Elements Of A Good HR Audit

Elements Of A Good HR Audit
Human resources is a very important part of any business that has employees. Doing a good HR audit is something that should be scheduled on a regular basis, at least once a year, to ensure that everything is running smoothly. This will also give an idea of things that need to be changed, or policies that may need to be enforced or implemented.

There are a number of things that need to be covered in order for an audit like this to be effective. This article will examine each area that needs to be considered.

Pre Audit Info

Before any questioning is done, it?s important to take the time to learn what is required. A good knowledge of the reports, employee manuals, forms, etc. that are used by the company is essential in order to examine things efficiently. The auditor may request all necessary information long before the onsite visit. These information will be very helpful in terms of understanding clients demand.

Auto Assessment

Before the onsite visit, the client needs to fill out a questionnaire consisting of questions about their human resources and how well they feel things are working. The main reason for this survey is that there are a large number of things that can be potential focuses in an examination of how a company is working. The self assessment allows the auditor to focus on the most important areas.

On site Review

No examination can be complete without the on site visit. This is an area that is often stressful for employees, but necessary for the examiner to see how things are working in real life. It?s one thing to read the business plan or manual on how certain areas of the business will be handled, but quite another to observe how they are actually being dealt with.

Part of the on site review is to go over records and make sure that everything is in order. Since large companies have too many employees to examine each one separately, employee files are selected at random to be read over. Files are also pulled on all areas relevant to HR, including employee claims, compensation, grievances and disciplinary actions. All of these are relevant to the examination.

Audit Report

Once all the data has been gathered, processed, and examined, an audit report will be produced. This report will have descriptions of which lay out the most important things the company needs to work on. These will be divided into three categories, urgent and important, not urgent but still important and urgent but not important. With the information provided, the company may then decide which areas to work on and prioritize according to the issues raised in the report.

The elements of a good HR audit need to work together in order to come out with a good result in the end. A properly done examination of human resource policies and employee records will give the company a good idea of where they need to improve and which areas are most in need of change.


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