According to Dale Yoder
“Refers to the evaluation and examination of policies , practices and procedures to determine the effectiveness and efficiency of human resource.”
SCOPE OF HUMAN RESOURCE AUDIT
- Audit of all the HR functions.
- Managerial compliance audit.
- Human resource climate audit.
- Human resource corporate strategy audit.
BENEFITS OF HUMAN RESOURCE AUDIT
- Helps to find out proper contribution of HR department towards the organisation.
- Reduce the HR cost.
- Motivation of HR personnel.
- Find problems of HR and solve them.
- Sound performance appraisal system.
- Systematic job analysis.
- Clarification of HR department duties and Responsibilities.
APPROACHES OF HUMAN RESOURCE AUDIT
- Comparative approach.
- Outside authority approach.
- Statistical approach.
- Compliance approach.
- Management by objective.
OBJECTIVES OF HUMAN RESOURCE AUDIT
- Building Organisation structure.
- Proper communication and feedback.
- Status of industrial relation manager.
- Evaluate implementation of policies.
- Evaluate performance of personnel staff.
- Seek information of failure and success of HR.
- Seek priorities and goals of management philosophy.
- Greater delegation of authority.
AREAS OF HUMAN RESOURCE AUDIT
- Mission statement relating to HRM.
- Objectives , goals and strategies of HRM.
- Accomplishment of HRM.
- Programmes of HRM including Detailed procedures.
- HRM policies.
- Role of HRM in total quality management.