The Human Resource (HR) Technology Market size was valued at USD 34.4 billion in 2023 and is expected to grow to USD 73.7 billion by 2031 and grow at a CAGR of 10.0% over the forecast period of 2024-2031.
"HR technology" often known as human resources technology, refers to software and other tools used to automate the human resources function in organizations. Workforce analytics, talent acquisition and management, performance management, payroll, and employee remuneration are all included.
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As major employers throughout the world have adopted core HR technology solutions from specialized HR tech suppliers as well as business software companies like Oracle and SAP, HR technology, often known as HR tech, has advanced significantly in recent years. Many of these companies are moving from their current on-premises systems to cloud platforms, including SaaS, in order to adopt the second generation of HR technology. In order to digitize their HR processes, small and medium-sized firms are also making major efforts. They typically turn to Software as a Service (SaaS) platforms or cloud-based vendors for HR technology outsourcing.
Drivers
Artificial Intelligence and Machine Learning Adoption to Drive the Market
The recruitment process can be optimized thanks to the integration of AI and ML algorithms into HR technology tools. Integrating artificial intelligence applications such as bots and virtual assistants enables automation of the hiring process, including interview planning, interview performance analysis, and basic question-answering. In order to deliver the desired results, the bot interacts with business processes and employs logic to comprehend user requests.
Restrains
Data integration issues and threats to data privacy will limit market expansion.
Solutions for human resource management provide effective digital employee data management. With a few mouse clicks on the system, human resource management teams can easily keep an eye on employee performance, leaves, and payrolls.
Social distance has been crucial in helping businesses transition from traditional forms of collaboration and communication to digital infrastructure during these trying times of COVID-19. People can successfully become isolated from society by participating in a remote work culture. Companies face a huge issue as more people choose to work from home instead of in the office. The hazards associated with data security are also increasing with remote employment. Reviewing human resource software is, therefore, crucial to making sure that it satisfies the unique security requirements of human resource management. Data security and privacy issues can limit industry expansion.
Opportunities
Consistently increasing the need for cost-effective HR technologies is creating opportunities in the future.
Employees have the flexibility to work from home or in the office, depending on their preferences and job requirements. HR departments are tasked with creating policies and procedures that support this new way of working, while also ensuring that employees remain productive and engaged.
Challenges
Unauthorized access, Errors, and the need for highly specialized, professional operators are challenges for market expansion.
COVID-19 Will Provide Market Participants with Unprecedented Opportunities Over the Long Term
Due to the market dynamics of working patterns' swift development, human resource teams and departments have been forced to adapt new strategies for meeting employee or workforce demands. Therefore, it is anticipated that demand for human resource technology solutions such as workforce management, talent management, recruitment, and payroll administration will increase after COVID-19. One of the most important changes organizations have made to address the complexity of public health and economic crisis is the shift to remote work culture and virtual cooperation. Professionals were able to effectively manage employee-management communication and execute payroll tasks thanks to the program. In order to help organizations, manage their personnel throughout the pandemic, major market participants concentrated on partnerships, collaborations, and research and development.
The Human Resource (HR) Technology Market is segmented into four types.
by Type:
Talent Management
Payroll Management
Performance Management
Workforce Management
Others
by Organization Size:
Large Enterprises
Small and Medium Sized Enterprises (SMEs)
by Deployment:
On-Premises
Cloud
by End-User:
BFSI
Manufacturing
IT and Telecom
Retail
Healthcare
Government
Others
North America was the leader in the HR technology market in 2021, and it is anticipated that it will continue to hold that position throughout the forecast period thanks to a growing emphasis on business process improvements and expanding HR analytics capabilities provided by human resource technologies vendors. But during the predicted period, Asia Pacific is anticipated to have significant expansion. The demand for HR technology solutions is being driven by the rapidly growing need for businesses to navigate complex HR tasks such as talent management, recruitment management, performance management, and administrative work. HR leaders looking for new technology solutions are finding HR SaaS to be an appealing option. The region with the highest growth is anticipated to be Asia Pacific. Growth of the market in this region is anticipated to be fueled by the surge in partnerships, funding, and investments, which will further increase the presence of small and medium-sized firms.
In the regional analysis study of the regions of North America, Europe, Asia Pacific middle east, and Africa.
