5 Benefits of Cloud-Based HR Solutions

Cloud-based HR solutions

Organizations have moved from being process-centric to people-centric. Unlike yesteryears, HR responsibilities span across diverse functions – recruitment and onboarding, employee wellbeing, maximizing talent potential, payroll, etc.

A simplified Human Resource Management system that engages employees while easing complex processes is a priority for businesses. This is especially true for large organizations. Technologies like AI, Machine Learning and Cloud are innovating the way HR works.

Cloud-based HR solutions like SAP SuccessFactors serve all Human Capital Management (HCM) needs. It does more than support basic HR processes. Apart from recruitment, it provides real-time insights through analytics. This helps align HR with business objectives to provide insights on workforce performance for better decision making.

Listed below are some of the key benefits of using cloud-based HR solutions.

1. Flexible and Standardized HR

One of the key advantages of cloud-based HR solutions is that it provides a single stage for all HR functions. From recruitment, payrolls, leave applications to analytics and building talent, it provides a comprehensive range of applications on a single platform. Such a centralized system which has payroll system integrated with HR minimizes paperwork and reduces errors.

Data is also never lost on cloud, which means you have easy access to past records. You can also access data from anywhere, at any time. Whether you need specific details about an employee or want to make payments, do it on the go.

The centralization of data and flexibility of use improves overall time and cost efficiency.

2. Attract & Retain Talent

Predictive analytics is a vital feature offered by cloud-based HR solutions.

For an organization to stay ahead of the competition, it needs to build a powerhouse of talent. It not only needs access to the right people, but resources to retain them. AI in cloud-based HR systems addresses the problems of talent shortage and retention.

Using data like that of the last employer or salary you can screen and predict retention rate. It also detects discontent employees and low productivity along with reasons behind it. With this information, HR can address issues, before they lead to loss of talent.

Since employee performance is tracked in real-time, it helps make informed choices for promotions and provide any training in a short span of time.

3. Enhanced Employee Experience

Employee experience begins from the  time they are a potential hire to after they leave. Cloud-based HR solutions like SAP SuccessFactors help engage employees right from the stage of recruitment.

The data-heavy hiring process is streamlined with single point tracking of applicants. Automation of other tasks like timesheets, leave applications, policy updates, feedbacks, performance analysis, payrolls, etc. also trim paperwork and errors, resulting in better employee experience.

SAP SuccessFactors Employee Central model also grants employees access to a knowledge base. It lets them connect with HR through any device in emergencies.

Meeting employee needs and enhancing their career prospects improves their experience and helps retain them.

4. Easy Management of Flexible Workforce

Apart from full time employees, organizations rely on many other talent sources like freelancers, contractors, part-time workers, etc. Most of the time, information related to these external resources is spread across various platforms.

This complicates the entire process of hiring and managing them. Poor management prevents organizations from utilizing their full potential, leading to productivity issues.

Cloud-based solutions like SAP SuccessFactors automates the task of managing flexible workforce. With data on a single source, you can take control to make better decisions.

Not only can you easily deploy resources when needed, but also gain access to talent if you fall short. Insights on talent and market rates lets you find the right person for the job in a cost-efficient and quick way.

5. Innovation to Adapt to Changing Times

Innovation is essential to be at the top of your game. An outdated HR software leads to increased costs and also takes a hit at productivity.

Cloud-based HR solutions allow you to add features as and when you need it. Technologies like AI and Machine Learning read patterns and provide suggestions that help make decisions at the right time. Automatic software updates also help maintain compliance requirements that almost get revised every year.


HR as a concept is changing. It is leveraging technology, including mobile, to provide a better experience and maintain the organization’s competitive advantage. Thanks to technology, it is no longer a back-office role, but is leading the path as strategic partners. Cloud-based HR solutions are the need of the hour to stay ahead of the curve. If you have not yet implemented it, it’s time to get one.


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