Stuart Gentle Publisher at Onrec

5 Factors to Consider When Buying HR Software

Purchasing HR software for your company can be a challenging and time-consuming experience.

You have to make sense of supplier marketing materials, zone in on suitable products, and evaluate your staff’s needs. An incorrect choice could mean starting the buying process again or using not-so-great software. Read on for five factors to consider when buying HR software.

1.On-premise VS. on-demand software

There are two types of software that you could choose for your human resource department, including on-demand or on-premise software. You should consider each software’s pros and cons before selecting a suitable one for your organization.

a)On-premise software

This software is stored in your company’s computers and customized to suit your needs. This means that as your business grows, you do not have to invest in a new tool as the on-premise software can scale with your business. However, it requires rigorous training to operate, licensing for anyone who has access to the system, frequent updates, and is expensive to install.

b)On-demand software

On-demand software, also known as cloud software, is stored online. It is perfect for geographically spread out businesses as it is accessible anywhere. It is also quite affordable compared to on-premise software and does not require frequent updates. However, on-demand software is not flexible, meaning that you may have to invest in new software if your business grows or your needs change.


While you should not base your choice for a suitable HR software solely on its cost, ensure that you buy a tool that’s within your budget. Do not go for the cheapest option on the market, as you may have to compromise on essential features that could be crucial to scaling your business.

Want to save as much as you can when purchasing HR software for your company? Check online for a number of websites that provide discounts to reduce your spending,

3.The size of your company

The company size directly impacts the features and functionalities your preferred HR software should include. A typical HR software comes with features such as payroll, leave management, employee data, talent management, and company policies. However, if you operate a large company, additional features such as onboarding, exit, and automation come in handy in meeting your organization’s demands.

Before choosing software for your company, evaluate your current needs and size and where you want to be in the future to make an informed selection.

4.Ease of use

Opt for software that is easy for your staff to use, especially when they are not tech-savvy. Purchasing software that is complex to navigate means delays in the execution of operations. You will also have to invest more money and time to train your staff. If your company needs complex software with more features, be sure to buy the tool from a vendor who provides training to help you adapt to the system quickly.

5.Security features

With the rise of identity theft and scams, ensure that you opt for software with additional security features. This prevents access to your employee and company data by unauthorized personnel.


Choosing the right HR software for your company does not have to be complicated and stressful. Consider the cost, user experience, security features, and the size of your company to make the right choice.