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REGIONAL COVERAGE:
North America
USA
Canada
Mexico
Europe
Germany
UK
France
Italy
Spain
The Netherlands
Rest of Europe
Asia-Pacific
Japan
South Korea
China
India
Australia
Rest of Asia-Pacific
The Middle East & Africa
Israel
UAE
South Africa
Rest of the Middle East & Africa
Latin America
Brazil
Argentina
Rest of Latin America
The major players in the market are Oracle Corporation, IBM Corporation, Hi bob Inc., SAP SE, Automatic Data Processing (ADP), Inc., Cornerstone OnDemand, Inc., Cegid Group, Workday, Inc, Ceridian HCM, Inc, Ultimate Software Group, Inc., Infor, Inc., Paycom Software, Inc., Breezy HR and others in the final report.
The Access Group purchased FastTrack, a cloud-based recruiting tool, in March 2022. The platform intends to assist staffing businesses in streamlining and expanding. It will assist the Access Recruitment software suite by integrating FastTrack's integrated payroll, billing, and timesheet tools. The acquisition will also greatly broaden the Access Group's international footprint.
Workday Inc. debuted its most recent workforce management innovations in November 2021, including Labor Optimization and Workday Scheduling. It is a clever approach to scheduling that puts the needs of the workers first and takes into account worker preferences. Employers can more effectively optimize shift patterns and provide frontline workers greater freedom and choice over when and how they work with the help of this technology.
| Report Attributes | Details |
| Market Size in 2023 | US$ 34.4 Bn |
| Market Size by 2031 | US$ 73.7 Bn |
| CAGR | CAGR of 10.0% From 2024 to 2031 |
| Base Year | 2023 |
| Forecast Period | 2024-2031 |
| Historical Data | 2020-2022 |
| Report Scope & Coverage | Market Size, Segments Analysis, Competitive Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook |
| Key Segments | • By Type (Talent Management, Payroll Management, Performance Management, Workforce Management, Others) • By Organization Size (Large Enterprises, Small and Medium Sized Enterprises (SMEs)) • By Deployment (On-Premises, Cloud) • By End-User (BFSI, IT and Telecom, Healthcare, Retail, Manufacturing, Government, Others) |
| Regional Analysis/Coverage | North America (USA, Canada, Mexico), Europe (Germany, UK, France, Italy, Spain, Netherlands, Rest of Europe), Asia-Pacific (Japan, South Korea, China, India, Australia, Rest of Asia-Pacific), The Middle East & Africa (Israel, UAE, South Africa, Rest of Middle East & Africa), Latin America (Brazil, Argentina, Rest of Latin America) |
| Company Profiles | Oracle Corporation, IBM Corporation, Hi bob Inc., SAP SE, Automatic Data Processing (ADP), Inc., Cornerstone OnDemand, Inc., Cegid Group, Workday, Inc, Ceridian HCM, Inc, Ultimate Software Group, Inc., Infor, Inc., Paycom Software, Inc., Breezy HR |
| Key Drivers | • Artificial Intelligence and Machine Learning Adoption to Drive the Market |
| Market Opportunities | • Consistently increasing the need for cost-effective HR technologies is creating opportunities in the future. |
The CAGR of the Human Resource (HR) Technology Market for the forecast period 2024-2031 is 10.0%.
The market is expected to grow to USD 73.7 billion by the forecast period of 2031.
The major worldwide key players in the Human Resource (HR) Technology Market are Oracle Corporation, IBM Corporation, Hi bob Inc., SAP SE, Automatic Data Processing (ADP), Inc., Cornerstone OnDemand, Inc., Cegid Group, Workday, Inc, Ceridian HCM, Inc, Ultimate Software Group, Inc., Infor, Inc., ADP, LLC, Paycom Software, Inc., Breezy HR and others in the final report.
USD 24.89 billion in 2022 is the market share of the Human Resource (HR) Technology Market.
The forecast period for the Human Resource (HR) Technology Market is 2024-2031.
