Surviving Audits -“Don’t be defensive,

take an offensive approach”

Raam Vichare CPPM, CF

DimensionR

Audits – A necessary evilThe good news:

• Identifies gaps• Gives an outsider’s view• Provides opportunities to improve

Audits – A necessary evilThe bad news:

• Identifies deficiencies to others• Audit reports with findings – a bad news• Attracts lots of attention from management• Consumes time and budget

Typical Audit Process:

• Requires preparation time• Requires time during the audit• Don’t know what auditors will be looking for?• Auditors’ bias - based on auditors’ background• Auditor may misinterpret your policies/programs

How we generally react to the audits:

• We worry • We may have no idea what auditors want• We try to prepare • We turn the data over and hope for the best• When questioned, we become defensive• We hope auditors will have NO findings

What auditors do:• They are there to find the gaps• Review data/policies/process to “Find”

something• Generally hone-in on some specific area • Start identifying specific areas for Gaps• May make us more defensive

(especially if we know about the Gaps)

Typical conclusions of Audits:

• Auditors identify “Findings” and observations

• Generally we disagree with their “Findings”

• We usually become defensive

Typical conclusions of Audits:

• We may try to place blame• Management gets concerned about

audit findings• We go through the exercise of

responding to the audit report

So what should we do about it?

OFFENSE DEFENSE

So what should we do about it?

• Accept the audit as “Required” • We know their process, now decide

our process• Get prepared for the audit

Take an offensive approach!!

Prepare for the audit:• Have your own assessment

• Assessment performed by other department• Assessment performed by property personnel

• Pick assessment topics that are the major concerns

• To your operation• IGO• The hot topics other sites

Prepare for the audit:• Document

• Observations & Finding• Action plan

• Identify Major Issue• Record them• Develop plans to address them• Identify limitation (in positive notes)• Action Plan & Timeline/milestones• Complete some milestones

Dealing with Audits:

• Co-operate with the auditors• Be careful with your Dog & Pony show• Always answer the Questions

– No more or No less

Dealing with Audits:

• Be honest • Select the “Right” spokesperson• Keep the complainers away• Provide additional data, if needed

Be on the offensive:

• If you know the issues, let them know• Show issues with action plan• It will make issues less sensitive• Reduces them from “Findings” to

“Observations”• They may give you “Positive” credit

Use Auditors for the wellness of your organization:

• Use Auditors for the wellness of your organization

• If Auditors find important issue, Listen to them

• Better to have “Finding” than be in a newspaper• Use audit to resolve outstanding problems

Use Auditors for wellness of your organization:

• Remember: Management listens to auditors• Follow-up after the audit• Reply to audit report positively and timely• If you disagree with a specific finding –

• Agree with some part of the finding• Explain disagreement in the courteous language with

additional data• State your plans for addressing part of the findings

Use Auditors for the wellness of your organization:

• Address all findings & observations• State your corrective action plans• Resolve easy issues and implement them• Include milestones & schedule

• Make sure your Management is informed

Use Auditors for the wellness of your organization

Avoid the following:• Being too Defensive• Don’t be too disagreeable• Do not hide information• Do not deny the issues identified by audit

Questions?

Raam VichareDimensionR

raamvichare@comcast.net