Legal compliance
An HR Audit ensures compliance, reducing legal risks and penalties.
Optimisation
Evaluating HR processes boosts efficiency, saving resources and costs.
Better employee experience
A well-optimised HR function increases job satisfaction, productivity and employee retention.
Building blocks for growth
Identifies areas for improvement to facilitate growth and prevent future bottlenecks.
What is an HR Audit?
Your workforce is the foundation of your business, and as a leader in the workplace, you can ensure that your employees feel confident, secure and heard with the right human resources policies and processes in place.
However, as many business leaders have demanding schedules, it can be challenging to ensure that all items on your HR checklist are complete in order to maintain a happy workforce.
This is where an HR audit comes in
An HR audit is an analysis of a business’ human resources procedures, policies and practices. Its purpose? To ensure that all of these elements comply with legal regulations, align with best practices and fully support the company’s overall goals and objectives. It involves a systematic review of the HR function, enabling businesses to identify strengths, weaknesses and areas for improvement, and make changes accordingly.
Confident decision making
By gaining insights into HR performance, you can make data-driven decisions to align HR strategies with business objectives, fostering long-term success.
Frequently Asked Questions
Useful questions and answers about “HR Audit”
What is an HR Audit?
An HR audit is a review of your HR practice, policies and procedures; assessing for compliance and looking for opportunities to drive performance.
How can I conduct an HR Audit?
Understand the key requirements of employment law and HR best practice, compare your performance to these standards, identify gaps and opportunities and develop a clear action plan.
How much does an HR Audit Cost?
Our team would be happy to provide a quote for your HR audit. The fee will depend on the level of audit required.
Why might you require an HR audit?
To run a successful business, you must establish effective and comprehensive HR practices. While you may have spent some time putting together an HR checklist, an HR audit will help you refine and strengthen your strategy, and progress with confidence.
Our HR Audit service levels
Every business has individual needs, which is why we offer three levels of HR Audit service, tailored to address your specific requirements:
Oak
Organisation Review (From 5 days – Price POA)
All of the above, plus the employee experience – we gain a 360-degree view of your business and assess whether your people plan is aligned to deliver your organisational goals. We identify result-focused strategies to ensure that your people are a valued investment, not just a cost.
Sapling
HR Operations Review (Up to 4 days – Price POA)
In addition to the HR Compliance Audit, our experienced HR Consultants will also review your processes and systems for the employee journey from recruitment through to exit and everything in between. We will report on how you can ensure compliance and opportunities for improvement and efficiencies to achieve your goals more quickly through your people.
Acorn
HR Compliance Audit (Project cost – £999 + VAT)
Helping to identify how far you are legally compliant and working with you to reduce risk and protect your business. Together, we’ll ensure you have the right foundations in place to enable your business to flourish.
How often should you conduct an HR audit?
An HR audit should be conducted on a regular basis, and not left until complicated HR issues arise. A proactive and preventative approach is always better than a reactive one, so it would be wise to organise an HR audit to take place annually or bi-annually, depending on factors such as the size of your business and your scope for growth.
It is possible to conduct an HR audit at any time in the year depending on availability, but you may choose to organise the audit during your business’ low or off-peak season if this is more suitable for your organisation and workload.
Service level comparison
| Service | Acorn | Sapling | Oak |
|---|---|---|---|
| Employee status review | |||
| Contract health check | |||
| Handbook health check | |||
| Right to Work in the UK process check | |||
| Statutory minimum pay rates check | |||
| Equal pay check | |||
| GDPR compliance check | |||
| HR metrics review | |||
| Review of recruitment process | |||
| Review on onboarding process | |||
| Review of performance management processes | |||
| Review of training and development initiatives | |||
| Review of employee communications | |||
| Review of reward and recognition practices | |||
| Review of HR practices | |||
| Management capability review | |||
| Vision, mission and values review | |||
| Review of employee engagement process | |||
| Organisation structure review | |||
| Manpower and succession planning review | |||
| Leadership capability review | |||
| Review of people plan against business plan | |||
| Employee voice: 360 feedback across the business |
Customer experience
They really Make A Difference
“We had grown the family business consistently over the previous 20 years, with a long-serving, loyal senior management team.
We came out of COVID with a further surge in demand, a recruitment and retention challenge and a feeling that the business had hit a veiling. We were struggling as a team to break through to take advantage of the opportunities we could see. Through their strategic service, MAD-HR’s Organisation Review helped us to recognise the opportunities and then worked with us on a plan to seize them.
They really Make A Difference to our business which is why we continue to work with them now as retained clients.”
At MAD-HR, we are committed to delivering expert HR solutions that empower your business to thrive. Our HR Audit services pave the way for a stronger, more resilient workforce and a future filled with growth and success.
Contact us today to learn more about how our HR Audit services can benefit your organisation. Let’s Make A Difference together.
5th April 2024 
