News Release
Asure Software (NASDAQ: ASUR) is Expanding to Meet the Rising Demand for Human Capital Management Software
Benzinga
Click HERE to Learn More About Asure Software The Covid-19 pandemic may have slowed some industries, but the need for human capital management has never been higher. According to Fortune Business Insights, the size of the global HCM market is projected at $25.53 billion in 2022. It’s grown at an annual rate of 8.1% since 2019 and has a CAGR of 9.1% through 2029 when it's estimated at $46.85 billion. Asure Software (NASDAQ: ASUR) is positioning itself to ride that wave. On August 31 st, they announced an expansion of their 401(k) direct integration network. They now connect to over eighty providers in that space, creating new opportunities for SMBs that have encountered time and expense barriers on traditional employer-sponsored retirement plans. The new integrations give employers additional opportunities to sync the Asure payroll system to a 401(k) provider. This allows them to better streamline enrollment, eliminate the errors that come from dual entries, and stay compliant with state and federal regulations. It also provides additional data points for analysis in the human capital management process. What’s Driving Growth in the HCM Space? Human capital management has been described as the “not-identical twin” to human resource management. In HCM, employees are viewed as capital assets, the same as cash or inventory. Managing those assets requires recruiting, hiring, training, setting goals, and compensation. Each of those activities is tracked as a data point to measure profitability. Part of the fallout from the pandemic, which is being felt in every sector, is the ability to find qualified workers to fill open positions. Distributed and remote workforces have become the norm. Employee turnover is higher than normal. Applicants are looking for more than just a decent salary. Compensation means better benefits, not just take-home pay. HCM employs SaaS systems, like Asure, that track the effects of specific benefit packages on employee retention, production, and recruiting. By analyzing and acting on these data points, a company can cut costs and increase profitability. This is particularly important in businesses that are still feeling the effects of supply chain disruptions and mandated Covid lockdowns. Another driver in HCM growth is inflation. Rising prices are compressing profit margins and causing small business owners to pay closer attention to their bottom line. Human capital management is a more scientific approach to workforce management than the traditional role of human resources. HR still exists. HCM enhances it. That’s why it’s in demand. Industry Trends to Keep an Eye On Remote and hybrid workforces have been dictating the direction of HCM development for several years. Businesses that once had onsite HR departments have been forced to streamline their operations or even outsource human resources. This has exposed a need for robotic process automation (RPA) to handle manual and repetitive tasks. Cloud-based human resources software is also on the rise. It provides more bandwidth for handling the documentation required for recruitment, training, benefits, and wages. Server-based software doesn’t offer the same level of security that many cloud providers do. That and the convenience of online access from anywhere make the cloud the place to be in HCM. Combining cloud-based software with AI capabilities allows firms with distributed workforces to manage employees with smaller teams working remotely. Businesses and employees experienced the benefits of working from home firsthand during 2020. Many have chosen to stay in that mode. Some firms never reopened their physical locations after the pandemic. The Addressable Market for HCM Software Cowen and Company, an investment banking service in New York, recently surveyed 1000 human resources professionals to determine the addressable market for cloud-based/SaaS payroll software, a key element in human capital management. The results suggest that 40% of existing organizations are candidates for conversion to a new product. That 40% is roughly 510,000 businesses. Cowen attributes the high number to the current fragmentation of the payroll provider market. Many companies are using general-purpose software, on-premises (server-based) software, or local payroll providers they've found by referral. The need for full HCM systems is also driving the need for transition. Addressable market size is one of the key metrics in assessing the sustainability of a company. Another is the quality of the product offering. Does the technology meet the needs of modern business? Asure's cloud-based HCM software seems to check all the right boxes. Their recent 401(k) provider expansion shows they have confidence in their path going forward. Momentum Indicator for Asure Just Turned Positive Trading signals aren't the best way to evaluate a company's potential investment value, but in this volatile market, the slightest indicators could be a sign of a turnaround. Asure Software, like most tech companies this year, is showing a significant loss if you look at the YTD numbers. A shorter-term perspective shows something else entirely. ASUR is up 3% this week and the trading platform Tickeron is reporting that their momentum indicator just turned positive. In layman’s terms, that means the stock price may soon be going up again. They’ve had several peaks in September already and Q4 looks promising. Tickeron predicts the odds of an uptrend at 77% right now. Volatility, inflation, and multiple interest rate hikes by the Fed this year have made it difficult to determine which companies will be profitable in 2023. With its addressable market, advanced technology, and positioning in a growing HCM market, Asure is one company to watch in the next few months. Click HERE to learn more about Asure Software! Disclaimer: Spotlight Growth is compensated, either directly or via a third party, to provide investor relations services for its clients. Spotlight Growth creates exposure for companies through a customized marketing strategy, including design of promotional material, the drafting and editing of press releases and media placement. All information on featured companies is provided by the companies profiled, or is available from public sources. Spotlight Growth and its employees are not a Registered Investment Advisor, Broker Dealer or a member of any association for other research providers in any jurisdiction whatsoever and we are not qualified to give financial advice. The information contained herein is based on external sources that Spotlight Growth believes to be reliable, but its accuracy is not guaranteed. Spotlight Growth may create reports and content that has been compensated by a company or third-parties, or for purposes of self-marketing. Spotlight Growth was compensated five thousand dollars cash for the creation and dissemination of this content by the company. This material does not represent a solicitation to buy or sell any securities. Certain statements contained herein constitute a forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements may include, without limitation, statements with respect to the Company's plans and objectives, projections, expectations and intentions. These forward-looking statements are based on current expectations, estimates and projections about the Company's industry, management's beliefs and certain assumptions made by management. 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For more information on our disclosures, please visit: https://spotlightgrowth.com/disclosures/ The article ' Asure Software (NASDAQ: ASUR) is Expanding to Meet the Rising Demand for Human Capital Management Software ' first appeared on Spotlight Growth This post contains sponsored advertising content. This content is for informational purposes only and not intended to be investing advice. Contact Details Benzinga +1 877-440-9464 info@benzinga.com Company Website http://www.benzinga.com
September 27, 2022 03:33 PM Eastern Daylight Time
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