Leading organizations today recognize that their human assets are as critical to their long-term success as their physical and financial assets.  Indeed, people represent the organization’s largest fixed expense.  Management of these human resources has a significant impact on the bottom line. 

The HR Audit provides a practical mechanism for assessing the effectiveness and the cost of human resource practices: 

First, we gather comprehensive data through direct interviews and a document review of current hr forms, reports, files, policies, etc.  This generates a quantitative, objective assessment of current practices that helps us identify concerns and diagnose the nature and degree of improvements needed. 

Next, we take a strategic approach in analyzing the data and making recommendations.  We always ask these questions: What does the organization expect the Human Resource function to provide?  How well is the Human Resource function fulfilling these expectations?  What are the expected outcomes of the policies and procedures?  Are the policies, procedures, and practices supporting the strategic goals of the organization? 

We evaluate all areas of human resources using these four criteria: 

Technical
Are there policies and procedures in place.  Are they technically sound and performed consistently? 

Legal
Are all practices and procedures in compliance with state and federal regulations? 

Behavioral
What is the effect of the procedures on employee attitudes and performance?  Do they result in confident, motivated and focused employees?

Cost
Are the costs associated with the current practices tracked and the trends analyzed.  Can the cost of human resource systems be reduced without compromising the quality of the outcome?  Can changes in human resource practices and policies reduce costs throughout the organization? 

Through the HR Audit you can significantly improve the effectiveness of your organization: reduce costs, increase employee productivity and enhance long-term competitiveness. 

The audit asks these kinds of key questions: 

• How effectively is human resources integrated with the organization’s strategic plans?

• How well does the organization comply with today’s complex legal environment?

• How effectively are work force skills matched with job requirements?

• How effectively are personnel problems resulting from new technology, department outsourcing, plant closings, or mergers and acquisitions being solved?

• How well is the organization dealing with change?
  

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