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June 6, 2024
XX min read

SuccessFactors vs Lano

Introduction

In today's global business environment, selecting the right Human Resource Information System (HRIS) is crucial for managing employee experiences and compliance seamlessly. In this comparison, we will delve deeply into SAP SuccessFactors and Lano, two prominent HRIS tools designed to cater to various HR needs.

SAP SuccessFactors spans core HR/payroll, talent management, HR analytics/workforce planning, and individualized employee experiences. This Human Experience Management (HXM) suite aims to help both employees and companies perform optimally.

On the other hand, Lano is a cloud-based compliance and payments platform providing a unified solution for hiring, managing, and paying employees and contractors across 150 countries without the need for setting up a legal entity.

Comparing these HRIS tools is essential to find the best fit for your organization's specific needs and ensure you leverage the right technology for effective HR management.

SAP SuccessFactors Overview

SAP SuccessFactors provides a comprehensive suite aimed at enhancing Human Experience Management (HXM). Covering a broad spectrum of HR needs, the platform is designed to help companies of all sizes optimize their HR processes and deliver exceptional employee experiences.

Key Features

  • Core HR and Payroll: Streamlines HR processes and automates payroll, enhancing accuracy and compliance.
  • Talent Management: Includes recruitment, onboarding, performance management, and succession planning.
  • HR Analytics and Workforce Planning: Offers robust analytics and planning tools to make data-driven decisions.
  • Employee Experience: Personalized experiences through continuous feedback and engagement tools.
  • Learning and Development: Comprehensive learning management system for employee training.
  • Compensation Management: Integrated tools for managing employee compensation, bonuses, and incentives.
  • Integration: Seamless integration with other SAP products and external systems.
  • Mobile Accessibility: Mobile apps for on-the-go access to HR functionalities.

Lano Overview

Lano simplifies global HR compliance and payments. Targeting businesses that manage a distributed workforce, Lano provides tools for hiring, managing, and compensating employees and contractors worldwide.

Key Features

  • Global Hiring: Enables hiring of employees and contractors in over 150 countries without establishing a legal entity.
  • Compliance Management: Ensures compliance with varied international labor laws and regulations.
  • Payments and Invoicing: Streamlines cross-border payments and tax compliance, enabling timely and accurate remuneration.
  • Workforce Management: Centralizes management tasks such as time tracking, reporting, and contract management.
  • Integration: Integrates with popular accounting and HR software for seamless operations.
  • User-Friendly Interface: Simple-to-use dashboard for managing a global workforce.
  • Mobile Accessibility: Mobile compatibility for managing tasks remotely.
  • Support and Advisory: Provides expert advisory for navigating complex international labor regulations.

Similarities

Both SAP SuccessFactors and Lano offer powerful HRIS capabilities designed to streamline HR operations, enhance compliance, and improve overall employee management.

  • HR Management: Both platforms provide robust HR management capabilities, including talent acquisition and performance management.
  • Compliance: Each tool ensures compliance with relevant labor laws and industry regulations.
  • Mobile Accessibility: Both SuccessFactors and Lano offer mobile apps for remote access and management.
  • Integration: Both platforms integrate with other key business systems to streamline operations.

Differences 

Despite their overarching similarities, SAP SuccessFactors and Lano target different market segments and offer distinct functionalities.

  • Focus Areas: SuccessFactors is a comprehensive HXM suite focusing on the complete HR lifecycle, while Lano centers on global compliance and payments.
  • Global Reach: Lano specializes in managing international workforces without establishing legal entities, whereas SuccessFactors focuses on a broader range of HR functionalities.
  • Analytics: SuccessFactors offers more advanced HR analytics and workforce planning tools.
  • User Interface: While Lano provides a straightforward, user-friendly interface for global workforce management, SuccessFactors' interface is designed for deeper HR process customization.
  • Advisory Services: Lano distinguishes itself with specialized support and advisory services for international compliance, a service less emphasized by SuccessFactors.

Pros and Cons

SAP SuccessFactors

Pros:

  • Comprehensive HR functionality covering full employee lifecycle
  • Advanced analytics and data-driven decision-making tools
  • Strong integration capabilities with other SAP products
  • Extensive customization and configurability
  • Robust talent management and development features

Cons:

  • Steeper learning curve due to the breadth of functionalities
  • Higher implementation and subscription costs
  • May be complex for smaller organizations needing fewer HR capabilities

Lano

Pros:

  • Simplifies international hiring and compliance
  • Easy-to-use, intuitive interface
  • Efficient global payments and contractor management
  • Strong advisory support for navigating international labor laws
  • Cost-effective for managing a distributed workforce without setting up foreign entities

Cons:

  • Limited HR lifecycle management compared to SuccessFactors
  • Less advanced analytics and workforce planning features
  • Focuses mainly on compliance and payments, lacking broader HR functionalities

Use Cases

SAP SuccessFactors

SAP SuccessFactors is ideal for organizations seeking a comprehensive solution to manage all aspects of HR, from payroll and talent management to advanced analytics and employee engagement. It's particularly beneficial for large and mid-size enterprises aiming to harness detailed HR insights and manage talent development rigorously.

  • Large Enterprises: With extensive HR needs spanning various departments.
  • Companies Focused on Employee Development: Needing robust learning and performance management systems.
  • Organizations with Complex HR Processes: Requiring advanced customization and integration capabilities.

Lano

Lano is best suited for companies that need to manage international employees and contractors effectively. It excels in ensuring compliance and facilitating payments across diverse jurisdictions, making it an excellent choice for businesses operating in multiple countries without established legal entities.

  • Startups and SMEs: Looking to expand globally without incurring the costs of setting up foreign subsidiaries.
  • Business Process Outsourcing: Companies that outsource various functions to international contractors.
  • Global Remote Teams: Managing and compensating a remote, distributed workforce efficiently.

Conclusion

When comparing SAP SuccessFactors and Lano, it's clear that both HRIS tools cater to unique needs and scenarios within HR management.

For businesses seeking an in-depth, end-to-end HR management solution, SAP SuccessFactors offers extensive features across the HR lifecycle, from onboarding to analytics and employee engagement. Its robust capabilities make it ideal for large enterprises and organizations focused on comprehensive HR management and talent development.

Conversely, Lano shines as a specialized solution for managing international compliance and payments. It is well-suited for businesses aiming to expand their global footprint without establishing legal entities and ensures seamless management of distributed workforces.

In choosing between SAP SuccessFactors and Lano, consider your organization's specific HR needs. If you're looking for a holistic HR management tool with advanced analytics, go for SAP SuccessFactors. However, if your primary requirement is managing international employees and ensuring compliance without setting up legal entities, Lano might be the perfect fit.

Key takeaways 🔑🥡🍕

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