Best practices in distributor audits

August 5, 2015

Audits are becoming more commonplace as companies focus on their products’ and services’ life-cycles in terms of where they are coming from, as well as where they are going. While there is familiarity with audits in the context of internal audits, accounting audits or process audits, there is a growing trend for companies to conduct third-party audits. These third-party audits typically focus on suppliers, vendors, distributors and channel partners.

The increasing focus on third-party audits in recent years has been due to improved supplier due diligence and supply-chain management; an outcry from the public, NGOs and regulators about the need for transparency and accountability; and human-rights concerns.

 

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