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HRAudit

An HR audit is a systematic process that examines an organization's human resource function to identify strengths, weaknesses, and areas for improvement. It helps ensure effective resource use, legal compliance, and that the HR department is well-equipped to handle challenges. The audit process involves defining desired HR practices, assessing current practices, analyzing results, and establishing improvement goals. It includes gathering information, a self-assessment, on-site interviews and records review, and a final report on findings. The results are used to create an action plan to address HR needs using internal and external resources.

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53 views

HRAudit

An HR audit is a systematic process that examines an organization's human resource function to identify strengths, weaknesses, and areas for improvement. It helps ensure effective resource use, legal compliance, and that the HR department is well-equipped to handle challenges. The audit process involves defining desired HR practices, assessing current practices, analyzing results, and establishing improvement goals. It includes gathering information, a self-assessment, on-site interviews and records review, and a final report on findings. The results are used to create an action plan to address HR needs using internal and external resources.

Uploaded by

tahjibp
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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HR AUDIT

Introduction
 An audit is a systematic process, which examines the
important aspects of the function and its management, and is
a means to identify strengths, weaknesses and areas where
rectification may be warranted

 HR audit serves as a means through which an organization


can measure the health of its human resource function.
Organizations undertake HR Audit to:
 Ensure effective utilization of resources
 Ensure compliance with laws, rules & regulations
 Instill confidence in HR dept – well equipped to meet
challenges & opportunities
 Enhance/ maintain organization’s reputation in the
community
4 Main Steps
 Define desired HR practices

 Assess current practices against the established criterion

 Analyze the results

 Establish improvement goals


The Audit Process
Pre-Audit Information

Pre-Audit Self-Assessment

On-site Review

Records Review

Audit Report
1. Pre-audit information
 Acquiring & review of relevant handbooks, manuals, forms
reports etc.
2. Pre-audit Self Assessment
 Yes-no questionnaire
 Info gathering abt current HR practices/policies
 Helps identify key areas of focus
3. On Site Review
 Visit at client’s facility
 In depth interviews
4. Records Review

5. Audit Report
 Classification of findings as category wise
Preparation of an audit

Auditor engagement

Information gathering

On-site access
 Auditor engagement
 Terms and conditions set. Formal agreements made. Scope
decided
 Internal auditors – required training imparted

 Data Gathering
 What forms, books, manuals, policies will be required?
 Completion of self assessment questionnaire

 On-site access
 Interviews, discussions, observations
Using audit results
 Use the HR audit as a blueprint or action plan for addressing
HR needs.

 Address as many needs as possible using the organization’s


internal expertise and resources.

 Contract out those need areas where internal expertise and


resources are not available or do not fit in the core
competencies of the organization.

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