Which statement describes a benefit of decentralizing HR functions?

Which statement describes a benefit of decentralizing HR functions?

• A. Slower decisions and uniform policies
• B. Faster decision-making and better tailoring to local needs
• C. No change in decision speed
• D. Increased central control

Answer: (B)

Giving HR authority to local managers means decisions about recruitment, training, rewards, and other people issues can be made where the work happens. The main advantage is faster decision-making because approvals and actions don’t have to travel up to a central HR department. At the same time, policies can be tailored to local needs—like local labour markets, culture, or legal requirements—so practices fit each site better. That combination—quick responses and relevant local adjustments—is the primary benefit of decentralizing HR. The other options describe slower decisions, no change in speed, or more central control, which go against the idea of decentralization.

Giving HR authority to local managers means decisions about recruitment, training, rewards, and other people issues can be made where the work happens. The main advantage is faster decision-making because approvals and actions don’t have to travel up to a central HR department. At the same time, policies can be tailored to local needs—like local labour markets, culture, or legal requirements—so practices fit each site better. That combination—quick responses and relevant local adjustments—is the primary benefit of decentralizing HR. The other options describe slower decisions, no change in speed, or more central control, which go against the idea of decentralization.