Process of HR audit

The HR audit should do a thorough probe, evaluating HR policies, programmes, philosophy, practices and concepts and comparing with standards and with those of the personnel records of the said organization and other organization. The level and depth of the audit should be decided in advance. Rao has included the following in an HR audit process.

1. Identify indices, indicators, statistical ratios and gross numbers in some cases
2. Examine the variations in time-frame in comparison with a similar previous corresponding period
3. Compare the variations of different departments during different periods
4. Examine the variations of different periods and compare them with similar units and industries in the same region
5. Draw trend lines, frequency distribution and calculating statistical correlations
6. Prepare and submit a detailed report to the top management and to the managers at appropriate levels for information and necessary action