with so many options, how can you choose one when they all promise great things? 

We’ve created this buyer’s guide just for this reason. Learn how to set your selection criteria so you can find the perfect tool for your HR team’s needs. 

Woman choosing HR software

What is HR Software?

Human Resources (HR) software is subscription- or cloud-based software many companies use to manage, optimize, and automate HR-related tasks, such as employee information management. 

These digital solutions work hard to streamline daily HR processes and increase the efficiency and productivity of HR departments. Instead of wasting time doing the same repetitive administrative tasks, HR professionals focus on more productive efforts. 

Plus, since the tools are highly customizable, they can suit any company’s unique requirements, wallet, and business goals. 

But how exactly do they work?

How Is HR Software Used?

The main purpose of HR software is to replace paper documents and assist with: 

  • Keeping employee data updated and organized 
  • Tracking time and gauging employee satisfaction 
  • Monitoring data and creating custom reports
  • Giving feedback in real time and tracking employee performance
  • Streamlining administrative work and creating new workflows
  • Managing benefits for better employee engagement

In a nutshell, it makes HR management’s life easier through automation. Plus, it keeps your people’s data fresh and up-to-date, which enables better collaboration. 

As a result, the HR department can focus on more profitable HR tasks without getting bogged down by time-consuming processes. Yes, an HR platform has plenty of benefits. Let’s take a look at them. 

What Are the Benefits of Using HR Software?

The sad reality is that one in every three new hires will leave a job in the first 90 days if the employee onboarding experience is bad. One of the causes could be a lack of HR technology that would make recruiting new employees easier and more efficient.

However, HR tools are more than just recruiting software. While businesses have many different needs and wants, they all want the same HR benefits: 

  • A boost to employee experience and morale: New HR software improves communication between departments, especially since it’s an app where team members can collaborate. As a result, it’s easy for people to find info about their payslips, holidays, etc. 
  • All data stored in a single place: HR departments using paper-based docs stored in filing cabinets do themselves a great disservice. An HR system gathers your scattered data in one place so it’s easier to search through it. 
  • A streamlined HR workflow: By using automated workflows, you can perform HR-related tasks without fearing bottlenecks. Moreover, you can track the status of each document and process, so you stay on top of things every time. 
  • Improved decision-making: Aside from saving costs, HR tools also allocate resources more efficiently. It saves you time and your HR department can make accurate and timely business decisions. 
  • Secure staff data: HR departments work with personal data, so it’s important to have security measures in place that prevent the risk of cyberattacks.

In conclusion? Using HR software significantly improves the way you handle your employees’ data and makes their experience better. As a result, you’ll have a more efficient department that can focus on what truly matters: its people.

How to Choose the Right HR Software

There are plenty of software providers out there that will try to charm you with flawless benefits administration or seamless payroll processing. But what if it’s not what you need? 

While it’s tempting to choose the first software program that promises you the moon, you should take the time to go through the following steps.

Step #1: Assess your needs

Any software selection process begins with evaluating your organization’s needs. Think of what you’re trying to solve by implementing such a solution. Do you want to streamline your new-hire onboarding process? Or improve your talent-assessment procedures? 

Assessing your workflows closely will allow you to see where your employees encounter bottlenecks and what you can do better. 

To get a clear picture, here are some questions you can ask yourself: 

  • Are you currently using another HR system but it’s falling short?
  • What are your HR department’s most common challenges? 
  • Are there any time-consuming HR processes?
  • Are your employees satisfied with the current solution? 
  • What is your budget and what is the return on investment (ROI) you expect? 
  • Is your team tech-savvy or will they struggle with onboarding? 
  • What are your organization’s policies regarding data security? 

Step #2: Identify your must-have features

We all have a wishlist of what we want most. Maybe it’s a new Apple product or a fancy shirt — the world’s our oyster.

When it comes to choosing your HR solution, it’s no different. After you’ve identified your requirements, it’s time to start hunting for the functionalities you need. 

So, this critical step involves creating a list of your must-have features and making them a priority when evaluating HR solutions. Here’s a small list of the features you definitely need (we’ll talk more about them later): 

  • Employee self-service: Born to improve employee productivity. 
  • Analytics and reporting: To gain insights into employee turnover, absenteeism, etc. 
  • Recruitment management and onboarding: Helps remove hiring stress. 

One of the most critical non-negotiable features is integration. With this handy feature, you can access your data directly in the tool you’re working in. 

For example, Guru’s HRIS sync automatically connects employee data from your HR software, making it accessible from anywhere else you’re working—no context-switching necessary. Thanks to enterprise AI search, Guru gives you instant answers to your HR queries right in your workflow. 

After making this list, narrow down your options until you find the tool that meets your requirements. Be careful, though. HR software is always evolving; plus, many solutions probably offer every feature on your list, which means more cost.

Try to find a tool that solves your current shortfalls — and see later on if you must expand. 

Step #3: Assess your budget

After prolonged evaluation, you’ve finally found the tool that seems perfect. However, when you look at its price tag, you cringe. It’s way more expensive than you’ve thought and you realize you don’t have the money for it. 