Table of Contents
1. Introduction
1.1 Market Definition
1.2 Scope
1.3 Research Assumptions
2. Research Methodology
3. Market Dynamics
3.1 Drivers
3.2 Restraints
3.3 Opportunities
3.4 Challenges
4. Impact Analysis
4.1 COVID-19 Impact Analysis
5. Value Chain Analysis
6. Porter’s 5 forces model
7. PEST Analysis
8. Human Resource (HR) Technology Market Segmentation, by Type
8.1 Talent Management
8.2 Payroll Management
8.3 Performance Management
8.4 Workforce Management
8.5 Others
9. Human Resource (HR) Technology Market Segmentation, by Organization Size
9.1 Large Enterprise
9.2 SMEs (Small and Medium Sized Enterprises)
10. Human Resource (HR) Technology Market Segmentation, by Deployment
10.1 On-Premises
10.2 Cloud
11. Human Resource (HR) Technology Market Segmentation, by End-User
11.1 BFSI
11.2 Manufacturing
11.3 IT and Telecom
11.4 Retail
11.5 Healthcare
11.6 Government
11.7 Others
12. Regional Analysis
12.1 Introduction
12.2 North America
12.2.1 North America Human Resource (HR) Technology Market by Country
12.2.2 North America Human Resource (HR) Technology Market by Type
12.2.3 North America Human Resource (HR) Technology Market by Organization Size
12.2.4 North America Human Resource (HR) Technology Market by Deployment
12.2.5 North America Human Resource (HR) Technology Market by End-User
12.2.6 USA
12.2.6.1 USA Human Resource (HR) Technology Market by Type
12.2.6.2 USA Human Resource (HR) Technology Market by Organization Size
12.2.6.3 USA Human Resource (HR) Technology Market by Deployment
12.2.6.4 USA Human Resource (HR) Technology Market by End-User
12.2.7 Canada
12.2.7.1 Canada Human Resource (HR) Technology Market by Type
12.2.7.2 Canada Human Resource (HR) Technology Market by Organization Size
12.2.7.3 Canada Human Resource (HR) Technology Market by Deployment
12.2.7.4 Canada Human Resource (HR) Technology Market by End-User
12.2.8 Mexico
12.2.8.1 Mexico Human Resource (HR) Technology Market by Type
12.2.8.2 Mexico Human Resource (HR) Technology Market by Organization Size
12.2.8.3 Mexico Human Resource (HR) Technology Market by Deployment
12.2.8.4 Mexico Human Resource (HR) Technology Market by End-User
12.3 Europe
12.3.1 Europe Human Resource (HR) Technology Market by Country
12.3.2 Europe Human Resource (HR) Technology Market by Type
12.3.3 Europe Human Resource (HR) Technology Market by Organization Size
12.3.4 Europe Human Resource (HR) Technology Market by Deployment
12.3.5 Europe Human Resource (HR) Technology Market by End-User
12.3.6 Germany
12.3.6.1 Germany Human Resource (HR) Technology Market by Type
12.3.6.2 Germany Human Resource (HR) Technology Market by Organization Size
12.3.6.3 Germany Human Resource (HR) Technology Market by Deployment
12.3.6.4 Germany Human Resource (HR) Technology Market by End-User
12.3.7 UK
12.3.7.1 UK Human Resource (HR) Technology Market by Type
12.3.7.2 UK Human Resource (HR) Technology Market by Organization Size
12.3.7.3 UK Human Resource (HR) Technology Market by Deployment
12.3.7.4 UK Human Resource (HR) Technology Market by End-User
12.3.8 France
12.3.8.1 France Human Resource (HR) Technology Market by Type
12.3.8.2 France Human Resource (HR) Technology Market by Organization Size
12.3.8.3 France Human Resource (HR) Technology Market by Deployment
12.3.8.4 France Human Resource (HR) Technology Market by End-User
12.3.9 Italy
12.3.9.1 Italy Human Resource (HR) Technology Market by Type
12.3.9.2 Italy Human Resource (HR) Technology Market by Organization Size
12.3.9.3 Italy Human Resource (HR) Technology Market by Deployment
12.3.9.4 Italy Human Resource (HR) Technology Market by End-User
12.3.10 Spain
12.3.10.1 Spain Human Resource (HR) Technology Market by Type
12.3.10.2 Spain Human Resource (HR) Technology Market by Organization Size
