1) Increases Engagement with Employees
When conducting an internal audit, employers should also review their employee services, such as payroll, benefits, and conflict resolution offerings. Further, businesses can receive feedback on company culture and employee motivation. These areas contribute to an employee’s job satisfaction. The higher an employee’s job satisfaction, the higher employee retention.
Only 34 percent of U.S. workers are engaged, meaning these workers are enthusiastically committed to their workplace. On the other hand businesses are dealing with a significant number of unengaged workers, detracting from retention and profitability. Over 16 percent of workers reported being miserable at their jobs. Through internal audits, businesses can explore ways to improve employee engagement, such as with employee portals, incentive programs or job development training. By exploring employees’ motivations and goals, companies can better serve their employees, thus increasing engagement.
2) Oversees Performance
Internal HR audits can also help improve employee performance. By reviewing management and oversight processes, employers can review feedback and training for employees. Employees’ leaders or managers are primarily responsible for their employees’ performance. Not only does this contribute to employee performance, but it also further increases employee engagement.
3) Promotes Organizational Processes
By engaging in an HR audit, employers can also review internal organizational processes, such as job descriptions and onboarding packets. Further, businesses can evaluate or create an updated employee handbook, setting forth the internal rules and expectations of the company as well as maintaining compliance with federal and state laws.
By reviewing current processes and procedures, not only can businesses review forms and manuals, but they can also see where they may be lacking training on these processes. HR departments can help position companies for growth by implementing and enhancing current procedures governing a business’s most important asset—employees.
The The Treaty Oak ELG offers a customized approach to conducting internal human resources audits. Specifically, Susan Word, HR Specialist, engages with the company to understand the unique needs of the small business. After Susan has done much of the HR specialist work, she consults with Attorney Natalie Lynch to review the work for legal appropriateness. In this way, smaller companies receive the protection they need at a more palatable price.
