All You Need to Know About HR Management Software in 2025

Human Resource Management Software

Do you want to know everything about HR management software in 2025? You are browsing the right page. Unless you have been living under a rock your entire life, you know that HR isn’t the same anymore. Gone are the days when we used to manually calculate payroll and/or track attendance on Excel sheets.

Did you know that around 60% of firms use HRMS for every HR task? Not only that. Around 90% of business leaders reported an improvement in employee attitude after implementing the right human resource management software. That’s how impactful it is. Plus, what’s even better is how the tool has made the way HR professionals work more efficient.

So, by the end of this blog, you will have useful insights about what’s happening in the world of HR management software solutions. Plus, you will also have the best HRMS, which you can use right away. With that out of our way, let’s get right into it.

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What is HR Management Software?

In short, senior human resource management software solutions are digital system applications. These tools help businesses and organizations automate and manage core HR processes. Generally speaking, HRMS can help you with:

  • Employee data storage
  • Benefits administration
  • Time and Attendance
  • Payroll
  • Recruiting
  • Onboarding
  • Performance management
  • Goal planning
  • Learning and training
  • Compensation
  • Succession planning

Furthermore, using HRMS for payroll can reduce administrative time by up to 90%. Plus, using it reduces data entry errors.

Read Also: Business Management Software: The Complete Guide for 2025

History of HR Management Software

Today, HR management software solutions are powerful enough to automate all HR tasks. However, how did we get here? Here’s some history of HRMS to go along.

  • Pre-Industrial Era: A community-based approach to labor management.
  • Industrial Revolution: Mass production led to systematic workforce management. New welfare roles were also implemented to protect employees. 
  • Early 20th Century: Workforce diversity increased as women joined industries. It led to formal designations for recruitment, dismissals, and employee relations.
  • Computerization Era: The first computerized payroll system to automate clerical tasks came into existence.
  • Introduction of ATS: Software solutions were introduced to efficiently manage job applications. 
  • Introduction of First HRMS: The 1980s were when everything started falling into place. That’s when various HR functions were integrated into one software.
  • Modernization of HRMS: SAP R/2 was launched. It integrated HR with other business functions. Furthermore, there was a transition to web-based systems for broader access and employee self-service functionalities. 
  • Digital Transformation Era: The era of cloud-based HRMS. AI was also introduced, which reduced expenses and implementation time as it removed on-premise infrastructure. Other benefits include improved recruitment, higher employee engagement, and precise analytics.   

Why Do You Need HR Management Software in 2025?

Make your workday more productive

Time tracking and work management can help you reach your goals
faster.

Boost Productivity by 40%

So, why do you need human resource management software in 2025? Other than automation and simplification of HR processes, which reduce administrative time by 90%, there are many reasons why businesses use  HRMS.

1. Resource Scheduling Simplified

Using the right HR computer program, employee scheduling becomes a breeze. With all the employee data available, whenever needed, you just have to schedule the right teams for the right tasks. You won’t have to do much in this part either, due to the intuitive user interface, which usually allows drag-and-drop scheduling.

  • Clearer overview
  • Enhanced communication
  • Accurate forecasting

2. Detailed Project Scheduling

Without the proper HR management software, scheduling projects would be a disaster. However, gone are the days of regular meetings. With the right HR software, you can create and send real-time schedules, which saves a lot of valuable time.

  • Store all details on a single platform
  • Reduce meetings
  • Only view the essentials
  • Motivate your teams

3. Improved Resource Management

HR software solutions are all about improving resource management. Since employees are the most important resources, properly managing them is crucial. From expecting the unexpected to rescheduling teams on the go, the right HRMS will simplify everything for you.

  • Reduced stress and more free time
  • Better organization and fewer changes
  • Improved data management
  • High-level reporting

4. Reduced Conflicts

One of the major reasons why projects fail is that businesses assign employees and teams without the concern for conflicts. However, the right HR management software will show risks and dependencies, letting you precisely assign teams. Some tools even show you what-if scenarios for more accuracy.

  • Streamlined workflows
  • More teamwork

5. Accurate Payroll

The right non-cloud or cloud HR software will simplify, automate, and accrue payroll processing. It will not only satisfy employees as they receive timely, fair compensation, but it also reduces administrative burden.

