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| Leadership Scenarios: How should HR handle this situation? Scenarios allow HR professionals to share advice and learn from their peers. Taken from actual lawsuits, they describe tricky situations that require action from a savvy HR professional. Please read the scenario and tell us how you’d handle the situation. Also, be sure to review the comments of your peers. |
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#1
08-08-2006, 11:50 AM
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Interactive Scenario: The Value of HR
Your company’s CEO notices he won’t have room left in the budget for executive bonuses unless some cuts are made elsewhere. So he meets with the CFO about where to make the cuts. He suggests severely cutting back the HR department. The CEO’s reasoning: HR’s just overhead. If the company outsources most HR functions, the company can save a bundle and pay the execs their bonuses too. The CFO feels this may be shortsighted and calls the HR Director into his office to help build a case for keeping HR in-house.
If you were the HR Director, what would you say? 
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