12.3.10.3 Spain Human Resource (HR) Technology Market by Deployment
12.3.10.4 Spain Human Resource (HR) Technology Market by End-User
12.3.11 The Netherlands
12.3.11.1 Netherlands Human Resource (HR) Technology Market by Type
12.3.11.2 Netherlands Human Resource (HR) Technology Market by Organization Size
12.3.11.3 Netherlands Human Resource (HR) Technology Market by Deployment
12.3.11.4 Netherlands Human Resource (HR) Technology Market by End-User
12.3.12 Rest of Europe
12.3.12.1 Rest of Europe Human Resource (HR) Technology Market by Type
12.3.12.2 Rest of Europe Human Resource (HR) Technology Market by Organization Size
12.3.12.3 Rest of Europe Human Resource (HR) Technology Market by Deployment
12.3.12.4 Rest of Europe Human Resource (HR) Technology Market by End-User
12.4 Asia-Pacific
12.4.1 Asia Pacific Human Resource (HR) Technology Market by Country
12.4.2 Asia Pacific Human Resource (HR) Technology Market by Type
12.4.3 Asia Pacific Human Resource (HR) Technology Market by Organization Size
12.4.4Asia Pacific Human Resource (HR) Technology Market by Deployment
12.4.5Asia Pacific Human Resource (HR) Technology Market by End-User
12.4.6 Japan
12.4.6.1 Japan Human Resource (HR) Technology Market by Type
12.4.6.2 Japan Human Resource (HR) Technology Market by Organization Size
12.4.6.3 Japan Human Resource (HR) Technology Market by Deployment
12.4.6.4 Japan Human Resource (HR) Technology Market by End-User
12.4.7 South Korea
12.4.7.1 South Korea Human Resource (HR) Technology Market by Type
12.4.7.2 South Korea Human Resource (HR) Technology Market by Organization Size
12.4.7.3 South Korea Human Resource (HR) Technology Market by Deployment
12.4.7.4 South Korea Human Resource (HR) Technology Market by End-User
12.4.8 China
12.4.8.1 China Human Resource (HR) Technology Market by Type
12.4.8.2 China Human Resource (HR) Technology Market by Organization Size
12.4.8.3 China Human Resource (HR) Technology Market by Deployment
12.4.8.4 China Human Resource (HR) Technology Market by End-User
12.4.9 India
12.4.9.1 India Human Resource (HR) Technology Market by Type
12.4.9.2 India Human Resource (HR) Technology Market by Organization Size
12.4.9.3 India Human Resource (HR) Technology Market by Deployment
12.4.9.4 India Human Resource (HR) Technology Market by End-User
12.4.11 Australia
12.4.10.1 Australia Human Resource (HR) Technology Market by Type
12.4.10.2 Australia Human Resource (HR) Technology Market by Organization Size
12.4.10.3 Australia Human Resource (HR) Technology Market by Deployment
12.4.10.4 Australia Human Resource (HR) Technology Market by End-User
12.4.11 Rest of Asia-Pacific
12.4.11.1 APAC Human Resource (HR) Technology Market by Type
12.4.11.2 APAC Human Resource (HR) Technology Market by Organization Size
12.4.11.3 APAC Human Resource (HR) Technology Market by Deployment
12.4.11.4 APAC Human Resource (HR) Technology Market by End-User
12.5 The Middle East & Africa
12.5.1 The Middle East & Africa Human Resource (HR) Technology Market by Country
12.5.2 The Middle East & Africa Human Resource (HR) Technology Market by Type
12.5.3 The Middle East & Africa Human Resource (HR) Technology Market by Organization Size
12.5.4The Middle East & Africa Human Resource (HR) Technology Market by Deployment
12.5.5 The Middle East & Africa Human Resource (HR) Technology Market by End-User
12.5.6 Israel
12.5.6.1 Israel Human Resource (HR) Technology Market by Type
12.5.6.2 Israel Human Resource (HR) Technology Market by Organization Size
12.5.6.3 Israel Human Resource (HR) Technology Market by Deployment
12.5.6.4 Israel Human Resource (HR) Technology Market by End-User
12.5.7 UAE
12.5.7.1 UAE Human Resource (HR) Technology Market by Type
12.5.7.2 UAE Human Resource (HR) Technology Market by Organization Size
