Comprehensive Review on Human Resources Function of the Fyzabad Community Hospital and Health Centre

Presented by:

HR Masters Internal Audit

10 September 2013

HR MASTERS - 03/10/2013

Presentation Agenda
1. Terms of Reference

2. Background
3. Limitations 4. Role of Management 5. Scope and Approach 6. Executive Summary 7 8
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Findings Conclusion
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Terms of Reference
Administrative Request : FY Sept 2013 End to End: Operational and Compliance The key objectives were to:
Review and provide determination of non-compliance with HR Policies Review Performance Management System (PMS) Recruitment and Selection practices and processes Organizational Structure and Job descriptions review HR staff skills level review, including skills gap analysis Contract Administration : renewal process
HR Masters 03/10/2013

Background
FCHHC has identified a number of key HR Issues which require improvements and are highlighted below: Lever of change for HR Department Health Sector Transformation HR Intervention Sick Outs Opportunity to align HR practices with - strategic intent - continuous improvement - best practice Inspire transformation : Leader in Health Sector
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Limitations
Our report was not intended to identify or disclose any fraud and other irregularities. This report is intended for the internal use of the FCHHC and not to be reproduced without our prior written consent. The Internal Audit Unit will not assume any responsibility or liability for losses as a result of the circulation, publication, reproduction or use report. The review performed was limited to the sample selected, discussions and meetings and information / documentation provided during the course of the review.

HR Masters 03/10/2013

Role of Management
According to the Institute of Internal Auditors, International Professional Practices Framework (IPPF), Practice Advisory 2130-1: Senior managements role is to oversee the establishment, administration, and assessment of the system of risk management and control processes.

HR Masters 03/10/2013

Scope and Approach

Our audit approach involved primarily:
Interviews with key personnel Obtaining and reviewing policies and procedures provided Human Resource Unit and the Legal Department Review of Board of Directors Minutes Reviewing of Employee Files : Recruitment & Selection, Contracts, PM Documents, HRIS, ROPs Perform system walk through

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Executive Summary
We noted that there are no updated documented policies and procedures to guide the various functions with HR. There have been several changes to the business processes and procedures since the policy manual was last approved. This matter was previously raised in several other external audit reports. (See page 10 of 15 Payroll Admin- P&P Issues) Our review also pointed to the following deficiencies: Lack of transparency throughout the engagement process Inadequate documentation/approvals throughout out all key areas reviewed. Inconsistent compensations and benefits for employees. Mismanagement of Human resources leading to misalignment of Organisations vision
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Findings
Activities which appear to be operating satisfactorily were not highlighted in this report. Upon review of the HR functions identified below the overall ranking is HIGH. (High-19, Medium-17, Low-4) The detailed findings relate to areas that we believe need to be improved by Managements:
Engagement (M) Salary Administration (H) Incentive Payments (H) Other Conditions of Employment (H) Performance Management (M)
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Conclusion
Management is responsible for ensuring that there are controls implemented to mitigate the risks within the organisation.

Management will need to review the documented policies, procedures and SOPs and update them in line with current processes.
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Audit Team
Contact Details: Dinesh Soodeen Preston Nanan Maya Manickchand Marissa Chattergoon Allyson Alexander Joanne Joseph Sharda Ramkhelawan Keenan

internalaudit@ACE .tt (868) 123-8888 Ext ACE 21222

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