Sometimes it's a difference of opinion - if you are getting lots of applications, should the HR person waste time responding to failed candidates, instead of sourcing more candidates? Maybe you think they should - and it's not a waste of time, but rather common courtesy - if so, point it out to them.
I think as a CEO, it's important you set certain policies where you think the industry standard may not be aligned with your company standards. Then make sure you communicate these policies to your staff.