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HR AUDIT
JUNE 2021
1. You are the HR Head of a leading automobile company and to sustain in the market youneed to ensure that your overall organization is at par and is following the best HRpractices in the industry. What according to you are some of the best HR practices andthe benefits of following the same. Explain at least 5 best HR practices in detail.
Answer: Human resource management involves blending the traditional administrative functions along with the changing concepts of employee welfare in the organisation. Organisations now regard employees as a precious resource and spend more efforts to retain them. The retention of employees is dependent on how they are perceived and treated in the organisation based on their performance, abilities and skills. Human resource managers are involved right from identifying potential candidates for jobs to their separation from the organisation. They encourage communication amongst the employees and also promote better employer – employee
2. You have been appointed as an external auditor for ABC company. You have to run aHR audit for the HR department and submit the findings within 45 days. Explain thevarious steps involved in the process of HR audit. What are the various types of HR Auditand which type of HR Audit is applicable in the above case?
Answer: HR Audit
The human resource audit closely examines the people side of theorganisation. It involves a comprehensive review of HR-related policies,procedures and practices. It provides an opportunity to do a systematicreview of activities that might otherwise be viewed as unrelated and itidentifies areas that require further attention or improvement.The audit is a learning experience for everyone
3. Due to the organizational restructuring of company XYZ, there has been a lot of changesin the overall functioning of the organization, which in turn has resulted in a number ofchanges in the current policies and processes. Mr. A. has recently joined as the VicePresident HR at the Headquarters of the company. His first assignment is to ensure thechanges made by the Board of directors are implemented globally, ensuring seamlesstransition and employee well-being. To ensure the changes have been implementedsuccessfully, he is required to run an Audit.
a. Mention the 3 levels of HR Audit. Under which level will you label Mr. A and why?
b. What are the 2 main areas of focus of the Audit that Mr. A is responsible for?
Answer: a) Levels of HR audit are as follows:
CORPORATE LEVEL
Almost all major initiatives undertaken at the corporate level are implemented organisation-wide. All employees in the organisation understand clearly high priority, which is accorded to various initiatives. The priority may be decided as per the importance of the process and its contribution to the competitive advantage of the company. Employees need to be aware of the benefits derived by undertaking a strategic
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