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Who Should HR Report To?

Ninety-five human resource professionals and Total View subscribers responded to a survey during the period February 22, 2006 to March 12, 2006.  Eight two (82) percent identified the CEO as the senior executive to whom HR should report.  Eleven (11) percent suggested the COO and six (6) percent chose other.  Zero (0) percent selected the CFO, which ironically oversees the HR function in many organizations.

Comments provided by respondents can be viewed below.

1. most important assett is people!!!!!!!!!!!!!!
2. Depending on the size of the organization and levels of management, the senior HR person should report to the CEO and assume the role of advisor/confidant in employee relations and Human Resource management issues such as personnel policies, employment litigation, employee development and succession planning.
3. 1) HR is the conscience of the organization, reporting in at any other level than the CEO seriously limits the functions effectiveness. 2) For HR to fulfill its Strategic Leadership role it has to report in at the highest level possible.
4. I would have said CEO if he / she is the "only" leader of the organization. BUT, if there is a Board of Directors, then the HR indiviudual reports to the Board. Why? The leader of the organization must get an unturbid report on the pulse of the organization. Put another way- the leader of the organzation must hear it from the horses arse!
5. They are an equal partner. Staffing is now the key issue facing the 21st century. Only with the right people will America once again be an innovative powerhouse. HR should know in advance the vision and direction the CEO as leader is taking the company. The HR Director can set up any training or in-house preparation for changes in the company's planning process. Employees should be continuous learners. If they can't be sent to the training, HR can bring it home to them. This includes the CEO who should always participate.
6. HR is responsible for keeping the company out of any situations where liability exists. The CEO has the overall responsibility for this function and HR should be free to report any findings directly to the CEO without going through any chain of command.
7. Human Resources need to be autonomous from other departments so the HR management can report the facts withour reprecution or hinderance.
8. To answer a question with a question: What is more important than the assets we refer to as human resources?
9. Confirms support from the leader and provides best access to the top for critical issues.
10. Because HR can add tremendous business value
11 HR and personnel issues are about people AND money. the CFO and COO have their bias whilst it is the responsibility of the CEO to look at the broader picture.
12 Ultimatley the CEO is responsible for achieving the mission and goals of the organization. An organization success or failure is direclty related to its human resources capacity to imagine what can be, design a plan to achieve goals, secure resources and exceute for results.
13 HR is serving all departments and functions and should be report to the most senior level to up hold its independency and equility at work place.
14 Organizational and therefore operational oversight
15 because if you believe people are your greatest asset, then you should back it up.
16 Access, visibility, support of value of the people side of the business, lends credibility when dealing with tough people issues
17 Because the CEO is the person who should have the most holistic view of what is going on in the organization and where it is going - both actually and stragetically.
18 The majority of the work I do involves people who are in operations. They are 90% of my "customers". Currently I report to the CFO...because I handle the 401k
19 In most organizations the people are the most important asset. The person responsible for the people should be directly accountable to the CEO.
20 1. HR seen as a business partner and hence should work with the top man who will ultimately matter in directing and shaping the business. 2. HR is also seen as consciuos of any business and hence very delicate issues may be handled at levels of CEO and he should be aware of all issues and the way really should be handled.
21 For two reasons. Number one, because I'm currently reporting to that individual and have been for the past 22 years, and it has worked very well, not only for me but for our organization of 500 employees. Number two, because I feel that doing so serves to ensure that HR has a seat at the executive table and, as a result, is considered to be a strategic partner.
22 Anyone who reports to the CEO has compensation and benefits; bonus opportunities; deferred compensation; organizational planning and transition; requires training; requires assistance in hiring and recruiting; needs coaching in performance related issues and disciplinary issues involving their people. Sometimes it requires the HR VP/Director to handle the termination of a senior manager who reports directly to the CEO. HR issues apply to everyone, including the CEO. If HR is further down in the reporting chain, it diminishes its role and influence on all matters that pertain to the people in the organization.
