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Top 5 HR Software for SMEs

Top 5 HR Software for SMEs and Factors to consider while choosing HR Software

Small or big, every business house these days needs efficiency and quality of work in its HR department. Dynamic and dedicated employees are the need of the hour, and so is the need to keep excellent and qualified employees happy and glued to the organization. Most of the analysts believe that the HR departments of prominent business houses have either undergone a digital transformation or are under the process of deploying Human Resource Management Software.

HR software is automated recruitment and workforce management systems that perform numerous HR tasks ranging from storing employee data, managing payroll, recruitment, benefits administration, time scheduling and attendance recording, employee performance management, and evaluation and tracking competency and training records.

However, choosing the perfect HR solution is a greater challenge for SMEs owing to budget constraints. Also, where the right choice can impart immense benefits to the organization, a wrong choice of HR software will only add to the headache apart from putting on financial load. So, the choice of the right HR software is also a critical decision.

Factors to consider when choosing an HR software

Let us have a look at the various factors which need to be considered when selecting HR software for SMEs:

  1. Easy Integration: It is extremely frustrating when the software that you purchase does not fit into your existing setup. HR software means to make your life easy and should integrate well with the apps that you are already using.
  2. The low burden of cost: There may be many lucrative and advanced software available in the market, each promising the most advanced features. However, you have to choose an HR software that gives you maximum performance benefits with minimum burden on your pocket. Cost-effectiveness should consider maintaining financial balance.
  3. Ability to scale: All businesses are here to grow, and you should go for an HR system that can easily adapt to your growth. For this, you need to choose software keeping in mind your roadmap to future growth, the number of employees you want to add shortly, expansion and diversification of business, etc.
  4. After-sales service and technical support: The software providers should take active participation and offer full support in implementation, troubleshooting, and assistance whenever required.
  5. Easy to use: The software should not only be simple and easy to use but also should have an IOS and Android App so that it can be accessed from anywhere, anytime.

HR Software Market is flooded with vendors offering various HR software. And it is extremely difficult for one to decide which would be the best choice for one’s business. Taking into account the above criteria and through a thorough market. Research one should zero in on the software that suits its needs and is cost-effective.

What are some of the best HR software available in the market today?

Here, we give the top 5 HR software for Small Business Enterprises:

  • BambooHR

This is a popular choice among small and medium-sized businesses. The software offers an array of features, including a centralized employee database, payroll software, self-service, Applicant Tracking, Time and attendance recording, Performance management, training, alerts, mobile app, cloud interface, open API, among many others.


What makes this software stand apart is its mobile app and a new advanced performance management module. The software also offers seamless and smooth integration with popular applicant tracking software like Jobvite, CATS, and Resumator. It also integrates well with some Payroll software like ZenPayroll.

  • Sage HRMS

This again is a popular HR software choice for small and medium-sized enterprises encompassing various features like Payroll, risk handling, recruiting and Onboarding, time and attendance handling, employee benefits, performance management tools, reporting tools, and analytics.


Sage HRMS stands apart from its likes as n unified HR-payroll software, which brings together payroll functionality with various other features like recruitment, performance and talent management, training, and development. Also, it complies with different laws and industry policies.

  • Namely

This is yet another cloud-based HR software suitable for small to medium-sized business houses that bring together HR, payroll, benefits, and talent management. The software can deploy in Mac, Android, Windows, iPhone, and iPad. Its varied features include Benefits and Compensation Management, Employee Database and Profiles, Payroll, performance and Recruitment Management, Self Service, Time & Attendance Management, Workflow Management, training, Tax Compliance, and leave tracking.


  • HiBob

Habib is a web-based HR software that benefits platform—offering features to manage the workforce with 360 Degree Feedback, Applicant Tracking, Benefits. And Compensation Management, onboarding, payroll, performance, recruitment, time and attendance management, and many more. The most popular feature of Hibob is its employee holiday. And absence tracking, which brings all employee data in a central place, handles automatic approvals. And also tracks total and average working hours.


  • Paycor

This payroll software is gaining more and more popularity among SMEs, especially. Because of its supportive staff and intuitive and user-friendly interface. This easy and comprehensive software brings together recruiting, onboarding, reporting, payroll, and tax compliance under one platform.


To sum it all:

The world is in the midst of a digital revolution, and the technology is progressing with leaps and bounds. The face of business is in for a complete makeover. Under this scenario, any business house cannot be left behind in the race with old and outdated. An HR department keeps records manually in files, documents, and papers. If you are yet to have installed one, now is the time!

Top 5 HR Software for SMEs

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