No matter what the size of the organization, the HR function has become more crucial than ever before. From employee advancement to employee experience, there is a long list of priorities for all HR professionals. Ensuring employees' health and well-being. Their growth and development. Post 2020 has brought in newer challenges while there were already older ones to address. To be able to navigate the challenges of the present and future, organizations need to have a robust internal HR system and a competent HR team. But how would you know if your organization's human resource processes and policies are in the right conduct or not? That’s where an HR Audit could help.
Unlock the power of HR Audit
A much-needed yet ignored HR tool, an HR Audit is an exhaustive method to analyze current human resources policies, standard operating procedures, documentation, and systems. It helps the companies to understand their 'AS-IS' state and learn what all needs to be fixed to reach the 'TO-BE' state.
When should your company get an HR Audit?
Look at HR Audits like a must required regular health check-up essential to your company’s growth. Just like your yearly financial audit, an HR audit is also equally crucial. It can be done for various reasons. For instance, at the end of every year to monitor if all the people policies are in place and if your firm is complying with all laws and regulations. It can also be done before you make a strategic change to get insights about your strengths and weaknesses. HR audits are also recommended in cases of mergers or acquisitions or when a company is scaling its business or planning a geographical expansion.
Here's how HR Audits help:
Intuition vs Real Conversations
Going by gut isn’t a guaranteed mechanism. An HR Audit involves one-on-one discussions with the workforce, which helps get information which never comes outside otherwise. The human connection, personal conversations and element of anonymity helps people break the walls and speak their heart out.
Imagination vs Quantitative Data
Time and again, the HR teams have been asked to back their insights with data. HR audits give an opportunity to the HR teams to show the real picture of current HR systems to the business with numbers and quantitative insights. Instead of saying, I think the employees are not happy with the current performance management system, with HR audit, they can share what percentage is not satisfied and why.
Assumption vs Employee Perception
All the policies, procedures and systems are made for the employees, so it is critical to know their perception towards them. Look at it like designing a product or solution for customers, wouldn't you wish to know their expectations? The conversations that happen during the HR Audit process, give deep insights about how employees perceive current HR systems, leadership, and culture. It also helps HR teams to identify new talent solutions that could be introduced to enhance employee experience.
Obliviousness vs Observation
HR teams must feel like they are on the right path but there is always a scope for improvement -- so a third party view -- a different perspective helps us to look at things from a new perspective and build the right picture to take better and informed decisions. HR Audit helps us to come out of the obliviousness by making us observe the hidden aspects.
Static vs Change
The rapidly changing world of work and the dynamic business ecosystem requires the HR teams to also transform constantly. The policies need to be upgraded, the solutions have to be revised and if needed new dimensions have to be added. For instance, in the present work scenario, businesses need to create remote work strategies, expand the scope of the policies to make them more gender neutral etc.
HR Audits have the potential to help you not only get to the bottom of all the challenges holding your people and business back but also identify the new roads of opportunities that will take your business to greater heights.