23 Human Assets have the single most important impact on the current and future growth and potential of a firm. Organizational culture and employee attitudes often lead the issues in today's business climate. Not only for ethical reasons but for ways and methods a company seeks to treat it's customers in the competitive environment today. Workforce Planning along with reducing workforce-related costs and improving workforce performance have all become important topics - babyboomers retiring, health care continuing to escalate, and more productivity out of less $ seems to be important topics today and who better to address these as the CEO?
24 HR because of it's very nature of protecting one of the biggest assets of the company (people) should be an executive level and therfore should report directly to the CEO
25 The CEO and HR need to partner for the higher level look at the organization. IF HR reports to the CFO then it is just a numbers game.
26 I truly believe that HR should report directly to the president of the company. It should be treated as an equal business partner, just as Finance, Operations and Marketing. HR has changed tremendously and is contributing to the bottom line. HR is in charge of one of the most important assets of the company, its employees. I think that companies who still treat HR as a administrative maybe even operational kind of function will eventually learn that they are missing out on opportunities.
27 People are the most important resource of most business, in that they represent the biggest financial investment.
28 HR is vital part of a business's operations. Not reporting into the CEO would diminish the value and appreciation the HR function serves as a strategic business partner.
29 Better line to strategic vision for company
30 People are the biggest part of the operations of any organization. As HR is ultimately above all the people (hiring, evaluating, training, terminating) it makes sense they would report to the COO.
31 HR must be aligned with the top leader of the organization. That said, the other best alternative is whatever leader is most passionate about advancing the cause of HR. I have worked for two CFOs who were terrific bosses and did well by HR (and one CFO who was a disaster). It is easiest to gain approval from the top indivual when you report to them.
32 Raises the level or at least the perceived level of HR. Way of expressing to employees the importance of HR. Direct communication with the CEO helps to avoid situations from being ignored or incorrectly communicated.
33 Most companies talk about people being their best asset. It seems to me that if that is the case, it should have the attention of the CEO in a reporting relationship.
34 Hr needs to report to the top person if they really want a seat at the table. If they are to part of the strategic team they must have access to the top.
35 The definitive answer here, lies in the "honest" structure of the company. If the HR Director is a strategic partner, the input would be the same as form the COO, CFO, VP of Development etc. In most organizations the position most often reports to the CFO because of the coordiation of benefits, insurance, and compensation. In order to attatche a ROI, that structure seems to be the most popular fit. The function at its best is a strategic position unto itself, but is not often positioned as such in most companies. HR metrics and dynamics are changing the way the function reports, but it is an agonizing effort to go to the boardroom as an "equal" partner for most HR professionals.
36 The senior HR position needs to be "in the mix" of decisions at the highest levels of an organization. Perhaps it should be referred to as the CPO (Chief People Officer) to reflect the equal status with CFO, CIO, etc.
37 Human Resources works with many areas of the company, including succession planning and various other areas that may not directly relate to Finance. In addition, they should report to the top because they should become a strategic partner.
38 Many policies that HR may want to implement would have to be approved by upper management due to additional costs.
39 Because HR is an equal player or management team member to the business or organization. The others may not be an objective advocate or spokesperson for the HR Dept. and therefore the whole organization would suffer. HR needs to be empowered by the CEO to carry out its mandate in most organizations.
40 If the COO means the Chief Operations Officer, I would vote for that individual. HR should be linked with operations and have contact with that individual sharing information and having input to decisions from the HR view point. Direct reporting / supervisor would be the COO.
41 The CEO has ultimate decision power to creat the direction from the top on this function. I think it seperates the overall welfare of the organization from operational decisions
42 People are the greatest asset of any organization. HR should be a direct link between the employees of an organization and the person(s) running the organization.
