COMPONENTS

OF
HR AUDIT
 COMPONENTS OF HR AUDIT
The audit process consists of eight primary components of
the HR function
Roles, head count, and HR information
systems (HRIS)
Recruitment
Documentation
Training, development, and career
management
Compensation and benefits
Performance measurement and
evaluation
COMPONENTS OF HR AUDIT

The team works to collect

information to answer the
HR audit questions in each
of these categories. The
focus is on how these
activities and tasks are
actually performed in the
COMPONENTS OF HR AUDIT
The first step is to collect all the
pertinent information. The process of
getting information, in and of itself,
can be quite informative. For auditing
the HRIS, the questioning begins from
the organization of HR department
and how information flows inside the
department. It must be remembered
that HRIS exists in the department,
even if it is not automated using
computers.
COMPONENTS OF HR AUDIT
Hence the overall information
management system must be
studied thoroughly. Hence, the audit
is divided into three components:

Part I. Human Resource

organization/ administration
Part II. Information management
through Documentation
Part III. Computerized HRIS
 STEPS IN HR AUDIT

Auditing process varies from organizations to

organizations.Generally involves following STEPS:
STEP ONE: Briefing and Orientation:
Key Staff Members meet:
i. To discuss particular issues considered to
be important.
ii. To chart out audit procedures, and
iii. To develop plans and program of audit.
 STEPS IN HR AUDIT

STEP TWO: Scanning material information:

Scrutiny of all available information
pertaining to personnel, personnel
handbooks and manuals, guides,
appraisal forms, computer
capabilities and any other related
information.
 STEPS IN HR AUDIT

STEP THREE: Surveying employees:

a. Interview with key managers, functional
executives, Top functionaries in the
organisation and employees
Representatives, if necessary.
b. The purpose is to pinpoint issues of
concern,
Present strengths, anticipated needs and
managerial views on human resources.
 STEPS IN HR AUDIT

STEP FOUR: Conducting interviews:

I. What questions to be asked, are developed

during
scanning of information.
II. It is better for H.R. Audit, if clarity about the key
factors of H.R.M. selected for audit and the related
questions that need to be examined.
 STEPS IN HR AUDIT

STEP FIVE: Synthesising:

The data gathered is synthesized to

present the
a. Current Situation.
b. Priorities.
c. Staff pattern, and
d. Issues identified.
 STEPS IN HR AUDIT

STEP SIX; Reporting:

1. The results of the audit are discussed with

Managers and Staff Specialists, in several
rounds.
2. Important issues are identified for
inclusion in the formal Report.