SAP HCM Overview

SAP HCM is the #5 ranked solution in our list of top Benefits Administration tools. It is most often compared to SAP SuccessFactors: SAP HCM vs SAP SuccessFactors

What is SAP HCM?

SAP HR (Human Resource Management), also known as "Human Capital Management" (HCM), is an important module in SAP ERP systems that supports all of the human resource management processes in the enterprise.

SAP HR records the data from the hiring of an employee to its final termination in the organization. It stores employee data such as designation, role, salary details, working shifts, address, etc.

SAP HCM is also known as SAP Human Capital Management.

SAP HCM Buyer's Guide

Download the SAP HCM Buyer's Guide including reviews and more. Updated: March 2021

SAP HCM Customers

City of Cape Town, ADAMA Agricultural Solutions Ltd., TransAlta Corporation, Keolis, PT XL Axiata Tbk, National Football League (NFL), Plan International, Yoh, A Day & Zimmermann Company, China Talent Group (CTG TMO), Umicore S.A., Butterfield Bank, Skrill Group Ltd.


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Head HRM Technology at a manufacturing company with 10,001+ employees
Real User
Jun 5, 2018
Customers can create custom infotypes to store any custom data points

What is our primary use case?

I have used SAP HCM with Oracle Database for about 13 years and SAP HCM with HANA database for about a year.

Pros and Cons

  • "We have managed to consolidate our payroll for all India operations on this platform."
  • "Customers can create custom infotypes to store any custom data points."
  • "System usability is a challenge."
  • "It needs a lot of end user training as it is not intuitive at all."

What other advice do I have?

Choose a good implementation partner. 80% of the project's success depends on the skill level of the implementation partner.
SAP HCM/SuccessFactors Consultant at a tech services company with 10,001+ employees
Nov 13, 2017
The initial setup is straightforward with out-of-the-box integration between different modules

What other advice do I have?

I would recommend to put more thoughts and efforts into integration and make intelligent decisions.
Learn what your peers think about SAP HCM. Get advice and tips from experienced pros sharing their opinions. Updated: March 2021.
476,892 professionals have used our research since 2012.
Director, Global Operations at a pharma/biotech company with 1,001-5,000 employees
Nov 1, 2017
The service support needs improvement due to slow responsiveness. Solution provides a breadth of services.

What is most valuable?

Breadth of services Ties to enterprise Finance and Supply Chain

How has it helped my organization?

Ensures a single source of data for downstream systems use.

What needs improvement?

Service support.

For how long have I used the solution?

15 years.

What do I think about the scalability of the solution?

It is used globally for more than 80 countries.

How are customer service and technical support?

Responses for enhancements can be slow.

Which solution did I use previously and why did I switch?

PeopleSoft. We switched due to a move to global single instance across HR, Finance, Supply Chain and Project Management.

How was the initial setup?

The initial setup was complex due to the ties across the enterprise and a global implementation. …
Deputy Chief Learning Officer at a government with 10,001+ employees
Mar 28, 2017
The most valuable feature is ease of use.

What other advice do I have?

* Take your time. * Learn it as well as you can so that you don't encounter problems. * Try to learn as much as you can prior to jumping into it. * Have contact information for when you have a problem. * Just know what you're doing because it's good. It's just not so user-friendly and the response time on a problem is slow.
Vladimir Semashko
Sr. SAP HCM Consultant at a tech services company with 51-200 employees
Top 20
Mar 6, 2017
It can provide payroll calculation for more than 50 countries.

What other advice do I have?

Find good consultants.
SAP HCM and HR Consultant at a tech consulting company with 51-200 employees
Dec 22, 2016
Integrates with all business processes, flexible configuration, and scalable.

What other advice do I have?

Don't think it will be costless or effortless.
Team Leader at a tech company with 10,001+ employees
Nov 16, 2016
It supports different functional areas in the company. Employee salary management could be improved and it's difficult to set up.

What other advice do I have?

I suggest working with a partner company who is already using SAP Human Capital Management to help you implement it at your own company. In Italy, the implementation is difficult because the Italian tax and labor legislation and regulations are often changed; so several implementations of this module are required. This can be changes in absence quotas and protections for sickness, maternity leave, and so on. This really requires custom integration with the help of a consultant.
SAP Project Manager at a construction company with 1,001-5,000 employees
Sep 29, 2016
The SAP JAM and Apps have made it social media- and mobile-friendly.

What other advice do I have?

Select the solutions carefully. SAP has a lot to offer, but which solutions are required for your company and what is financial viable for your company can be a tricky decision to make. So, first have insight into what every solution and module has to offer. Finally, every step of ASAP should be followed religiously. I have seen companies losing their focus while implementing, just because the TO BE Document should have been more comprehensive.
Senior SAP HCM Lead Consultant at a tech services company with 201-500 employees
Sep 22, 2016
It reduces paperwork and requires minimal manpower.

What other advice do I have?

If your company needs a stable solution, go for SAP.
Buyer's Guide
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