What Parameters Determine the Best Organizational Model for HR?

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Human Resource Management Roles > Best Practices > What Parameters Determine the Best Organizational Model for HR?

What Parameters Determine the Best Organizational Model for HR?
David Wilson, Manager, Canada, SIG Leader
I have worked in a number of organizations. The way the HR function and activities were organized was quite different. 1. CENTRALIZED. The most effective in terms of the number of HR positions was a centralized HR organization 2. DECENTRALIZED. The least effective was a decentralized HR organization. 3. SHARED SERVICE. I have also worked in a shared services organization, where the HR organization was considered as part of a larger corporate structure (i.e. corporate services), based on a model suggested by B. Quinn, R. Cooke, and A. Kris (, 2000), which centralized all HR services across all business lines. 4. OUTSOURCED. The fourth option was an outsourcing model, where HR services were contracted to another organization. What organization models have you worked in and which was the most effective, efficient and economical? Are there factors that would favour (i.e. location, structure, culture, size, diversity, etc.) one model versus another? Why would you pick one model over an (...) Read more? Sign up for free

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Special Interest Group Leader
David Wilson
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