SAP SuccessFactors Human Capital Management System (HCM) Review for 2025

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In this review, I'm going to share my analysis and evaluation from hands-on experience with SAP SuccessFactors.

But first, if you're just beginning your search for the best human capital management (HCM) system, check out my picks for the best human capital management (HCM) systems currently on the market.

You probably already know that SAP SuccessFactors is among the most popular HCM systems out there, but you need to better understand what's good and not so good about it.

This in-depth SAP SuccessFactors HCM review will walk you through the pros and cons, features, and functionality of this tool to help guide you to better understand its capabilities and suitability for your scenario.

Summary: SAP SuccessFactors

SAP SuccessFactors is a cloud-based human capital management (HCM) software suite. Human resources professionals and business leaders typically use SAP SuccessFactors to manage the entire employee lifecycle, from recruitment to retirement, supporting their day-to-day HR operations.

It provides tools to improve HR efficiency, make data-driven people decisions, and align the workforce with key business goals.

SAP SuccessFactors addresses common pain points like disconnected HR systems, time-consuming manual processes, and lack of workforce insights.

Its best features are its core HR and payroll with Employee Central, recruiting, onboarding, performance and goals, succession and development, compensation, and learning.

SAP SuccessFactors Pros

• Talent management: SAP SuccessFactors offers a comprehensive suite of talent management capabilities, including recruiting, onboarding, performance management, compensation, succession planning, and learning management to support the full employee lifecycle.
• Workforce analytics: The platform provides powerful people analytics tools and pre-built dashboards to gain actionable insights into workforce trends, identify skill gaps, predict turnover risk, and make data-driven talent decisions.
• User experience: SAP SuccessFactors is known for its intuitive, mobile-optimized interface and consumerized user experience that drives high adoption and engagement across the workforce.

SAP SuccessFactors Cons

• Complexity: As an enterprise-grade HCM suite, SAP SuccessFactors can be complex to implement and configure, especially for large global organizations with unique processes and requirements. This can lead to longer deployment timelines.
• Performance: Some customers report that certain HR processes, reports, and transactions in the system can be slow to load at times, especially when dealing with high volumes of data.
• Reporting: While workforce analytics are a strength, some users find the standard reporting tools in SAP SuccessFactors to be less flexible than other HCM systems. As such, building custom reports often requires IT support.

SAP SuccessFactors Expert Opinion

In my opinion, SAP SuccessFactors is a solid choice for large, global enterprises looking for a comprehensive cloud HCM suite, especially if they already use SAP ERP.

It covers the full employee lifecycle from hire-to-retire, with particular strengths in learning, performance management, succession planning, and workforce analytics. The platform is also highly configurable, which allows it to adapt to complex requirements. However, that flexibility can make implementation lengthy. For smaller organizations, SuccessFactors may be overkill.

Comparing it to Workday, another leading cloud HCM, SuccessFactors has an edge in its talent management capabilities, while Workday is generally seen as easier to deploy and more user-friendly. Between the two, SuccessFactors is a better fit for companies that prioritize powerful performance and succession and learning features.

Pricing for SuccessFactors is not publicly disclosed, but tends to be on the higher end, which could be prohibitive for some. Based on customer reviews, most find it feature-rich and are able to improve their HR processes with it; however, some complain it can be difficult to navigate.

I recommend SuccessFactors for larger organizations with complex talent management needs and the budget and resources to invest into a highly customizable platform. Smaller companies should explore lower-cost alternatives.

Why Trust Our Software Reviews

We've been testing and reviewing the Human Capital Management System (HCM) since 2019. As HR experts ourselves, we know how critical and difficult it is to make the right decision when selecting software. We invest in deep research to help our audience make better software purchasing decisions. 

We've tested more than 2,000 tools for different HR management use cases and written over 1,000 comprehensive software reviews. Learn how we stay transparent & our SAP SuccessFactors review methodology.

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Are You A Good Fit For SAP SuccessFactors?

Who Would Be a Good Fit for SAP SuccessFactors?

Large enterprises with complex HR needs are an ideal fit for SAP SuccessFactors. The tool provides a full suite of integrated HR applications including core HR, payroll, recruiting, learning, performance management, compensation planning, and workforce analytics, making it perfect for performing the wide range of functions required for an enterprise-level HR team.

