Tuesday, 25 March 2025

🚨 HR Reporting Structure: Get It Wrong, and Your Business Pays the Price 🚨

🚨 HR Reporting Structure: Get It Wrong, and Your Business Pays the Price 🚨

Who does your Head of HR report to? If the answer isn’t the CEO, you’ve got a problem.

Too many companies tuck HR under the CFO (finance-focused) or COO (operations-driven). The result? HR becomes a cost center instead of a strategic driver of business success.

Why HR Must Report to the CEO

✅ People ARE the Business – Your talent strategy is as critical as your financial strategy.

✅ Culture Starts at the Top – If HR isn’t empowered, neither is your workforce.

✅ Decisions Have People Impact – Layoffs, hiring, DEI, leadership development—these aren’t just financial decisions; they’re business-defining decisions.

✅ Retention & Engagement – A disconnected HR function leads to poor engagement, high turnover, and, ultimately, a loss of competitive edge.

What’s the Real Message?

If HR reports into finance, you're signaling that numbers > people. If HR reports into operations, you're saying efficiency > experience. But if HR reports into the CEO, you're proving that people are your competitive advantage.

HR Needs a Seat at the Table

HR isn’t just about compliance and payroll—it’s about leadership, strategy, and long-term growth. If your top people leader isn’t in the room when major business decisions are made, then you’re not running a people-first company.

💡 Leaders, take a hard look at your org chart. If HR isn’t where it belongs, it’s time for a change.



#HRLeadership #PeopleStrategy #CultureMatters #BusinessGrowth #ExecutiveLeadership

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