Refresh: What is SaaS?

As mentioned, SaaS stands for ‘Software as a Service’. It’s a cloud-based software platform that allows organisations to access applications over the internet, rather than hosting and maintaining them on-premise.

This approach removes the need for costly infrastructure and in-house IT support, making it a flexible and cost-effective alternative to traditional systems.

In the context of employee management, SaaS enables HR, payroll, performance, learning, and wellbeing tools to be delivered as part of a unified digital platform. This means your workforce can securely access the tools they need — on any device, anywhere, at any time — whether they're in the office, working remotely, or on the go.

At TechnologyOne, our SaaS platform is delivered via SaaS+, a simpler, faster, and more secure way to modernise workforce management with none of the infrastructure burden.

Traditional software hurts employee engagement and productivity

Outdated or fragmented employee systems actively hold organisations back these days. Poor digital experiences frustrate staff, slow down critical processes, and most importantly, increase the risk of burnout and disengagement.

According to NTT Data’s 2023 Global Employee Experience report, 83% of organisations rated their current employee experience (EX) as low, citing ineffective systems and workflows as key contributors to poor performance outcomes.

The findings are even more pronounced among younger generations, for example, a global manufacturing workforce study found that 72% of Millennial and Gen Z employees would consider leaving their employer altogether if the digital employee experience is poor. These employees expect intuitive, mobile-friendly tools that support their productivity, and they won't settle for less.

Despite widespread digitisation efforts, less than half (48%) of organisations believe their staff have access to the technology they need, whether working on-site or remotely.

Why SaaS platforms are now business-critical

The link between employee experience and organisational performance is no longer in question. But despite years of focus on engagement, progress has stalled.

A global analysis found that employee engagement scores declined by 1.2 percentage points between 2022 and 2023, reversing earlier improvements. In Australia, Mercer’s 2023 employee engagement survey revealed a similar trend, with the proportion of 'engaged' workers decreasing slightly to 75%, down from 76% the previous year.

This might not seem very important, but there are tangible consequences for business performance. NTT’s Data found that highly engaged teams deliver 18% higher productivity, 23% greater profitability, and experience up to 81% less absenteeism. They also see dramatically lower turnover; in low-turnover organisations, engaged teams have 43% less attrition compared to their disengaged peers.

In terms of the broader economic impacts, Gallup estimates that lost productivity and turnover due to low employee engagement cost the global economy $8.9 trillion annually, equivalent to 9% of global GDP.

In short, SaaS platforms offer a clear path forward. Unlike static legacy systems, cloud-based applications offer a unified, always-current experience that can adapt to employee needs in real-time.

This is one reason why, according to Gallup, 94% of executives now believe that improving employee experience has a direct, positive impact on net profit.

The six key benefits of an integrated employee SaaS platform

To attract, keep and empower today’s workforce, organisations need to move beyond legacy tools and deliver seamless and connected digital experiences. An integrated SaaS platform can do just that, transforming the employee experience by removing administrative burden, supporting flexibility, and helping people feel more connected to their work.

Here are six practical ways SaaS can drive better engagement, performance, and productivity across your workforce.

Centralised employee management and HR

Siloed HR systems make even simple tasks time-consuming. Employees are forced to navigate multiple tools just to update details, apply for leave or access payslips — and HR teams spend valuable time reconciling data between systems.

An integrated SaaS platform brings these core functions together in one place. From onboarding and payroll to leave requests and position changes, staff can self-serve through a single, consistent interface. This reduces duplication, improves accuracy, and speeds up key processes.

For HR teams, it means fewer manual workarounds and more time to focus on strategic priorities like workforce planning and employee wellbeing. For employees, it’s a smoother and simpler experience.

Measurable boosts to employee productivity

The right digital tools make a measurable difference to how effectively employees work. SaaS platforms streamline everyday tasks by removing friction, automating repetitive processes, and giving staff faster access to the tools and information they need. That means less time wasted on admin and more time spent on meaningful work.

