The document discusses human resources (HR) audits, including their definition, nature, scope, objectives, methods, approaches, process, and benefits. An HR audit examines an organization's HR policies, procedures, documentation, systems, and practices. It provides feedback on how well HR and managerial functions are performed and whether the HR department is helping the organization achieve its goals. The HR audit process involves determining the scope, developing a plan, gathering and analyzing data, producing a report, creating an action plan, and evaluating progress. Benefits include identifying HR's contribution and encouraging responsibility, professionalism, and compliance.

1. HR AUDIT AND EVALUATION
Presented By :- Nilesh Mahananda

2. CONTENTS
 Definition
 Nature Of HR Audit
 Scope Of HR Audit
 Objectives
 HR Audit Methods
 HR Audit Approaches
 HR Audit Process
 Benefits
 Conclusion

3. DEFINITION
 The Human Resources (HR) Audit is a process of examining
policies, procedures, documentation, systems, and practices
with respect to an organization’s HR functions.

4. NATURE
 An HR audit is a tool for evaluating the personnel activities of an organization.
 It gives feedback about the HR functions to operating managers and HR
specialists.
 It also provides feedback about how well managers are meeting their HR duties.

5. SCOPE
 Audit of all the HR function.
 Audit of managerial compliance of personnel
 Policies, Procedures and Legal provisions.
 Audit of corporate strategy regarding HR
 Planning, Staffing, IRs, Remuneration and other HR activities.
 Audit of the HR climate on employee motivation, morale and job satisfaction.

6. OBJECTIVES
 To analyze and improve the HR functions in the organization.
 To expose the strengths and weaknesses in the HR function, and any issues need
resolution.
 To evaluate the efficiency and effectiveness of HR functions.
 To ensure whether the HR function is on the right path to achieve and helping
company to achieve its goal or not.

7. HR AUDIT METHODS
 Interview Method
 Questionnaire Method
 Observation Method
 Task Force Method

8. HR AUDIT - Approaches
Auditors may adopt any of the five approaches for the purpose of evaluation:
 Comparative approach
 Outside authority approach
 Statistical approach
 Compliance approach

9.  In the comparative approach, the auditors identify another company as the model.
The results of their organization are compared with those of the model company.
 In the outside authority approach, the auditors use standards set by an outside
consultant as benchmark for comparison of own results.

10.  In the statistical approach, statistical measures of performance are developed
based on the company’s existing information.
 In the compliance approach, auditors review past actions to determine if those
activities comply with legal requirements and company policies and procedures.

11. Determine the scope
Develop a plan
Gather and analyze the data
Produce a report
Create an action plan
Evaluate the progress
HR Audit Process

12. BENEFITS
 Identifies the contribution of Human Resource department to the organization
 Improves the professional image of the Human Resource department.
 Encourages greater responsibility and professionalism among member of the Human
Resource department.
 Clarifies the HR department’s duties and responsibilities.
 Stimulates uniformity of HR policies and practices.
 Finds critical HR problems.
 Ensures timely compliance with legal requirements.

13. CONCLUSION
 HR audit is a comprehension evaluation of the current hr strategies, structure, style
and skills in the context of the short and long term business plan of a company.
 Its main objective is to align the hr functions with business goals or to create a
business driven hr function.

14. THANK YOU