The National HR Audit framework presented by Bonnie Johansen, Chairperson: SABPP Western Cape

1. Bonnie
Johansen,
Chairperson:
SABPP
Western
Cape

2. 2
• We need to improve the quality of HR practice.
• HR will not be seen as a true profession without
standards.
• Inconsistencies – practices, sites, business units,
companies, industries.
• Too many bad examples of things going wrong –
Marikana, Medupi.
• Raising the bar for the HR profession and
business impact.

3. 3
• Impose an onerous compliance regime
• Duplicate best practices
• Our company is so unique syndrome
• Standards stifle innovation
• Take flexibility away
• Ignore industry differences
• Too practical, not based on theory/research
• Standards are cast in stone

4. BUSINESS
STRATEGY
–
HR
BUSINESS
ALIGNMENT
Strategic
HRM
Talent
Management
HR
Risk
Management
FUNCTIONAL
&
CROSS
FUNCTIONAL
HR
VALUE
CHAIN
HR
VALUE
&
DELIVERY
PLATFORM
Work-­‐
force
planning
Learning
Perfor-­‐
mance
Reward
Well-­‐
ness
ERM
OD
HR
Service
Delivery
HR
Technology
(HRIS)
Prepare
Imple-­‐
ment
Review
MEASURING
HR
SUCCESS
Improve
HR
Audit:
Standards
&
Metrics
H
R
C
O
M
P
E
T
E
N
C
I
E
S

5. SABPP
BOARD
CEO
SABPP
QA
SERVICES
to be provided by existing
LQA function
HR
AUDITS
COUNCIL
Board
Commi2ee
FUNCTIONS
Ensure
structure
and
processes
are
in
place
Overview
audit
reports
SUmulate
conUnuous
improvement
HEAD
OF
AUDIT
UNIT
AUDITORS
[150]
ADMINISTRATOR
LEAD
AUDITORS
[50]
FUNCTIONS
Other
exisUng
office
funcUons
will
contribute
on
a
matrix
structure
(e.g.
Stakeholder
RelaUons,
Research,
and
Professional
Services).

6. ORGANISATIONAL
BOARD
/
AUDIT
COMMITTEE
MANAGEMENT
CONTROL
INTERNAL
CONTROL
MEASURES
►
FINANCIAL
CONTROL
►
SECURITY
►
RISK
MANAGEMENT
►
QUALITY
►
INSPECTION
►
COMPLIANCE
INTERNAL
AUDIT
SENIOR
MANAGEMENT
1ST
LINE
OF
DEFENCE
2ND
LINE
OF
DEFENCE
3RD
LINE
OF
DEFENCE

7. ORGANISATIONAL
BOARD
/
AUDIT
COMMITTEE
SENIOR
MANAGEMENT
1ST
LINE
OF
DEFENCE
2ND
LINE
OF
DEFENCE
3RD
LINE
OF
DEFENCE
4TH
LINE
OF
DEFENCE
SABPP
AUDIT
UNIT
INTERNAL
AUDIT
FINANCIAL
CONTROL
SECURITY
RISK
MANAGEMENT
QUALITY
INSPECTION
COMPLIANCE
INTERNAL
CONTROL
MEASURES
MANAGEMENT
CONTROL

8. • Resides
outside
the
organisaIon
• Set
requirements
intended
to
strengthen
controls
in
an
organisaIon
• Independently
and
objecUvely
assesses
the
whole
or
some
part
of
the
first,
second,
and
third
line
of
defence
• With
effecUve
coordinaUon
can
be
considered
an
addiUonal
line
of
defence
• “An
HR
management
performance
audit
is
future
orientated
and
can
idenUfy
areas
for
organisaUonal
improvement”
-­‐
Abstract
from
Disserta8on;
Chris
Andrews:
Bond
University

9. • “HR
AudiUng
crosses
the
boundaries
between
HR
management
and
audiUng…
it
can
be
a
suitable
method
for
evaluaUng
the
contribuUon
of
HR
acUviUes
to
organisaIonal
objecIves
assessed
on
the
basis
of
value
for
money.”
–
Abstract
from
Disserta8on;
Chris
Andrews:
Bond
University.
• This
model
provides
HR
Professionals
with
a
robust,
risk-­‐based
framework
to
ensure
an
integrated,
aligned
and
well-­‐governed
approach
to
audiIng
the
NaIonal
HR
Standards.
• Ensures
that
HR
controls
quality
and
consistency
in
accordance
with
the
spirit
of
good
governance
as
documented
in
King
III.
• Focus
on
strengthening
the
HR
Business
Partner
philosophy
without
compromising
the
principles
of
quality
and
independence.

10. • Comprehensive
audit
manual
and
tools
• Quality
assurance
and
system
• Auditor
competency
profile
• Learning
manual
• SelecIon
and
development
of
the
first
48
auditors

11. PRE-AUDIT AUDIT POST AUDIT
Prepare
the
HR
Team
with
knowledge
and
understanding
Brief
Line
Management
Use
the
Assessment
Tool
to
idenIfy
gaps
Plan
and
implement
to
address
gaps
Build
competencies
where
required
Assign
audit
team
Conduct
audit
against
the
13
elements
of
the
SABPP
HRMSS
Close
out
meeIng
Audit
report
and
findings
CerIficaIon
(or
not)
Improvement
plans
ConInue
building
professional
competency
Give
case
studies

12. • ImparIality
• Competence
• Responsibility
• Openness
• ConfidenIality
• Responsiveness
to
complaints
• Professional
integrity

