How many HRIS companies are there?
Determining the exact number of Human Resource Information System (HRIS) or HRMS companies can be quite challenging due to the vast and evolving nature of the HR software market. A notable attempt to measure this initially identified around 75 North American-based companies listing themselves as either HRIS or HRMS vendors, although this list was later narrowed down to less than 60 after considering factors such as industry reputation and years in business.
The HR software market is indeed growing globally, with Forbes noting a growth rate of 4.1% in 2023 for the HR software industry, resulting in around a $600 million increase. Additionally, the global HR management market size was valued at USD 21.69 billion in 2022, with a projected compound annual growth rate (CAGR) of 12.7% from 2023 to 2030, indicating a thriving industry with an increasing number of players. This growth is driven by various factors including technological advancements and the rising need for efficient HR processes across organizations.
Furthermore, a survey disclosed that 44% of HR departments are now utilizing HRIS technology, showcasing its growing adoption across different sectors. Several companies are entering the global HRIS marketplace to meet the demands of multinational corporations. For instance, TalentHR, a recent entrant, has expanded its operations to meet the global demand for HRIS systems. Other global HR software companies are also expanding their reach, indicating a growing number of HRIS companies worldwide.
The emergence and growth of HRIS companies is a testament to the escalating importance of automated and efficient human resource management solutions in the contemporary business environment. The actual number of HRIS companies may vary widely based on the region and the criteria used for classification. The list of HRIS companies is expansive and continues to grow with the evolving needs of HR management in diverse business landscapes.
