How to Configure Departments in Odoo 18

Managing employees becomes much easier when your company is properly organized into departments. Odoo 18 HRMS (Human Resource Management System) makes it simple to set up and configure departments so you can structure your workforce and streamline HR operations.

In this blog, we’ll walk you through how to configure departments in Odoo 18, step by step.

Why Configure Departments in Odoo 18?

Before we jump into the setup, let’s quickly understand why departments matter in Odoo ERP:

Helps organize employees into teams and units.
Makes reporting and performance tracking easier.
Provides a clear structure for approvals and communication.
Simplifies payroll, attendance, and HR operations.

With departments configured, your HR team can work smarter and more efficiently.

Steps to Configure Departments in Odoo 18

Follow these easy steps to set up departments in Odoo 18:

1. Activate the HR Module

Log in to your Odoo 18 instance.
Go to Apps and search for Employees.
Install the Employees (HR) module if it’s not already installed.

2. Open the Employees Module

From the main dashboard, click on Employees.
This is where all HR operations take place.

3. Navigate to Departments

Inside the Employees module, go to the Configuration menu.
Select Departments from the dropdown, if you are using odoo 18 you will see Departments option on top of menu
You will now see the list of existing departments (if any).

4. Create a New Department

Click the Create button.
Enter the Department Name (e.g., Sales, Marketing, HR, IT).
Assign a Manager (choose from existing employees).
Optionally, you can also add:

Parent Department (if this is a sub-department).
Notes for internal details.

5. Save Your Department

Once all the details are added, click Save.
Your department is now created and ready to use.

6. Add Employees to the Department

Go back to Employees.
Open an employee profile.
Here you can see the Department Option, assign them to the right Department.
Save changes.

Repeat this for all employees, and your organization chart will start taking shape.

Benefits of Using Departments in Odoo 18

Clear hierarchy – See who manages whom.
Better reporting – Track performance department-wise.
Easy approvals – Managers can approve leaves and requests quickly.
Organized structure – No confusion in HR management.

Final Thoughts

Configuring departments in Odoo 18 HRMS is quick and easy. By setting up departments properly, you create a structured workplace where employees, managers, and HR teams can collaborate better.

If you’re planning a smooth Odoo implementation or need help setting up Odoo ERP, our team at Odiware can guide you with expert support.

📩 Contact us at for professional Odoo consultation and implementation services.

Mail: sales@odiware.com

Phone: +91 86608 65440

Website: www.odiware.com

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