Auditing Your Human Resources Department: A Step-by-Step Guide to Assessing the Key Areas of Your Program

by John McConnell

Overview

For human resources departments struggling to highlight their worth amidst company cuts and streamlining, this book offers a rigorous yet simple solution that is less costly and intimidating than an outside audit. 

In this invaluable resource, author John McConnell provides you with a proven, painless process for gauging how well your HR departments are performing. Auditing Your Human Resources Department does this by scrutinizing the eleven key functions of human resources, including recruitment and selection, compensation, benefits, education, training and development, diversity, and EOE.

Using these functions as a framework, you’ll be able to:

• gather key information,
• score your self-assessment,
• analyze relevant data,
• fix any problem spots to strengthen,
• and maximize the effectiveness of your HR efforts.

This book also includes new information on strategic planning and HR, the impact and benefits of important technology developments, and new federal workplace laws. With hundreds of pages of questionnaires, checklists, and forms, Auditing Your Human Resources Department supplies the tools to pinpoint department strengths, improve weaknesses--and turn HR into an essential business asset.

Product Details

ISBN-13:	9780814416624
Publisher:	AMACOM
Publication date:	07/29/2011
Sold by:	HarperCollins Publishing
Format:	eBook
Pages:	304
File size:	3 MB

About the Author

JOHN H. MCCONNELL, SPHR is president of McConnell-Simmons and Company, a human resources consulting firm.

Read an Excerpt

Auditing Your Human Resources Department

A Step-by-Step Guide to Assessing the Key Areas of Your Program

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By JOHN H. McCONNELL

AMACOM

Copyright © 2001 John H. McConnell
All right reserved.
ISBN: 978-0-8144-1662-4

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Chapter One

STEP ONE Information Gathering

Beginning on page 3 are the questions for each of the categories you need to answer to complete the audit.

• You should be able to answer most of the questions without research, but in some cases research may be necessary. However, if you cannot answer a question, don't guess. • Some of the questions require you to select an answer from those provided. Some require brief written answers. • Many questions include an "Other" selection. "Other" is to be used when the correct answer is not any of the ones provided. It is not meant to be used as a "Don't know" or "Not applicable" response. "Not applicable" is for questions that do not apply to your situation. • Some areas may not apply to your HR organization. Do not answer in those categories. You will find a place on the heading for each area to indicate whether it is not applicable. Even when not applicable, you should review the questions.

Answer all questions in a category before moving on to the next category. It is also more effective to answer all questions in a single category at one time. The time required to answer the questions in a category varies, but generally an hour is sufficient (even with some research).

A short line precedes each question. For this first step, ignore those short lines. You will be using them in Step 2.

Keep in mind that this is not a test of your knowledge. It is a collection of factual information for the evaluation of the department. Such an evaluation will be accurate and useful only if your information is accurate. So answer as things are and not as you wish they were.

Human Resources Strategic Management—Information Gathering

Partnering in the development of the organization's strategic plans and human resources' plans and role in fulfilling the organization's mission, vision, and objectives.

If your human resources department is not accountable for this category, go directly to the next category (p. 13).

ORGANIZATION'S STRATEGIC PLANNING

_____ 1. Does your Organization have an identified department or functional unit accountable for human resources activities?

____ Yes ____ No

_____ 2. What position represents human resources in the senior management group accountable for the strategic planning and direction of the Organization? ______________________________________________________

_____ 3. Does the Organization have a (check all that apply):

_____ Mission statement _____ Vision statement _____ Values statement _____ None

_____ 4. Of the items in the previous question that your Organization has, which has/have been published or otherwise communicated to all employees?

_____ Mission statement _____ Vision statement _____ Values statement _____ None

_____ 5. Does the Organization have a strategic plan?

_____ Yes _____ No

_____ 6. For what time horizon is the Organization's strategic plan?

____________________________________________ _____ Do not have a strategic plan

_____ 7. Does the Organization have strategic objectives?

_____ Yes _____ No

_____ 8. Does the Organization have strategic objectives for the human resources department?

_____ Yes _____ No

_____ 9. Does the Organization's strategic plan include a section on human resources and/or the Organization's projected workforce requirements?