  • More employee satisfaction
  • Reduced employee turnover rates  

20 HR Management Software Key Features to Compare in 2025

DeskTrack

Without the right HR software, you will face the issue of inaccurate information, a lack of hybrid and agile support, rigid structures, and poor resource visibility. HRMS has come a long way from being simple color-coded timesheets, prone to human errors, to what we have now. For 2025, you will find many intuitive, comprehensive, and practical features in human resource management software solutions.

1. Skills and Availability Management

People management system software must be able to help you with skills and availability management. You must get real-time data on who’s available, when, and their skills. Overall, it allows for precise resource allocation.

2. Dashboards and Reporting

Making skilled HR available at the required time is one thing. However, knowing what they are doing with your resources is also essential. Good HR management software will give you live insights into the workings and progress of your resources.

3. Request Automation

Resource priority is another important aspect to be taken care of daily. With the request automation feature of online workforce management software, properly prioritizing the right resources for the right job becomes simple and more streamlined.

4. Timesheet Management

Another burden that managers and employees face is chasing down and/or completing timesheets. However, with the right HR management software, you can simplify or even automate the process.

5. Single Storage Platform

Usually, organizations face the issue of scattered applicant and employee data. So, when it’s needed the most, finding it becomes time-consuming. However, with the right people management tool, you will get a single storage platform to store all your employee data, which saves you a lot of valuable time.

6. Capacity Forecasting  

The first step to success is having the right resources (humans/employees) available at the right time for the matching tasks. HR management software with its data analysis capability will show you these requirements. That too, whenever needed and in real-time.

7. Candidate Management

With the right human resource management software, tracking and screening candidates becomes more efficient with the power of automation. The tool automates processes, such as screening, CV parsing, and interview scheduling, to save you time and money.

8. Employee Engagement

The right HR management software solution will also have advanced tools for managing rewards, team collaboration, and feedback. Plus, it will also provide you with various survey methods to know what employees think about your engagement activities.

9. Employee Management

With the right HR software, you get a single platform to manage all your employees. You get organizational charts, employee profiles, and team hierarchies for a 360-degree overview of your HR operations.

10. Payroll Management

With the right HRMS for payroll, complex processes such as salary payments, tax deductions, and benefits administration are automated. This saves you more time and money for work that matters.

11. Workforce Management

The right HRMS provides you with the perfect functionalities to make, manage, share, and update shift schedules. That too in real-time. Plus, you can also do all this on the go with the mobile HRMS app.

12. Recruitment Management

Did you know that around 70% of businesses use HRMS to find, hire, and retain talent? With the right HR management software, the process of recruitment becomes simple. Everything from job postings to making offer letters is streamlined via automation. Again, it reduces around 70% of the time it would take your HRs to complete tasks.

13. Leave & Attendance Management

With the right attendance and leave tracking software at your disposal, the process becomes so simple with real-time attendance monitoring and management. Plus, you also get insightful reports, which let you know accurate details on late clock-ins, absenteeism, and more for payroll accuracy.

14. Onboarding

The right HR software for employees provides you with all the tools needed for seamless onboarding. Overall, the tool automates all paperwork and other formalities, such as training and policy handover.

15. Employee Information Management

Employee information and other documents, such as profiles, may be needed at any time. With the right HR management software, you get a centralized platform to keep all useful employee data in one place for streamlined management.

16. Salary Changes & Increment Calculations

Another cool feature of human resource management software is employee salary changes and increment calculation management. What you get is a systematic process automation of pay revisions, promotions, and annual increments as per the requirements you configured in the software.

17. Offboarding

Similar to onboarding, the right HR management software solution also helps you automate and streamline employee offboarding. What the software does is create standardized checklists, which you can customize as per your requirements for convenience.

18. Statutory Compliance

Other than employee management, your HRMS software also assists in efficiently managing compliance with local labor laws, tax regulations, and reporting rules. What this does is decrease legal risks and administrative burdens to almost zero.

19. Training & Development

Here’s a secret. You can leave the employee training and development management part to your HR management software. The tool lets you monitor your employees’ certifications, learning routes, and skill development. Furthermore, integrating it with your learning management software can also make the course registration, training, and competency measurement process simple.

20. Performance Appraisal

With the right human resource management software, praising your employees’ great performances can also be automated. What you get is customizable structured evaluation cycles, which include goal tracking, review forms, and feedback mechanisms.

5 Steps to Choose the Best HR Management Software in 2025

As we mentioned before, you need the best HR management software according to your requirements. However, due to so many options in the market, choosing the HRMS as per your needs can get overwhelming. Here’s what your R&D teams need to do.