SAP SuccessFactors' highly configurable and scalable platform also supports the requirements of global organizations. Built on modern cloud architecture, it integrates with SAP's other business software.

Who Would Be a Bad Fit for SAP SuccessFactors?

Small businesses with straightforward HR needs may find SAP SuccessFactors too complex and costly, as the platform’s expansive feature set exceeds what's required for basic HR tasks.

Moreover, SAP SuccessFactors focuses on enterprise customers, so implementation and user adoption takes longer than lightweight HR tools. Smaller businesses are better served by systems tailored to their scale.

Read our review of the best SAP alternatives for more info.

Best Use Cases for SAP SuccessFactors

• Large enterprises: SAP SuccessFactors is well-suited for large, global organizations that need a robust HCM system to manage their workforce across multiple geographies and business units. Its scalability and configurability also make it a strong choice for enterprises.
• Technology companies: Fast-growing tech firms can benefit from SuccessFactors' strong talent management capabilities to attract, develop and retain top talent in a competitive industry. These include key capabilities like continuous performance management and learning.
• Healthcare: Healthcare organizations can rely on SuccessFactors for its ability to handle complex compliance requirements and adapt to frequent regulatory changes. Its position management functionality can also be critical for this industry.
• Talent acquisition: For companies where recruiting is a major priority, SuccessFactors' talent acquisition module is a big selling point. It provides a seamless candidate experience, advanced CRM capabilities, and deep analytics.
• HR analytics: Organizations looking to make data-driven HR decisions might gravitate to SuccessFactors for its powerful reporting and analytics. It offers flexible dashboards, strategic workforce planning tools, and AI-powered insights. 
• Retail: Large retail chains with distributed workforces use SuccessFactors to keep employees engaged across many locations. Its mobile app, social collaboration features, and branded portal options are important benefits for retail workers.

Worst Use Cases for SAP SuccessFactors

• Small businesses: For small companies with straightforward HR needs, SuccessFactors is often too complex and expensive. They may not utilize many of the advanced features and may find the implementation and maintenance cumbersome.
• Basic HR: Organizations that just need core HR functionalities, like personnel tracking and simple reporting, can find more affordable options than SuccessFactors. Its broad talent suite goes beyond their requirements.
• Highly regulated: While SuccessFactors does offer compliance features, some highly regulated industries may prefer HCM vendors that specialize in their niche. More targeted solutions can better handle unique workflows and rule sets for highly-regulated industries. 
• Payroll: Companies that prioritize an integrated payroll solution may want to evaluate other options, as SuccessFactors' payroll module has limitations. Many customers choose to integrate a third-party payroll system instead.
• Time tracking: SuccessFactors' time and attendance capabilities are relatively basic. Organizations with comprehensive time tracking, scheduling, and absence management needs often find it falls short and require add-on solutions.
• Benefits admin: The benefits administration functionality in SuccessFactors is not as comprehensive as some other HCM platforms or standalone benefits systems. Companies that emphasize a smooth benefits experience may consider alternatives.

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SAP SuccessFactors Evaluation Summary

• Core Functionality: ⭐⭐⭐⭐
• Standout Features: ⭐⭐⭐⭐
• Ease of Use: ⭐⭐⭐
• Onboarding: ⭐⭐⭐
• Customer Support: ⭐⭐⭐
• Integrations: ⭐⭐⭐⭐
• Customer Reviews: ⭐⭐⭐⭐
• Value for Money: ⭐⭐⭐
  

Review Methodology

We're a team of software experts who obsess about the features and functionality of different platforms. We know how critical—yet difficult and confusing—software selection can be. We test and score software to find the best solutions, whatever the use case may be.

Using our objective, data-driven testing methodology, we've tested 300+ software. We dedicate ourselves to being objective in fully and fairly testing software, to get beyond the marketing fluff and truly understand the platform.

We've developed vigorous testing scenarios to use the software in the same way you will. We leverage our own first-hand, practical experience of the tools, complemented by interviews with users, experts, and software vendors.

How We Test & Score HCM System

We've spent years building, refining, and improving our software testing and scoring system for HCM systems. The rubric is designed to capture the nuances of software selection and what makes an HCM system effective, focusing on critical aspects of the decision-making process.

