HUMAN RESOURCE AUDIT
Meaning of Human Resource
Audit
Audit is one of the important management control devices. Personnel audit is used
to check, review and evaluate manpower management programme for certain past
period in the organization to facilitate control. Personnel audit reveals facts such as
high rate of absenteeism, employee turnover, grievances problems in recruitment,
selection policies, communication policies etc.
According to Dale Yoder “Personnel Audit refers to an examination and
evaluation of policies, procedures, practices, to determine the effectiveness of
personnel management.”
According to Edwin B. Filippo “The Personnel audit is a systematic survey
and analysis of all operative functions of personnel with a summarized statement
of findings and recommendations for correction of deficiencies.
Objectives of Human Resource
Audit
It undertakes a systematic search of the effectiveness of personnel
policies programmes.
It checks the indicators of the quality of leadership, of motivation, of
communication, effectiveness of supervision and constant
development of employees and managers.
To verify whether the mission, objectives of the organization HRM
department goals have achieved expected results.
To evaluate to what extent line managers have implement the
guidelines of HRM
Objectives Continued
Personnel audit provides the required feedback. It is all the more
necessary in a diversified and decentralized organization.
Personnel Audit is necessary due to rising labour costs and
increasing opportunities for competitive advantage in human
resource management.
Trade Unions have become more powerful and, are playing more
active role in personnel management. They often question
management’s competence in industrial relations. Management can
meet this challenge through personnel audit.
Areas of Human Resource Audit
Areas
Auditing of HR Auditing of HR Audit of manpower
Auditing Result
policies practices Procedures utilization
Areas of HR Audit
• Auditing results :accomplishment of current management, over a
period of job descriptions may become out-of-date. Management will
try to update these. Some other examples are: comparing of wage
policy.
• Auditing of HR policies: HR policies consistent with current
thinking? These need review.
• Auditing of HR practices and procedures:To identify day-to-
day problems in implementing.
• Audit of manpower utilization. an exercise enables
identification of under-utilization of human resources and surplus
manpower. It may also cover motivation, attitude, productivity,
grievances and punishment studies.
HUMAN RESOURCE INFORMATION
SYSTEM
Meaning of Human Resource Inf.
System
• A human resource information system (HRIS) is a systematic procedure for
gathering, storing, maintaining, retrieving, and revising human
resource data. An HRIS will store information about employees, retirees, and
their dependents and enable the employer to issue paycheque or retirements
cheque; withhold required taxes, retirement account and other employee
benefits and improve workforce management and budgeting.
• According to Hendrickson “HRIS can be briefly defined as integrated
systems used to gather, store, and analyse information regarding an
organisation’s human resources.”
• According to Tannenbaum “ HRIS as a technology-based system used to
acquire, store, manipulate, analyse, retrieve and distribute pertinent information
regarding an organisation’s human resources”.
Important uses of Human Resource Inf.
System
Scope of Human Resource Information
System
A. The scope of HRIS is very vast and includes
information about the following sub-
systems: Recruitment sub-system:
information for advertisement, applicants
profile, appointment and placement data.
B. HRIS is a linking mechanism which
connects all decision-making centres in an
organization. HRIS is imbedded in overall
management control system. HRIS gives
regular feedback and is kept update with
changed environments.
C. HRIS is to make desired information
available at right time, cost, provide
security and secrecy of confidential
information particularly keep information
up-to-date.
Objectives of Human resource Information
System
1) To make the desired human resource information available in the
right form to the right person and at the right time.
2) To make the required information available at reasonable cost.
3) To process the data by using most efficient methods.
4) To provide necessary security and secrecy for important and
confidential information.
5) To keep the information up-to-date.
Thankyou
Presented By :
Dr. Ravish Chandra Verma
Assistant Professor
Department of Commerce
Mahatma Gandhi Central University
Motihari , Bihar
Prepared by :
Abhyudai Raj Singh
BBAU(DRM) , Lucknow
