Executive Summary This report provides information regarding the reorganization of the company HR Department. The purpose of this report is to assist the BOT with the important decision of whether to include the HR Manager in the downsizing of the HR department beginning January 2009 or hire a temporary manager. Introduction HR manager is an important part of the human resource department for ensuring a regular flow of work. HR manager is responsible for the good treatment of people in an organization. He is also responsible for bringing people into the organization, helping them to perform their best, compensating them for their labor, and solving their problems and issues. Hiring itself is the duty of the HR department and is an ongoing process that ensures timely supply of the right person at the right place if proper care is taken at the hiring process. The HR manager needs to meet many challenges such as employee turnover, low productivity, illegal activities of employees, and so on. The hiring process is the strategic managerial decision and is an area where managers can reduce costs and can increase their productivity. Employees stay and leave an organization for several reasons. The reasons may be personal or professional, and the employer should be aware of the same. Now a day’s organizations are aware of these reasons and they adopt many strategies for talent retention as well as talent hiring. For the managerial position, it is better to appoint a permanent manager as his duty involves important managerial decisions and should be held responsible for a long period. Background The first and foremost thing is to analyze whether the organization requires a permanent HR manager or temporary manager to fulfill organizational targets. Other factors which need to be considered include whether a full-time manager or just a part-time manager will serve the purpose. Sometimes termination decision is also to be taken even if the manager fails to perform. Termination of existing employees is essential for recruiting new staff, whether temporary or permanent, those who are more talented. Legal issues and costs are involved in termination and the cost of keeping them is to be considered while taking this decision. “The smartest employers, who hire the best people, recruit a pre-qualified candidate pool of potential employees before they need to fill a job” (Heath field, 2008). The organization is required to analyze its short-term and long-term goals and can decide whether a full-time manager or part-time manager is required. The job description needs to be specific, providing key responsibilities and objectives of the required position. Several agencies provide employee leasing services, service contracts, and temporary services, and so on. Services of these firms can be taken at the required stages. “An employee leasing company can handle administrative duties like payroll and employee benefits.” (Hiring new employees: A dozen reasons why, n.d.). It is a fact that even excellent hiring will not serve the company’s purpose. Employee screening can be excellent but the same screening test when adopted for all the employees for various jobs can fail. A proper screening tool is to be u