HRD Audit
T V Rao
Chairman, TVRLS
What is HRD?
 Competence
Building
 Commitment /Motivation Building
 Culture Building
What is involved in Good
HRD?
 Top
Management Philosophy and
Understanding
 Competent HR Staff and Department
 Line Manager Attitudes
 Union and Employee Support
 Use of appropriate Systems
 Periodic Renewal Exercises
 Business relevance of HRD systems and
What is HRD Audit?
 It
is a Comprehensive Evaluation of
Human Resource Development
 Strategies,
Systems and Practices,
 Structures and Competencies
 Styles and Culture
 And
their appropriateness to achieve
the short and long term business goals
of the organization
Methodology of HRD Audit
 Examines
long term and short term
plans and vision to assess Competency
Requirements
 Identifies broad Competency
requirements for future Business Goals
 Examines the existing HRD strategies,
systems and practices and assess their
appropriateness to have the required
competencies
Methodology of HRD Audit
 Examines
the adequacies and
inadequacies of HRD structure, staff
and their competencies, line managers
and their attitudes, top management
and their support, unions and their role
in competence building for future
 Suggests mechanisms for improving all
these in the business context
Methodology Adopted
 Interviews
 Individual
and group
 Top Management
 Line Managers
 HRD Staff
 Workmen and others
 Questionnaires
 Observation
 Analysis
of records and secondary data
Methodology
 Workshops
could be used
 Task forces and internal teams could
also be used
 External Auditors have a significant
role
 Benchmarking of questionnaire data
may be of use
Reasons for HRD Audit
 For
expanding, diversifying and
entering into a fast growth phase.
 For promoting more professionalism
and professional management.
 Bench-marking for improving HRD
practices.
 Growth and diversification
 Dissatisfaction with any component
 Change of leadership
Role of HRD Audit in
Business Improvements
 HRD
audit is cost effective
 It can give many insights into a
company's affairs.
 It could get the top management to
think in terms of strategic and long
term business plans.
 Changes in the styles of top
management
 Role clarity of HRD Department and
Role of HRD Audit in
Business Improvements
 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
Organisations that Have
done HRD Audit
 Aditya
Birla Group has been doing it
for the last 8 years
 Rajashree
Cement, Vikram Cement, Hindalco,
Indo-Gulf Fertilisers, Gwalior Grasim, Harihar
Fibres etc.
 L&T,
Crompton Greaves
 Gujarat Guardian
 Gujarat Gas
 Apollo Tyres
Some Organisations using
HRD Audit
 Godrej
Soaps
 GVFL
 BPL
 Tyco
International
 Gati Cargo Management Services
 Wokhardt Hospitals
 For detailed client list visit:
www.hrdaudit.com