43 HR should report directly to the top executive as its own function, as do the other main areas (finance, operations, sales, etc) (1) It is not an "off shoot" of these functions. Employees within these other functions are not HR professionals; although all in a leadership role perform HR functions. HR needs to be "at the table" and then must be held accountable to perform accordingly. (2) Structurally, it enables the best strategic use of the human assets within an organization. (3) Aligning HR as part of another major function sends a message to all which becomes part of the company culture. A company's competitive advantage is in its human assets. While all companies have the assets; what differentiates is whether they're the right people, in the right positions, with the right support, and with systems and procedures appropriately structured to achieve or surpass the company's short and long term goals.
44 HR should be a strategic partner in guiding the organization and be tied to the mission, vision and value of the establishment.
45 To emphasize the importance of the human resources in the organization and to partner with operating/finance areas.
46 HR position abuses the financial system and can cause high indirect and direct cost factors in hiring the wrong people. They need someone to be accountable to, a CFO may not have the "power" to override HR decisions where a CEO would. That's just one factor there are many others, but this, in my opinion, is the downfall of the HR manager, especially in our company.
47 Incredible impact on the business. People assets should be the #1 priority for a CEO to spend his/her time on. HR needs to be that influencer and "go-between" to ensure the tough and right conversations are taking place and are front and center with the head of the business.
48 Key resource from hiring to succession planning.
49 There are so many decisions being made by the CEO/President that involve HR issues, not only from the company's policies stand-point, but especially from the legal aspect of employment laws.
50 HR is a very important part of any organization. It establishes the tone for the organization and determines the human resources that are needed to provide the best product and service to the customer. It's all about customer service and the human component is necessary to provide quality customer service. Human resources is all about that human component.
51 Ideally, HR will report to the organizational executive with the most influence and authority over organizational strategy and direction. In my experience, that role doesn't always fall to the CEO, although that is who HR most commonly reports to.
52 The COO to me is the most logical as they over see the operations of the entire company and would need to be informed of any HR happenings. I have been in HR for over 12 years and with every company I have worked for that is where HR has reported.
53 HR should have representation in the executive staff, separate from finance and operations, as equal partners in shaping company strategy and direction.
54 The COO tends to have a better handle on the day to day operations of the company. The HR director would be able to forecast needs in the company, aprise the COO of organizational needs, and speak to the day to day operations involving employees.
55 strategic alignment
56 Brings an employee focused perspective to the table for strategic planning purposes.
57 Human Resources must be a strategic player at the table with equal weight to all other aspects of the business. Unless the HR Director reports directly to the CEO, this value is lost immediately by being in a "lesser" position. I would be more than happy to discuss this further.
58 HR contributes as mucht o the successful functioning of an organization as do operations or finance. In my career I have answered to all three positions at one time or another and feel that answering to CEO was best: for access, for view of HR as being on a par with the other "chiefs," etc.
59 1. HR is the department that represents the employees to administration and represents admoinistration to the employees. If one believes in a strong HR department it shold report to the top executive in the organization. 2. Employees perceive HR as the department that represents their interests and, in order for employees to percieve that their interests are of serious importance in theorganization, they should see HR reporting to and having the ear of, the top executive.
60 Because the CEO often sets the strategic vision of the company; HR needs to be positioned as a business partner with all other depts or lines of business; will help HR align its vision and strategies with that of the company; HR does not just contribute to the "people strategy" but through that, it contributes to revenue generation thru its training, coaching, consulting, influencing... with managers throughout the org.
61 Being a strategic partner with human assets in a company is key to the success and the direction of the company.
62 The Human Resource function is every bit as important as operations and finance. All right, maybe I am biased. I am the VP of HR for a retirement community. The title gives me equal footing with VP Operationss and VP Finance. Some of my peers in other facilities are not at the same level and I can see their struggles. Maybe HR should be CPO (Chief Peple Officer)to equate to COO and CFO?
