PUBLISHER: The Business Research Company | PRODUCT CODE: 1704564
PUBLISHER: The Business Research Company | PRODUCT CODE: 1704564
Human resource (HR) software is a digital solution that assists companies in streamlining and automating HR activities. By centralizing and simplifying HR processes, HR software aims to reduce manual administrative work, enhance accuracy and efficiency in HR operations, and support strategic workforce management initiatives.
The primary components of HR software include software and services. Software refers to digital tools and platforms tailored to streamline and automate human resource management tasks. It can be deployed on-premises or in the cloud, catering to various enterprise sizes, including small and medium-sized enterprises (SMEs) and large enterprises. HR software is utilized across a spectrum of industries, including government, manufacturing, consumer goods and retail, healthcare, telecommunications and information technology, banking, financial services, insurance, and others.
The human resource (HR) software market research report is one of a series of new reports from The Business Research Company that provides human resource (HR) software market statistics, including the human resource (HR) software industry global market size, regional shares, competitors with human resource (HR) software market share, detailed human resource (HR) software market segments, market trends, and opportunities, and any further data you may need to thrive in the human resource (HR) software industry. These human resource (HR) software market research reports deliver a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The human resource (HR) software market size has grown strongly in recent years. It will grow from $50 billion in 2024 to $54.64 billion in 2025 at a compound annual growth rate (CAGR) of 9.3%. The growth in the historic period can be attributed to increasing demand for automation, growth in the adoption of cloud-based solutions, increasing adoption of AI, growth in globalization, and increasing need for mobile-friendly solutions.
The human resource (HR) software market size is expected to see strong growth in the next few years. It will grow to $76.94 billion in 2029 at a compound annual growth rate (CAGR) of 8.9%. The growth in the forecast period can be attributed to the increasing adoption of blockchain technology, the growing trend towards gamification, the increasing adoption of chatbots, the increasing need for HR software with flexible scheduling, and the rising interest in virtual reality. Major trends in the forecast period include generative AI, integration of technology, mobile-first HR solutions, and technological advancements.
The growing demand for remote work is expected to drive the expansion of the human resource (HR) software market in the future. Remote work refers to employees working outside of traditional office environments, typically from home or other locations away from a central office. The rise in remote work is driven by factors such as access to a global talent pool, increased flexibility, and improved work-life balance. HR software supports remote work by enabling virtual recruitment, onboarding, performance management, communication, and collaboration, ensuring smooth HR operations regardless of location. For example, in February 2023, The Office for National Statistics, a UK-based non-ministerial department, reported that between September 2022 and January 2023, 16% of people in Great Britain worked exclusively from home, while 28% worked a combination of home and office. Therefore, the growing demand for remote work is fueling the growth of the HR software market.
Major players in the HR software market are concentrating on introducing advanced solutions, including AI-powered HR solutions, to enhance service delivery and gain a competitive edge. AI in HR solutions integrates automation, predictive analytics, and natural language processing to streamline HR processes, enhance employee experiences, and support data-driven decision-making. For instance, in January 2024, Pipefy Inc., a US-based technology company, launched Pipefy AI for HR, a complete solution with configurable chatbots and AI-driven automation to improve HR procedures. This software streamlines processes such as reading policies, making requests for vacation time or reimbursements, and looking for solutions to frequently asked HR problems by giving employees 24/7 access to HR-related information and services.
In March 2023, Moorepay Limited, a UK-based technology company, acquired Natural HR Limited for an undisclosed amount. The acquisition aims to strengthen Moorepay's position as a market player in payroll and HR software and services. Natural HR Limited is a UK-based software company that specializes in offering HR software solutions.
Major companies operating in the human resource (HR) software market are Oracle Corporation, SAP SE, Automatic Data Processing Inc., Workday Inc., UKG Inc., Paycom Software Inc., Ceridian HCM Holding Inc., Epicor Software Corporation, Paylocity Holding Corporation, Cornerstone OnDemand Inc., Paycor Inc., MoBerries GmbH, isolved HCM LLC, Rippling People Center Inc., Personio GmbH, BambooHR LLC, Hibob Inc., Automatic Payroll Systems Inc., Chronus Corp, Patriot Software LLC, EmployWise LLC, Cezanne HR Limited
North America was the largest region in the human resource (HR) software market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the human resource (HR) software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the human resource (HR) software market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The human resource (HR) software market includes revenues earned by entities by providing a range of services, such as recruitment and applicant tracking, employee onboarding, and employee self-service portals. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
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.
Human Resource (HR) Software Global Market Report 2025 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 human resource (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 human resource (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 human resource (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 forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.