In this webinar, food safety and quality expert Jeff Strout (Merieux NutriSciences) will share hot topics, expert insights (including the “wow factor”), and critical components of robust internal auditing systems that are needed to drive continuous improvement.

1. Title: The Magic of Internal Audits: Mistakes, Insights and Advice from the Experts
Presented By: Jeff Strout, MPH, Mérieux NutriSciences
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5. TRAINING TOPIC
The Magic of Internal Audits: Mistakes,
Insights and Advice from the Experts
Presented By: Jeff Strout, MPH, Mérieux NutriSciences

6. ABOUT THE SPEAKER Jeff Strout, MPH, RS/REHS, CQA, CHA, CP-FS
Former SQFI Trainer of the Year
• Acclaimed FSQA educator and consultant who delivers
public, private, and customized short courses, globally
• Performed over 7,000 food safety and quality audits in the
past 38 years
Jeff’s Areas of Expertise Include:
• Food Safety and Sanitation Audits
• HACCP Development and Training
• SQF, Sanitation, Laboratory and QA Training
• Root Cause Analysis
• Food Defense
• Crisis Management
• Preventive Controls for both Human and Animal Food
Jeffrey Strout

7. Agenda
1. Internal Audits – need and coverage
2. Selecting and training auditors
3. Mistakes
4. Managing the internal audit system
5. Advice and tips
6. Best practices

8. ➔ Basic Guidelines for Auditing Management Systems
◆ Principles of Auditing
◆ Establishing, implementing, monitoring and reviewing audit programs
◆ Performing an audit
◆ Audit Reporting
◆ Follow-up
◆ Auditor Competence (Initial determination, maintaining and improving)
◆ Auditor Evaluations
ISO Standard 19011:2018
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9. 1. Need for Internal Auditing/Coverage
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DRIVERS
Customers
Regulatory
Expectations
GFSI
Moral
Obligation
Effective
Management
Prevent
Illness and
Recall

10. ➔ Food Safety – HACCP – Preventive Control Plans
◆ Critical Control Points/Preventive Controls
➔ Food Quality Systems
➔ Packaging Systems
➔ People
◆ People Practices
➔ Calibration
➔ Sanitation
➔ Approved Supplier
1. Need for Internal Auditing/Coverage
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11. ➔ Maintenance
➔ Water Safety and Quality
➔ Stock Rotation
➔ Pest Control
➔ Foreign Material Control
➔ Allergen Management
➔ Business Continuity-Crisis Mgt
➔ Food Defense
➔ Product ID, Trace and Recall
➔ Transportation
➔ Training
➔ Waste Management
1. Need for Internal Auditing/Coverage
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12. 2a. Audit Team
➔Can be a team of individuals from different departments
◆ Operations
◆ Maintenance
◆ Quality Assurance
◆ Warehouse
◆ Shipping/Receiving
◆ Human Resources
◆ Others?
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13. 2b. Team Responsibilities
➔Audit Areas Independent of their Area of Responsibility
➔Be Trained on Criteria
➔Be Trained on Auditing Procedures
◆ Thorough Preparation
◆ Proper and Effective Execution
◆ Company Reporting Requirements
◆ Follow-Up (If applicable)
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14. 2c. Auditor Selection
Auditor
Knowledge
Plant
Operations
Criteria or
Requirements
Hazards

15. 2d. Auditor Skills
Integrity Sincerity Trustworthy
Ethical Fair
Open-minded,
flexible

16. 2e. Auditor Skills
Diplomatic Observant Versatile Tenacious
Decisive Self-reliant Unbiased Sympathetic

17. 2f. Professionalism
➔ Appearance
➔ Punctuality
➔ Manners
➔ Preparedness
➔ Effort and Time
➔ Focus on Audit, Not Work

18. 2g. Selecting the Right Auditor
➔ Keep Confidentiality
➔ No Conflict of Interest
➔ No Unsafe Activities
➔ No Unethical Activities
◆ Bribes
◆ Favors
◆ Bias
➔ Observation of Unethical Behaviors

