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PROGRAM MASTER of business administration (MBA)
course CODE & NAME DHRM304- HR Audit

30 Marks each




Assignment Set – 1


  1. Elucidate upon components of HRD audit.

Ans 1.

Components of human resource development audit

For understanding the HRD audit as conducted in different organisations, you should be well-acquainted with the different components of HRD audit. Look at Figure 1 to identify the components of HRD


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  1. What are the various approaches to HR audit?

Ans 2.

HR audit is a systematic and comprehensive assessment of an organization’s human resources practices, policies, and procedures. It helps identify areas of strength and weakness within the HR function and ensures compliance with legal and regulatory requirements. There are several approaches to conducting an HR audit, including:

Compliance Audit: This


  1. How can HR Audit help in Employee Relations and Team Building? Explain.

Ans 3.

HR audit can play a significant role in improving employee relations and team building within an organization. Here’s how it can help:

Identifying areas of improvement: HR audits involve a comprehensive review of HR policies, procedures, and practices. By conducting an audit, HR professionals can identify any gaps or weaknesses in employee relations and team building initiatives. This helps in recognizing areas that need


Assignment Set – 2


  1. What does Human Resource Audit Cover?

Ans 1.

A Human Resource (HR) audit is a comprehensive evaluation of an organization’s HR policies, practices, procedures, and systems. It aims to assess the effectiveness, efficiency, and compliance of HR functions within the organization.

HR audit covers areas of assessment such as sensing the requirement of a new hire for  certain positions in a department, communicating the requirement to HR, process of  recruiting new employees,



  1. What are the different types of competencies? Explain with examples.

Ans 2.

Competencies are the knowledge, skills, abilities, and behaviors that individuals possess and demonstrate in various domains. They are often categorized into different types based on their nature and application. Here are some common types of competencies:




  1. What are challenges in valuation of human resources? Discuss.

Ans 3.

Valuation of human resources

The biggest challenge in HR audit is that of assigning monetary values to different dimensions of HR costs, investments and the worth of employees.

The two main approaches usually employed for such valuation are:

  1. The cost approach