13. CPD
► SABPP
Membership
(HRA
Level
and
above)
► Signed
Code
of
Ethics
for
Consultants
► Lead
Auditors
10
years
and
Auditors
7
years
Senior
HRM
or
ConsulIng
Experience
► IntroducIon
to
HR
Standards
–
a2end
workshop
► Pre-­‐workshop
Studies
► AudiIng
Workshop
► ObservaIon
and
feedback
from
Trainer
on
competency
demonstrated
► Demonstrate
an
inImate
knowledge
of
all
13
Standards,
DefiniIons
and
ObjecIves
► Wri2en
examinaIons
► CV
► References
► 360°
EvaluaIons
► ParIcipate
in
several
audits
► Demonstrate
competency
PRE-SELECTION
UNDERSTANDING
OF THE AUDIT KNOWLEDGE OF HR
STANDARDS BACKGROUND
CHECKS CERTIFICATION

14. KNOWLEDGE
OF
HR
AUDITOR
COMPETENCIES
KNOWLEDGE OF
HRMSS
KNOWLEDGE
OF
AUDITING
VERBAL & WRITTEN
COMMUNICATION
LOGICAL
JUDGEMENT
A RESPECTFUL
NALYTICAL
DECISIVE
&
SELF
RELIANT
OPEN-­‐MINDED
&
DIPLOMATIC
PROFESSIONAL
OBSERVANT &
PERCEPTIVE
VERSATILE
&
TENACIOUS
ETHICAL

15. • Now
66
Auditors
completed
their
stringent,
comprehensive
selecIon
and
training
process
• Some
of
these
will
act
as
facilitators
rather
than
auditors
• Immediate
products
available
are:
– Pre-­‐audit
consultaIon
– Full
audits
of
13
standards
– Single
standard
audit
with
provisional
credit
• Work
will
be
conducted
in
accordance
with
the
highest
ethical
and
professional
standard
• SABPP
Internal
Audit
and
Quality
Assurance
will
apply

16. • We
have
a
world-­‐class
product
• We
cannot
and
will
not
tolerate
any
form
of
mediocrity!
• ConfidenUality
agreements
will
be
signed
by
all
Auditors
• A
complaints
process
is
in
place
• Fraud
prevenUon
measures
are
in
place
• We
already
have
a
NaUonal
footprint
• Our
aim
is
to
work
in
partnership
with
our
HR
colleagues
• Support
YOU
in
achieving
entrenching
the
standards
within
your
own
organisaIon
• Non-­‐puniUve

17. CONFIRM
CERTIFICATION
SABPP
Audit
Unit
confirms
to
Client
whether
they
have
passed
the
audit
and
if
their
HRMS
will
be
cerIfied.
RecommendaIons
for
conInuous
improvements
are
made.
SUBMIT FINDINGS
TO SABPP AUDIT UNIT
Submit
audit
report
and
recommendaIon
s
to
the
SABPP
Audit
Unit.
Audit
Unit
confirm
findings
and
agree
cerIficaIon
or
not.
PREPARE, APPROVE
AND DISTRIBUTE
AUDIT REPORT
Audit
Team
agree
on
findings.
Close
out
meeIng.
CONDUCT ON-SITE
ACTIVITIES
Review
Client
HR
Management
System
against
the
13
elements
of
the
SABPP
HRMSS.
PREPARE FOR
ON-SITE ACTIVITIES
Agree
audit
plan
with
Client
and
brief
Audit
Team.
INITIATE AUDIT
Select
Lead
Auditor.
If
required
select
addiIonal
audit
team
members.
OFFER AND
CONTRACT
Audit
Unit
agree
audit
scope
and
Imeframe
with
Client.

18. All
13
elements
of
the
Standards
will
be
audited
Each
element
must
receive
a
score
of
60%
YEARS
1
AND
2
INITIAL AUDIT
REASSESSMENT AUDIT
(where
one
element
needed
recIficaIon)
► COMPLIANT
► MINOR NON-COMPLIANCE
► MAJOR NON-COMPLIANCE
YEAR
3
RECERTIFICATION AUDIT
prior
to
expiraIon
of
cerIficaIon
(shortened
procedure)
AUDIT RECORDS RETAINED
FOR FIVE YEARS

19. • Audit
cerIficaIon
may
only
be
issued
by
the
SABPP
• Audit
registers
will
be
maintained
• Only
auditors
who
are
qualified
through
the
SABPP
may
conduct
audits
• All
audits
must
be
administered
by
the
SABPP
Audit
Unit

21. PENNY ABBOTT
ELSABÉ BELL
CHRISTINE BOTHA
NATASHA CARSTENS
DENNIS COETZEE
NIMEE DHULOO
MAPHUTHA DIAZ
FRANK DE BEER
KATE DIKGALE FREEMAN
LYNNE GAMSU
MICHAEL GLENSOR
TRACY HARPER
MARIUS JACOBS
BONNIE JOHANSEN
MBULELO KHONJWAYO
PAUL KRIGE
NTHABISENG LEBEA
SITHABISO MABASO
GUGULETHU MADLALA
LOMKHOSI MAGAGULA
MMALEFU MANOTO
LEANNE MAREE
LEANE BREEDT-MAREE
SIVAAN MARIE
SINDISWA MASEKO
XOLANI MAWANDE
SURAN MOODLEY
SIPHIWE NDWALAZA
JOHN PATERSON
JAN PRINSLOO
LYNN ROUX
NATASHA RUDY
ANTHEA SAFFY
KATRINA SAULS
MOSHEKOA SEKHUTO
SHAMILA SINGH
PAT NAVES-SHONGWE
PAT SMYTHE

22. For regular updates on HR Standards & Audits
visit www.sabpp.co.za
or the blog hrtoday.me
or follow us on twitter @SABPP1
or contact Christine at hraudit@sabpp.co.za
or call us on 011 045 5400