19. ➔ Not assigning dollar value to findings (preventive costs, repair costs and
recall costs if nothing is done)
➔ Not having the right frequency of audits
➔ Not training (orientation or refresher) auditors
➔ Not having all criteria included in the audit
➔ Not reporting positive findings
➔ Not reporting preventive actions needed
3. Mistakes
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20. ➔ Not reporting “Best Practices” found
➔ Not reporting on the “WOW FACTOR” for each area and products
➔ Not reporting all requirements for negative findings
◆ Laws (Local, State and Federal as well as other countries sold to)
◆ GFSI requirements
◆ Internal Company
◆ Customer
➔ Not focusing on the audit – working on normal job instead
3. Mistakes
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21. ➔ Not selecting the right auditors
➔ Not having SMART objectives for the audit
➔ Not auditing all essential areas
➔ Not taking findings seriously
➔ Not having an evaluation system for internal auditors
3. Mistakes
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22. 4a. Internal Audit Management System
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Establishing Audit Objectives
Assign Competent Managers (roles, responsibilities)
Establish Audit Procedures and Methods to Meet Objectives
Establish Audit Criteria (Everything including the “Wow
Factor”)
Select and Organize Audit Teams
Process for Confidentiality, Security, Health and Safety

23. ➔Extent of Audit Program
➔Audit Risks for Failure
➔Audit Program Resources
◆ Time
◆ Budget
◆ Information Availability
➔Audit Reporting System
4b. Establishing
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24. 4c. Maintaining the Program
◆ Team Assignment
● Right Mix
● Right Background
● Technical Experts (If needed)
◆ Auditor Skills and Competency
◆ Auditor Evaluation
◆ Criteria Current and Complete
● Updates
Annual Review

25. 4d. Maintaining the Audit System
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◆ Auditor behaviors and skills
◆ Audit principles, procedures and methods
◆ Knowledge and skills about the business and industry
◆ Legal and contractual requirements for auditing
◆ Sector specific knowledge
◆ Hazard risks for sector and product
Auditor Competency and Evaluation

26. 4d. Maintaining the Audit System
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◆ Establish Formal Education and Experience
● Audit Protocols and Procedures
● Auditor Skills
● Risks and Hazards
● Judgment, critical thinking, decision making, problem solving and
communication skills
Improving Auditor Competence

27. 4e. Maintaining the Program
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◆ Process
◆ Suppliers
◆ Packaging
◆ Ingredients/Processing Aids
◆ Products
Changes to the System
New Customers or Suppliers

28. 4e. Maintaining the Program
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Co-Manufacturers
• Environment
• People/Training
• Shifts or Work Times
Changes to…

29. 4e. Maintaining the Program
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◆Report Review (Adequacy)
◆Root Cause, Corrective and Preventive Actions Review
◆Distribution of Reports
◆Determination of Follow-up Actions
◆Retention of Audit Records
Managing Outcomes of Audit
Monitoring and Improving the Audit Program

30. 4f. Audit Frequency
➔ Hybrid Audit
◆ Parts Performed Monthly (GMP Portion)
◆ Parts Performed Quarterly (Pre-requisite Programs)
◆ Parts Performed Semi-annually (Systems Related)
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31. ➔ Have a pool of auditors from many departments available for internal
audits and rotate their use so not everyone has to audit each time one is
needed
➔ Shift focus on audit to more positive findings (what we are doing right) –
more positive stories get more positive findings – more people will “step up
their game”
➔ Shift focus of audit to preventive actions and not just corrective actions
➔ Determine value of preventing problems (cost of preventive actions) and
put on report
➔ Determine cost of corrective actions for problems needing fixing and put
on report
5. Advice and Tips
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32. ➔ Determine a recall cost for problems where a corrective action not
completed might result in a contaminated product being shipped out and a
need to recall the items and put costs on report
➔ Add food safety and quality working culture on the internal audit to help
determine if the workplace culture is moving towards a safer, higher quality
working culture
➔ Establish specific objectives of what you want to accomplish with the
performance of the internal audits (are they integrated with the company
objectives and mission?)
➔ Establish a budget for internal audits to cover costs for training, swabbing
(if performed), equipment, software, etc.
5. Advice and Tips
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33. ➔ Select and formally train internal audit manager and team together
➔ Have strong opening meeting and closing meeting for each internal audit
➔ Brief everyone on the importance of the internal audit and to have
everyone share the “good, bad and the ugly” and all dirty laundry so to
speak so auditors can evaluate risks and offer corrective actions –
consulting is encouraged during the internal audit
➔ Celebrate the positive stories and findings and the preventive actions
6. Best Practices
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34. ➔ Help determine the “Wow Factor” for each product and each line…and
measure movement towards that factor
6. Best Practices
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35. ➔Mérieux Internal Auditing Course Held in Chicago
◆March 10-11, 2020
◆https://education.mxns.com/events/internal-auditing-in-a-food-plant-3/
So much information …
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To Contact Today’s Presenter:
Jeff.Strout@mxns.com

36. Q & A

37. Resources
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