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HR Audit Process

The personnel audit must probe much deeper, programmes, philosophy, evaluating personnel policies practices and concepts comparing along standards and having those of the personnel records of the said organisation and other organisations. The standard and the depth of the investigation should be decided in advance. The procedure of personnel audit, carried out usually through an attitudinal survey or by interpreting data, includes following:

a)      Identifying indicators, indices, statistical ratios and gross numbers in some cases.

b)      Examining the variations in time-frame in comparison having a similar previous corresponding period.

c)      Comparing the variations of several departments during different periods.

d)     Examining the variations of different periods & comparing them with same units and industries in the similar region.

e)      Drawing trend lines, frequency distributions & calculating statistical correlations.

f)        Preparing & submitting a detailed report to the top management and to the managers at suitable levels for information and essential action.

 Several personnel policies, process and practices can be evaluated by asking several questions of the following type:

1)      How are they established?

2)      What are they? (For example: policies, procedures/ practices).

3)      How are they understood by individual supervisors, employer and managers at several levels?

4)      How are they communicated to several managers and employers concerned?

5)      Are they consistent with the present trends towards human resource management and research?

6)      Are they consistent along with the managements' organisational philosophy and human resource management philosophy?

7)      What are the controls that present for ensuring their effective and uniform application?

8)      What measures present to modify them to meet the organisational needs? Most of the organisations that employ HR audit examine the employment statistics pertaining to a period-making use of ratios 

Accident Ratios Effective Ratios
Employment Ratios Turnover and Absenteeism Ratios
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