Below, you can see exactly how our testing and scoring works across eight criteria. It allows us to provide an unbiased evaluation of the software based on core functionality, standout features, ease of use, onboarding, customer support, integrations, customer reviews, and value for money.

Core Functionality (25% of final scoring)

For HCM systems, the core functionalities we test and evaluate are:

• Onboarding: Streamlines the process of bringing new employees into the organization.
• Benefits Administration: Manages employee benefits such as health insurance, retirement plans, and paid time off.
• Performance Management: Tracks employee goals, provides feedback and performance reviews, and identifies areas for improvement.
• Compensation Management: Handles employee salaries, bonuses, and other forms of compensation.
• Learning & Development: Provides training and professional development opportunities for employees.
• Workforce Analytics: Offers data and reporting to help optimize the workforce and guide HR decisions.

Standout Features (20% of final scoring)

We evaluate uncommon, standout features that go above and beyond the core functionality defined and typically found in HCM systems. A high score reflects specialized or unique features that make the product faster, more efficient, or offer additional value to the user.

Ease of Use (15% of final scoring)

We consider how quick and easy it is to execute the tasks defined in the core functionality using the HCM system. High scoring software is well designed, intuitive to use, offers mobile apps, provides templates, and makes relatively complex tasks seem simple.

Onboarding (10% of final scoring)

We know how important rapid team adoption is for a new platform, so we evaluate how easy it is to learn and use the HCM system with minimal training. We evaluate how quickly a team member can get set up and start using the software with no experience. High scoring software indicates little or no support is required.

Customer Support (10% of final scoring)

We review how quick and easy it is to get unstuck and find help by phone, live chat, or knowledge base. HCM systems that provide real-time support scores best, while chatbots score worst.

Integrations (10% of final scoring)

We evaluate how easy it is to integrate with other tools typically found in the tech stack to expand the functionality and utility of the software. HCM systems offering plentiful native integrations, 3rd party connections, and API access to build custom integrations score best.

Customer Reviews (10% of final scoring)

Beyond our own testing and evaluation, we consider the net promoter score from current and past customers. We review their likelihood, given the option, to choose the HCM system again for the core functionality. A high scoring software reflects a high net promoter score from current or past customers.

Value for Money (10% of final scoring)

Lastly, in consideration of all the other criteria, we review the average price of entry level plans against the core features and consider the value of the other evaluation criteria. Software that delivers more, for less, will score higher.

Through this comprehensive approach, focusing on core functionalities, standout features, usability, onboarding, customer support, value, and customer reviews, I aim to identify HCM systems that not only meet but exceed expectations, ensuring teams have the tools they need to succeed.

SAP SuccessFactors Review

Core HCM System Functionality

Recruiting and Onboarding: SAP SuccessFactors offers a comprehensive recruiting module that integrates seamlessly with the onboarding process. This ensures a smooth transition from candidate to employee, enhancing the new hire experience and reducing time-to-productivity. SAP SuccessFactors Recruiting and Onboarding provides features such as automated hiring processes, an applicant tracking system, mass handling of tasks, and a simplified user interface for new hires, improving overall efficiency. 

Performance and Goals Management: SAP SuccessFactors’ performance management tool aligns employee goals with organizational objectives, offering continuous performance feedback and development planning, fostering a culture of high performance and accountability. The system also uses AI to assist in creating performance goals and enhancing feedback quality. 

Learning and Development: SAP SuccessFactors includes a comprehensive learning management system (LMS) that supports various learning formats. It enables personalized learning paths, compliance training, and skills development to ensure workforce readiness. 

Compensation Management: SAP SuccessFactors’ compensation module helps users design and manage competitive compensation programs. It integrates with performance data to ensure pay-for-performance, rewarding high achievers appropriately. This module is also configurable to fit various pay structures and performance metrics​. 

Succession and Development: SAP SuccessFactors also aids in identifying and developing future leaders within the organization. It offers tools for career pathing, talent pool management, and development planning, ensuring business continuity and growth through talent visibility and planning​. 

Workforce Planning and Analytics: SAP SuccessFactors delivers advanced workforce planning and analytics tools. These tools provide insights into workforce trends, helping HR professionals make data-driven decisions to optimize workforce efficiency and effectiveness.

