HR Audits 101: Execution and Outcomes

HR Audits 101: Execution and Outcomes

by on 1 Mar, 2017

In our last blog post, we addressed common questions that employers have about the timing, scope, and execution of HR audits. We also shared the typical principal points in an HR audit. In this blog post, we will go more in-depth, detailing the specific steps in performing an audit and discussing the outcomes of a successful audit.

Once you have committed to performing an HR audit and decided on the scope of the audit, it is time to actually take the steps to perform the audit. The typical steps of performing an HR audit include:

    • Determine the scope: Decide what areas should and will be targeted for review. If it is the first time conducting an audit, a thorough review of all policies and procedures is recommended.
  • Develop a plan: Formulate a plan. Identify the goals of the audit, assemble a team, and devise a timeline for the completion of the audit. In addition, invest time in creating a document with questions for the subjects of inquiry.
  • Gather and analyze data: Perform review of the different areas under review and collect information about the organization and its HR practices. Analyze the findings.
  • Create a report and benchmark the findings: Create a report of the findings that identifies the strengths and weaknesses that were uncovered during the audit. Compare the audit findings with HR benchmarks to see how the organization compares with similar organizations. Offer suggestions to correct any issues of noncompliance that were found.
  • Create an action plan: Hold a meeting between the audit team and company executives to discuss the findings and develop a plan to address areas of concern in the report. Steps that could be taken include policy changes, procedure changes, or training changes.
  • Track progress: After steps have been taken to address problem areas, continue to monitor the progress of the new measures to ensure the organization remains compliant.

After the audit has been performed, however, there is still work to be done. Tracking progress of the audit is a very important step, and employers should ensure that they are achieving the outcomes of a successful HR audit, which include:

  • Identifying which policies and procedures need to be updated to reflect changes in the law
  • Identifying policies and procedures that are not being followed properly, determine why, and define action that can be taken to ensure they are followed in the future

  • Identifying unwritten practices that are in place and ensure there are no legal risks associated with these practices

  • Identifying opportunities where new policies could be implemented to minimize risk
  • Assessing record-keeping practices
  • Identifying areas where additional communication would be beneficial

Upon learning all the steps required for successfully performing an HR audit, a company may be overwhelmed and hesitant to do it themselves. Luckily, Navigate can help with your HR audit. Each of our team members has over 15 years of experience in a specialized human resources area and are dedicated to helping ensure that your organization stays compliant with constantly evolving standards, state, and federal regulations.


When you partner with us, your business gains access to:

  • Initial HR practices & compliance audit
  • Compliance assistance with local, state, and federal employment laws
  • Performance review tools and support
  • Unemployment claims management
  • Training program development

contact us today

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Disclaimer: this article does not represent expert advice and is provided for informational purposes. Please get in touch if you would like expert HR advice.

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