Workday vs. SAP: Complete comparison for 2025
Choosing enterprise resource planning (ERP) and HR software is an important decision for any business. The right choice can streamline operations, empower your team, and support your company’s growth. With a lot of options on the market, it's easy to feel overwhelmed.
Two key players in the industry are Workday and SAP. While they both offer tools for managing payroll, human capital, and enterprise planning, their strengths and focus areas differ.
In this guide, we explain the key features, pros, and cons of each platform to help HR managers and decision-makers decide which one might suit their business best. And if neither feels like the right fit, we share why Rippling could be the smarter choice.
What is Workday?
Workday is a cloud-based HR and ERP platform designed to help businesses manage their people and finances more efficiently. It provides a range of tools for core HR functions, financial management, and business management, all in one unified system. Here are some of its standout tools:
Human Capital Management (HCM)
Workday HCM is a comprehensive tool that centralizes all HR processes, including hiring, onboarding, performance management, and payroll. It integrates these functions into a single platform, which can make it easy to access and manage workforce data in real-time. With Workday HCM, businesses may benefit from increased efficiency, better visibility into employee metrics, and the ability to make informed decisions quickly.
Workforce planning and analytics
This feature can help businesses align their workforce strategies with company goals by providing tools for planning, forecasting, and analysis. Workforce planning in Workday enables companies to assess talent gaps, model workforce scenarios, and track performance through intuitive dashboards. As a result, businesses may benefit from improved agility in responding to workforce changes and the ability to make data-driven decisions for long-term success.
Payroll and time tracking
Workday’s payroll and time tracking features contribute toward accurate compensation and compliance by automating calculations and integrating time management tools. Employees can log hours, request time off, and track their schedules, while HR teams can oversee payroll processing with minimal errors. This can streamline operations, reduce administrative workload, and increase employee satisfaction through transparent and timely pay processes.
Employee self-service (ESS)
The employee self-service feature allows employees to update their personal details, manage their benefits, and view their pay stubs with no need for HR involvement. It works through a user-friendly interface where employees can make changes and access information at any time. This level of control over work-life details can empower employees while freeing up HR teams to focus on strategic initiatives rather than routine inquiries.
What is SAP?
SAP is an enterprise software provider popular for its enterprise resource planning (ERP) tools and advanced HR solutions that it delivers through SAP SuccessFactors. Intended for use by large-scale businesses and multinational organizations, SAP integrates various business functions, such as finance, procurement, and HR, into one cohesive system. Its focus on automation and analytics helps organizations manage complex operations efficiently while staying compliant with global standards.
Enterprise Resource Planning (ERP)
SAP’s ERP system is the foundation of its platform. It can streamline and automate vital business processes like finance, supply chain, and inventory management. SAP's ERP works by connecting different departments and creating a centralized data source, which can improve collaboration and visibility across the organization. Businesses can benefit from real-time insights, improved efficiency, and the ability to scale operations as needed.
HRIS (via SAP SuccessFactors)
SAP HRIS is a complete human resource information system that manages core HR functions, employee records, and compliance requirements. The system operates by centralizing employee data and offering tools for tracking performance, managing payroll, and ensuring global compliance. With better access to critical employee information, HR departments can benefit from enhanced organization and efficiency.
Payroll and benefits management
SAP offers payroll and benefits management tools that support global payroll processing, tax compliance, and benefits administration. These features automate calculations, comply with local regulations, and enable self-service portals for employees to view their pay and benefits. Businesses can benefit from reduced payroll errors, simplified compliance, and greater transparency for their workforce.
Talent management and succession planning
SAP’s talent management tools can help companies attract, develop, and retain top talent while planning for leadership continuity. These talent management tools can help businesses identify skill gaps, track career development, and create detailed succession plans for key roles. As a result, they can benefit from a stronger, more future-ready workforce and better alignment between employee goals and company objectives.
Workday vs. SAP: Key features comparison
Below is a side-by-side comparison of some of the key features of Workday and SAP to help you determine which platform might suit your business needs:
Feature
Workday
SAP
Human capital management (HCM)
Comprehensive HCM tools designed for workforce planning, talent management, and analytics, focusing on strategic HR processes
Not applicable
Human resources information system (HRIS)
Workday HRIS integrates employee data management with payroll, talent management, and workforce planning.
SAP HRIS (via SuccessFactors) provides a centralized system for managing employee data and core HR functions.
Enterprise resource planning (ERP)
Limited ERP capabilities with a focus on HR and financial planning
Full ERP system integrating supply chain, finance, operations, and more into a cohesive platform
Payroll and benefits
Built-in payroll and benefits management with automation, compliance, and integration features
Advanced global payroll tools, offering compliance with tax laws and customizable benefits options
Workforce analytics
Real-time insights for workforce performance, trends, and decision-making
Advanced analytics with predictive capabilities for HR and broader enterprise operations
Talent management
Tools for talent acquisition, engagement, and career development planning
Comprehensive talent management features, including leadership succession planning and global hiring support
User experience
User-friendly interface that simplifies navigation and ensures quick adoption
A more complex interface with advanced features, typically requiring a steeper learning curve
Integration
Supports API integrations with third-party apps
Extensive integration options, particularly for ERP and enterprise-wide tools
Pricing
Follows a subscription-based pricing model, which varies depending on the number of users and modules selected
Generally works for their employer exclusively
Workday vs. SAP: User experience
When it comes to user experience (UX) and user interface (UI), the Workday SAP comparison reveals significant differences in design, ease of use, and accessibility.
