The 8 Best HR Softwares for Medium-Sized Businesses
With these softwares, you professionalize your HR processes in small and medium-sized enterprises.
- HR software helps SMEs efficiently digitalize HR processes and minimize administrative tasks.
- Tools like Clockodo, clockin, ZEP, and Clockodo offer intuitive time tracking solutions for various areas of application.
- With solutions like HR WORKS or coveto, recruiting, payroll, and travel expenses can be managed holistically.
- Hrmony and fiverr offer complementary functions for employee retention and project-based talent acquisition.
- Through centralized data and automation, SMEs improve their decision-making and legal compliance.
These are the best HR software for SMEs (KMU)
| Tool name | Price | Highlight / USP | Best for |
|---|---|---|---|
| HR WORKS | On request | Most-used HR software in the German SME's, with five WirtschaftsWoche awards. | SMEs and mid-market |
| HoorayHR | From €7.50 / user / month | All-in-one HR tool with a strong focus on people development and transparent self-service structures. | SMEs |
| Personio | Individual quote | Holistic platform that automates all core tasks, including full payroll. | Companies of all sizes |
| HELIX | On request | Modular suite with deep functionality in training and event management. | Modern HR management |
| HRlab | From €6.00 / user / month | German software focused on flexibility and 100% GDPR-compliant hosting in Germany. | Mid-sized companies |
| Factorial | From €8.00 / user / month | All-in-one platform with unicorn status and an especially strong mobile app for on the go. | Mid-sized companies |
| Tellent HR | From €103.00 / month | Fast rollout within a few hours with no implementation costs. | Small and mid-sized companies |
| Rexx Systems | On request | Highly scalable suite with cutting-edge AI integration "Rai" and strong talent management. | Mid-market and enterprises |
The selection of tools is based on our OMR Score. The ranking is determined by the average rating and the number of ratings up to a specific point in time. The more positive votes, the better the result reflects general satisfaction. This score is intended to help you with your decision-making.
1. HR WORKS
HR WORKS stands out from other systems through its combination of comprehensive functionality, the highest security standards (audited by Bitkom) and a multi-award-winning customer service recognized as the best mid-market service provider.
Features
- Digital personnel file and HR documents
- Travel expense accounting and expense management
- Time tracking and absence management
- Preparatory payroll accounting with DATEV interfaces
- Applicant management and employee reviews
Not ideal for: Large enterprises that need highly specialized, deeply differentiated international modules outside the DACH region.
| Strengths | Weaknesses |
|---|---|
| Comprehensive suite including travel expenses and time tracking | The admin interface is sometimes perceived as less intuitive |
| Excellent customer support with a 95% rating | Occasional performance issues and load times with large data volumes |
| Seamless integration and interfaces to DATEV and ADDISON | Limited customization options for individual workflows |
| High transparency and relief through Employee Self Service | Reporting could be made more flexible |
HRworks gives me all the functions I need to handle administrative processes quickly and securely and to always keep an overview of all employees. As an admin, I have extensive reporting options at my disposal. - Susanne, cognitivo AG
2. HoorayHR
Compared with others, HoorayHR stands out for its fair and flexible pricing model with no minimum purchase or long contract terms, paired with high ease of use and a dedicated self-service app.
- Digital personnel file and contract management
- Leave and absence management
- Task management and automated onboarding workflows
- 360-degree feedback and team/individual OKRs
- Expense and travel cost management with multi-currency support
Not ideal for: Complex organizational structures that require fully granular customization of field sets by role or location.
| Strengths | Weaknesses |
|---|---|
| Outstanding ease of use (94%) and setup (95%) | Time tracking does not yet fully cover legal requirements in Germany |
| Flexible pricing model with no minimum term or minimum number of users | Limited templates for complex workflows |
| Very responsive and personal customer support (98%) | Some settings and workflows are somewhat rigid |
| Strong preboarding feature for self-data entry | Options for specific user roles are partly limited |
I recently started using HoorayHR and I am thoroughly impressed with its user-friendly interface and robust features. The platform makes HR tasks a breeze with its intuitive design and efficient functionalities. - Bryan, StudioBri
3. Personio
Personio stands out as a powerful all-in-one solution that, through the optional "Personio Payroll" module, completely eliminates the need to communicate directly with external tax advisors.