63 The HR function in our company is viewed as a partner in strategic planning and organizational development of the entire organization. The HR Director is considered part of the executive team, along with the CFO & VP of Business Operations.
64 AS WITH THE CFO, HE/SHE NEEDS TO BE INDEPENDENT AND HAVE DIRECT ACCESS TO THE TOP PERSON. HR SHOULD ALSO BE VIEWED THAT WAY. MANY TIMES HE/SHE NEEDS TO ADDRESS ISSUES THAT CROSS OVER OR STEP ON OTHER ARES FEET........
65 If HR is truly to have a "seat at the table", they should report directly to the "top dog" of the entire organization.
66 Because of the many different responsibilities of the position. The HR department is a direct link to the President of the company by relating his/her policies and procedures to the workforce.
67 Best spot to ensure strategic and operational contributions to an organization. Reporting to COO tends to diminish strategic contribution. Reporting to CFO tends to emphasize the costs associated with people vs. the contributions made. Virtually any other reporting relationship means that HR is not a decision-maker or policy setter.
68 Higher level of expertise and commitment to company policies, etc. is needed to share with HR mgr.
69 Top level reporting is important for HR in attaining/maintaining satus as a strategic business partner.
70 Chief Learning Officer (CLO) - To have a holistic model for the entire company's learning solutions.
71 Too important of a function not to get continuous visibility.
72 because of the importance of labour in the putting together of the other factors of production.Any disruption of this, could lead to very severe consequencies on the establishment. There should therefore, be no intermediary in handling issues as critical as this.
73 CEO's are interested in the "big picture" and don't have time for (or aren't interested in)details about HR decisions. COO should be more tuned in to the "people side" of running a business.
74 To become a strategic partner, HR needs to be part of the planning process. Every other "resource" ultimately reports up to the CEO; human resources should be no less important. Strategic plans w/o the means to implement (i.e. people) are the ones that are shelved to gather dust.
75 the ceo represents the mayor authorie
76 HR must always be above any partisan views or interests and this is not often possible when reporting to anyone other than the CEO. It is HR's responsibility to ensure appropriate processess, services and tools are in place to foster a positive work environment where employees are engaged and productive. Reporting to a COO, CFO or other often can inhibit HR's willingness to identify and address problems or issues that are created or perpetuated by a COO, CFO or other.
77 Most likely, the CEO is the most "visionary" of the above. Thr CFO is a "numbers" person and presents the very real possibility that HT "stuff" is a necessary evil. The COO can possibly see HR as pushing EEO junk, hindering the productivity of the operation. The CEO better be watching the horizon and using his/her creative juices to secure long-term capability, and HR should be sitting at his right hand in that effort.
78 I believe the Office of Human Resources should report to the President of the University. We currently report to the CFO and I feel it is not a natural mix. We need to answer to the president for that reason.
79 Corporate Communications.
80 HR is still an under utilized resource for strategic planning for 'internal' business services. Reporting to a corporate 'head' whether it is a CEO or Board of Directors is imperative to obtaining and retaining personnel that fit educationally/experientially/spiritually(attitude) with the vision and mission of an organization. Best-hiring practices, employee retention, benefits management, team development/training are the first to go when there is a down turn in business - when it should be the last to go. Maintaining the need for equity, morale and value for each employee is something a CEO/HR team provide from the top-down. CFO and COO's look at the bottom line only and the cost of 'employees', rather than the long-term effect of slashing/dashing people and programs, then reinventing the process again, once the organization regains its financial footing.
81 HR is a critical resource to the CEO. What is more important than a strategy and plan to effectively utilize the creativity and full talent of the leadership and all firm associates?.
82 BEcause the CEO covers the entire organization from Finance, Operations to MArketing.
83 Operations and Human Resources are related.. depending upon the operations neeed the HR Activities revolve.
84 Direct discussions about general staffing issues which might be the case across the organisation. If there are staffing issues there are program issues, or vice-versa