Headcount = the total count of a company's employees
It's important for SaaS companies to know how many people they employ in each department. A company should always be monitoring headcount to run efficiently, as over- or understaffing in any department can have repercussions across the company. It's best practice to record each employee's department an an HRIS system. Each department should map to one the 4 large expense categories for a business: 1) COGS (eg customer support), 2) Sales & Marketing (eg sales, marketing, revenue operations), 3) Research and Development (eg engineering, product, design), and 4) General & Administrative (eg HR, recruiting, legal).
