The Scope of Hum n Resource Audits
A human resource audit evaluates the HR activities in an organization with the intent of improving those activities. The audit may include one division or an entire company. It provides feedback bout the HR function to operating man-
agers and HR specialists. It also provides feedback about how well managers are meeting their HR duties. In short, the audit is an overall quality control check on HR activities in a division or company and on how those activities support the organization’s strategy,’
Several benefits associated with an HR audit are listed in Figure 19-2. An audit reminds members of the HR department and others of its contribution, creating a more professional image of the department among managers and specialists. The audit helps clarify the department’s role and leads’to greater uniformity, especially in the geographically scattered and decentralized HR functi ns of large firms. Perhaps most important, it finds problems and ensures compliance with a variety of laws and the strategic plans of the organization. The scope of an audit extends beyond the HR department’s actions. The department’s uccess depends on how well it performs nd how well its programs are carried out by others in the organization. For example, consider how supervisors at the American Guard Agency reduced the effectiveness of the performance appr isal process.