MANAGEMENT AUDIT

. 1. PRODUCTION/OPERATIONS
A. Purchasing
Does the organization have reliable and reasonably priced suppliers?
Does the organization have a purchasing program in place?

B. Inventory Control
Does the organization have effective inventory control policies and procedures?
Does the organization know our inventory turn?
Is slow-moving stock managed?
Have the organization established rational reordering policies?

C. Scheduling
Do goods and materials move through the business without tie-ups and problems?
Does the organization know how long each job should take?
Have production/operations goals been established, and are work activities aimed at achieving these goals?
Do production/operations employees use appropriate operations planning and controlling tools and techniques?

D. Quality Control
Does the organization do well on quality assessments?
Are inferior incoming materials returned to vendors?
Are reject rates minimized?
Does the production/operations process work smoothly and with little disruptions?
Does the organization have a “do it right the first time” policy?
Has the organization developed any particular competencies in the area of production/operations?

E. Facilities
Are facilities strategically located close to resources and markets?
Are facilities, offices, machinery, and equipment in good working condition?
Does the organization have an appropriate amount of capacity?
What is the organization safety record?

F. Insurance
Does the organization have an annual insurance review?
Are the proper risks covered?
Does the organization put your insurance package out to bid every year?

……

Now, Download your favorite business document template for FREE!
MANAGEMENT AUDIT