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ADP Workforce Now

ADP Workforce Solution is suited for businesses with more than 50 employees looking to streamline HR processes. ADP Workforce Now includes capabilities such as payroll processing and tax filing, performance management, compensatio...Read more about ADP Workforce Now

Paycor

Paycor empowers leaders to build winning teams. Paycor’s human capital management (HCM) platform modernizes every aspect of people management, from recruiting, onboarding and payroll to career development and retention, but what r...Read more about Paycor

BambooHR

Instead of using fragmented spreadsheets, limited or clunky software, and physical paper, BambooHR helps you centralize your data and automate the way you complete key HR tasks. As you hire, onboard, and pay your employees, every ...Read more about BambooHR

Tableau

Tableau is an integrated business intelligence (BI) and analytics solution that helps to analyze key business data and generate meaningful insights. The solution helps businesses to collect data from multiple source points such as...Read more about Tableau

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Workday HCM

Workday HCM assists global businesses of all sizes in a variety of industry verticals with workforce planning, analysis, and execution. Workday delivers user and administrative tools such as financial management, HR planning, tale...Read more about Workday HCM

UKG Ready

Designed for small businesses where everyone wears multiple hats, UKG Ready® is the all-in-one HR solution that guides and empowers your people to make their day-to-day easier. From HR and payroll to talent and time, we’re the par...Read more about UKG Ready

Paylocity

Paylocity is a cloud-based human capital management (HCM) platform that provides human resources and payroll management tools to help businesses manage core HR functions. Key features include payroll processing, benefits administr...Read more about Paylocity

ActivTrak

ActivTrak helps companies unlock productivity potential. Our award-winning workforce analytics and productivity management software provides expert insights that empower people, optimize processes, and maximize technology. Addit...Read more about ActivTrak

Sprout

Sprout: An end-to-end set of cloud solutions for streamlining your HR, Payroll, and Business operations. > Core HR: Automate and simplify HR and Payroll management with highly localized, fully government-compliant applications th...Read more about Sprout

Sisense

Sisense goes beyond traditional business intelligence by providing organizations with the ability to infuse analytics everywhere, embedded in both customer and employee applications and workflows. Sisense customers are breaking th...Read more about Sisense

Access PeopleHR

Access PeopleHR is a comprehensive human resources (HR) software designed to meet the needs of small to medium-sized businesses. The platform offers a range of features that help companies manage their HR needs more efficiently. I...Read more about Access PeopleHR

Sage HR

Sage HR is a cloud-based human resource management solution that integrates core features like 360 feedback, workforce management, performance appraisal, and attendance tracking. The Sage HR scheduling platform supports time-off p...Read more about Sage HR

Connecteam

Connecteam was designed and built as a true all-in-one solution. Easily engage and manage non-desk employees with a true all-in-one mobile app. Connecteam offers a powerful, mobile-first platform that helps improve communication, ...Read more about Connecteam

Factorial

Factorial is a cloud-based human resources (HR) solution that caters to small businesses across various industry verticals. Key features include a time-off manager, an organisational chart generator, a document manager and more. ...Read more about Factorial

Zoho People

Zoho People is a cloud-based human resource (HR) solution suitable for business of all sizes. The system features leave management, attendance management, time tracker, employee self-service, form customization and more. The solut...Read more about Zoho People

ELMO Software

ELMO Software is a cloud-based solution that helps thousands of organisations across Australia, New Zealand and the United Kingdom to effectively manage their people, process and pay. ELMO offers a comprehensive suite of cloud H...Read more about ELMO Software

Databox

Databox is a cloud-based business analytics platform for marketers, CEOs, analysts and decision makers that provides a single interface to view various key performance indicators (KPIs) and generate reports. It is suitable for sma...Read more about Databox

Personio

Personio is a web-based HR solution, designed to help SME’s manage employee data, vacation and leave, salary, automated payroll, performance, recruitment, and more. By combining features such as job posting, applicant sourcing and...Read more about Personio

SAP Crystal Reports

SAP Crystal Reports is a business intelligence (BI) on-premise solution for Windows that is suitable for small to midsize businesses across multiple industries. It combines the reporting capabilities of SAP Crystal Reports with th...Read more about SAP Crystal Reports

Radancy

The leading cloud-based software provider, Radancy, simplifies talent acquisition for enterprises globally and delivers cost-efficient outcomes that strengthen their organizations. The Radancy Talent Acquisition Cloud, powered by ...Read more about Radancy

Buyers Guide

Last Updated: March 16, 2023

Every HR department is sitting on a goldmine of information with their workers, from compensation numbers to recruiting data, performance measurements and more. With the right HR system, collecting and storing this data has never been easier—even for the smallest of businesses.