That’s why this step is so important. You’ll have to set a budget for the new software before you make a costly mistake. 

So, consult with key decision-makers, like the finance, management, and HR departments. Together, you can create a budget that keeps your expectations realistic. 

Keep in mind that the price of HR software depends on factors like business size, features, and the pricing model. Think carefully about how much you’d like to spend on the new toy, but also don’t forget about additional costs. 

For instance, some tools have migration and implementation fees that can add up to the upfront costs of the software.

Step #4: Create a list of vendors

The HR software market is full of good solutions that help businesses meet their goals, and it’s predicted to be worth $62.5 billion by 2032

The only downside is that there are too many solutions available, making it harder for you to choose the right one. But this is why we’re here, to tell you what you can do to make the selection process easier. 

When it comes to evaluating software providers, you can start by checking out buyer’s guides (like this one). These informative articles compare the top HR tools to one another, so you can clearly see which one’s the best for your use case. 

To aid you, here’s what you can ask yourself: 

  • Can you afford it? 
  • What is the tool’s top feature? 
  • Which are the top options for your use case?
  • Does the tool meet your needs and standards?
  • What do customers have to say about it?
  • Which are the best-rated tools in your category? 
  • Is it easy to use and navigate or does it hinder user experience? 
  • Does it have a free trial or demo? 
  • Is it suited for small businesses or big enterprises? 

Answering these questions will help you trim your list, bringing us to the next step.

Step #5: Create a shortlist

You have a huge list of HR software systems that meet your needs, fit your budget, and have the features you want. But you’re not getting closer to finding an answer. 

Well, this is where this step comes in handy. Now that you have all the info you need, it’s time to narrow down your options till you only have a handful (three to five). 

During your research, you most likely already have a few solutions in mind that made a good impression. It’s not a bad idea to compare them again to your list of must-have features and your budget before testing them. 

Don’t know how to do that? Here are a few tips: 

  • Read reviews: Go on trusted review sites like G2 or Capterra and see what people have to say about the tools. 
  • Look for case studies: Most HR software vendors have case studies that show how they solved people’s problems.
  • Ask your teammates: What do your peers think would fit best with your business? Use their feedback to aid your decision-making efforts. 
  • Contact a sales rep: If you have any questions or concerns about the tool, don’t hesitate to contact the vendor directly.

Step #6: Test the shortlisted tools

Got your shortlist ready? Awesome! Now, it’s time to put them to the test.

Plenty of HR software solutions have demos, free plans, or trials that you can take advantage of to see how they perform before you commit. While a tool might look good on paper and in screen captures, maybe it’s not as intuitive as you thought. 

Seeing it in action and getting hands-on experience will help you decide if it's worth the money. You can test it yourself or ask your HR department to take it for a spin (or both). 

Your HR people’s feedback should highly influence your final decision. 

Step #7: Select HR software

Finally! The time for making a decision is nigh. While you might feel confident in your choice, is your HR department on the same wavelength? Do they feel the same?

Maybe your team is not as tech-savvy as others and they’re afraid of using such a tool for the first time. In this case, it’s important to clearly tell them that you’re implementing a new HR tool and to invite them to speak about their concerns with someone in charge. 

Moreover, some vendors have onboarding and training resources that let your employees learn the tool. Make sure they familiarize themselves so you can properly integrate the tool into their operations. 

So much talk about features, but we’ve yet to explore them. Let’s fix that.

What Features to Look for in HR Software

Any HR software has plenty of cool features like performance management, analytics and reporting, and learning and development. But what are the top features an HR tool should have? Well, start with these: 

  • Employee self-service: Is your HR department often bombarded with too many employee requests about payslips or vacation requests? A self-service portal can solve these problems and boost productivity by letting employees view PTOs or clock in and out on their own. 
  • Recruiting and talent management: Acquiring top candidates is an arduous process. And then you must fight hard to keep them in your company. A good HRIS software tool simplifies hiring and removes the stress associated with it. 
  • Payroll systems: Getting lost in mathematical calculations or even forgetting to pay your employees on time is easy. HR solutions with payroll functionality can help you handle taxes and pay stubs without hassle, significantly reducing your workload. 
  • Integrations: It’s pretty counterintuitive to constantly switch between apps while you’re working. That’s why your chosen HR tool should play nicely with your existing systems. Take Guru, for example. It seamlessly connects with your HRIS to automatically populate fields in employee profiles and create a single source for employee data. 
  • Benefits administration: This is another key feature of HR systems as it allows you to carefully manage employee benefits, such as health insurance or performance bonuses. It’s critical for maintaining goodwill in your company and increasing retention rates. 

One more thing. With the increasing popularity of artificial intelligence (AI), more HR systems will use it to eliminate resource-intensive processes and repetitive tasks. 

According to Gartner, 76% of HR leaders believe their organizations must adopt AI solutions in the next year or two if they are not to lag behind. So look for solutions that already use AI to simplify your work. 

