Human Resource Audit And Organizational Performance In The County Government Of Kisumu, Kenya

ABSTRACT

Human resource audit (HRA) is responsible for identifying human resource problems

that affect the human resource functions of an organization and improve

organizational performance. Effectiveness of a HRA in the public sector needs to be

investigated because the audits are always done but there is still evidence of

underperformance, strikes and complaints in most sectors. Human resource audit is

an annual and costly activity carried out in forty seven counties in Kenya and its

effects on organizational performance need to be investigated. The purpose of this

study was to investigate the relationship between selected HRA approaches and

organizational performance in Kisumu County, Kenya. The specific objectives of the

study were to establish the relationship between compliance audit approach and

organizational performance, to determine the relationship between productivity audit

approach and organizational performance and to establish moderating effect of

organizational factors on the relationship between HRA and organizational

performance. The study was guided by a conceptual framework which shows the

interrelationship between the variables as conceptualized by the author. Descriptive

survey design was used in this study. The target population included 750 managers

and 1360 operational level employees. A sample size of 15% was extracted from the

universe of 2110 employees which gave a total of 330 employees. The employees

were stratified and then randomly picked so as to participate in the study. The study

used questionnaire as the main data collection tool. Reliability of the research

instrument was ascertained by a test re-test method and validity by careful scrutiny

by the supervisors. The data was analyzed using descriptive statistics and the

findings presented by use of frequency distribution tables, means, mode and

percentages. Correlation coefficient and regression were the main tools employed to

test the relationship among the variables and also in answering the research

questions. From the results, it can be established that 53.1% of variance in

organization performance could be explained by variance in the independence

variables; compliance audit, productivity audit and value-for-money audit. Further

the result indicated that compliance audit is positively related to organizational

performance at 99% with p value