Major players in the human capital management market are Workday Inc, Oracle Corporation, Automatic Data Processing Inc., SAP SE, International Business Machines Corporation, Ultimate Software, Ceridian HCM, SumTotal Systems Inc., Kronos Incorporated, Infor, Cegid Group, Cornerstone OnDemand, Bamboo HR, Epicor Software Corporation, Sumtotal Systems LLC, NetSuite Inc., Microsoft Corporation, EmployWise, PeopleStrategy, Meta4, and Ramco Systems.
The global human capital management market is expected to grow from $ 21.55 billion in 2021 to $ 23.82 billion in 2022 at a compound annual growth rate (CAGR) of 10.5%. The Russia-Ukraine war disrupted the chances of global economic recovery from the COVID-19 pandemic, at least in the short term. The war between these two countries has led to economic sanctions on multiple countries, surge in commodity prices, and supply chain disruptions, effecting many markets across the globe. The human capital management market is expected to grow to $ 33.48 billion in 2026 at a CAGR of 8.9%.
The human capital management market consists of sales of human capital management software and related services by entities (manufacturers, sole traders, and partnerships) that are used for strategic planning and operations of human resources departments, including recruiting, payroll, compensation, training, and performance management.Human capital management (HCM) refers to the process of hiring people, managing workforces effectively, and optimizing productivity.
This helps to transform the traditional administrative functions of human resources and to hire the right people.
The main types of human capital management components are software and services.The different deployment models include on-premises and the cloud.
The software segment is an integrated suite of technologies that helps businesses manage their employees, from recruitment to retirement.This software helps the HR team manage various activities in the department, such as personnel information, payroll, and benefits administration, HR service delivery functions, and so on.
The various organization sites are small and medium-sized enterprises and large enterprises that are employed in banking, financial services, and insurance (BFSI), government, manufacturing, telecom and IT, consumer goods and retail, healthcare and life sciences, energy and utilities, transportation and logistics, and other verticals.
North America was the largest region in the human capital management market in 2021.Asia-Pacific is expected to be the fastest-growing region in the forecast period.
The regions covered in the human capital management market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
Integration of robotic process automation (RPA) is expected to propel the growth of the human capital management market going forward.Robotic process automation refers to automation that uses software robots to automate various repetitive tasks.
RPA has several advantages, including time efficiency, increased focus on personnel development, retention, and policy implementation.RPA helps human capital management in the process of automating repetitive tasks such as compensation management, payroll management, onboarding of new people, and compliance reporting.
For instance, according to Computer Economics, a US-based IT research firm, in 2021, 20% of organizations will have adopted robotic process automation, an increase of 13% from 2020. Therefore, the integration of robotic process automation is driving the growth of the human capital management market.
Technological advancement has emerged as the new trend gaining popularity in the human capital management market.Major companies operating in the human capital management sector are focused on developing new technologies and automated solutions for simplifying work.
For instance, in June 2021, Ramco Systems, an India-based software company, launched Self Explaining Payslip, a smart and AI-based service that helps employees seek explanations for their pay slip components, payroll queries, and compensation.
In May 2020, Ceridian, a US-based human capital management software company, acquired Excelity Global Solutions for an undisclosed amount.This acquisition is aimed at strengthening Ceridian’s commitment to its customers and expanding its market presence in the Asia-Pacific region.
Excelity Global Solutions is an India-based HCM service company that offers payroll, recruitment, performance management, and other core HR products.
The countries covered in thehuman capital management market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA.
The human capital management market research report is one of a series of new reports that provides human capital management market statistics, including human capital management industry global market size, regional shares, competitors with a human capital management market share, detailed human capital management market segments, market trends and opportunities, and any further data you may need to thrive in the human capital management industry. This human capital management market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.