An internal quality audit is folded into a company’s corrective and preventative practices. The audit takes a snap shot of the organization’s compliance procedures, and then analyzes that snapshot to identify potential problems. In the oil and gas industry, internal audits are an integral part of the quality management system. 

To that end we have outlined 5 key steps to ensure that your internal audit process is effective:

1. Scheduling. Audit dates, the person leading the audit and the processes or machinery to be audited on those dates. Any and all pertinent documentation should be included in these audits. Everyone involved needs to be clear on when the audit will occur, and what is being audited. This gives them time to prep all their documentation and resources correctly.
2. Plan. What is the plan for this audit? The scope and depth of the audit must be made available to all involved in the audit. Included in this plan should be the chronology of the actual audit. Again, preparing employees, staff and c-level for the audit process is as important as the audit itself.
3. Audit manager communication. The person that leads the audit has to communicate any changes that may occur in a timely fashion. This means that a schedule change has to take into consideration the department being audited and how much time they will need to respond to the change. Keeping the schedule on track is of the utmost importance, other departments and divisions are relying on their schedule too.
4. Generating accurate reports. Management, stakeholders and c-level staff are usually the first to receive the reports generated by the audit. Problems (noncompliance) are analyzed and discussed at this stage, along with solutions to bring the department back into compliance. All essential personnel need to get this information at the same time.
5. Action taken. The compliance manager will respond to noncompliance issues on an agreed date. The response must include an investigation into the problem, along with suggested remedies and a date for those remedies to be completed. The lead auditor should sign off on these proposals before work can begin.

Oil and gas concerns are usually multi-state and multi-location enterprises with hundreds, if not thousands of employees. The compliance audits for the oil and gas industries are exhaustive and complex. Effectively managing the audit function will ensure compliance to customer requirements, as well as related regulations and standards.   For more information on how Accupoint Software can help improve your internal audit process, please contact us.

Many service supply organizations are using internal audits as a method to improve operations and impact their bottom line.  In addition to being required by API Spec Q2, an effective audit program will highlight potential problems areas, identify failure points, and determine the effectiveness of controls. 
 
Internal auditing provides the mechanism that organizations use to examine business processes and evaluate compliance with both internal and external requirements. Successful auditing incorporates best practices and other tools to provide maximum impact. To that end, we have outlined five useful tips to help advance your next internal quality audit.
 
1. Strong Attention to Detail
It is important for internal auditors to note and document evidence throughout the auditing process. These notes are used later to analyze events and reconstruct specific situations. This does not mean that auditors should focus on tiny, unimportant details through nit-picking, but rather components that are a part of a bigger issue that can be addressed.

2. Friendly Attitude
Stress levels are already high when employees are dealing with an audit. If an internal auditor is aggressive, hostile, or difficult to deal with, employers often minimally engage and will not share as much. If an internal auditor presents with a friendly attitude and is open, they will be more likely to get feedback. The last thing an auditor wants to do is put an employee on the defensive or make them feel ill at ease.

3. Reporting Supported by ChecklistsInternal auditors use checklists to balance reporting and should ensure that they are clean and support numerical values and ratings. These checklists enable companies to report on growth as well as challenges that exist across various departments. These reports are essential and allow businesses to assess whether their improvement efforts are working, and what training is needed to reach their goals.

4. Generation of Auditing TeamsInternal auditing teams can be very successful, especially with all the documentation that goes into completing an audit the right way. While a single auditor would be responsible for actively listening while documenting their findings, a team can allocate responsibilities to various areas such as recording, listening, and documenting. This way, all team members can collaborate to ensure no information is overlooked.

5. Looking at the Whole Picture
When an internal audit is taking place, the auditor or team should be able to look at the picture as a whole, incorporating current situations as well as past audit results. Focus should take place on past issues to determine whether they have been corrected and closed before reassessments take place in the same area. This is a delicate balance that will prove most effective and time efficient.
 
In addition, there are numerous best practices that should be examined in relation to internal audit activities. An internal audit is usually successful when the auditor is able to implement the following activities.

• Schedule: An internal audit schedule can help communicate when a company can expect to be audited, which processes will be included, and the type of resources that are necessary. If audits are scheduled well in advance, they produce better results.
• Plan: An internal audit plan should detail the scope, objectives, and agenda, providing an outline from start to finish. This reveals what processes will be audited, when it will occur, and who will complete the segments.
• Manage: It should be noted what the internal auditor manages, including communicating changes to the plan, reviewing the progress, ensuring that the process is followed in an orderly manner, and reviewing areas that do not conform to standards.
• Report: During reporting, stakeholders must be presented with written observations and lists of non-conformities to allow discussion for internal audit results.
• Verification: Internal audit nonconformities are required to generate a response that includes a hypothesis of the root cause and proposed corrective measures.

 
For more information on how we can help manage your internal audit process, please call us at 800.563.6250 or visit us at www.accupointsoftware.com.

Internal audits are a great way to help improve the company’s processes, as well as identify areas for improvements.   However many organization struggle to develop an effective and value added approach to performing an internal audit.

Conducting a successful process audit is a relatively simple process.  In the past, I have utilized an approach that is illustrated using the following graphic:

standards, process set-up instructions, blueprints and inspection instructions.  We can verify that these items were properly controlled and that the operator was using the most current revisions.

If we chose to, we could review training records of the operator(s) to verify that they have been certified to perform the process.  In addition, we can review the inspection equipment used to check the product and verify that it has been properly calibrated.

We can review the inspection records, CAPAs, Deviation Requests or Customer complaints.  In fact, there are no constraints as to where the audit trail can take us.

Using this approach we can get a very specific snapshot of operational compliance to required standards.  Furthermore, utilizing audit results to drive continuous improvement yields enormous benefits to the organization.

For more information on how Accupoint Software can help your organization transition to an automated internal audit system, please call us at 800.563.6250 or click here for more information on our flexible,   cloud-based compliance solutions.

In my experience with audits, organizations that prioritize year-round preparation tend to achieve far better results than those that scramble in the weeks leading up to an audit.

Last-minute audit preparations often lead to increased costs due to the redeployment of resources. Additionally, they create confusion, frustration, and unnecessary stress across teams. This "cramming" effect not only hampers productivity but also causes employees to feel anxious, ultimately leading to poor performance.

Successful companies take a proactive approach by embedding audit readiness into their daily operations. By maintaining a systemic, continuous process, they not only simplify external audits but also enhance overall productivity and efficiency.

One of the most effective ways to ensure ongoing preparedness is through regularly scheduled internal audits. These audits should be treated with the same level of importance as external ones. The internal auditor—who should be independent of the activities being assessed—must be empowered to critically evaluate processes and report findings honestly, without fear of repercussions.

A strong internal audit process helps organizations identify areas for improvement, optimize operations, and create a culture of accountability. When businesses take the necessary steps to refine internal processes, they foster a more efficient, compliant, and high-performing work environment.
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Implementing a well-structured audit management program streamlines business operations, enhances productivity, and ultimately improves customer satisfaction. Rather than viewing audits as a disruptive event, organizations should leverage them as a valuable tool for continuous improvement and long-term success.

Contact Accupoint Software today to learn how we can help streamline your internal audit process.