1. Requirement Analysis

The first thing you need to do is identify why you need the management software for HR. Do you only want to streamline core HR tasks, or do you also want to automate complex work like payroll processing? Asking questions such as these will let you know the right type of solution you need.

2. Feature Evaluation

Based on your above analysis, you will evaluate the features required from the HR management software. For instance, automated payroll processing is a must-have feature for you if you run a small business or organization.

3. Shortlisting

Based on all the above analysis and evaluations, all you have to do is make a shortlist of some of the best human resource management software solutions matching your requirements. Furthermore, you need to cross off all solutions that cost more than your budget from your list.

4. Testing the Software

Once you have your list down, you need to identify which HR management software solutions will work according to your needs.

  • Get free trials and demos.
  • Read genuine reviews
  • Ask around the ones who are already using the tools from your list to get more clarity.

5. Finalizing

From your list, cross off all human resource (HR) software solutions that are even marginally different from what you require.

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Top 10 HR Management Software in 2025

Contrary to what it does for you, finding the right HRMS for your organization can be time-consuming and overwhelming. Plus, you also have other essential high-priority tasks. So, to give you a heads up, here are 10 of the best human resource HR software options.

  • DeskTrack
  • Oyster HR
  • Greenhouse
  • Rippling
  • Paycor
  • GoCo
  • Workable
  • PrimePay
  • eloomi
  • ClearCompany

1. DeskTrack

DeskTrack

DeskTrack is the best HR management software in the industry. Best for employee monitoring automation, it’s the most customizable, integrable, and intuitive employee monitoring, time-tracking, project management, and productivity monitoring integration. With DeskTrack’s intuitive features and seamless integrations, you will ensure a smooth flow of administrative work. Plus, it makes hiring new talent from a broader network simple and fast, as you can one-click job posts to more than 1000 online boards and social media websites.

Pros:

  • Seamless integrations
  • Automated timesheets
  • No learning curve
  • One-click job posting
  • Real-time tracking and activity monitoring

Cons:

  • None
Best For Most Affordable Paid Plan User Rating
Best overall  $5.99/user/month 5/5

2. Oyster HR

Oyster HR

Best, for global employment automation, Oyster HR is one of the best human capital management apps on our list. We chose this one because it simplifies global workforce management with its comprehensive features. Plus, its global reach of over 180 nations broadens your hiring network. Overall, its employer of records services, global payroll, and compliance management features make it a unique tool on our list. However, it may be too expensive for small businesses and freelancers.

Pros:

  • Robust support for remote teams
  • Seamless integrations
  • Comprehensive global compliance features

Cons:

  • Needs more advanced analytics and reporting features
  • A steep learning curve for some of the features
Best For Most Affordable Paid Plan User Rating
Global employment automation  $29/contractor/month 4.5/5

3. Greenhouse

Greenhouse

If you want to have a broader reach to the network of talented applicants, then you can’t go wrong with this HR management software. With Greenhouse, you can post to over 1000 job boards, giving you a wider reach for recruiting new talent. It is what we think provides a smart way of hiring, which is much more convenient. Greenhouse lets you post on niche websites as well as major global marketplaces. Plus, you can also get personalized job posting recommendations, which is a very useful feature.

Pros:

  • Client onboarding in all plans
  • Tools to reduce unconscious bias
  • Fully functioning mobile app

Cons:  

  • BI tools are only available in the top-tier paid plan
  • No transparent pricing
Best For Most Affordable Paid Plan User Rating
Increasing recruitment reach Quote on contact 4.3/5

4. Rippling

Rippling

If you want human capital software for small businesses that manage their employees with integrated IT management functions, then we recommend Rippling. Plus, you can remotely manage and protect the devices of your employees. Overall, it’s the most appropriate setup for your modern all-digital workforce. Plus, don’t forget the automation features for streamlining onboarding, the useful headcount planning tool, and the best built-in tool, which highlights possible data errors. Furthermore, it also makes managing workforce applications like Google Workspace, Slack, and Office 365 easy and simple.

