INTRODUCTION
Our Human Resources (HR) Audit is a process of examining policies, procedures, documentation, systems, and practices with respect to an organization’s HR functions against best practices. The purpose of the audit is to reveal the strengths and weaknesses organization human resources system, and any issues needing resolution. The audit works best when the focus is on analyzing and improving the HR function in the organization strategy.
SCOPE
The scope of human resource audit is to support the overall business plan of the organization. The process has three parts: to identify and prioritize management issues relating to human resources; identify gaps between the current practices and best practices with that of the business objective; and to identify some competitive and potential exposure. Unfortunately most companies who perform an audit only focus on legal compliance and miss those items that could really make a difference in business over the long term.
Our HR Audits can be limited in scope focusing on specific areas or all that may need attention such as organization structure, organization development, HR policies, recruitment selection and placement methodologies, career and succession planning, training & development, performance management authority, and compensation & Benefits or they may be more extensive looking at the HR function as a whole.
OUR CRITICAL AREAS
Our comprehensive HR audit covers all areas of HR management like recruitment practices, training and development, compensation and benefits, employee and union relations, health, safety and security, miscellaneous HR policies and practices-welfare, strategic HR issues, manpower planning and HR budgeting.
OUR METHOD
Our HR audit process is conducted in different phases. Each phase is designed to build upon the preceding phase so that the organisation will have a very strong overview of the health of the HR function, at the conclusion of the audit. These phases include:
- Pre-Audit Information: This phase involves the acquiring and review of relevant HR manuals, handbooks, forms, reports and other information. A pre-audit information request is forwarded to the client who compiles the necessary information for review by our auditor.
- Pre-Audit Self-Assessment: In order to maximise the time spent during subsequent portions of the audit, a pre-audit self-assessment form, if sent to the client can be of use. The self-administered yes/no questionnaire asks a number of questions about current HR policies and practices.
- On-site Review: This phase involves an on-site visit at the client’s facility interviewing staff regarding HR policies and practices. A very in-depth HR audit checklist is completed.
- Records Review: During the on-site visit, a separate review is conducted of HR records and postings. Employee personnel files are randomly examined as well as compensation, employee claims, disciplinary actions; grievances and other relevant HR related information are checked
Audit Report: Finally the information gathered is used to develop an HR audit report. The audit report categorises actions are into three separate areas. The areas that are urgent and important, not urgent needs but important (NUI), not urgent but not important needs (NNI)), and important opportunities needs (IO). As a result of competitive advantage, managements can prioritise their steps for implementation.
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