Why Internal Audits Are Critical for Compliance and Performance
In the world of international standards, achieving certification in ISO 9001 (Quality Management) or ISO/IEC 27001 (Information Security) is a strategic decision that helps organizations improve overall performance and provides a sound basis for sustainable development. However, simply establishing these systems is not enough; they must be continually evaluated to ensure they remain effective and relevant.
This is where the internal audit serves as a vital tool. Far from being a mere “box-ticking” exercise, the internal audit is a core requirement of all management system standards designed to provide management with a clear picture of the system’s health. Let’s explore the concept of system health. If you have implemented a Management System and leave this “unchecked” ie not subject to internal audit for some time, there is a high probability that the system will start to work in different ways and over time morph into something new or even worse fail. This is like building a complex engine and then not servicing it or checking that all the components are working correctly. Over time, this complex engine begins to fail and or produce unsatisfactory results. Your business Management System is exactly the same.
Key Benefits of Internal Audits
The various ISO Management Standards highlight that organizations shall conduct internal audits at planned intervals. These audits are essential because they provide information on whether your management system:
- Conforms to requirements: Both the organization’s own internal requirements and the requirements of the International Standard itself.
- Is effectively implemented and maintained: It ensures that the processes you designed are actually being followed and are achieving their intended outcomes.
- Supports Continual Improvement: Audits identify gaps and opportunities for improvement, which is a fundamental goal of both QMS, ISMS, EMS, MQMS, AIMS, IMS, infact all Management Systems.
6 Steps to a Successful Internal Audit
Drawing from the requirements of the ISO Standards, here is a clear summation of the steps involved in completing an internal audit:
- Establish an Audit Programme: Organizations must plan and maintain an audit programme that includes the frequency, methods, and responsibilities for audits. This programme should take into account the importance of the processes being audited and the results of previous audits.
- Define Scope and Criteria: For every individual audit, you must clearly define the audit criteria (what you are auditing against) and the scope (the boundaries of the audit).
- Select Objective Auditors: To ensure the process is valid, auditors must be selected to ensure objectivity and impartiality. This means an auditor should not audit their own work or their department.
- Execute the Audit: The audit is conducted using the defined methods to determine if the system is effectively implemented and maintained.
- Report the Results: Once complete, the results of the audits must be reported to relevant management. These results also serve as a crucial input for the periodic management review.
- Take Corrective Action: If the audit reveals issues, the organization must take correction and corrective actions without undue delay to eliminate the causes of nonconformities.
The Risks of Neglecting the Audit Process
Maintaining a regular audit process is not just a requirement; it is a risk-mitigation strategy. Failing to conduct regular internal audits can lead to several significant risks:
- Unidentified Nonconformities: Without audits, errors or violations of policy may go undetected, leading to a system that no longer meets its objectives.
- Loss of Effectiveness: Processes can deviate from planned results over time. Audits are the “Check” in the Plan-Do-Check-Act (PDCA) cycle; without them, the cycle is broken, and performance may stagnate.
- Increased Risk Exposure: In an ISMS for example, audits ensure that information security risks are adequately managed. Neglecting this process could leave the organization vulnerable to threats that are not being addressed by current controls.
- Failure to Improve: The ISO 9001, ISO 27001 and most other Management Systen Standards demand continual improvement. Without the data provided by internal audits, management lacks the necessary evidence to make informed decisions about where to improve.
Documenting Your Success
Finally, it is critical to remember that documented information must be available as evidence of the implementation of the audit programme and the audit results. This documentation not only proves compliance to external auditors but also provides a historical record of your organization’s journey toward excellence.
Frequently Asked Question
Can I do my own internal audits?
Yes, but not of your own department or work.
What skills are needed to run internal audits?
You need to be well organised, have critical thinking, investigative skills and have a good understanding of the ISO Standard
How often should Internal audits be completed?
This is dependent on many factors. Firstly as per the Standards, audits must be carried out at regular intervals, with at least evidence of this being done annually. If your business is going through development and change, people are being hired, customer requirements are changing and there is a change in risk status, then audits should be frequently completed.
Can I outsource my Internal Audit function?
This is an excellent option, as you can then ensure impartial audits by skilled or knowledgeable professionals who can take the time to assess the business and compliance while adding value by providing regular continual improvement feedback