_____ Yes _____ No _____ Do not have a strategic plan

ORGANIZATION'S TACTICAL PLANNING

_____ 10. Does the Organization have a tactical plan?

_____ Yes _____ No

_____ 11. For what period of time is the Organization's tactical plan?

_______________________________________________ _____ Do not have a tactical plan

_____ 12. Who represents the human resources department in the Organization's tactical planning process?

_______________________________________________ _____ Do not have a tactical plan

_____ 13. Does the Organization's tactical plan include objectives for the human resources department?

_____ Yes _____ No _____ Do not have a tactical plan

_____ 14. Does the Organization's tactical plan address identified workforce projections?

_____ Yes _____ No _____ Do not have a tactical plan

_____ 15. Are the Organization's projected workforce requirements reflected in the Organization's annual budget?

_____ Yes _____ No _____ Do not have a budget

HUMAN RESOURCES STRATEGIC PLANNING

_____ 16. Does the human resources department have a mission statement that clearly describes the department's purpose in the Organization?

_____ Yes _____ No

_____ 17. Has the human resources department's mission been coordinated with the mission of the Organization?

_____ Yes _____ No _____ Do not have a mission statement

_____ 18. To what extent (as a percentage of the Organization) has the human resources mission statement been communicated?

_____ % _____ Do not have a mission statement

_____ 19. How often is the human resources department's mission reviewed?

__________________________________ _____ Do not have a mission statement

_____ 20. Approximately what percentage of human resources situations and actions appear to differ or conflict with the human resources department's mission?

_____ % _____ Do not have a mission statement

_____ 21. Does the human resources department have a strategic plan?

_____ Yes _____ No

_____ 22. If the human resources department has a strategic plan, is the plan in agreement and coordinated with the Organization's strategic plan?

_____ Yes _____ No _____ Do not have a strategic plan

_____ 23. If the human resources department has a strategic plan, how often is human resources department performance to strategic plan formally reviewed?

__________________________________ _____ Do not have a strategic plan

_____ 24. If the human resources department has a strategic plan, who prepares it and who approves it?

Prepares _____________________________________________ Approves _____________________________________________ Do not have a strategic plan _________________________

HUMAN RESOURCES TACTICAL PLANNING

_____ 25. Does the human resources department have a tactical plan?

_____ Yes _____ No

_____ 26. If the human resources department has a tactical plan, is the plan in agreement with the Organization's tactical plan?

_____ Yes _____ No _____ Do not have a tactical plan

_____ 27. Is the human resources department's tactical plan in agreement with the department's mission statement?

_____ Yes _____ No _____ Do not have a tactical plan

_____ 28. Is the human resources department's tactical plan an extension of the department's strategic plan?

_____ Yes _____ No _____ Do not have a tactical plan

_____ 29. If the human resources department has a tactical plan, does it include specific human resources objectives?

_____ Yes _____ No _____ Do not have a tactical plan

_____ 30. If the human resources department has a tactical plan, have that plan and its objectives been communicated to all HR department employees?

_____ Yes _____ No _____ Do not have a tactical plan

_____ 31. If the human resources department has a tactical plan, how often is HR department performance formally reviewed in terms of the tactical plan?

___________________________ _____ Do not have a tactical plan

_____ 32. If the human resources department has a tactical plan, who prepares and approves it?

Prepares _________________________________________________ Approves _________________________________________________ Do not have a tactical plan ________________

FINANCIAL

_____ 33. Does the human resources department have a budget that is developed in conjunction with the human resources tactical plan?

_____ Yes _____ No

_____ 34. How frequently does the human resources department compare its performance to its budget?

___________________________ _____ Do not have a budget

_____ 35. Is the human resources department accountable for operating within its approved budget?

_____ Yes _____ No _____ Do not have a budget

_____ 36. Is the human resources department accountable for analyzing and explaining variances between budgeted and actual performance?

