HR Advisory

What Exactly is a Human Resource Audit? By Christina Stewart

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Hearing the word ‘audit’ is often enough to cause most of us to break out in a cold sweat. Visions of Governmental officials in dark suits with calculators and grim expressions searching through the deep dark corners of your finances and your life come to mind. And I’m sure that can be true in some cases – but not in the case of an HR Audit. Or at least not in an audit with Praxis.

When we think about the word audit – we get excited! We think of problem solving and we think of answers and we think of executing on your visions – we think of solutions. The whole point to undertaking an audit is to get an objective assessment of your people practices so you can exact some positive change.

An HR Audit is a thorough review of your current human resources function. An audit will review your HR policies, procedures, documentation and systems as well as interview your people. Areas will often be identified that require some kind of enhancement (or possibly outright revamp) – when the HR function is enhanced you’re that much closer to executing on your overall company strategy and your vision.

Call it an audit, an assessment, an analysis, an examination, an evaluation or a review – it all means the same thing: understanding your HR function. A properly executed audit can tell you why your turnover is so high, why you’re having trouble recruiting, why you have so much overtime, sick time or disciplinary situations. An audit can provide your company with insight as to how your Human Resources behaviour is impacting your goals, objectives and bottom line.

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But knowing why is only half of it.

A comprehensive audit will also tell you what to do about it. And reputable audit companies will also lay out all the options for undertaking change. The really good ones will even help you execute on your new HR plan.

If you truly want to know where you stand with your people and want to know how to get from here to where you want to be, then an audit is exactly what you need. No governmental suits or sweating required.