And yet, it's not enough. In order to optimize your workforce effectively, you need to take the next step to understand what all of this data means and how it can help you make better business decisions. It's a monumental task, and one that spreadsheets and elbow grease simply can't handle alone.

Which is why if you're sitting on a mountain of employee data, but have no idea how to interpret it properly, you should consider investing in HR analytics software. These platforms are designed to help HR practitioners make sense of their disparate workforce metrics and turn that information into action.

If you've never researched HR analytics software before, we're here to help. In this Buyer's Guide, we'll go over everything you need to know about HR analytics software to help you find the right system for your needs and budget.

Here's what we'll cover:

What Is HR Analytics Software?

Common HR Analytics Software Features

Benefits of HR Analytics Software

Key Considerations When Purchasing HR Analytics Software

What Is HR Analytics Software?

HR analytics software is a type of business intelligence (BI) software designed to help HR departments uncover important insights in their data and make better, data-driven decisions with their workforce.

These are powerful tools that can aggregate massive amounts of data from your disparate systems (e.g., payroll software, performance management software, an LMS, financial reporting software etc.), process it and analyze it for meaningful trends. These trends can then be visualized using easily interpretable charts and graphs and shared with stakeholders.

If you're an HR manager struggling to understand how much employee training is impacting revenue, why turnover is higher than usual or what applicant qualities best predict future top performers, HR analytics software can help.

An-employee-turnover-dashboard-screenshot-from-Sisense

Employee turnover dashboard in

Common HR Analytics Software Features

HR analytics software products share a ton of functionality in common. Here is a list of features you should expect to find in most systems:

Data aggregation

Pulls and processes data from various sources integrated with the software.

Data visualization

Visualizes workforce data in easily understandable graphs and charts.

Dashboards

Users can customize single-screen views of various HR metrics to see performance at a glance.

Reporting

Generate standardized and customizable reports to be sent out regularly to stakeholders.

Predictive analytics

Uses discovered trends from historical data sets to create models predicting what's likely to happen with that data in the future.

Workforce planning

Create strategic workforce plans for recruiting, performance management, training and more based on analytical trends.

Because HR analytics software products tend to have similar functions, vendors will often differentiate themselves in other ways such as cost, customer support or their user interface.

Benefits of HR Analytics Software

One of the most significant benefits of HR analytics software is that you get access to advanced business intelligence functionality without needing the knowledge and expertise of a data scientist. HR analytics software has become incredibly user-friendly in recent years to allow HR practitioners to slice and dice their data as needed. Many systems are cloud-based, so you don't even need your own server.

Here are a few other benefits this type of software offers:

  • Cross-functional data analysis. It's become pretty common for core HR software to have functionality for analytics already. The problem though is these systems are rarely able to incorporate data from other non-HR platforms. HR analytics software can though, allowing you to see how workforce trends are impacting things like sales and revenue.

  • No more tedious double-entry. Updating numbers manually in an HRIS or other system is painful enough. Having to update them again in an analysis tool, like a spreadsheet, just adds insult to injury. With HR analytics software, any integrated data sources that get updated will automatically update the data in the analytics too.

  • Company-wide applications. Though there are some systems that only focus on HR (e.g., Visier), there are also a ton of products that can be used for other purposes too, such as sales, marketing, distribution or financing. If executives are bullish on spending money for a one department tool, there are systems that cater to all kinds of company data.

  • Better workforce decisions. This is the most significant benefit of all. Any edge you can get in hiring great talent and keeping them happy, motivated and productive is worth the effort. HR analytics software can help you uncover meaningful trends you wouldn't have noticed otherwise to improve your workforce.

Key Considerations When Purchasing HR Analytics Software

When confronted with so many options, it can be tempting to simply find the HR analytics software system with the best reviews within your budget and sign a contract. Do that though, and you're likely to end up with a system that doesn't live up to expectations.

As you start researching options and talking to vendors, here are a few key things to keep in mind:

  • Is the system agile enough to adjust with your workforce strategy? At the drop of a hat, businesses can go from prioritizing upskilling current workers to cost optimization. Talk to vendors to make sure that any data models are flexible enough to adjust or reuse when you change course.

  • Will the system play nice with your current software stack? HR analytics software relies on data from existing systems to fully function. If your current software can't integrate properly or corrupts data as it's being transferred, that will make your new purchase worthless. Ask vendors if they have any preferred software partners.

  • What support options do they offer? I mentioned support earlier as a critical differentiator for a reason. Besides asking about phone or email support (preferably both are local and available 24/7), also ask vendors if they'll handle implementation and data migration for you. This can be especially beneficial if you're lacking in dedicated IT personnel or resources.