Matakuliah : J0124/Manajemen Sumber Daya ManusiaTahun : 2007/2008

MODUL 26 Human Resource Audit

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Learning OutcomesAfter studying this chapter, the students should be able to :• Understand the nature & benefits of HR audit, and describe

the scope• Recollect the role of personnel research in HR audit• Describe the approach of HR audit

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Outline• Nature of human resource audit• Benefits of human resource audit• Scope of audit * audit of HR function * audit of managerial compliance * audit of HR climate * audit of corporate strategy• Audit & personnel research• Approaches to human resource audit

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Nature of HR Audit

HRM objectives

HRM activities

HRM outcomesHR audit

Orgz. objectives

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Benefits of HRM audit• Improvement of the professional image of the HRD

• Finding critical personnel problems

• Reduction of HR costs through more effective personnel procedures

• Identification of the contributions of the HRD

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Scope of audit• Audit of corporate strategy

• Audit of HR functions

• Audit of managerial compliance

• Audit of the HR climate

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Who’s responsible for audit ?

• In-house staff

• Human resource consultant

• Corporate lawyer

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Audit & personnel researchMajor topics covered in HR research are :• Job analysis• Effectiveness of various recruitment sources• Effectiveness of training efforts• Wage surveys• Job satisfaction surveys• Areas of high accident frequencyetc

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Approaches to HR audit • Comparative

• Outside authority

• Statistical

• Compliance

• MBO

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Indicators in HR auditRate

turnover rate• quit rate• layoff rate• retirement rate

HR functions

• salary & benefit package• job design• retirement plan

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Job attendance rate• absence rate• tardiness rate

Overtime rate

Position vacancy rate

• Exit interview• discipline program• sick pay policy• convenience of lunchroom

• employee scheduling• selection & training proces

• recruitment & selection process• salary & benefit package• company image

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Error/Scrap rate

Training rate

Grievance rate

• Selection process• Training program• Job satisfaction

• Selection process• Training program

• supervisory practice• job satisfaction

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Closing• HR audit helps take a look at how effectively all HR

activities have been carried out.• The audit may adopt any one or more of the five strategies.• HR research provides data for auditors to assess the

effectiveness of personnel activities & employee satisfaction