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What are the advantages and disadvantages to a Functional HR structure?

Advantages: Facilitates consistency between headquarters policy and practices and implementation in business units

Disadvantages: Can isolate headquarters HR from business realities perceived by all staff and employees

User Ziv Levy
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Final answer:

The advantages of a Functional HR structure include consistency in policies and practices, while the disadvantage is the potential isolation of headquarters HR from business realities.

Step-by-step explanation:

The advantages of a Functional HR structure include facilitating consistency between headquarters policy and practices and implementation in business units. This structure ensures that there is a uniform approach to HR functions across the organization, which can help maintain fairness and equal treatment for employees. An example of this is the implementation of a standardized hiring process and performance evaluation system. On the other hand, there are also disadvantages to a Functional HR structure. One such disadvantage is that it can isolate headquarters HR from the business realities perceived by all staff and employees. This means that HR decisions may not always take into account the specific needs and challenges faced by different departments or business units. For example, a headquarters HR policy may not fully consider the unique requirements of a sales team versus a production team.

User Adomas Baliuka
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