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