---
summary: Explains how to create and manage departments to organize employees into logical groups within a firm, enabling team-based reporting, permission management, and hierarchy configuration. Covers creating sub-departments and assigning department managers.
keywords: departments, organization, hierarchy, sub-departments, department managers, reporting, employees, structure, management, performance, teams, divisions, groups, business units, organizational units
---

# Departments

## What are Departments?

Departments organize your employees into logical groups within your firm. They create a clear organizational structure that makes it easier to manage teams, track performance, and generate meaningful reports. Departments can include sub-departments, allowing you to mirror your actual company structure.

## Why Departments Matter

Using departments helps you:

- **Organize teams** - Group employees by function or specialty
- **Track performance** - Generate reports by department
- **Manage permissions** - Assign department managers with special access
- **Report accurately** - Break down revenue and time by team
- **Structure hierarchy** - Create nested department relationships

## Creating a Department

To create a new department:

1. Navigate to **Management** → **Hierarchy**.

   ![Hierarchy list showing firms and departments](../screenshots/departments-list-view.png)

2. Click the **New department** button in the top right.

3. Fill in the department details:

   - **Name** (required): Enter a descriptive name (e.g., "Accounting", "Client Services")
   - **Firm and/or department** (required): Select the parent organization to assign this department to
   - **Department managers** (optional): Choose users who will oversee this department

   ![New department form](../screenshots/departments-new-form.png)

4. Click **Save department**.

## Creating Sub-Departments

1. Navigate to the parent department.
2. Click **Create department here**.
3. Fill in details as above.

## What You Can Do with Departments

**Organize Hierarchy**

Create nested department structures.

**Assign Managers**

Designate users who manage each department.

**Track by Team**

Generate reports broken down by department.

## Finding and Managing Departments

**Viewing Departments**

1. Navigate to **Management** → **Hierarchy** to see all firms and departments.
2. Click on any department to view its details and see assigned employees.

**Editing Departments**

1. Navigate to **Management** → **Hierarchy**.
2. Click on the department you want to edit.
3. Click **Edit department**.

   ![Edit department modal](../screenshots/departments-edit-form.png)

4. Update the **Name**, **Firm and/or department**, or **Department managers** as needed.
5. Click **Save department**.

**Deleting Departments**

1. Navigate to **Management** → **Hierarchy**.
2. Click on the department you want to delete.
3. Click **Edit department**.
4. Click **Delete department**.
5. Confirm the deletion.

> **Important**: You cannot delete departments that have employees or sub-departments assigned to them.

## Using Department Data

**Revenue Reports**

Track income by team.

**Performance Analysis**

Compare metrics across departments.

**Resource Allocation**

Ensure appropriate staffing levels.

## Best Practices

**Use Clear Naming**
Choose names everyone recognizes.

**Set Up Hierarchy**
Reflect your actual organizational structure.

**Assign Managers**
Designate department heads for proper oversight.

**Review Regularly**
Update department structure as organization changes.