At the City of Unley, for example, moving to TechnologyOne’s SaaS-based Enterprise Content Management helped the council free up an average of 20 hours per week through smarter workflows.

The newly digitised processes also meant the Unley team reduced storage needs to the tune of 70 linear meters of paper annually!

Support for remote and hybrid teams

According to the Australian Bureau of Statistics (ABS), 36% of employed people ‘usually’ worked from home as of August 2024. Meanwhile, Atlassian found that job satisfaction and work-life balance improved for around 70% of Australian worked since the shift to remote or hybrid work.

Productivity also tends to improve when remote or hybrid workers feel supported. In fact, a 2023 Zoom & Reworked Insights survey found that 83% of knowledge workers said they completed more work in hybrid or remote settings than in the office.

Remote and hybrid work is here to stay, but without the right digital infrastructure, these models can quickly undermine productivity and employee engagement.

SaaS platforms enable secure, real-time access to essential tools and data from any location. Employees can log in from any device, manage their own information, and collaborate without needing to be on-site or rely on manual workarounds.

Gain clarity with ethical employee monitoring

Effective workforce management depends on visibility, but that doesn’t mean compromising trust. Effective SaaS platforms offer a more transparent, ethical way to understand how work gets done, without invasive tracking or micromanagement.

Rather than monitoring individual behaviours, modern platforms surface real-time data on team performance, workloads, resource allocation, and more.

Managers can quickly see which teams may be overextended or where performance patterns suggest a risk of burnout. That insight allows them to intervene early and offer targeted support.

The result is a more balanced and informed way of working.

Simplified employee benefits administration

Employees place a great deal of emphasis on the benefits they receive. Mercer’s report also uncovered that, in 2023, 81% of Australian employers were refocusing their benefits programs to better support employee attraction, retention, and engagement.

Managing employee benefits can be a resource-heavy task, particularly when processes are split across different platforms. Inconsistent updates, manual errors, or unclear communication can leave employees unsure of their entitlements.

A SaaS-based HR platform removes that complexity. Automated workflows take care of eligibility and enrolments behind the scenes, while employees can manage their own selections through a single portal.

When benefits are easier to understand and access, uptake improves. That translates to a more satisfied workforce and fewer bottlenecks for HR.

More empowered staff with self-service learning and development

Modern employees expect more than just a payslip. They’re looking for roles that offer growth, development, and a clear path forward. There are a number of figures that support this, but a common one is the popularity of LinkedIn Learning, which is often offered as a benefit to employees. Over 145 hours of LinkedIn Learning content is watched every single minute!

When training and performance management are handled manually or across disconnected systems, those opportunities can be hard to track or access. With SaaS-based platforms, learning and development becomes part of the everyday workflow.

Employees can access training modules, track their progress, align development goals with performance outcomes, and more, all from the same interface they use for their other HR tasks.

Example: Mornington Peninsula Shire sees massive improvement in employees’ experience

Mornington Peninsula Shire’s People & Culture team supports more than 1,000 employees across a wide range of roles. But before adopting TechnologyOne’s SaaS-based HR and Payroll (HRP) product, the team was managing these functions through a patchwork of disconnected systems.

“Staff had to update their address in one system, log leave in another, and complete training in yet another,” said Acting Manager – People & Culture, Carly Amado.

“The clunky experience meant people avoided using the systems altogether, which impacted data accuracy and efficiency.”

Since moving to TechnologyOne HRP, the transformation has been significant.

“Creating position changes is now about 1,000 times more efficient than before,” said Ms. Amado. “Payroll no longer requires daily integration files, which has allowed us to reduce payroll headcount.”

Most importantly, staff are actually using the new system — and rating it highly. 87% of employees surveyed described the new platform as ‘good’, ‘very good’, or ‘excellent’, while 100% rated its security as better than the old system.

“We used to have 20 different forms for various changes — now, we have one dynamic form that adjusts based on user input,” said Ms. Amado. “It’s streamlined, intuitive, and far easier for staff.”

Read more TechnologyOne case studies