Final answer:
Human resources should report to a level with authority over all institutional and corporate management functions due to the hierarchy of authority in an organization.
Step-by-step explanation:
Generally, human resources should report to a level no lower than the level that has authority over all of the organization's essential institutional and corporate management functions. This is due to the hierarchy of authority, where each level of the organization is in charge of the one below it and is accountable to the one above.
So in a large corporation like Walmart, for example, a frontline employee would report to a shift manager, who reports to the store manager, then the regional manager, and up the chain to the CEO and the board members. Human resources play a critical role in managing personnel, training, equal opportunity programs, and security management & safeguards, which are integral to the operation and strategy of the business.
Therefore, HR needs to have a position in the hierarchy that allows them to implement policies and procedures effectively across the entire organization.