_____ Yes _____ No _____ Do not have a budget

_____ 37. Does the human resources department use return on investment (ROI) calculations to evaluate proposals?

_____ Yes _____No

ORGANIZATION POLICIES AND PROCEDURES

_____ 38. Does the human resources department develop, contribute to, administer, and/or publish overall policies and procedures applicable to the entire Organization, such as conflict of interest, whistleblower protection, nepotism, and board of director/ trustees accountabilities?

_____ Yes _____ No

_____ 39. Are the types of policies and procedures mentioned in the previous question in support of the Organization's values and ethical behaviors?

_____ Yes _____ No _____ Do not have such policies and procedures

_____ 40. Are newly hired employees required to sign a conflict of interest and/or confidentiality agreement?

_____ Yes _____ No

_____ 41. Are existing employees required to re-sign or are they reminded of the Organization's conflict of interest policy and agreement?

_____ Yes _____ No _____ Do not have such agreements

_____ 42. How often are existing employees required to re-sign or how are they reminded of the Organization's conflict of interest policy and agreement?

___________________________ _____ Do not have such agreements

SUCCESSION PLANNING

_____ 43. As part of the Organization's strategic planning, does the human resources department produce a management/workforce succession chart?

_____ Yes _____ No

_____ 44. If your answer to the previous question was yes, how often is the chart prepared or updated?

___________________________ _____ Do not have such charts

_____ 45. Have internal replacements or the lack of a replacement been identified for all key positions?

_____ Yes _____ No _____ Do not use charts

_____ 46. If your answer to Question 43 was yes, who identifies there placements on the management/workforce succession chart? (Check all that apply.)

_____ Individual department heads _____ Human resources _____ Senior organizational managers _____ External consultants _____ No one _____ Do not use charts

_____ 47. Are any development needs identified for employees selected as replacements for other positions?

_____ Yes _____ No

MERGER AND ACQUISITION

_____ 48. Is a representative of the human resources department involved in any merger or acquisition consideration and/or planning?

_____ Yes _____ No _____ Not applicable

_____ 49. Is the human resources department accountable for developing workforce recommendations and plans for the acquiring or merging Organizations?

_____ Yes _____ No _____ Not applicable

_____ 50. Is the human resources department accountable for developing conditions of employment recommendations for the merging Organizations?

_____ Yes _____ No _____ Not applicable

CHANGE

_____ 51. Is the human resources department accountable for identifying the need for change and/or changes impacting the Organization?

_____ Yes _____ No

_____ 52. Is the human resources department seen as the Organizational unit accountable for implementing and managing change?

_____ Yes _____ No

_____ 53. Is the human resources department accountable for developing strategies to deal with change affecting the Organization?

_____ Yes _____ No

_____ 54. Is the human resources department accountable for designing and recommending changes in the Organization's structure?

_____ Yes _____ No

PERCEPTIONS

_____ 55. On a 1–9 scale (1 = low, 5 = typical, 9 = high), how well do you think the human resources department is performing its strategic management function?

_____ 56. On a 1–9 scale (1 = low, 5 = typical, 9 = high), how well do you think employees of the human resources department feel the department is performing its strategic management function?

_____ 57. On a 1–9 scale (1 = low, 5 = typical, 9 = high), how well do you think the clients of the human resources department in the Organization feel the department is performing its strategic management function? _________________________________

Workforce Planning and Selection-Information Gathering

Planning, implementing, and evaluating the process of obtaining and selecting qualified candidates from internal and external sources for positions throughout the organization to fulfill the Organization's performance requirements.

If your human resources department is not accountable for this category, go directly to the next category (p. 27).

LEGAL REQUIREMENTS AND REGULATIONS OF EMPLOYMENT

_____ 1. Is someone in the human resources department accountable for reviewing and communicating new and revised legislation and regulation that may impact employment policies and procedures?

