Importance of supplier audits


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Auditing plays a major role in offices and companies. It is done to do the required checks. It might be for the operations or it might also be done for the vendors who supply goods.

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Importance of supplier audits

  1. 1. Importance of supplier audits Auditing plays a major role in offices and companies. It is done to do the required checks. It might be for the operations or it might also be done for the vendors who supply goods. Usually manufacturing, factories and industries use suppliers to get there raw materials. These goods should be of quality and standard. Anything bad cannot be used by the company, because the end product reaches the customer. If the customer gets bad or damaged product then obviously they are not going to go ahead and buy it from the company. This way the company’s reputation goes for a toss. This is the reason why supplier audits are important. There are different vendors and suppliers who supply goods to companies. A company must make a thorough check before approaching any vendor for getting the raw materials. It is of utmost importance that the raw material is of good quality and standard. Once the product is turned in to finished good and it is circulated in the market, after which no one can change the fate of the product. So, if the raw material used is bad, then the finished product is definitely going to face lot of problems and issues. The customer might return the product with complaints. There are certification courses that an individual can take to become a supplier auditor. The certification gives the individual an upper hand over others. The auditor has all the subject knowledge and practical knowledge of how to check and do the audits for the vendor’s items. There is a checklist which the auditor should follow and comply with. Supplier audits are very essential for the organization. This audit makes sure that the product and the goods are of good quality and also the raw materials are such that it will last for long and will not get damaged within short period of time. Vendor evaluation or supplier audits should be done once in a year. In this kind of audit the vendor’s location, the products and his manufacturing unit should be audited and checked well. The kind of audit and how many times it should be done depends on the kind of products and service you are using or buying from the vendor. It also depends on how important is that vendor and his products for your business. Based on that, one can decide on the kind and times an audit should be done.
  2. 2. In supplier audits the facilities of the vendor should be checked. The auditor should check and evaluate short shipments, invoice to and fro from the supplier. The deliveries should always be checked in order to keep the quality standards intact. Auditing is a very crucial job and the supplier auditor should have the knowledge and capability to fulfil this responsibility with utmost sincerity. It is not at all easy to check the vendor and his products. There needs to be smartness, knack and tact and doing this. One should make sure that the vendor does not get offended and understands the importance of this check. This will make sure that the business relations remain good and healthy. The vendor also willingly complies with the audit and checking procedures. It is the responsibility of any business unit or owner to give importance to quality checks and audits. If one wants to have growth in the business, then it is always best to do proper checks of the equipment and raw material that the vendor is supplying for the said business. Like the saying goes it is better to be safe than sorry. The same applies for business decisions. To get more details on the same call us at (281-804-8632) or log on to our website