Enough about features, though. Let’s see some of the best HR software currently available. 

5 Tools to Consider in Your HR Software Selection Process

There’s a lot of planning and research involved when it comes to choosing the right HR software. The chosen tool should meet your business needs and should carefully integrate with your workflows.

Otherwise… 😬

Now that you know which features to pay attention to, it’s easier to select the perfect HR software solution. Our carefully selected options also help.

1. BambooHR

BambooHR is a user-friendly platform that automates key HR tasks such as employee database, payroll, and onboarding. 

Source: G2

This solution helps you quickly find, hire, and onboard top talent. By using a robust applicant tracking system, you can create engaging experiences for your new hires from day one. 

Moreover, BambooHR enhances employee experience and performance by creating a thriving environment. The tool can measure employee satisfaction and gather relevant feedback to ensure employee well-being.

See what users have to say: 

“I love the ability to automate and organize performance reviews, evaluate the work culture, and keep everything HR-related in one place.” 

Plus, BambooHR integrates with Guru! 

2. Gusto

Gusto offers an online payroll and HR solution that helps your HR staff with tasks like benefits, hiring, resource management, etc. 

Source: G2

Its main purpose is to make payroll effortless by automatically filing your taxes and identifying tax credits, which might save you money. Plus, Gusto syncs your team’s PTO, hours, and holidays with payroll, so you have all you need to keep employees happy.

The tool has a simple onboarding process, making it easy to understand and use.

Customers say: “Its interface is clean and easy to navigate, and we appreciate its knowledge base of resources to help us stay compliant…”

And, Gusto integrates with Guru.

3. HiBob

HiBob is a modern HR platform that automates the way HR departments work and drives more engagement and productivity. 

Source: G2

You can customize the tool based on the way you operate, whether that’s on-site, remote, or hybrid. 

What people appreciate is “the simplicity of the product. It’s so easy to store employee data and add custom fields for whatever extra info you need to add.” 

HiBob helps you manage your Core HR processes, showing you critical info about your employees, such as birthdays, who’s sick, work anniversaries, etc. 

And guess what? HiBob integrates with Guru!

4. Rippling

Rippling provides a workforce management system for a company’s payroll, expenses, benefits, and devices. 

Source: G2

Rippling is simple. “I think my Grandma could use it, it’s so easy.” Users can quickly find what they’re looking for, whether it’s paystubs or PTO requests. 

Moreover, this HR solution automates all your operations and keeps them in one place, from onboarding to offboarding. 

Overall, Rippling does what all HR software does. It helps you pay employees on time, manage the team’s benefits, handle performance reviews, and keep track of time and attendance. 

You can get the best of both worlds by using Rippling and Guru together.

5. TriNet

TriNet is an HR, payroll, and outsourcing platform suitable for small and medium-sized businesses in any industry. 

Source: G2

It offers plenty of HR functionalities that solve many time-consuming tasks, such as risk mitigation and compliance, payroll, and human capital expertise. 

“I like how easy it is to reach a real person through their customer support if an issue arises,” says one reviewer. But people also appreciate the tool being easy to use and how it manages the entire employee lifecycle. 

In addition, TriNet allows you to take care of payroll and employee benefits from a single dashboard. Since it also automatically syncs data across the platform, it leads to fewer errors and more optimized operations.

Try TriNet and Guru together today.

Over to You

So, how are you feeling? Like you can tackle anything? 😊 We hope so. 

This guide definitely helped you learn how to choose HR software that suits your business needs. So don’t be afraid to follow these steps and find the right HR solution for you. 

But why not also take Guru along for the ride? 

Guru is an AI-powered search, intranet, and wiki tool that’s ideal for giving teams fast access to the info they need daily. It gives the HR department a single, trusted platform to centralize policies, checklists, and handbooks so they can work smarter and faster. 

Give it a chance — sign up for Guru today.

Frequently Asked Questions (FAQs)

What are the different types of HR software?

Different types of HR software help you automate core HR tasks, including: 

  • Human Resources Information System (HRIS) to centralize information.
  • Human Capital Management (HCM) for achieving business goals.
  • Applicant Tracking System (ATS) to aid your recruiting efforts.
  • Human Resource Management System (HRMS) for better process optimization.
  • Performance management software for handling performance reviews.
  • Learning Management System (LMS) to aid learning and development of employees. 

How much does HR software cost?

HR software can cost from $25 to $80 per month.

A report from Software Path, however, stated that the average cost of HRIS systems is around $12,625 for each user or $210 per user per month. 

The cost of HR software can vary depending on different factors, such as the size of your organization, the pricing model, and the specific features and functionalities you need. 

How do you choose between HRIS and payroll software?

HRIS and payroll software have different roles. HR platforms manage many aspects of the HR department, such as recruiting, training new employees, or talent management. 

Payroll software, on the other hand, only takes care of paying your people and issuing invoices. 

So, choose a payroll solution if you need to automate payment. If you want to manage more aspects of HR, then you need an HRIS.

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