_____ Yes _____No

_____ 2. Are employment procedures and activities regularly reviewed to ensure compliance with applicable legislation and regulations?

_____ Yes _____ No

_____ 3. Have all employees involved in the employment process been made aware of appropriate legislation and regulations?

_____ Yes _____ No

_____ 4. Have all employees who conduct employment interviews been trained in correct and legal interviewing techniques?

_____ Yes _____ No _____ 5. Are required employment notices posted on a bulletin board in the hiring area and, if applicable, on the Organization's Web site?

_____ Yes _____ No

IDENTIFYING WORKFORCE REQUIREMENTS

_____ 6. Is there an individual in the human resources department accountable for the entire Organization's selection and recruitment programs?

_____ Yes _____ No

_____ 7. Does the human resources department produce a projected personnel requirements plan for the Organization?

_____ Yes _____ No

_____ 8. Who has the primary accountability for requesting and authorizing the hiring of a new employee?

Requesting ________________________________________ Approving ________________________________________

_____ 9. Is authorization for hiring a new employee required to be in writing?

_____ Yes _____ No

_____ 10. Does authorization for hiring a new employee require a current position description?

_____ Yes _____ No

(Continues...)

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Excerpted from Auditing Your Human Resources Department by JOHN H. McCONNELL Copyright © 2001 by John H. McConnell. Excerpted by permission of AMACOM. All rights reserved. No part of this excerpt may be reproduced or reprinted without permission in writing from the publisher.
Excerpts are provided by Dial-A-Book Inc. solely for the personal use of visitors to this web site.

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Table of Contents

Contents

About This Book....................vii
The Advisory Board....................ix
Acknowledgments....................xv
The Human Resources Function....................xvii
How to Use This Book....................xix
The Categories....................xxi
Audit Category Ranking....................xxiii
Step One—Information Gathering....................1
Human Resources Strategic Management....................3
Workforce Planning and Selection....................13
Training and Organizational Development....................27
Total Rewards....................39
Employee and Labor Relations....................47
Safety and Security....................59
Human Resources Information Systems (HRIS) and Metrics....................71
Diversity and Equal Employment Opportunity....................75
Human Resources Facilities and Equipment....................81
Human Resources Organization....................85
Human Resources Staff....................91
Benchmarks....................95
Summary....................97
Step Two—Evaluation....................99
Human Resources Strategic Management....................101
Workforce Planning and Selection....................115
Training and Organizational Development....................131
Total Rewards....................145
Employee and Labor Relations....................157
Safety and Security....................171
Human Resources Information Systems (HRIS) and Metrics....................185
Diversity and Equal Employment Opportunity....................189
Human Resources Facilities and Equipment....................195
Human Resources Organization....................199
Human Resources Staff....................205
Step Three—Analysis....................209
Human Resources Strategic Management....................211
Workforce Planning and Selection....................213
Training and Organizational Development....................215
Total Rewards....................217
Employee and Labor Relations....................219
Safety and Security....................221
Human Resources Information Systems (HRIS) and Metrics....................223
Diversity and Equal Employment Opportunity....................225
Human Resources Facilities and Equipment....................227
Human Resources Organization....................229
Human Resources Staff....................231
Functional Category Grouping....................233
Final Analysis....................235
Benchmarks....................243
Asset Comparison Matrix....................245
Summary....................247
Step Four—Action Planning....................249
Human Resources Strategic Management....................251
Workforce Planning and Selection....................253
Training and Organizational Development....................255
Total Rewards....................257
Employee and Labor Relations....................259
Safety and Security....................261
Human Resources Information Systems (HRIS) and Metrics....................263
Diversity and Equal Employment Opportunity....................265
Human Resources Facilities and Equipment....................267
Human Resources Organization....................269
Human Resources Staff....................271
Summary and Conclusion....................273
Index....................275
About the Author....................283