Generally, smaller organizations on a shoestring budget opt for free HRMS software. However, they may not be the right choice if you want to execute a long-term HR automation vision and support your organizational growth. There are a handful of free HRMS applications available. However, using them is fraught with risks.
- Conditional Pricing: You may see that the HR software is free only if your company adheres to certain conditions. For example, SumHR is free for organizations only if they use salary accounts provided by a specific payment provider.
- Additional Charges: Certain HR applications offer only basic functionalities for free. They charge additionally for support, customization, and advanced functionalities. For example, OrangeHRM is an open-source HRMS that offers a free Starter pack but charges for end-to-end HR automation functionalities.
- Non-Compliance: Free or open-source apps rarely ensure compliance with local income tax, labour rules, and data security regulations. You may require a high level of customization for the same or pay for them. For example, Kredily charges Rs. 10-20/- per user per month in their free version for tax compliance.
- Unscalable Versions: Most free HR software versions have a limit on the number of users or employees. As your organization outgrows that limit, the expenses can climb exponentially.
- Unpredictable Updates: Generally, communities of developers create open-source HRMS apps and maintain them. Upgrades can be infrequent and low quality. These systems may not be able to keep pace with the latest trends in the HR space.
Cost-effective Alternatives to Free HRMS Software in India
It is better to opt for a cloud-based proprietary HRMS priced transparently and suits your budget. HROne is an end-to-end HR automation suite leading the market in India. It offers the following advantage over open-source and free HRMS platforms,
- Pay-as-you-go Pricing - With HROne, you pay only for the actual number of users and the functional modules deployed in your organization. It allows you to scale up or down quickly based on your business requirements.
- Transparent Packages - The pricing is all-inclusive. There are no additional charges for customization, support, training documentation, upgrades, or mobile access.
- Comprehensive Functionalities - HROne automates every aspect of the employee lifecycle like recruitment, onboarding, performance management, payroll, attendance, and employee engagement. It offers in-built reports, dashboards, and analytics features.
- 100% Compliance with Indian Laws: HROne auto-calculates tax deductions, pension, and PF amounts as per the latest regulations. It also enables auto-generating tax challans and employee tax forms per statutory deadlines.
- Unique Proprietary Features - Unlike run-of-the-mill interfaces offered by free software providers, HROne focuses on a world-class user experience. For example, its InboxforHR(TM) is an innovative Gmail-like interface that enables HR professionals to complete 50+ administrative tasks in a few clicks without missing any of them.
- Dedicated Support - HROne provides comprehensive training documentation and data migration support to ensure a seamless transition to the platform. The centralized helpdesk offers quick resolution to user queries as part of go-live support.
HROne also offers a free demo to provide a first-hand experience of the features and functionalities.