SAP SuccessFactors Standout Features

Continuous Performance Management: Unlike traditional annual reviews, SAP SuccessFactors supports ongoing feedback and real-time performance tracking. It helps create a more agile and responsive performance management culture.

People Analytics: SAP SuccessFactors’ advanced analytics feature goes beyond standard HR metrics. It provides deep insights into workforce data, leveraging predictive analytics to help forecast trends and inform strategic decisions.

Ease of Use

SAP SuccessFactors is relatively user-friendly compared to other HCM systems. Its interface is intuitive, with a clean design that simplifies navigation and usage. However, the depth and breadth of its features may require some initial training, especially for users new to HCM software.

Onboarding

New users can expect a comprehensive onboarding process with SAP SuccessFactors. The platform offers extensive training resources, including guided tutorials, webinars, and a knowledge base. This ensures users are well-equipped to maximize the system's potential, although the initial setup can be more involved compared to some simpler HCM systems.

Customer Support

SAP SuccessFactors provides several customer support channels, including email, phone, and live chat. There is also a dedicated help center and a community forum for peer support. Additionally, they offer a status page to monitor system downtime, and they regularly update their product with new features and improvements.

Integrations

SAP SuccessFactors integrates natively with Microsoft Office 365, Google Workspace, Salesforce, Adobe Sign, DocuSign, Slack, ServiceNow, LinkedIn, Workday, and Kronos.

Additionally, SAP SuccessFactors offers extensive API capabilities, enabling further integrations with other third-party tools and custom applications. Users can also leverage platforms like Zapier and the SAP App Center for additional integration options.

Value for Money

SAP SuccessFactors is generally considered to be on the higher end of the pricing spectrum for HCM systems. Its extensive features and integration capabilities contribute to its premium pricing, making it a considerable investment for organizations.

Pricing plan options for SAP SuccessFactors include:

• Employee Central: This plan includes core HR functions, available at a per-employee, per-month rate.
• Performance and Goals Management: Priced per user, per month.
• Learning Management System: Available at a per-user, per-month rate.
• Recruiting and Onboarding: Offered as a package, priced per user, per month.
• Compensation Management: Priced per user, per month.
• Succession and Development: Available at a per-user, per-month rate.
• Workforce Analytics and Planning: Offered as an add-on, priced per user, per month.

For this reason, SAP might not be the best solution for all businesses. Take a read of our of review of the best SAP competitors to learn more.

Product Specifications

Feature	SAP SuccessFactors
Employee Self-Service	✅
Payroll Management	✅
Time and Attendance Tracking	✅
Benefits Administration	✅
Performance Management	✅
Goal Setting	✅
Learning Management	✅
Recruiting and Onboarding	✅
Compensation Management	✅
Succession Planning	✅
Workforce Analytics	✅
Mobile Access	✅
Employee Surveys	✅
Compliance Management	✅
Social Collaboration Tools	✅
Customizable Reports	✅
Multi-Currency Support	✅
Global HR Management	✅
Health and Safety Tracking	❌
Employee Recognition Programs	✅
Task and Project Management	❌
Gamification	❌
Talent Marketplace	✅
Internal Job Board	✅
Real-Time Feedback	✅

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New users receive extensive training resources to maximize SAP SuccessFactors' potential.

2 of 12

SAP SuccessFactors offers multiple customer support channels and regular product updates.

3 of 12

SAP SuccessFactors' pricing tiers are based on the modules and number of users selected.

4 of 12

SAP SuccessFactors aids succession and development with talent visibility and planning.

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SAP SuccessFactors is user-friendly but may require initial training for new users.

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SAP SuccessFactors offers people analytics for data-driven HR insights and decisions.

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SAP SuccessFactors enables continuous performance management with real-time feedback.

8 of 12

SAP SuccessFactors aids succession and development with talent visibility and planning.

9 of 12

SAP SuccessFactors optimizes compensation management with configurable pay structures.

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SAP SuccessFactors supports learning and development through personalized training.

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SAP SuccessFactors enhances performance and goal management with continuous feedback.

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SAP SuccessFactors integrates with major platforms and offers extensive API capabilities.

