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SAP HCM vs Workday comparison

 

Comparison Buyer's Guide

Executive SummaryUpdated on Jan 12, 2025

Review summaries and opinions

We asked business professionals to review the solutions they use. Here are some excerpts of what they said:
 

Categories and Ranking

SAP HCM
Ranking in Benefits Administration
3rd
Ranking in Talent Management
3rd
Ranking in Cloud HCM
3rd
Average Rating
7.8
Reviews Sentiment
7.2
Number of Reviews
56
Ranking in other categories
No ranking in other categories
Workday
Ranking in Benefits Administration
1st
Ranking in Talent Management
2nd
Ranking in Cloud HCM
2nd
Average Rating
8.2
Reviews Sentiment
6.9
Number of Reviews
55
Ranking in other categories
Talent Acquisition (2nd)
 

Mindshare comparison

As of March 2025, in the Cloud HCM category, the mindshare of SAP HCM is 13.9%, down from 16.8% compared to the previous year. The mindshare of Workday is 19.0%, up from 18.4% compared to the previous year. It is calculated based on PeerSpot user engagement data.
Cloud HCM
 

Q&A Highlights

MK
Apr 17, 2023
 

Featured Reviews

Renelia Villanueva - PeerSpot reviewer
Efficient payroll processing with comprehensive attendance management
I am currently heading the payroll benefits and HRIS team here in Manila. We are using SAP HCM on-premises, and we implemented SuccessFactors focusing on Employee Central and GMPM SAP HCM has helped a lot due to the always changing government regulations pertaining to taxation, social security…
Sarvesh Kumar Jha - PeerSpot reviewer
Easy to use and provides great flexibility and security
Implementing the solution is generally not easy because it depends on our client's landscape. In the last one and a half years, Workday has started a new implementation approach called launch implementation. This approach allows you, as a client organization, to implement Workday in a shorter amount of time, given that you fulfill certain criteria. It depends on the number of subsidiaries and employees you have and their compensation structure. If it's not too complex, Workday provides its clients with this new approach called launch, where they can quickly onboard with the Workday without many complex requirements. The general implementation for Fortune 500 companies is always complex.

Quotes from Members

We asked business professionals to review the solutions they use. Here are some excerpts of what they said:
 

Pros

"Scalability is excellent, and I would rate it ten out of ten."
"The compliance management functionality is quite good."
"We've found that the solution has the capability to scale."
"The master data where most of the reports were run from was the most valuable. We were quite satisfied with this module."
"The setup was straightforward."
"They provide the most stable and powerful technology in the areas of human resources, information systems, and ERP."
"Payroll processing is my favorite HCM feature, and I like all the SuccessFactors talent modules also. SAP is making good progress on enhancements to the features in the SF modules."
"Customers can create custom infotypes to store any custom data points."
"The technical support services are excellent."
"It's intuitive, a very usable tool and it's easy to find the data you're looking for."
"It stores everything for the employee. It has also been able to store the information that we use for our payroll demand."
"In the process of obtaining representative sites in NaviNet, it assists us in facilitating decision-making and taking action."
"The solution was very good at reconfiguration and customization of their software. It helped us to meet federal regulations."
"There is a lot to like about it. I really enjoy the business process framework. It's something that's really seamless. It allows you to have people within the flow. They get assigned a task to complete something to approve, etc. That's a really good piece of functionality that Workday offers. Their out-of-the-box reporting framework is also really powerful in terms of what it provides. These would be two things that I would highlight."
"We use this solution to manage financials, payroll and recruiting."
"It's a fully consolidated system. All the transactions and configuration are co-located in one fully in-memory system, so there is no need to go to different data sources (multiple DBs) to pull data; it’s all in one place."
 

Cons

"SAP HCM's long and tedious transactions can be improved."
"SAP HCM is costly compared to other ERPs like Microsoft Dynamics or Oracle, and I would rate the cost as one out of ten."
"I'm currently working for a state-owned government company, and we need to follow some standards and regulations. We also have a strategy to be followed. Sometimes the template and the format are not available in the SAP HCM, so we have to work around this limitation. The tax also sometimes changes in my country, and we have to redo everything to change the payroll calculations, benefits, and things like that. The talent management feature can be improved. It is currently very simple in SAP HCM. SAP is also very hard to integrate. In terms of monitoring, there are no monitoring tools, but as long as we take care of the disk capacity, there is no problem."
"What can be improved in SAP HCM depends on the industry it serves. The system's navigation could be simplified for users. The flow and integration between parts, like core HR, payroll, and recruiting, must be communicated properly. Users should focus on how doing things correctly from the start will improve things in the long run rather than feeling overwhelmed by tasks."
"System usability is a challenge."
"The organizational management (OM) side needs improvement due to frequent reorganization which makes it tedious to make all the movement changes and combinations."
"SAP HCM cannot integrate with other third-party applications. One of the drawbacks we encounter with SAP HCM, specifically in payroll management, is the limitation regarding changing payroll areas within the same month. For instance, if an employee transitions from staff to non-staff status during the month, we face difficulties because the system doesn't allow us to change the payroll."
"The talent modules are lacking in HCM, so I would recommend switching to SuccessFactors for talent management, but HCM excels at time management and payroll."
"Reporting systems should be improved. If you want to report it on paper, if you want something more BI oriented, more high level predictive or more data-driven, it should be improved."
"In terms of reporting, we have to rely on a consultant to do the report customization. The most important thing is to be able to do your own reporting, which it can't do. We rely so much on our consultant to customize reports for us."
"The security console should be made less complex."
"Workday has several helpful features. It has categorized payroll processes into sections, such as CTC separation and pay slips. It also provides detailed information on promotions and salary hikes, showing changes from the previous year to the current year. This includes a clear view of the new CTC and the monthly paycheck breakdown."
"The user interface can be enhanced."
"It is very unique as compared to other tools in terms of the employee master data and how it is organized. That's why sometimes the information needs to sit in two different systems because, in Workday, it is organized differently. This issue is not related to benefits. It is more or so related to how you categorize employees. I don't think this is a problem that could be solved. Workday is aware of this. It is one of those kinds of situations that you just got to live with."
"The solution needs to be updated with generative UI."
"The price could be lower."
 

