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 Practices
 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 the role of
line managers in HRD
 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 mechanisms
 Streamlining of other management practices
 TQM Interventions
 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
 Alexandria Carbon Black
 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