Society

Every business must carry out a human resource audit

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Summary

  • Human resource audits allows an organisation to analyse previous and current performances of its employees and the entity at large to focus on acquiring future benefits.
  • As we move forward to 2022, for a company to thrive in a new business environment, a transparent and thorough human resource audit should be conducted.

The success of businesses in 2022 will be tied to ideal employee placements as well as the creation and implementation of dynamic and adaptive structures in the job arena. This reality is imminent especially now that businesses are slowly acclimatising to the post-Covid-19 era.

In order to achieve the aforementioned success, human resource audits come into play. HR audits are key organisational tools that every business should undertake every now and then. The audits serve as blueprints that will guide businesses through challenging periods and identify means of how to proceed.

Why do HR audit?

Human resource audits allows an organisation to analyse previous and current performances of its employees and the entity at large to focus on acquiring future benefits.

The audit should take a holistic approach that encompasses all aspects of the organisation and should include but not limited to policies, objectives and human resource practices to evaluate to what extent they contribute to the organisations goals.

Now that business is coming back to normalcy employers should conduct a HR Audit on the following:-

Workforce needs

Over the last two years, workforce needs have undergone an entire 360-degree shift. Now that we are going back to our offices the employer should first evaluate and find out which staff to retain considering some positions might have been rendered redundant. Second, there is a need to identify whether new recruitment is needed. Lastly, establish avenues for work redistribution.

Performance of the employees

A human resource audit will help an organisation to ascertain its employee performance and how to approach on setting new key performance indicators (KPIs). The purpose for this shall be to determine where there were shortfalls causing a performance drop and also to determine what led to increased productivity and higher performance.

Structural changes

Organisations will also audit if the previous structure they had is relevant to where the business is headed. A good human resource audit will give clear directions on how to seamlessly adapt to the new business structure.

Costing and budget allocation

Human resource auditing will assist a business on where to allocate more funds moving forward and how to cut costs in the new business arena.

As we move forward to 2022, for a company to thrive in a new business environment, a transparent and thorough human resource audit should be conducted. This will be the beginning of great productivity and high profits moving forward.

Evelyn Karanja is the human resource manager, Sisule & Associates Advocates