LESSON 4
ORGANISATION OF
HUMAN RESOURCE DEPARTMENT
CONTENTS
4.0 Aims and Objectives
4.1 Introduction
4.2 Organisation of HR Departments
4.2.1 HR Department in Line Organisation
4.2.2 HR Department in Functional Organisation
4.2.3 HR Department in Line and Staff Organisation
4.2.4 HR Department in a Divisionalised Organisational
Structure
4.2.5 HR Department in a Matrix Organisational Structure
4.3 Let us Sum Up
4.4 Lesson End Activity
4.5 Key Words
4.6 Questions for Discussion
4.7 References
4.0 AIMS AND OBJECTIVES
After reading this lesson you will be able to:
Understand the organization of Human Resource
Department (HRD) and
Understand the functions of various HRDs.
4.1 INTRODUCTION
The internal structure of a HR or Personnel Department
depends on various factors such as nature and size of the
organisation, managerial preference to structure operations clearly,
external forces, etc. Small firms have only a single section, headed
by a personnel officer taking care of everything. Medium sized firms
may create a separate personnel department having experts in the
personnel field supported by administrative staff. In large firms the
structure of a personnel department may take various shapes,
depending on organisational resources, competitive pressures and
total employee strength.
4.2 ORGANISATION OF HR DEPARTMENTS
4.2.1 HR Department in Line Organisation
Line structure is more common in small firms. In this
structure, authority flows in a direct line from supervisors to sub–
Human Resource
Management
ordinates. Each employee knows who his superior is and who has
the authority to issue orders. Managers have full authority (line
authority) in their areas of operation and are responsible for final
results. Line authority implies the right to give orders and to have
decisions implemented. The “one-man-one-boss” principle is
observed strictly. Authority relationships are clear and there is strict
discipline as persons working at lower levels can have access to
higher level officers only through their immediate bosses.
Figure 4.1 Flow Chart Showing a Line Organisation
4.2.2 HR Department in Functional Organisation
In any functional organisation, all activates of an organisation
