Structure of the HR Function

Question 1

Center of Excellence (COE)

Answer 1

An organizational structure that leverages staff expertise in certain areas to improve the entire organization’s strategic performance

Question 2

Cosourcing

Answer 2

Arrangement in which an enterprise and a vendor share different tasks within a larger complex, often strategic responsibility. For example, human resources might bring in a consultant to develop a compensation plan

Question 3

Dedicated HR

Answer 3

HR Structural alternative that allows organizations with different strategies in multiple units to apply HR expertise to each unit’s specific strategic needs

Question 4

Functional HR

Answer 4

HR Structural alternative in which headquarters HR specialists craft policies and HR generalists located within divisions or other locales implement the policies, adapt them as needed, and interact with employees

Question 5

HR audit

Answer 5

Systematic and comprehensive evaluation of an organization’s HR policies, practices, procedures, and strategies

Question 6

Outsourcing

Answer 6

Process by which an organization contracts with third-party vendors to provide selected services/activities instead of hiring new employees

Question 7

Shared services HR model

Answer 7

HR structural alternative in which centers with specific areas of expertise develop HR policies in those areas; each unit can then select what it needs from a menu of these services