Both professional employer organizations (PEO) and human capital management (HCM) software provide tools that streamline and improve HR functions. The main difference between the two solutions is who performs most of the HR tasks.

An all-in-one solution, a PEO handles most HR administrative tasks—payroll processing, tax filings, and benefits administration, for example—on your behalf. Additionally, PEOs leverage economies of scale to offer affordable, comprehensive employee benefits. At G&A, you also gain access to HR technology to improve efficiencies and a team of experts, ranging from HR, payroll, and benefits to compliance and workplace safety.

Primarily a software solution, an HCM platform gives you the tools you need to perform HR functions on your own. This self-service option includes integrated applications that help you manage daily HR tasks and implement strategic HR, such as recruitment, onboarding, and performance management.

Compare G&A’s PEO and HCM solutions to determine which is best for you.

Determining whether HCM is right for your business is more about your current—and anticipated—HR needs versus your headcount. Since HR is fundamental to every business, it’s important to establish a strong infrastructure that can quickly adapt as your HR needs evolve. An HCM solution may be right for you if:

• You have a person or team dedicated to HR. Implementing HCM can give them the added tools to streamline administrative tasks and allow them to focus on strategic HR initiatives, such as recruiting and culture.
• You’re utilizing multiple systems from different vendors. Consolidating into one, unified system can reduce time spent on manual data entry, reduce errors, and save your team valuable time.
• You have long-term plans for growth. The right HCM platform will scale effortlessly as you grow and support compliance efforts in multiple states.