- Holistic absence and working-time management
- Integrated recruiting and workflow building for job postings
- Digital file with custom fields and access rights
- Preparatory and fully integrated payroll accounting (DATEV integration)
- Performance & development including 360 reviews and goal agreements
Not ideal for: Companies looking for an in-depth mobile app for managers, as the mobile functions are heavily limited.
| Strengths | Weaknesses |
|---|---|
| Complete mapping of the employee life cycle in one system | Occasional performance issues and longer load times |
| Strong degree of automation in recruiting and onboarding | Mobile app functions are reduced to the bare minimum |
| Flexible role and rights management for employees | The DATEV connection is described by some users as insufficient |
| Clear calendar view of all team absences | Tasks cannot be marked as done in bulk in the dashboard |
From recruiting and onboarding all the way to generating references — there's a function for everything. The most important thing for us, however, is that all information is finally stored in one place, accessible to both the employee and the people manager. - Steffen, rapidmail
4. HELIX
HELIX differentiates itself through its clear focus on specialized modules such as training management and event management, which map the organization of seminars, training plans and assessments in a structured way.
- Workforce planning and integrated analytics
- Central applicant management and job-posting control
- Time tracking and absence management (also mobile via phone)
- "My Learning World" module for digital learning content
- Digital event and seminar planning
Not ideal for: Teams looking for ready-to-use software without any initial configuration and onboarding effort.
| Strengths | Weaknesses |
|---|---|
| Enormous time savings through the interlinking of all modules | Initial configuration takes a lot of time |
| Excellent suitability for training and event management | The menu structure can become confusing with many modules |
| Practical development with good handling and a modern layout | Certain settings are not immediately intuitive to find |
| Fast and competent support during setup | Lack of integrated upfront workshops for individual optimization |
We use Helix specifically for training management and event management. In training in particular, we benefit from the clear structure: training plans can be presented clearly, assessments can be documented, and communication with trainees is noticeably more transparent. - Christin, Sparkasse
5. HRlab
HRlab stands out through its uncompromising orientation toward German legal standards and 100% GDPR-compliant hosting in Germany, combined with highly praised personal and practical customer support.
- Digital personnel file and master data management
- Comprehensive absence and sick-leave management
- Automatic retrieval of electronic incapacity-to-work certificates (eAUs)
- Workflow and task management for on- and offboarding
- Preparatory payroll with one-click export to DATEV (LODAS)
Not ideal for: Large enterprises that need to map extremely complex, international large-scale projects and therefore require high-priced software.
| Strengths | Weaknesses |
|---|---|
| Convincing price-performance ratio and flexible workflows | Complex initial setup and a help function that takes getting used to |
| Highest legal certainty through a focus on German standards | Some areas of the user interface look visually inconsistent |
| Convenient DATEV export and automatic eAU retrieval | Recruiting functions are designed in a rather centralized way |
| Excellent onboarding tailored to individual needs | Occasional delays in implementing announced features |
When we were looking for HR management software around six years ago, HRlab quickly became the most convincing partner for us — and it still is today! HRlab GmbH holds itself to the highest standards of practically integrating all tax, social-security and labor-law aspects into comprehensive yet flexible software. - Susanne, exito GmbH & Co. KG
6. Factorial
Compared with competitors, Factorial shines with its outstanding mobile app, which makes legally mandated time tracking and employee leave requests extremely easy to handle on the go.
- Employee database with individual roles and permissions
- Unlimited documents including legally valid e-signature
- Time tracking (in the Enterprise package with geolocation and geofencing)
- Complaint channel and integrated whistleblowing module
- Historical data tracking with audit log
Not ideal for: Companies that absolutely depend on fast and consistently reachable German-language phone support.
| Strengths | Weaknesses |
|---|---|
| Tidy, clear and well-thought-out dashboard | Support availability is described by users as having significantly declined |
| Efficient digitization through a practical bulk-send function | Time tracking and overtime balance calculation are sometimes inaccurate |
| Fast, digital document access and integrated e-signature | Limited customization options for the user interface |
| Simple and uncomplicated leave requests | The tool's load times can occasionally be long |
We've been using Factorial for two years now and are absolutely thrilled with the wide range of options and the software's ease of use. The platform has hugely simplified our HR processes and saved us a lot of time. - Jan-H., Stacvalley GmbH
7. Tellent HR
Tellent HR stands out for its extremely fast go-live. After the trial phase, the system can be used productively within a few hours and entirely without implementation costs.
