Gartner defines cloud human capital management (HCM) suites for regional and/or sub-1,000+ employee enterprises as cloud application suites that deliver functionality for attracting, developing, engaging, retaining and managing employees. Cloud HCM suites for regional and/or sub-1,000 employee enterprises are designed to support transactions and/or analytical processing for more than one of the following use cases within a single integrated solution: Manage organization and employee historical data, life cycle processes and transactional employee/manager self-service; Attract and retain talent through sourcing, applicant tracking, onboarding, performance management and learning; Manage organizational structure through creating, planning and limiting employee positions. Maintain a record of workforce data through assigned positions; Manage the operational deployment of salaried and hourly workers to capture time worked and absences; Deliver tools to help employers manage country-specific compliance with legislation and agreements pertaining to data residency and labor laws.
Employer of Record (EOR) solution allows companies to hire, onboard, and manage employees in multiple countries without having to establish a local entity. It manages all payroll-related tasks and compliance but leaves the supervision and work assignment to the sponsor organization. It also handles all the legal and admin tasks associated with being an employer, like paying salaries, withholding taxes, managing benefits and processing onboarding. Apart from helping companies avoid the hassle of setting up a local entity, this arrangement helps in reducing legal risks and is also cost effective as the fee paid to EOR may be lower than the costs of fully employing contractors directly. It is widely used by medium and large enterprises looking to expand into new markets. EOR differs from Professional Employer Organization (PEO) in the sense that a PEO acts as a co-employer, while an EOR is the legal employer of an organization’s distributed workforce.
Onboarding Software enables employers in streamlining and automating the processes of smooth transition into the workplace of new hires. The key capability of the software focuses on facilitating the workflow of the onboarding process from pre-hire to the first six months, typically. To do so, it includes a combination of features such as form processing to ensure compliance with government regulations; data completion/verification to ensure the accuracy and completeness of employees’ provided information; and social/cultural assimilation to help new hires in understanding the organization's social and cultural dynamics via leadership videos, team introductions, learning courses, assigning mentors and more. Some vendors may also provide the capability of offboarding and cross-boarding of existing employees from or within the organization. These platforms are primarily utilized by human resources (HR) departments within organizations. Additionally, managers and team leaders may also utilize onboarding software to facilitate the orientation and training process for new team members under their supervision.