Monthly Archives: May 2014

Improvement Of Organization Through Logistics Audit

Organization Through Logistics

An audit in simple terms is defined as the appraisal of an organization or any system process in it. It is completely based upon an unbiased consideration to provide a logical point of view. There are many ways to carry on an audit. It can be done either by an internal group based for audit or by a specialized audit company. The concerned department can also carry on an audit of the process. Audit offers innumerable benefits. Whether you outsource it or do it in house, both ways, it will benefit your company. It helps in creating a high standard of quality and provides regular access to all the dependable information.

Audit underpins the managerial and strategic decision making. It helps eliminate inefficiency by allowing the identification of improvement areas. The audit must be carried out professionally, and it should be implemented subsequently. It will drive sustainability, improve efficiency and also increase the image of the organization in the eyes of all the customers and shareholders. Building up of the corporate image is always helpful for business.

Freight logistics audit is a very important part of the entire audit. In this type of audit, all the present logistics of the company are examined. In detail, we can say that it examines the flows, transportation operation and the efficiency of the system is accessed, and all the processes in place are examined. It also involves providing the company details on guidelines and recommendations for freight management and supply chain. The audit begins with gathering all the qualitative and quantitative data from the major stakeholders. After this, the information is interpreted and analyzed. Departments that will have to collaborate with it are logistics and transportation, production, purchasing, warehousing, customer service, trade compliance and IT department.

Indirectly or directly, all these departments are involved in making the audit. The collected data from various departments will then be analyzed to generate a particular understanding of the flaws and shortcomings in the processes. Also, it will help in getting an idea of the company’s progress. Altogether, the freight logistics audit will help in improving the practices of an organization, and thus it should be included as an important process of the organization.