Transparency Market Research (TMR) has observed that the competitive landscape in the Europe SaaS based HRM market is mildly fragmented. The leading players, The Sage Group plc, IBM Corporation and ADP, LLC, held a lion’s share of 55 in the Europe market in 2016. The unwavering dominance of these companies is attributable to the best HR information practices. The companies are constantly working on improving their product portfolio to help their customers to better their team’s performance through meaningful engagement. The Europe market is also slated to see to mergers and acquisitions in the over the forecast period as companies focus on expanding their geographical reach.
According to the research report, the Europe SaaS based HRM market is likely to be worth US$1,962.1 mn by the end of 2025 from US$4676.2 mn in 2015. The Europe-based market is expected to progress at a CAGR of 11.3% during the forecast period of 2017 and 2025. The growing demand for better user-interfaces is expected to be the key growth driver for the overall market.
Germany Stands Out as it Progresses at a CAGR of 13.2% from 2017 to 2025
The solutions offered by the Europe SaaS based HRM market are time and attendance management, workforce management, HR and payroll, integrated solutions, and others such as hiring and scheduling. Of these, the demand for HR and payroll is expected to surpass all other solution segments. Analysts expect this segment to record revenue earnings worth US$595.6 mn by 2025. From a geographic point of view, the Germany is expected to expand at a fastest CAGR of 13.2% over the forecast period.
Efficiency of Cloud Services Improves Adoption Rate of SaaS Based HRM Solutions
Growing number of installed HRM systems are reaching stagnancy as they bring nothing new the table. These old, on-premise solutions are becoming obsolete and lack technological advancements that are necessary to keep up with modern demands. Thus, the upgradation of HRM systems that are SaaS-based models are expected to favor the market growth in the coming few years. Additionally, the market will also be supported by the growing need for engaging user-interface that offers a consumer-like experience.
“The flexibility of SaaS based HRM systems have won them a strong consumer base,” reports the lead author of the research report. The traditional on-premise solutions are also expensive to maintain, thus giving the SaaS based HRM systems an added advantage. The new-age systems do not need to be manually graded as it is done by vendors themselves. The key factors favoring the uptake of SaaS based HRM solutions is the consolidation of information under one platform.
On the flip side, the global market does face a few challenges that are likely to cause the vendors in the market some setback. SaaS based HRM systems are depended on cloud services, which are highly prone to cyber-attacks, service interruption, data leakage, and service impairment. Unfortunately, this can have a negative impact on the user experience due to unstable network transmissions. The growth of the market is also being threatened by the lack of technical knowledge amongst the human resource management enterprises. However, the increasing pressure on end users to manage human resources issues in a unified manner is expected to open up several opportunities for the europe market.
This review is based on the research report, titled “SaaS Based HRM Market (Enterprise Size - Small and Medium Enterprise and Large Enterprise; Solution - Time and Attendance Management, HR and Payroll, Workforce Management, Integrated Solutions, Scheduling, and Hiring; Industry – Banking, Financial Services, and Insurance (BFSI), Healthcare, IT and Telecom, and Manufacturing) - Europe Industry Analysis, Size, Share, Growth, Trends, and Forecast 2017 - 2025.”
The Europe SaaS based HRM is segmented as below:
Europe SaaS based HRM, By Enterprise Size
- Small and Medium Enterprise
- Large Enterprise
Europe SaaS based HRM, By Solution
- Time and Attendance Management
- HR and Payroll
- Workforce Management
- Integrated Solutions
- Others (Scheduling, Hiring, etc.)
Europe SaaS based HRM, By Industry
- Banking, Financial Services and Insurance (BFSI)
- IT and Telecom
- Others (Government, Logistics, etc.)
Europe SaaS based HRM, By Country
- The UK
- The Netherlands
- Rest of Europe