- Central employee database and digital org chart
- Absence management and mobile time tracking
- Creation of workflows and advanced checklists for onboarding
- Performance reviews (1:1 and team) as well as talent matrices
- Integrated AI Writer to analyze and summarize results
Not ideal for: Companies that require highly complex, fully automated and deeply nested rights management at the individual employee level.
| Strengths | Weaknesses |
|---|---|
| Excellent ease of use (94%) and easy setup (92%) | No direct automated interface to DATEV in the standard so far |
| High flexibility in creating custom absence categories | Display on split screens or small monitors is sometimes faulty |
| Very clear timeline for team absences | The automatic break rule leads to duplicates when entered manually |
| Scalable system with a fair entry price | The search function for settings is heavily nested |
kiwiHR is intuitive to use and can be adopted by the team immediately without much onboarding. For us, kiwiHR is a great entry point into the HR world. Since we're still a small team, we only need a few functions and kept an eye on the budget. - Nils, Personal Branding Rebels
8. Rexx Systems
Rexx Systems sets itself apart through its technological depth. With the integrated AI assistant Rai (AI Hiring), its own data warehouse for complex reporting and a dedicated connectivity department for tailor-made customer APIs, the tool is extremely powerful.
- Digital personnel file and fully automated document creation
- Rexx Recruiting with job-portal configurator and WhatsApp application
- Integrated CV parsing and multiposting to up to 1,000 job boards
- Talent management with 360° feedback and performance-potential matrix
- Inventory management including room and desk booking
Not ideal for: Small trade businesses or micro-enterprises that cannot provide internal HR resources for the continuous maintenance of the system.
| Strengths | Weaknesses |
|---|---|
| Logical and thoroughly designed linking of all HR modules | The user interface and UI sometimes look outdated |
| Enormous time savings through automated form letters and templates | The text editor is technically outdated and makes adjustments harder |
| Stable single source of truth for the entire employee life cycle | Support sometimes reacts slowly and runs purely via a ticketing system |
| Integrated reminder functions, follow-ups and reminders | The permission structure is highly complex and maintenance-intensive |
What's most convincing to me is the broad range of functions in rexx HR and the ability to map nearly all HR processes in a single system. Although setup and configuration require some effort at first, the result is a stable environment with no system breaks and a clear single source of truth. - Lars, CHEPLAPHARM Arzneimittel GmbH
Which tool is right for you?
- HR WORKS is ideal for mid-sized companies in Germany looking for established software with a strong focus on integrated travel expense accounting and payroll interfaces.
- HoorayHR is a good fit for smaller teams that value maximum flexibility in contract terms and transparent leave and people-development planning.
- Personio is ideal for companies that want to automate their HR processes entirely holistically and aim to handle payroll directly within the tool.
- HELIX is excellent for businesses with a strong focus on structured training management and the organization of internal seminars or events.
- HRlab is ideal for data-protection-sensitive SMEs that prefer software hosted in Germany with excellent, personal support and automatic eAU retrieval.
- Factorial suits mid-sized businesses whose employees primarily record working hours on the go and need to sign documents digitally.
- Tellent HR is ideal for small teams that want an extremely fast, uncomplicated and cost-effective entry into digital HR administration without implementation fees.
- Rexx Systems is perfect for larger mid-market companies and enterprises that need complex talent-management structures, AI-supported recruiting and deep system integrations.
Recommended HR Tools & Software Solutions
You can find other recommended HR software providers on our comparison platform OMR Reviews. There we have listed over 500 HR software solutions for small and medium-sized companies, start-ups and large corporations that support you in all areas of human resource management. So take a look and compare the software with the help of authentic and verified user reviews:
- HR Suites
- Payroll accounting
- Recruiting, applicant management & personnel resource planning
- Time recording