Three signs your organization needs to conduct an HRMS audit

Audits are often seen as a necessary evil, something that finds faults and appoints blame. An HRMS audit can be a wonderful opportunity to identify process improvements and confirm that processes are working as designed and sensitive HR data is safely handled. How do you know when you can benefit from an audit? Here are three signs that an HRMS audit can provide value to your company:

1. Rapid organizational changes and staff changes have created an open-door situation

Segregation of roles and allowing access to the least amount of data necessary to do one’s job are usually the starting points in any HRMS security strategy. As employees transfer between departments and take on new jobs, access is often left active, even when it is no longer needed.

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Do you frequently bring in temps or consultants who use the HRMS? If you’re following your documented process to remove access then an audit will only reinforce the strength of the process, else it will highlight any inconsistencies or process improvements needed. After a reorganization or divestiture is a prime time for an audit to confirm that your HRMS adheres to your security strategy and principles.

2. Workarounds have evolved into standard operating procedures

Do you have documented process flows and work instructions? How accurately do these documents reflect the day to day operational situation? As HR staff come and go processes and procedures are sometimes influenced by the end users. Even worse is when someone convolutes a process that is in place for a reason, such as requiring a manager’s manager to approve a job requisition due to cost, and an HR person decides to regularly use an HRMS back door to self-approve as the system allows for emergency approval.

3. Data inconsistencies are demanding more time and effort

Does your HRMS team run monthly or weekly reports in order to chases after missing or inconsistent data? Exception reports should be done to confirm key data elements in certain situations such as ensuring a match between standard weekly hours and full time equivalent (FTE), but errors should be an exception not the norm.

If your HRMS and HR teams are struggling to keep up with data errors it is a strong indicator that your HRMS needs an audit to understand what is causing the problems, be it user education, loose system configuration rules or misunderstandings about the data definition.

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Heather Batyski

About the author…

Heather is an experienced HRMS analyst, consultant and manager. Having worked for companies such as Deloitte, Franklin Templeton and Oracle, Heather has first-hand experience of many HRMS solutions including Peoplesoft and Workday.

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Heather Batyski