PUBLISHER: The Business Research Company | PRODUCT CODE: 1464071
PUBLISHER: The Business Research Company | PRODUCT CODE: 1464071
Core HR software is a human resource management system designed to handle fundamental HR tasks and processes within an organization. This software plays a crucial role in streamlining HR operations, improving efficiency, and enhancing the overall employee experience.
The primary components of core HR software include services and software. Services encompass intangible offerings or actions provided to customers in exchange for payment. This includes deployment options such as cloud-based and on-premises solutions, catering to organizations of various sizes ranging from large enterprises to small and medium-sized enterprises (SMEs). End-users span across diverse industries including government, energy and utilities, manufacturing, consumer goods and retail, transportation and logistics, healthcare, telecommunications and information technology, banking, financial services, and insurance sectors.
The core HR software market research report is one of a series of new reports from The Business Research Company that provides core HR software market statistics, including core HR software industry global market size, regional shares, competitors with a core HR software market share, detailed core HR software market segments, market trends and opportunities, and any further data you may need to thrive in the core HR software industry. This core HR software market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The core HR software market size has grown strongly in recent years. It will grow from $17.90 billion in 2023 to $19.45 billion in 2024 at a compound annual growth rate (CAGR) of 8.6%. The expansion witnessed during the historical period can be attributed to several factors, including automation and efficiency improvements, globalization and scalability initiatives, enhancements in employee experience, the adoption of data-driven decision-making processes, and the integration of core HR software with other systems within organizations.
The core HR software market size is expected to see strong growth in the next few years. It will grow to $26.57 billion in 2028 at a compound annual growth rate (CAGR) of 8.1%. The projected growth in the forecast period can be attributed to several factors, including the enablement of remote work, a heightened focus on employee well-being, the adoption of agile HR practices, and an emphasis on diversity, equity, and inclusion initiatives. Major trends expected in this forecast period include the implementation of flexible workforce models, the adoption of remote work solutions, a continued focus on enhancing the employee experience, the incorporation of agile HR practices and flexibility into organizational strategies, and an increased emphasis on continuous learning and development opportunities for employees.
The burgeoning acceleration of remote work practices is anticipated to be a key driver of growth within the core HR software market in the coming years. Remote work practices encompass the methodologies and guidelines adopted by organizations and individuals to effectively conduct work outside of traditional office settings. Core HR software plays a pivotal role in facilitating remote work by furnishing essential HR tools and functionalities that enable organizations to efficiently manage their workforce, ensure regulatory compliance, and foster communication and collaboration among remote employees. For instance, as per reports published by Forbes Media LLC in June 2023, approximately 12.7% of full-time employees in the US worked from home, with 28.2% utilizing a hybrid work model, a figure projected to escalate to 32.6 million individuals by 2025. Hence, the surging acceleration of remote work practices serves as a catalyst for the growth of the core HR software market.
Leading entities within the core HR software market are adopting a strategic partnership approach to align their HR initiatives with overarching organizational goals and drive business success. Strategic partnerships entail companies leveraging each other's strengths and resources to attain mutual benefits and bolster success. For instance, in May 2023, Personio, a Germany-based developer of human resource management and recruitment platforms, forged a strategic partnership with Mastercard Inc., a US-based payment technology corporation. This collaboration aims to propel HR digitalization efforts across Small and Medium-sized Enterprises (SMEs), underscoring Personio's commitment to catering to the unique needs of HR professionals and businesses seeking to optimize their core HR operations. Integration of Personio with diverse platforms further enhances its value proposition, facilitating seamless user experiences and data synchronization. This strategic partnership resonates with the broader trend of accelerating digitalization within traditional HR processes, signifying a concerted effort to adapt to evolving work dynamics and technological advancements.
In June 2022, BCS HR Software, a Netherlands-based cloud-based company specializing in HR and payroll software solutions, completed the acquisition of Apployed for an undisclosed sum. This strategic acquisition marks a significant milestone for BCS HR Software as it seeks to broaden its market reach, enhance its product portfolio, and reinforce its technological capabilities, positioning itself more competitively within the HR software market. Apployed, also headquartered in the Netherlands, is renowned for its comprehensive suite of HR software solutions encompassing core HR functionalities, payroll management, time registration, and workflow management.
Major companies operating in the core hr software market report are International Business Machine Corporation, Oracle Corporation, SAP SE, ADP LLC (Automatic Data Processing), Workday Inc., Paychex Inc., Sage Group plc, Kronos Incorporated, Paycom Software Inc., Ceridian HCM Holding Inc., Paylocity Holding Corporation, Cornerstone OnDemand Inc., Gusto Inc., Paycor Inc., ClearCompany Inc., Zenefits Inc., Saba Software Inc., Ultimate Software (now part of UKG - Ultimate Kronos Group), iCIMS Inc., SumTotal Sumtotal Systems LLC, Lumesse Ltd., BambooHR LLC, PeopleFluent Ltd., SilkRoad Technology Inc., Greenhouse Software Inc.
North America was the largest region in the core HR software market in 2023. The regions covered in the core hr software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the core hr software market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The core HR software market includes revenues earned by entities by providing services such as payroll processing, employee self-service recruitment and onboarding, leave management, attendance tracking, and employee information management. The market value includes the value of related goods sold by the service provider or included within the service offering. The core HR software market consists of sales of products such as time and attendance tracking tools and performance management tools. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Core HR Software Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on core HR software market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for core HR software ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The core HR software market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of COVID-19 on supply chains and consumption patterns.