Pricing and Cost Advice

"Be careful and guard against future changes in licensing."
"SAP is extremely expensive. The integration costs and customization costs are also a lot."
"The pricing is really high."
"Licensing is pretty complex. SAP does not have a straight forward way of licensing, and it differs from client to client."
"HCM is cheaper than SuccessFactors."
"For implementation, SAP offers little support unless you buy SAP Safeguarding from SAP Consulting."
"The cost depends on the size of the organization. Compared to others, I'd say Oracle is number one, followed by Workday and SAP HCM."
"The pricing depends upon the specific model and number of user accounts included in a bundle."
"You have the license fee per module, and then you have a kind of annual training fee, which is a kind of add-on. I wouldn't say it is exhaustive; it is minor. Licensing is pretty transparent for most of the part."
"The pricing is good from an HR perspective, although management gets upset after spending $500,000 a year, every year."
"I need to pay for a license. It is expensive."
"By and large, Workday is expensive. It is based on the headcount. I'd probably rate it a three or four out of five in terms of pricing. It'd be like buying a Mercedes or a high-end car. It's expensive, but there's a specific value that you're getting with additional features and things of that nature. Using that metaphor, Workday probably tends to be more of a luxury. There are others like ADP that can do your payroll, your time off, and other things, but they don't do it as well."
"Workday is an expensive solution."
"It is on a yearly basis."
"I would rate the solution’s pricing a six out of ten."
"The pricing for this solution is fairly high. It is not affordable for small and mid-sized companies."
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Answers from the Community

MK
Apr 17, 2023
Apr 17, 2023
Hi Michael, My top reasons to consider SAP SuccessFactors would be: 1. Robustness of the Core Employee Central. 2. GDPR Compliance and Audit tracking capability for transactions given the healthcare industry regulations. 3. Scalability of the solution, especially if your organization is spread over multiple geographical locations. 4. Vast support ecosystem and string tech capabilities. 5. La...
See 2 answers
Ashwin Bhadouria - PeerSpot reviewer
Feb 27, 2023
Hi, is HCM the only requirement with the organization, or are other solutions also required? As far as HCM is concerned, SAP is comprehensive and can be tailored as per requirements. Thanks - Ashwin
Vasu Narasimha - PeerSpot reviewer
Apr 17, 2023
Hi Michael, My top reasons to consider SAP SuccessFactors would be: 1. Robustness of the Core Employee Central. 2. GDPR Compliance and Audit tracking capability for transactions given the healthcare industry regulations. 3. Scalability of the solution, especially if your organization is spread over multiple geographical locations. 4. Vast support ecosystem and string tech capabilities. 5. Lastly, leverage SAP S/4HANA.
 

Top Industries

By visitors reading reviews
Computer Software Company
13%
Manufacturing Company
9%
Financial Services Firm
8%
Energy/Utilities Company
6%
Educational Organization
34%
Computer Software Company
8%
Financial Services Firm
7%
Manufacturing Company
6%
 

Company Size

By reviewers
Large Enterprise
Midsize Enterprise
Small Business
 

Questions from the Community

What do you like most about SAP HCM?
SAP HCM is the one of the best ERP for an organization with a small to large scale business. It has the most efficient payroll functionality. Regards : SAP HR classes in pune
What do you like most about SAP HCM?
HCM is a very important module that each organization should want to use. It will help any organization to calculate and control the cost of their human resources.
What is better, SAP HCM or SAP SuccessFactors?
When it comes to user experience, SuccessFactors is unquestionably superior, as it provides end users with a new experience and an advanced user interface. Additionally, the entire concept of SF is...
What are the biggest differences between Workday, Oracle Cloud and SAP SuccessFactors?
Differences between Workday, Oracle Cloud,w and SAP SuccessFactors:w Oracle: "simple interface and deep customization to suit the purpose." SAP: Multiple functionalities that increase process effi...
What do you like most about Workday?
I like its UI and UX. When we were using Oracle or SAP, the UI/UX wasn't very user-friendly for the employees.
What is your experience regarding pricing and costs for Workday?
If you go with the launch implementation approach, the solution is generally not very expensive. If you want to add more features to your subscription, Workday becomes expensive. The solution is fl...
 

Comparisons

 

Also Known As

SAP Human Capital Management
No data available
 

Overview

 

Sample 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.
AAA, Allied Global, Avago Technologies Limited, Aviva, Cardinal Health, CareFusion, Chiquita Brands International, Equifax, Flextronics, HP, Life Time Fitness, McKee Foods, MGM Resorts International, Sanofi, ServiceSource International, Symantec, TripAdvisor, Yahoo!
Find out what your peers are saying about SAP HCM vs. Workday and other solutions. Updated: February 2025.
841,004 professionals have used our research since 2012.