Question

The HR department in a musical instrument company is struggling to support the company's rapid growth. The company, which started as the home business of a casual musician, logged $17 million in sales last year. The HR department has hired additional team members over the years but hasn't changed its structure since start-up. All HR team members currently function as generalists, doing whatever it takes to support the company.

The organization now consists of multiple store franchises. Each store has a sales department, a service and repair department, and a department offering music lessons. This initial product and service offering was followed by instrument rentals and later the acquisition of a publishing company that specializes in learning guides for new musicians and music teachers. The company's newest effort, the production of their own brand of mandolin, is recognized by most of the senior leaders as a high-risk effort but with the potential for a profitable high-margin instrument being added to their product line.
With the rapid growth and expansion, the CEO is becoming increasingly concerned about quality and has made it clear that the entire corporation is to prioritize quality and efficiency while maintaining focus on the strategic plan.
What is the best course of action the HR leader should take to determine how to structure the HR department to support the needs of the growing business?

A. Initiate an assessment of the HR function to include internal and external considerations.
B. Complete a survey of managers to solicit recommendations for the best structure.
C. Consult with other HR professionals in the area to benchmark against similar companies.
D. Pilot a new structure for six months and evaluate the pros and cons of the new structure.

Answer 1

The best action for the HR leader is to conduct a comprehensive assessment of the HR department that considers both internal and external elements, aligning the HR structure with the company's goals while accommodating growth and maintaining professionalism.

Step-by-step explanation:

The most effective course of action that the HR leader in the musical instrument company should take is to initiate an assessment of the HR function to include both internal and external considerations. This comprehensive assessment will allow them to identify the specific needs of the different departments such as sales, service and repair, music lessons, instrument rentals, and publishing. Given the organizational complexities and expansion into new endeavors like their own brand of mandolin, this strategic approach will help align the HR structure with the company's goal of prioritizing quality and efficiency while adhering to the strategic plan. It's crucial to understand the dynamic nature of the workforce and how best to structure the HR department to not just handle current needs but also to be adaptable to future changes in the business landscape. Professionalizing HR functions could reduce biases in hiring and contribute to more efficient and fair recruitment processes as the company grows.