SaaS HR System: Features, Benefits, Costs, and Examples

SaaS HR System - ScienceSoft

Having 31-year experience in SaaS application development and 8-year experience in implementing solutions for human resources, ScienceSoft offers all-inclusive consultancy on SaaS HR software.

What is SaaS HR system?

SaaS HR system is cloud software hosted by a third-party provider, licensed on a subscription basis and used for managing HR-related transactions. Its focus areas include personnel tracking, payroll, benefits, recruiting and onboarding, training, and more.

SaaS system for human resources: Key features

HR administrative tasks

  • Employee database.
  • Employee profiles.
  • Employment life cycle transactions.
  • Payroll management.
  • Employee benefits.
  • Employee self-service portal.

HR service management

  • Corporate policies and procedures.
  • Employee handbook.
  • Employee knowledge base.
  • Virtual assistants and chatbots for employees.

Talent management

  • Recruiting.
  • Onboarding.
  • Performance management.
  • Competency management
  • Compensation.
  • Career and succession planning.
  • Learning and development.

Workforce management

  • Absence management
  • Worktime and attendance tracking.
  • Task and activities tracking.
  • Employee scheduling
Looking for a Powerful SaaS HR Solution?
ScienceSoft’s consultants will help you choose and implement a suitable SaaS HR tool to increase the productivity of your HR team, improve employee experience and reduce administrative costs.

Recommended integrations for SaaS HR system

Recommendedintegrations for SaaS HR software

HR system + ERP

to give a company a clear view of its workforce by bringing together employee data like payroll, benefits, and more.

HR system + DMS

to streamline the management of employee-related documents. For example, in our project on HR management system for a European IT company, we leveraged HR-DMS integration to ensure secure storing, easy search, tracking and collaboration on information about employee vacations, leaves, business travels and tasks.

HR system + help desk tool

to facilitate processing requests from your employees, for example, a vacation request, an equipment request, and more.

HR system + LMS

to automatically sync competency assessment conducted in LMS software with an HR system.

HR system + employee chatbot

to streamline onboarding, training, benefits enrollment, and more.

Success factors for SaaS HR software

Expertise - ScienceSoft

A high level of automation to simplify employee life cycle management and save time on repetitive tasks. For example, SaaS HR tools can fully automate processes like onboarding, payroll and expense reporting.

Expertise - ScienceSoft

24/7 accessible employee self-service that enables employees to view absence history, apply for a leave, request overtime payment, and more without seeking assistance from the HR team.

Expertise - ScienceSoft

Advanced reporting and analytics to make data-driven decisions based on employee skills, performance, and other factors.

Expertise - ScienceSoft

Strong security features to ensure compliance with federal and state regulations that require protection of employee data.

SaaS HR software costs and ROI

Key financial outcomes of using SaaS HR software include:

  • Increased efficiency of HR teams via employee self-service and automation of routine tasks.
  • Reduced administration and labor costs via digitizing recruiting, onboarding, training and development, and more.
  • Avoiding non-compliance penalties and legal costs due to strong security, tracking and reporting features.

Depending on the type of the software, its functionality, the number of users and other factors, the average economic variables of SaaS HR software for midsize businesses and enterprises are as follows:

  • 0.4–2 years
    payback period
  • 140–370%
    annual ROI
  • $170–$670k
    software and implementation costs
  • SaaS HR systems ScienceSoft recommends

    Dynamics 365 Human Resources (Microsoft)


    • Employee self-service.
    • Performance review templates.
    • Skills gap analysis.

    Cautions: Customization may be needed to make the solution intuitive to use. To make the most of Dynamics 365 HR, you need to integrate it with other Microsoft tools like Power BI and Dynamics 365 Finance, which incurs further expenses.

    Price: $120 user/month for new customers.

    Best for: Midsize businesses of any industry.


    SuccessFactors HCM (SAP)


    • Talent management.
    • Performance and goals management.
    • Compensation planning.
    • Machine Learning capabilities.

    Cautions: Non-intuitive UI, ineffective search.

    Cost: Pricing starts at $84.53 user/year. A free trial is available.

    Best for: Midsize and large businesses of any industry.

    Dayforce (Ceridian)


    • Workforce management.
    • Payroll and benefits administration.
    • Talent management.
    • Flexible earned wage access.

    Cautions: Talent management capabilities are not suitable for enterprises. Most recently introduced features like career and succession planning and learning management are still not mature.

    Cost: Not available publicly.

    Best for: Midsize businesses and enterprises of any industry.

    When it’s better to opt for custom HR software

    Custom HR software can be your best choice if user-friendliness is your top priority, you have unique HR workflows or just need basic HR functionality that can become part of a solution of another type. For example, ScienceSoft built a cloud HR-focused portal for a construction company. The portal provided such HR features as sections with information about payroll, recruitment and corporate policies, employee handbook, insurance forms and plans as well as searchable employee profiles containing data about skills, education, contacts, and more.

    HR system implementation with ScienceSoft

    Experienced in HR software consulting, ScienceSoft knows well how to deliver effective custom HR solutions that bring value. Our service offering includes:

    HR software consulting

    • Analyzing your current HR processes.
    • Defining functionality of your HR solution.
    • Estimating the expected TCO and ROI of the solution.
    • Choosing an optimal platform or tech stack for the project.
    • Drawing a project plan.
    • Ensuring regulatory compliance of your HR solution.
    • Elaborating a user adoption strategy.

    HR software implementation

    • Business analysis.
    • Building HR software architecture (for custom solutions).
    • Designing UX and UI.
    • Configuring HR software infrastructure (for custom solutions).
    • Implementing customizations and integrations.
    • Performing testing and quality assurance.
    • Providing user adoption and training.
    • Evolving your HR solution.

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    About ScienceSoft

    ScienceSoft is a global IT consulting and IT service company headquartered in McKinney, TX, US. We offer consultancy on SaaS human resources software and custom HR solutions, provide full-cycle related services, including from-scratch development or platform customization, testing, support and evolution. If you opt for consulting services on SaaS HR software or a custom solution for human resource management, you are welcome to check our software consulting offer.