12.5.7.3 UAE Human Resource (HR) Technology Market by Deployment
12.5.7.4 UAE Human Resource (HR) Technology Market by End-User
12.5.8South Africa
12.5.8.1 South Africa Human Resource (HR) Technology Market by Type
12.5.8.2 South Africa Human Resource (HR) Technology Market by Organization Size
12.5.8.3 South Africa Human Resource (HR) Technology Market by Deployment
12.5.8.4 South Africa Human Resource (HR) Technology Market by End-User
12.5.9 Rest of Middle East & Africa
12.5.9.1 Rest of Middle East & Asia Human Resource (HR) Technology Market by Type
12.5.9.2 Rest of Middle East & Asia Human Resource (HR) Technology Market by Organization Size
12.5.9.3 Rest of Middle East & Asia Human Resource (HR) Technology Market by Deployment
12.5.9.4 Rest of Middle East & Asia Human Resource (HR) Technology Market by End-User
12.6 Latin America
12.6.1 Latin America Human Resource (HR) Technology Market by Country
12.6.2 Latin America Human Resource (HR) Technology Market by Type
12.6.3 Latin America Human Resource (HR) Technology Market by Organization Size
12.6.4 Latin America Human Resource (HR) Technology Market by Deployment
12.6.5 Latin America Human Resource (HR) Technology Market by End-User
12.6.6 Brazil
12.6.6.1 Brazil Human Resource (HR) Technology Market by Type
12.6.6.2 Brazil Africa Human Resource (HR) Technology Market by Organization Size
12.6.6.3 Brazil Human Resource (HR) Technology Market by Deployment
12.6.6.4 Brazil Human Resource (HR) Technology Market by End-User
12.6.7 Argentina
12.6.7.1 Argentina Human Resource (HR) Technology Market by Type
12.6.7.2 Argentina Human Resource (HR) Technology Market by Organization Size
12.6.7.3 Argentina Human Resource (HR) Technology Market by Deployment
12.6.7.4 Argentina Human Resource (HR) Technology Market by End-User
12.6.8 Rest of Latin America
12.6.8.1 Rest of Latin America Human Resource (HR) Technology Market by Type
12.6.8.2 Rest of Latin America Human Resource (HR) Technology Market by Organization Size
12.6.8.3 Rest of Latin America Human Resource (HR) Technology Market by Deployment
12.6.8.4Rest of Latin America Human Resource (HR) Technology Market by End-User
13. Company Profile
13.1 Oracle Corporation
13.1.1 Market Overview
13.1.2 Financials
13.1.3 Product/Services/Offerings
13.1.4 SWOT Analysis
13.1.5 The SNS View
13.2 IBM Corporation.
13.2.1 Market Overview
13.2.2 Financials
13.2.3 Product/Services/Offerings
13.2.4 SWOT Analysis
13.2.5 The SNS View
13.3 Hi bob Inc.
13.3.1 Market Overview
13.3.2 Financials
13.3.3 Product/Services/Offerings
13.3.4 SWOT Analysis
13.3.5 The SNS View
13.4 SAP SE.
13.4.1 Market Overview
13.4.2 Financials
13.4.3 Product/Services/Offerings
13.4.4 SWOT Analysis
13.4.5 The SNS View
13.5 Automatic Data Processing (ADP), Inc.
13.5.1 Market Overview
13.5.2 Financials
13.5.3 Product/Services/Offerings
13.5.4 SWOT Analysis
13.5.5 The SNS View
13.6 Cornerstone OnDemand, Inc.
13.6.1 Market Overview
13.6.2 Financials
13.6.3 Product/Services/Offerings
13.6.4 SWOT Analysis
13.6.5 The SNS View
13.7 Workday, Inc.
13.7.1 Market Overview
13.7.2 Financials
13.7.3 Product/Services/Offerings
13.7.4 SWOT Analysis
13.7.5 The SNS View
13.8 Ceridian HCM, Inc.
13.8.1 Market Overview
13.8.2 Financials
13.8.3 Product/Services/Offerings
13.8.4 SWOT Analysis
13.8.5 The SNS View
13.9 Ultimate Software Group, Inc.
13.9.1 Market Overview
13.9.2 Financials
13.9.3 Product/Services/Offerings
13.9.4 SWOT Analysis
13.9.5 The SNS View
13.10 Breezy HR.
13.10.1 Market Overview
13.10.2 Financials
13.10.3 Product/Services/Offerings
13.10.4 SWOT Analysis
13.10.5 The SNS View
14. Competitive Landscape
14.1 Competitive Benchmarking
14.2 Market Share Analysis
14.3 Recent Developments
15. USE Cases and Best Practices
16. Conclusion
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