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Choosing HRMS software for an Indian SME: a 12-point checklist

By the SUTRA team ·

Choosing HR software is easy to get wrong: a demo looks good, and three months later payroll still happens in a spreadsheet. These twelve questions help you judge any HRMS, including ours, against what an Indian small business actually needs.

People and records

1. Does it keep one record per employee? Personal, statutory (PAN, UAN, ESIC) and bank details, reporting manager and employment history should live in one place and feed every other module.

2. Can you control who sees salary and bank details? Look for permissions finer than "admin or not": HR may need bank details while a department head needs only their team's attendance.

3. Does it match your structure? Several companies, branches in different states (each with its own GSTIN or PT rules), departments and reporting lines.

Attendance, leave and payroll

4. Do attendance and leave feed payroll directly? If paid days are typed into payroll by hand, mistakes will follow.

5. Does payroll handle PF, ESI, professional tax and TDS? Ask how statutory rates are updated. Rates stored as dated rules (rather than edited in place) keep past months correct.

6. Can mistakes be corrected properly? Once payroll is finalised it shouldn't be edited; corrections should come through arrears in a later run, so your records hold up.

7. Can employees serve themselves? Payslips, leave balances, check-in and tax declarations from a phone save HR hours every month.

Growing with you

8. Does it cover the employee's whole journey? Hiring, onboarding checklists, probation, reviews, training and exit clearance, without separate tools for each.

9. Can you add other parts of the business later? Invoicing, accounts, stock or a shop till in the same system means one set of records instead of several tools that don't talk to each other.

Trust

10. How is your data protected? Ask whether your data is kept separate from other customers', whether sign-in can require an authenticator app, and whether sensitive changes are logged.

11. Can you get your data out? You should be able to export your employees, payroll history and documents if you ever leave.

12. Is the pricing clear? Know what's included, what costs extra (more employees, more companies, add-on apps) and whether there's a free trial.

How SUTRA answers these

SUTRA was built around this list: one employee record with confidential fields behind separate permissions; scopes for own, team, department, branch and company; companies and branches with their own GSTINs; attendance and leave feeding payroll; PF, ESI, professional tax and TDS from dated rate tables; finalised payroll corrected through arrears; self-service on the phone; onboarding, recruitment, reviews and training; and accounting, GST invoicing, inventory, purchasing, CRM and POS when you need them. Each business's data is isolated, sign-in uses an authenticator app, and sensitive changes are audited. Start a free trial or read about HRMS in SUTRA.

See it with your own data

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