TIME FOR A CHECK-UP?
Whether you are talking about your car, systems in your home or your business, it may be a time for a check-up. Why do we go through this regular process? Simply we get assurances that our car and home a/c and heating systems are working properly. They are tuned up and where necessary we get new parts all of which ease our minds that things will be working well on a “go forward basis.”
Many businesses do the same thing. The audits, usually annually, look over the company’s books and their accounting and finance procedures. Your company’s 401(k) fund and/or pension plans are looked at annually to ensure money is being invested according to the plan and fees are proper, etc. Companies also bring in consultants to examine their sales and marketing strategy as well as its execution, their distribution systems, their IT functions, etc.
But one essential element has not been named. . . Human Resources. . . Just like the other important functions, human resources needs to be evaluated and checked to make sure it is doing all that it can in helping the management utilize its greatest asset, its people.
What does an HR Audit do? It exams the firms recruiting and hiring procedures, employee orientation, training, policies, affirmative action, safety, performance appraisals, compensation, benefit plans, relationship to payroll, retention, Sarbanes-Oxley and the HR Staff.
So why is this important? Human Resources role is to help the company organize its personnel to fulfill the company’s mission and business objectives. There are also legal reasons because as many managers realize there are a number of laws on both the state and the federal level that control how a company conducts its relationship with its employees.
The bottom line is do not take things for granted in any part of your business. If all of your functions are not working properly you have a problem and if you have to deal with correcting the problem, you are “taking your eye off the ball.”
Not only will I look at your Human Resources function, I will provide you with suggestions and recommendations on how you can make HR better serve your company.
Give me a call and let me partner with you so that “you can be the best you can be!”
OUTLINE of the HR AUDIT
HR Responsibilities
Legal and Regulatory
Policies
Productivity
Morale
Establish a roadmap
Red – issues that need be corrected immediately
Yellow – issues that need to be addressed over time
Green – issues that are in compliance
What is reviewed?
Pre-Hire Procedures
New Employee Orientation
Termination Procedures
Performance Management
Compensation
Benefits
Safety
Training
Affirmative Action
Policies
401(k)
Employee Files
Retention/Turnover
Sarbanes-Oxley
Signage
Human Resources Staff
Other