Workday focuses heavily on simplicity and intuitiveness, offering a clean and modern interface. Its UI prioritizes ease of navigation, making it accessible to HR teams, employees, and managers alike. Features like dashboards and mobile accessibility enhance the experience, allowing users to complete tasks efficiently without extensive training. Workday’s design can be especially appealing to businesses seeking a platform that feels easy to adopt and use daily.
SAP, on the other hand, provides a feature-rich but more complex user interface. Its tools cater to enterprises with extensive requirements, which can often result in a steeper learning curve. While SAP’s design prioritizes functionality and depth, according to user reviews, its navigation can feel overwhelming. However, SAP excels in customizability, allowing businesses to tailor their platform to specific needs, though this often requires significant time and technical expertise.
Workday vs. SAP: Implementation and integration
The implementation and integration processes for Workday and SAP differ significantly, catering to businesses with varying needs and priorities.
Workday typically offers a faster implementation process, often completed within a few months to a year, depending on the complexity of the organization. Its cloud-native architecture simplifies deployment, and the platform’s structured methodology aims to ensure minimal disruption during setup. Integration options include APIs and pre-built connectors, enabling businesses to link Workday with various third-party tools. Its focus remains on HR and finance, though, making integration less comprehensive than SAP’s.
SAP usually requires a longer and more involved implementation process, typically spanning 12 to 18 months or more for large-scale projects. This extended timeline is because of SAP’s extensive customizability and broad enterprise functionality, which can demand more resources and careful planning. SAP excels in integration capabilities, offering robust APIs and connectors that enable seamless connection to third-party apps and enterprise-wide tools.
Workday vs. SAP: Pros and cons
When weighing Workday and SAP, understanding the unique advantages and limitations of each platform to see how they align with your business needs is key. Below is a detailed look at their major pros and cons:
Workday
Pros
- User-friendly design: Workday’s clean and modern interface is typically easy to navigate, and can require less training for employees and HR teams. Its focus on simplicity can reduce barriers to adoption and help users complete tasks quickly, even without technical expertise.
- Advanced workforce planning and analytics: Workday provides powerful tools for workforce management, enabling organizations to model hiring scenarios, identify skills gaps, and optimize headcount. Its analytics offer real-time insights, which can help leaders make informed decisions backed by accurate data.
- Implementation can be faster: Thanks to its cloud-native architecture and standardized setup processes, businesses can often deploy Workday in a matter of months. This shorter timeline can minimize disruption and allow businesses to leverage its features sooner.
Cons
- Limited customization: While Workday can be great for many HR and finance needs, its rigid structure may not suit businesses that require significant tailoring or industry-specific workflows. Workday offers fewer customization options compared to platforms like SAP, which can restrict flexibility for certain users.
- Not ideal for large-scale enterprise resource planning: Workday excels in HR and financial planning but can lack the comprehensive ERP capabilities needed for complex supply chain, manufacturing, or global operations. For organizations requiring a unified ERP solution, Workday may not meet all requirements.
- Integration challenges: Workday’s integration capabilities continue to improve but still fall short compared to SAP’s. Organizations with complex IT ecosystems often struggle to achieve seamless integration across various applications.
SAP
Pros
- Comprehensive support for global payroll and benefits: SAP provides tools to manage payroll and benefits across multiple countries, which can help businesses maintain compliance with local laws and regulations. Its advanced features often make it a popular choice for enterprises with large, dispersed workforces.
- Global compliance capabilities: SAP focuses on international operations and offers solutions that address varying legal and regulatory requirements. This can be valuable for multinational companies that need a platform capable of managing complex compliance issues.
- Advanced integration with third-party apps: SAP’s extensive integration options can allow businesses to connect the platform with a wide range of third-party tools, including accounting, CRM, and other ERP systems. This flexibility encourages smooth data flow across all business functions, which can enhance productivity.
Cons
- Complex UI and steeper learning curve: SAP’s interface is feature-rich but can be overwhelming for new users, often requiring extensive training to navigate effectively. While its capabilities are powerful, the complexity may slow adoption and day-to-day usage for some teams.
- Long implementation timeline: SAP’s extensive functionality and customizability can come with prolonged implementation times. Businesses may need to invest significant resources in setup, testing, and training, which can be a barrier for smaller companies or those on tighter budgets.
- Overwhelming feature set for smaller businesses: SAP’s depth and breadth of features may be more than what smaller or midsize companies actually need, which can sometimes lead to underutilization. This can cause unnecessary complexity and wasted resources for organizations that don’t require its full range of capabilities.
Who is Workday for?
Workday may work well for midsize to larger businesses that prioritize streamlined HR processes and detailed workforce analytics. Its tools can handle complex organizational needs, which can make it a good option for companies looking for robust talent management, payroll, and workforce planning features.
