Hrdaudit 120914035945 Phpapp02

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HRD

Audit

What is HRD?
Human Resource Development (HRD) is
the framework for helping employees
develop their personal and organizational
skills, knowledge, and abilities.

HRD

includes such opportunities as


emplyee
training,
employee
career
development, performance management
and development, coaching, mentoring,
succession
planning,
key
employee
identification, tuition assistance, and
organization development.

"The unexamined work


life is not worth living."

The things that got


measured gets managed

What is Audit?
The general definition of an audit is an
evaluation of a person, organization,
system, process, enterprise, project or
product.
The term most commonly refers to
audits in accounting, but similar
concepts
also
exist
in
project
management, quality management,
water management

HRD Audit
HRD Audit

is a comprehensive evaluation
of the existing HRD

Structure,
Strategies,
Systems,
Styles,
Skills / Competencies
Culture

and their appropriateness to achieve the


short-term and long-term goals of the
organisation.

What ?
HRD Audit is like an
annual health check-up, it
plays a vital role in instilling a
sense of confidence in the
Management and the HR
functions of an organization

HR Audit v/s HRD Audit


HRD Audit is evaluation
of only few activities

Structure,
Strategies,
Systems,
Styles,
Skills / Competencies
Culture

HR

Audit

is
a
comprehensive evaluation
of the entire gamut of HR
activities

HR Cost
HRD activities
Health, Env. & Safety
Legal Compliance
Quality
Compensation &
Benefits

Methodology of HRD Audit


(How?)
Interviews
Questionnaires
Observation
Analysis of records and secondary data
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


(Why?)
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


HRD audit is cost effective
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 Improvements in HRD systems
Increased focus on human resources and human
competencies
Improvements in HRD systems
Better recruitment policies and more professional
staff
More planning and more cost effective training
TQM Interventions

HRD SCORE CARD


T.V. Rao (1999) has introduced the concept of HRD score card.
The HRD Scorecard is a measure of the HRD maturity level of
an organization. The scorecard is based on the following
assumptions and takes into consideration the research based
understanding gained in the last few decades regarding HRD.
The maturity level of HRD in an organization is indicated by
the following factors:
1. HRD Systems Maturity
2. HRD Competencies of the Employees including the HR
Department
3. HRD Culture of the Organization
4. HRD Influence on the Business Goals or Business Linkages of
HRD

Name of the Organisation

ABC

HRD
Systems
Maturity

HRD
Competen
ce Score

HRD
Culture
Grade

Business
Linkage
Grade

Overall
HRD
Maturity
rating

B*

B*

B*C B*B

A* Highest Score and Highest Maturity Level


A Very High Maturity level
B*
High Maturity Level
B Moderately High Maturity Level
C*
Moderate Maturity Level
C Moderately low Maturity level
D* Low Maturity Level
D Very low Maturity level
F Not at all present
U Ungraded

Assumption
Competent and motivated
employees are needed to provide
quality products and services at
competitive rates and ways that
enhance customer satisfaction

HRD Systems Maturity Score


Competencies and commitment can be developed
through appropriate HRD mechanisms (tools and
systems). In a HRD Mature organization there will be
well-developed HRD systems and HRD systems
Maturity can be measured through HRD audit.

HRD Competence Score


HRD Competencies of the HRD department and the
line managers play a significant role in implementing
the systems and processes in ways that could ensure
employee satisfaction, competence building and
customer satisfaction linkages. The competencies of
the staff and the other employees can be measured
in terms of an index.

The HRD Culture


values and processes created by the HRD tools, staff
and their styles also play a crucial role in building
sustainable competencies in the organization. These
need to be measured and monitored. It is possible in
some corporations (for example small corporations) to
have very little of HR systems and yet have a high level
of HR competencies and HR culture. In the traditional
family owned organizations in those years where there
were no systems approaches there used to be good
degree of HRD culture, which has resulted in effective
functioning and business.
Business Linkage Score
Business linkages of HRD are very crucial component of
HRD effectiveness.HRD systems competencies and the
culture must be a lined with the business oals of the
cororation

Challenges in HRD
Audit
Build and improve quality consciousness
Strive to recruit and retain competent , creative
employees
Align biz processes with technology infrastructure

Nurture creative and supportive work culture

Train and develop the employee through 360


degree feedbacks, appraisals.
Promote learning orientation-informal networks

Organisations that Have


done
HRD Audit

Aditya Birla Group (8 years)


L&T
Gujarat Gas
Gujarat Guardian
Apollo Tyres
Alexandria Carbon Black
Godrej Soaps
GVFL
BPL
Tyco International
Wokhardt Hospitals Bangalore
Bharat Electronics
NTPC

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