Pros:

  • Automation to streamline onboarding
  • Includes a useful headcount planning tool
  • Highlights possible data errors

Cons:

  • May have issues with non-Chrome browsers
  • The mobile app lacks some features
Best For Most Affordable Paid Plan User Rating
Integrated IT management Quote on contact 4.8/5

5. Paycor

Paycor

Paycor, as the name suggests, focuses on payroll management and provides the best features for it. The reason we picked this human resource management software is that you can get tailor-made versions, which fit your business requirements. Primarily, Paycor makes payroll easy to set up and run. However, what makes this software stand out is that it has been designed by tax and compliance experts, who have made it in a way, they will find payroll software useful. That’s why Paycor works as one of the best tools to ease your business’s risk management pain points.

Pros:

  • Customizable reporting
  • Unlimited payroll runs
  • Easy-to-use self-service portals

Cons:

  • Time-tracking is only available as an add-on
  • UX can feel a bit heavy at times
Best For Most Affordable Paid Plan User Rating
Payroll management  Quote on contact 4.1/5

6. GoCo

GoCo

Not only is this human capital information software affordable for businesses of all sizes, but it is also one of the best and most flexible tools for workflow automation. However, the reason we added it to our list is because of the high level of configurations it provides. It comes with a plethora of features to support and reduce the burden of administrative professionals. Features including new hire onboarding, benefits management, time and attendance tracking, and document and performance management systems streamline the processes.

Pros:

  • Integrated document management tools
  • Includes 360-degree feedback like modern performance management elements
  • Includes a benefits administration portal

Cons:

  • No free trial
  • Built around US-specific tax, compliance, and labor regulations
Best For Most Affordable Paid Plan User Rating
Workflow automation Quote on contact 4.8/5

7. Workable

Workable

In simple terms, Workable is global recruitment, assessment, and hiring simplified through one HR management software. However, that’s not all. You also get advanced features, including pre-employment candidate skills assessment and blind candidate screening. There’s a reason why 27000 organizations have used this software since it entered the market in 2012. What makes it stand out is that Workable provides you with a built-in library of cognitive and personality pre-made candidate tests, ready for you to use. It’s indeed a time-saving feature if you ask us.

Pros:

  • FCRA-compliant background checks included
  • One-way video interviews
  • Integrated employee referral-tracking system

Cons:

  • Consolidating candidate details can be tricky
  • Multi-click detail access is annoying and time-consuming
Best For Most Affordable Paid Plan User Rating
Global recruitment, assessment, and hiring  $299/month 4.6/5

8. PrimePay

PrimePay

PrimePay is a people management software and payroll tool best known for its employee self-service portal. What it does is enhance user experience through the same platform, as employees can view all their HR details. Plus, of course, it eliminates manual administrative burdens. Designed to manage and simplify workforce complexities, this software provides comprehensive features including benefits administration, time and attendance tracking, onboarding, and, of course, the employee self-service portal. However, it has some scalability limits. Plus, the initial setup can be complex, especially for your non-tech employees.

Pros:

  • Benefits administration in one place
  • Automated compliance and payroll
  • Easy-to-use employee self-service portal

Cons:

  • Potential scalability limits
  • The initial setup can be complex
Best For Most Affordable Paid Plan User Rating
Employee self-service Quote on contact 4.1/5

9. eloomi

eloomi

eloomi is one of the best all-in-one learning and development platforms for you and your employees. This HR management software integrates a learning management system with a learning experience platform, which allows a comprehensive way of training and developing your teams. Plus, what we find interesting and useful in this one is the AI-powered tools for course creation and quiz generation. Furthermore, its plethora of training content makes it one of the most content-rich tools. However, that’s not all. Its emphasis on personalized development journeys also makes it stand out.

Pros:

  • Intuitive, user-friendly, and easy to implement
  • Many useful AI features
  • Highly customizable

Cons:

  • Quality issues with translation
  • Non-transparent pricing
Best For Most Affordable Paid Plan User Rating
All-in-one learning and development platform Quote on contact 4.8/5

10. ClearCompany

ClearCompany

ClearCompany is the people management system software you need if you are struggling with talent management. However, the reason we picked this one is due to the high emphasis on alignment and transparency. Using this software, you can give your employees clarity on understanding their roles and responsibilities, and overall, how they contribute to the goals of your business. The advanced goal-planning tools in this performance management module help you achieve alignment and transparency with your business objectives. Overall, it leads to a workflow that leads to success.

