This month we’re zeroing in on a major trend reshaping our space: the convergence of finance and HR in a single solution.

We always hear how "people are a company’s biggest investment"—so it’s more than a little striking that most organizations split their HR and finance data across multiple systems. But change is afoot.

Just four months after Paylocity completed its purchase of Airbase—dipping a toe into finance software. Less than two weeks ago, HiBob made a similar play by acquiring Mosaic, an FP&A (Financial Planning & Analysis) tool. Mosaic’s capabilities could give HiBob’s HR platform a whole new dimension.

We had the opportunity to get an exclusive statement from Ronni Zehavi, CEO of HiBob, who lays out exactly why he thinks this integration is critical:

“Integrating financial planning with HR creates a unified, data-driven approach that empowers HR leaders to contribute strategically alongside finance teams. People are a company’s most significant investment, from salaries to training and development, making the alignment of workforce planning with financial strategy essential. Without this integration, HR’s strategic influence remains fragmented. By incorporating Mosaic’s FP&A expertise into our platform, HiBob is bridging the gap between HR and finance, enabling businesses to make informed, evidence-based decisions that drive long-term success.”

— Ronni Zehavi, CEO of HiBob

Why Vendors Are Moving in This Direction

From HiBob’s perspective—and indeed many in the industry—it’s inefficient to hire and compensate employees via one system (an HR platform) yet plan and forecast those same compensation costs in a completely different system (an FP&A tool or ERP system). This creates extra work, requires repeated data exports, and makes truly real-time workforce budgeting near impossible

Bringing these two worlds together solves the messy reality of juggling multiple spreadsheets or performing one-off data integrations. In theory, you can forecast salaries, headcount, and training budgets directly in your HR platform, then compare “actuals vs. planned” without pulling data from five different sources. As Zehavi noted, HR’s biggest strategic advantage comes when it’s aligned with the company’s overall financial goals.

Has This Been Done Before?

In the enterprise space, Workday has long championed a combined approach to HR and finance. After starting life as an HCM tool, Workday expanded into FINS (Financial Management) in 2015. 10 years later, one of Workday's enduring value props is their ability to offer a single pane of glass for both HR and Finance decisions.

Outside the enterprise realm, PrimePay has carved out a unique niche in the mid-market by bridging HR and finance elements with robust position control.

This patented technology can make even the biggest Excel wizard blush as PrimePay can deliver a unified dashboards illuminating the total ROI on Human Capital investments.

Meanwhile, Rippling, one of the most disruptive players in HR tech, has also ventured headlong into finance with Rippling Spend—offering corporate cards, expense management, and more.

The takeaway? Vendors are seeing that bridging HR and finance is a compelling way to add value and differentiate themselves in a competitive market.

Our Predictions

1. Enterprise Appetite for Unified Solutions

Large enterprises have always craved the “one system to rule them all”—covering everything from HCM to ERP to even CRM. Workday, Oracle, and SAP have shown how deep that rabbit hole goes. But those systems require significant time and consulting resources to make them hum. The bigger the company, the more sense it makes to unify data under one roof.

2. Will This Model Work Down Market?

You’d think mid-market businesses would similarly want an all-in-one system, but there’s a cautionary tale: NetSuite (the mid-market ERP leader) tried to release its own HCM solution, SuitePeople, with limited uptake. Why? CFOs and HR leaders each want solutions that speak natively to their needs. That “jack of all trades” might end up feeling like a master of none.

3. The Middle Ground

Between full ERP (e.g., NetSuite) and pure HCM (e.g., Paycom), there’s a swath of FP&A tools, budgeting modules, expense management, and corporate card solutions. These features could live on the finance side, but vendors like HiBob (with Mosaic) and Paylocity (with Airbase) are seizing the opportunity to bring those functions into the HCM realm

We suspect HCM vendors—especially those at the mid-market level—have a strong shot at winning this middle ground if they can make the user experience seamless. ERP solutions aren’t seeing much pressure from newcomers in this space, and specialized FP&A tools remain niche. That leaves room for HR platforms to absorb and expand these finance features, at least for budgeting and planning.

Conclusion: All Eyes on the HCM-Finance Merger Trend

We’ll be watching closely how features like FP&A and expense management roll out inside HR platforms—and how CFOs, HR leaders, and end-users respond. Could these combined solutions finally eliminate the messy, manual data exports that are the bane of workforce planning? Or will HR & finance remain separate disciplines, happy in their own best-in-class tools?

One thing’s for sure: HiBob’s acquisition of Mosaic, along with Paylocity’s acquisition of Airbase and Rippling’s native finance suite, mark a shift in how mid-market vendors view the role of finance in HR. Even if the all-in-one approach doesn’t suit everyone, it’s clear the lines between finance and HR are blurring in new, creative ways—and we’re here for all of it.