HRD Audit
What is HRD?
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HRD is any process or activity that,
either initially or over the longerterm, has the potential to develop
adults work-based knowledge,
expertise, productivity, & satisfaction,
whether for personal or group/team
gains or for the benefit of an
organisation, community nation or
ultimately the whole humanity
- Mclean & Mclean
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Competence Building
Commitment Building
•Culture Building
What ?
HRD Audit is like an annual
health check-up, it plays a vital
role in instilling a sense of
confidence in the Management
and the HR functions of an
organisation
HRD Audit
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HRD Audit is a comprehensive
evaluation of the existing HRD
Structure,
Strategies,
Systems,
Styles,
Skills / Competencies &
Culture
and their appropriateness to achieve
the short-term and long-term goals of
the organisation.
HRD Audit & HR Audit
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HRD Audit is evaluation of only few activities :•Strategies,
•Structure,
•Systems,
•Styles
•Skills & Competencies
•Culture
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HR Audit is a comprehensive evaluation of the
entire gamut of HR activities :•HR Cost
•HRD activities
•Health, Env. & Safety
•Legal Compliance
•Quality
•Compensation & Benefits
How ?...
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In HRD Audit the skills, styles, systems,
strategies, structure is studied and
analysed using a variety of methodologies
like
–interviews, (Individual and group, Top
Management, Line Managers, HRD Staff,
Workmen and others)
–questionnaires,
–observations,
–available records,
–workshops etc.
This evaluation helps align the HR
processes with business goals.
Why HR audits?
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To make the HR function business-driven.
Change of leadership.
To take stock of things & to improve HRD
for expanding,diversifying, & entering into a
fast growth phase
For growth & diversification
For promoting professionalism among
employees & to switch over to professional
Management
To find out the reasons for low productivity
& improve HRD strategies.
Dissatisfaction with a particular component.
To become employer of choice
Role of HRD Audit in Business
Improvements
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Improvements in HRD systems
•Increased focus on human resources and
human
competencies
•Better recruitment policies and more
professional
staff
•More planning and more cost effective
training
•Strengthening accountabilities through
appraisal systems and other mechanisms
HRD Score Card
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This model assumes that,
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Competent and committed
employees are needed to provide
quality products & services at
competitive rates & ways that
enhance customer satisfaction
Components to be audited
HRD systems maturity
The HRD systems maturity assesses
the extent to which various HRD
subsystems and tools are well
designed & are being implemented
1. The systems should be appropriate
and relevant to business goals
2. It should focus on current and future
needs of the corporation.
3. The HRD strategies and systems
should flow from the corporate
strategies
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4. The systems should be well designed and
should have a structural maturity.
5.They should be implemented well.
 The employees should be taking them
seriously implemented well
 The employees should be taking them
seriously and follow meticulously what has
been envisaged in each system.
 The overheads of implementation should
be low
6. The subsystems should be well integrated
and should have internal synergy.
7. They should be adequate and should take
care of the HRD requirements of the
organisation
subsystems are assessed and
are,
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Manpower planning and recruitment
Performance Management Systems
Feedback and Coaching Mechanisms
Training
Career development and Succession
planning
Job-rotation
OD Interventions
HR Information Systems
Worker Development methods and
systems
Potential Appraisal and Development