8 Notable Logistics Audit Checklists To Implement For Businesses
May 28 , 2021
In a simplified term, “Logistic Audit refers to the fair inspection and evaluation of your organisation’s supply chain system activities.” It includes maintaining the long-term relationships between the supplier and customer, creating a robust logistics infrastructure, planning, processes, quality control, and smooth document flow.
A third-party organisation carries out this audit. It gathers valid proof of evidence and prepares a complete audit report to display a company’s solid or weak financial position. The purpose of an audit report is to eliminate the discrepancies in the accounting process and increase the company’s profit and revenue.
Companies use the skills and expertise of professional auditors to pinpoint and rectify the areas of issues. They improve the workflow process of logistics and warehouse supply chain management. The responsibility of auditors is to enhance the optimal functionality and operational efficiency of warehouse management.
Here are the eight notable logistics audit checklists to implement for businesses:
Following The Systematic And Disciplined Audit Approach
It is one of the fundamental practices to follow and maintain in the logistics and supply chain industry. Auditors take every step and measure in an organised way. They have a predefined and pre-planned outline structure of activities in the audit process.
It starts with planning, preparing, collecting evidence, and reporting results. Following up is the final process to make sure to put in place the standard practice on all levels of organisation. It begins right from the bottom clerical staff and goes on to the topmost corporate managers.
Determining The Requirements Of A Logistic Audit
It is a valuable tip to ascertain the actual logistics need for the organisation. It allows auditors to work on the fundamental purpose of business, such as calculating the accurate inventory valuation and estimating the remaining stock. Many companies focus on increasing the efficiency and productivity of warehouse workflow operations to increase profit and revenue.
Conducting The Warehouse Facility Inspection
It is not very easy to manage the warehouse facility. It helps you keep the logistics and supply chain operations in running condition. A logistics audit app saves workers from slip and fall injuries and protects the space facility from chemicals’ harmful accident. It keeps the physical record of each and everything in a storage warehouse.
Measuring The Physical Inventory
Evaluating the physical inventory system allows auditors to calculate the actual quantity of merchandise inventory. Using automated software helps in tracking and monitoring the level of stock. It avoids discrepancies and examines the issues in the warehouse facility. The audit software manages the overall quantity of stock and replenishes the inventory before running short.
Fulfilling The Orders And Shipping Delivery
One of the core issues of a warehouse facility is to fulfil the client order and make sure to deliver the shipment container on time. Many e-commerce businesses use the manufacturing audit to check on the production process and maintain quality control practices. They utilise tools to make the order management process efficient. It involves other activities like sales and billing to customers.
Warehouse Health And Safety Management
Keeping a warehouse safe every month seems a daunting task. Many incidents happen in a factory, such as fire, electricity, unexpected calamities, and slip n fall injuries. Protection of workers is the priority of warehouse management. The breach of safety rules could lead to significant financial consequences to the employer that reaches millions of dollars. It is better to follow the OSHA safety regulations and prevent lawsuits.
Inspecting The Freight Vehicles
Using trucks, cars, and vans for cargo delivery is a common practise among businesses nowadays. These vehicles need regular repair and maintenance to increase their performance and faster goods delivery.
Inspecting the freight vehicles is essential to spot minor or major damage and rectify it immediately. It includes the fitness checklist of vehicles to keep them safe and sound to maintain smooth business operations.
Tracking And Reporting Analytics
As technology has progressed nowadays, companies are using logistics apps to monitor and report regular operational activities. It gives an insightful view of warehouse operations’ performance with a complete analysis of inventory and supply chain data.
The app provides real-time dashboard scores and compares reports to rectify issues. It offers efficient mobile inspections and provides ease of access from any location at any time. You can prepare multiple audit reports at a time and save valuable time.
Hence, in a nutshell, those mentioned above are the worthwhile logistics and warehouse audit checklists to follow and implement for businesses. It helps them manage the overall task operations and generate profit and revenue.
Businesses can conduct a health safety audit, warehouse safety, and perform quality vehicle inspections with the latest technology mobile applications. They eliminate the hassles of paperwork and allows efficient audit execution in few minutes. It is a cost-effective way of conducting audits and inspections of a logistics facility and drives sales and conversions.
Also Read: Tips For Writing An Audit Report Template
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