Question

Related to Supply Chain Management: Describe the project audit and evaluation process, including its goals, construction, use, responsibilities of the project auditor, and measurement. What steps can be taken to ease the perceived threat to team members of an external evaluation?

Answer 1

Project audit is a continuous process which  starts at the execution stage of a project and goes on till the project's completion.The audit process helps in completing  the project in the specified time,and in estimated budget.A project audit assures that project management is meeting the standards by evaluating if it follows the organization’s policies and procedures.It also helps in identifying business risk and at the same time enhance project performance.It provides reviews and feed backs which help  individuals and project teams to improve their performance. The primary responsibility of the auditor is to make risks transparent to the company.He should also see weather the company is following internal controls,Proper maintenance of records and documents.Every auditor have a right to verify each and every book of accounts while evaluating the companies performance. He must perform all the duties under common law.

To avoid threat to team members by an external evaluation involves:

• See that the company is following audit strategy.
• Proper documents are ready show if the auditor requires any.
• Company should follow rotation of duties strategy so that Auditor believes that the company is following auditing principles accordingly.
• Financial statements and reports are ready.