A recent study by Forrester Consulting, commissioned by Paycom Software, Inc. (NYSE: PAYC), indicates that organizations utilizing Paycom’s comprehensive, cloud-based human capital management (HCM) software experienced a three-year return on investment (ROI) of 362%.
The study, titled The Total Economic Impact™ Of Paycom: Cost Savings And Business Benefits Enabled By Paycom, examined the potential financial benefits businesses could realize by deploying Paycom’s automated, single-database software across the entire employee life cycle. It was conducted by Forrester Consulting on behalf of Paycom in June 2025. The findings are based on a composite organization, representative of interviewed Paycom clients, which included 500 employees, six HR employees, and 40 managers. This composite organization utilized various Paycom tools across all five suites, transitioning from a legacy provider that lacked a unified solution.
Paycom’s software is built upon a single database designed to streamline performance and communication through a continuous and automated flow of workforce data. This architecture aims to maintain data integrity, allowing Paycom’s HCM tools to integrate seamlessly for automated and uninterrupted management of the employee life cycle.
“Paycom is the most automated solution in the industry, and our clients frequently attest to that,” said Chad Richison, Paycom founder and CEO. “By prioritizing full-solution automation, we are creating value, driving efficiency and allowing our clients to achieve even greater ROI.”
Following the implementation of Paycom, the composite organization reported several advantages, including over 45% in total time saved by HR annually, an 80% reduction in time spent on compliance work, and $300,000 in annual savings attributed to improved data visibility and analytics from the single database.
A director of HR in the entertainment industry, interviewed for the study, stated, “The ROI for Paycom is definitely there, given the amount of time that we save by having one solution to manage versus having different integrations. This helps us from an HR-staffing perspective.”
In a separate commissioned study conducted by Forrester Consulting on behalf of Paycom in May 2025, titled “Single-Database HCM Solutions Drive Cross-Business Success,” Forrester found that companies on average use 6.17 HCM providers. This research also indicated that 80% of respondents reported disparate or duplicate employee data negatively impacting their ability to create accurate workforce reports. In contrast, the Forrester TEI study found that Paycom’s single database can provide cleaner data and robust analytics in real time, which may enable additional business benefits such as company growth and cost savings.
A chief HR officer in the consumer goods industry, also interviewed for the study, noted, “The analytics provided with Paycom have really helped at the business strategy level and let us understand where our turnover is, where cost savings can be seen, and where we should be investing more.”
Paycom Software, Inc. (NYSE: PAYC) has provided cloud-based human capital management software for over 25 years, focusing on simplifying business and employees’ lives. Its technology aims to empower transparency through direct access to data, leveraging full-solution automation to streamline processes, drive efficiencies, and give employees control over their HR information through a single application. Paycom serves businesses of all sizes in the U.S. and internationally. More information on the study findings is available at https://www.paycom.com/learn-more/forrester-tei-automation-study/.