Organizations that value a modern user experience and intuitive design may also find Workday appealing. Many consider its interface user-friendly, which can make it easier for HR teams and employees to adopt and use effectively without extensive training.
Workday may suit industries such as technology, professional services, and education, where managing a large, dynamic workforce is key. Companies seeking a centralized platform to handle HR and financial tasks in one place might find Workday’s functionality aligns with their needs.
Who is SAP for?
SAP may suit large enterprises and multinational corporations that require an extensive and customizable platform to manage complex business processes. With its comprehensive ERP capabilities, SAP can handle everything from HR and payroll to supply chain management and finance. This means it may be a strong option for companies with diverse operational needs.
Organizations operating across multiple countries might find SAP’s global compliance features particularly beneficial. Its tools can address varying legal and regulatory requirements, which may simplify payroll and HR management for multinational teams.
Industries like manufacturing, logistics, and retail, where integrated systems and operational efficiency are essential, may see value in SAP. Businesses looking for a highly customizable solution to support large-scale operations and enterprise-wide processes might also find SAP aligns with their priorities.
Accelerate every part of your business with Rippling
Rippling offers a unified workforce platform that allows you to manage HR, IT, Payroll, and Spend in one place. Built on a single source of truth, Rippling ensures that your data flows effortlessly across every system.
With everything you need in one place, Rippling eliminates the need for multiple tools, allowing you to manage your workforce in just a few clicks. With faster implementation and better usability than traditional systems, it's accessible for businesses of all sizes.
Rippling's Payroll enables you to run payroll in 90 seconds while helping you maintain compliance with tax laws in over 50 countries. Its automation helps eliminate errors and simplifies payroll for businesses of any size.
With Rippling’s HCM, you can manage the entire employee lifecycle, from onboarding and offboarding to performance management, without switching between multiple tools.
Rippling also offers a complete HRIS solution that syncs employee data across all your systems and apps automatically, saving time and improving data accuracy.
Whether you’re a small business or a global enterprise, Rippling can help accelerate every part of your business, giving you more time to focus on what matters most—your people and organizational goals.
SAP vs Workday FAQs
What is the difference between SuccessFactors and Workday?
SuccessFactors vs Workday comes down to their focus and functionality. SuccessFactors by SAP, is a suite of HR tools that aim to help businesses manage employee data, payroll, and global compliance, often within a broader ERP system. Workday, on the other hand, is a unified platform specializing in human capital management, workforce planning, and payroll, with a simpler and more user-friendly interface. Organizations looking for comprehensive ERP integration may lean toward SuccessFactors, while those prioritizing usability and HR-specific tools might consider Workday.
How do Workday and SAP handle performance management?
Workday’s performance management tools integrate with its human capital management system, allowing businesses to set goals, track progress, and provide feedback in real-time. SAP offers performance management through SuccessFactors, which includes advanced features like 360-degree feedback and succession planning. Both platforms provide robust tools for tracking employee development, but Workday emphasizes ease of use, while SAP provides more customizable options for larger enterprises.
Can Workday and SAP support remote workforces?
Yes, both Workday and SAP offer features to support remote teams. Workday’s cloud-based platform ensures accessibility for employees and managers from anywhere, with tools like employee self-service and mobile accessibility. SAP also provides cloud-based solutions with a strong emphasis on global compliance and multi-country support, which can make it a good choice for managing distributed teams. The choice may depend on the level of complexity and customization your organization requires.
How flexible are Workday and SAP for growing businesses?
Workday provides scalability through its modular design, which can allow growing businesses to add features incrementally as their needs evolve. Its relatively quick implementation process can help organizations adapt rapidly, which can make it an appealing option for those experiencing fast growth.
SAP is also highly scalable but usually requires a longer timeline for implementation because of its extensive customization options. Despite this, it can support enterprises with complex and evolving needs, which can make SAP a strong choice for businesses that require a tailored solution to handle intricate operations as they expand.
What should businesses consider when choosing the best HR and ERP solution?
Selecting the right HR and ERP solution depends on the specific needs, size, and goals of your organization. Factors like ease of use, scalability, integration capabilities, and implementation timelines all play a role in determining the best fit.
Consider Rippling, for example. Its fast implementation timeline allows businesses to get up and running quickly, while its user-friendly design makes it accessible for companies of all sizes. Unlike traditional systems, which often require lengthy deployments or rely on disjointed tools, Rippling provides an all-in-one solution that automates repetitive tasks, saving both time and resources.
The platform's modular structure supports scalability, allowing businesses to expand capabilities as they grow. For organizations seeking a streamlined and adaptable solution, Rippling can deliver efficiency and flexibility in one powerful platform.
This blog is based on information available to Rippling as of January 9, 2025.
Disclaimer: Rippling and its affiliates do not provide tax, accounting, or legal advice. This material has been prepared for informational purposes only, and is not intended to provide or be relied on for tax, accounting, or legal advice. You should consult your own tax, accounting, and legal advisors before engaging in any related activities or transactions.