Pros:

  • Employee engagement features included
  • Internal employee referral-tracking system
  • Includes public employee recognition tools like milestone announcements and celebrations

Cons:   

  • No integrated payroll
  • Non-transparent pricing
Best For Most Affordable Paid Plan User Rating
Talent management Quote on contact 4.6/5

5 Key Benefits of Using HR Management Software in 2025

5 Key Benefits of Using HR Management Software

Did you know that around 60% of HR professionals use cloud-based HRMS to skyrocket productivity? There are many advantages of using HR management software that you get over your competitors. Especially those that don’t use software for managing HR tasks. To start, here are 5 of them.

1. Data Management

As we mentioned before, the right people management software provides you with a centralized platform to store all employee data. This not only secures it but also ensures easy access and security of sensitive information.

2. Employee Self-Service

No more employees piling up in the HR cabin to ask about general enquiries. Employees can check the information they need from the self-service portal, which the HR management software provides.

3. Improved Workforce Planning

Workforce planning also becomes more efficient and accurate with data analytics from your people management software solution. Productivity analytics help you make the right decision regarding employee training, hiring, onboarding, etc.

4. Enhanced Recruitment

As we mentioned before, with the right HR management software solution, your recruitment processes and management also become simple. Thanks to AI-powered functionality, you get to find the right talent for the open position fast.

5. Better Employee Retention

Did you know that around 80% of the workforce needs better employee engagement? We found that out with our workforce management software for employees. It’s thanks to analysis like this that your employee retention rates drastically improve.

Why is DeskTrack the Best HR Management Software in 2025?

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DeskTrack is the best HR management software, used globally by over 100 nations, with more than 100,000 users and 8,000+ organizations.

More than a people management tool, it’s the no.1 employee monitoring, time-tracking, productivity monitoring, and project management software integration. Moreover, it provides you with the following features to optimize workforce management.

  • Complete automation assistance from onboarding to offboarding employees.
  • Seamless payroll integrations.
  • Simple and easy job application creation and one-click posting to over 1200+ job boards and social media websites such as LinkedIn.
  • The easiest-to-use and user-friendly interface.
  • Automated timesheets.
  • The best internal tools for tracking employee referrals and much more.

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Conclusion

Now, we hope that you have wrapped your head around HR management software, its various features, and benefits. As a final word, we would like to say that gone are the days of managing HR tasks via spreadsheets and manual methods. Nowadays, everything is automated, which leads to heightened accuracy and skyrocketed efficiency, saving you more and more hours for crucial work. However, you just need to go through a little trouble to end up with the best option for the same. Nonetheless, if you don’t have the time, R&D teams, and resources to do the research, we also provided you with an expert shortlist. Plus, if you also want the best employee monitoring features with powerful integrations in a single platform, DeskTrack is your handy software.

Frequently Asked Questions (FAQ)

Q. What is Human Resource Management Software?

Ans. People management software solutions are digital systems that provide comprehensive features, tools, and functionalities to simplify and automate human resource management. From employee onboarding and offboarding to scheduling and workforce satisfaction, these tools reduce administrative burden in all of these tasks.

Q. What are the Features of Human Resource Management Software?

Ans. People management software solutions provide you with many features, tools, and functionalities to help automate and simplify administrative processes.

  • Skills and Availability Management
  • Dashboards and Reporting
  • Request Automation
  • Timesheet Management
  • Single Storage Platform
  • Capacity Forecasting
  • Candidate Management
  • Employee Engagement
  • Employee Management
  • Payroll Management
  • Workforce Management
  • Recruitment Management
  • Leave & Attendance Management
  • Onboarding
  • Employee Information Management
  • Salary Changes & Increment Calculations
  • Offboarding
  • Statutory Compliance
  • Training & Development
  • Performance Appraisal

Q. Who Uses HR Software?

Ans. HR software is generally used by these people in a business and/or organization.

  • Employees
  • Department Managers
  • HR Professionals  

Q. What are the Advantages of Using Online Human Resource Software?

Ans. Using people management software provides you with many other benefits as well other to automation and simplification of employee management.

  • Resource Scheduling Simplified
  • Detailed Project Scheduling
  • Improved Resource Management
  • Reduced Conflicts
  • Accurate Payroll

Q. Which are the Best Human Resource Management Software Solutions? 

Ans. To help you get started with your people management software search, we shortlisted the top 10 options for you.

  • DeskTrack
  • Oyster HR
  • Greenhouse
  • Rippling
  • Paycor
  • GoCo
  • Workable
  • PrimePay
  • eloomi
  • ClearCompany

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