Identifying and managing key risks is the primary purpose of HR auditing

Human resources audit should qualify as the most important of all audits of an organization. This is because HR auditing is directly related to employees, who are the organization’s most important resource. It is through an HR audit that an organization evaluates its employees’ strengths and weaknesses.

HR audits help organizations in a number of ways

HR auditing helps organizations in many ways. Through HR audits, organizations are able to ascertain potential and actual problem areas, assess the effectiveness of current HR management activities, measure the weaknesses in HR internal control processes, evaluate human capital strategic and compliance related risks, and suggest corrective action on all these.


Getting the HR auditing right

The fulcrum for all these for an organization is in getting its HR audit right. The ways by which this can be achieved will be the subject of a seminar that GlobalCompliancePanel, a renowned provider of professional trainings in the regulatory compliance areas, will be organizing. More on this teaching session can be had from

The Director at this seminar, Ronald Adler, who is President of Laurdan associates, Inc., will offer insights into HR auditing in a way only a person such as him, who has spent over four decades in the industry, can.

The basis of effective HR auditing lies in asking the right questions

Ronald Adler will emphasize the point that the root to carrying out HR audits effectively is in asking the right questions. The effectiveness of HR audits is measured by how they throw up a structured and systematic series of questions about the areas relating to key compliance, risk management, internal auditing, and human resource management issues in HR, which are the main purpose of these audits.

Key issues affecting HR audits in 2016

Because of the coming together of a variety of factors; HR auditing has taken a new role and importance from 2016. These factors include:

  • The increasing importance of human capital in the age of ever increasing globalization
  • The insufficiency of the present financial institutions to foresee and contain the outbreak of corporate scandals and bring about greater transparency in these institutions
  • The recognition by leading bodies and legislations such as the EEOC, the OFCCP, U.S. DOL, the NLRB, and ICE of the importance of HR audits as an effective tool for self-audits

The role of ERM in HR audits

Another important point that Ronald Adler will highlight at this seminar is the importance of HR audits in considering human capital-related risks and opportunities from an Enterprise Risk Management (ERM) perspective. This means that the HR audit should take a holistic view of human capital risks and align the interrelationships and interactions between HR and other functions relating to management and the organization.

Yet another aspect that will be reviewed is the current use of HR audits. Adler will explain how HR Audits can be used to help the organization reduce risks and grab potential opportunities.

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Author: GlobalCompliancePanel-Training

GlobalCompliancePanel is an online training gateway delivering high quality regulatory & compliance trainings in a simple, cost effective and in a user friendly format.

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