Gartner Insights Abstract

Competitive Behaviors in the HCM Software Market

Published: 20 May 2024

Summary

HCM vendors are actively responding to increasing demand for innovative HR technology. To stay ahead, product managers at HR technology providers should examine competitive behaviors in strategies related to frontline worker experience, AI-enabled skills management and new outcome-based pricing.

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Overview

Key Findings
  • There are nearly 2.8 billion frontline workers in various industries. But most human capital management (HCM) solutions still largely address the requirements of desk-based workers, creating a huge opportunity to serve unmet needs in the HCM market.

  • The demand for efficient multicountrypayroll processes and a consistent employee/administrator experience is an unaddressed need in a relatively mature payroll market, creating opportunities for HCM vendors to innovate and transform existing processes.

  • Better business outcomes and growth in headcount and workforce skills remain top priorities for HR leaders. Including emerging technologies — like AI and skills management — as part of existing

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Analysts:

Anand Chouksey

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