SAP SuccessFactors Alternatives

If you’re looking for alternative HCM system options to SAP SuccessFactors, here are a few worth checking out:

• Workday: Known for its user-friendly interface and comprehensive financial management features, Workday is a strong choice for integrated HR software and financial solutions.
• Oracle HCM Cloud: Oracle HCM Cloud offers extensive customization options and powerful analytics, catering to large enterprises with complex HR needs.
• ADP Workforce Now: ADP Workforce Now provides a scalable solution with strong payroll capabilities, ideal for mid-sized businesses looking for robust payroll and HR functionalities.
• BambooHR: BambooHR is an HRIS system that focuses on ease of use and employee engagement, making it suitable for small to mid-sized businesses that prioritize user experience.

SAP SuccessFactors Frequently Asked Questions

What is SAP SuccessFactors?

SAP SuccessFactors is a cloud-based human capital management (HCM) software that helps organizations manage various HR functions, including recruiting, onboarding, performance management, learning and development, compensation, and succession planning. It integrates with other business applications to provide a comprehensive solution for managing the entire employee lifecycle.

Is there a mobile app for SAP SuccessFactors?

Yes, SAP SuccessFactors offers a mobile app that provides access to many of its key features. Employees and managers can perform tasks such as managing time off, accessing learning content, providing feedback, and approving requests directly from their mobile devices.

Is SAP SuccessFactors HIPAA compliant?

SAP SuccessFactors is not specifically designed to be HIPAA compliant. While it offers extensive security measures, organizations in the healthcare industry should evaluate its suitability for handling protected health information (PHI) and consult with SAP regarding compliance needs before implementing it.

Is SAP SuccessFactors SOC 2 compliant?

Yes, SAP SuccessFactors is SOC 2 compliant. This certification ensures that the software meets stringent standards for security, availability, processing integrity, confidentiality, and privacy. This means that organizations can trust that their data will be handled with a high level of care and security.

Is SAP SuccessFactors secure?

SAP SuccessFactors places a strong emphasis on security, employing various measures to protect data. These include encryption, regular security audits, and compliance with industry standards. The platform also provides access controls and monitoring to safeguard sensitive information.

Is SAP SuccessFactors FedRAMP certified?

No, SAP SuccessFactors is not FedRAMP certified. Organizations requiring FedRAMP certification should consider other solutions that meet this specific federal security standard.

Is SAP SuccessFactors GDPR compliant?

Yes, SAP SuccessFactors is GDPR compliant. It provides tools and processes to help organizations meet the requirements of the General Data Protection Regulation, including data protection measures, user consent management, and data subject rights.

SAP SuccessFactors Company Overview & History

SAP SuccessFactors is a leading provider of cloud-based HCM solutions. The company helps organizations manage various HR functions, including recruiting, onboarding, performance management, learning and development, and succession planning. 

The company’s headquarters are in South San Francisco, California, and it operates as part of SAP SE, a global software corporation headquartered in Walldorf, Germany. SAP SE has a large workforce, with over 100,000 employees worldwide. 

SAP SuccessFactors is affiliated with other SAP products and services, enhancing its ability to provide integrated enterprise solutions. The company is known for its innovative work culture and has received attention for its contributions to the HR technology space. Notable clients of SAP SuccessFactors include Siemens, EY, and BASF. 

SAP SE, the parent company, is publicly traded with a strong market presence, reporting substantial revenue and earnings annually. As of the latest financial reports, SAP SE’s valuation stands at several billion dollars, reflecting its significant impact in the software industry.

SAP SuccessFactors Major Milestones

• 2001: SuccessFactors was founded.
• 2009: SuccessFactors went public, listing on the NASDAQ.
• 2011: SAP SE acquired SuccessFactors for $3.4 billion.
• 2012: Integration with SAP’s existing cloud and HCM solutions began.
• 2014: SAP SuccessFactors was recognized for its innovative HR solutions in various industry awards.
• 2017: SAP SuccessFactors launched new features to enhance user experience and analytics capabilities.
• 2020: The company reached over 100 million users worldwide.
• 2022: SAP SuccessFactors expanded its global data centers to support increased demand.
• 2023: SAP SuccessFactors announced new AI-driven enhancements for its HCM suite.

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