Typically an apparatus builds up around divisions such as HR to expand their role and cost more money. For example, compensation consultants are hired to come up with justifications for paying everyone more. Training advisers are employed to distract everyone from doing their job with pointless courses. Appraisal experts are contracted to critique staff relations. Experts are drafted in to devise an appropriate corporate social responsibility agenda – whatever that is. All this paraphernalia is accepted as essential good practice by modern-thinking corporate management. I think most of it is expensive, bureaucratic hogwash. But, clearly, it becomes a lucrative bandwagon for many to jump on – so they justify it all, come what may.
Of course, senior executives understand that HR is powerful – a bit like Mossad or the CIA. Those in personnel know everyone’s salary and bonus and all their disciplinary records. Wily office politicians cultivate them, since they help decide who gets a pay rise and promotion, how contracts are drafted, how individuals are treated if there is a restructuring and so on. Meanwhile, headhunters spend their time cultivating the top talent and shuffling the deck, profiting at every turn.