The HR Organizational Structure has to fit to new challenges born in the external environment. All the important and influencing people speak about the changes in the business world, as the current recession seems to be one of the worst recessions ever. The way the business was done will be discontinued and new business ethics and new business rules will be born.
The managers take usually the organizational structure as the basis of the organizational unit, which should not be flexible. As the organizational structure defines their own kingdom, they have no interest to bring changes as their importance could decrease.
The HR Organizational Structure has to be flexible, as the initiatives of the organizational change will demand different kind of the service provided by Human Resources. The HR Organizational Structure should fit the needs of the internal and external clients and the managers should manage the processes, not the individual employees.
The managers have to think about the upcoming agendas, the enormous pressure for the cost efficiency and almost real time HR Reporting. They have to adjust the HR Organizational Structure and they have to re-evaluate the importance of the individual employees and agendas, even the importance of the individual managers in the team.
The organizations will push for the efficiency and risk management. The compensation and benefits will be more important and the talent management will be one of the strongest tools in the area of the risk management. The organization with no strong Human Resources function will be very vulnerable and the competitors will have a better position against it.
The HR Organizational Structure will change, as some function will get bigger with more responsibilities. The leadership development and compensation and benefits will be the most important parts of the HR Organizational Structure and other functions will support them.
