Overview of ‘on-line’ process auditing

1. Overview of ‘on-line’ process auditing ‘the future of auditing… …is here’

2. Process effectiveness is influenced by many things, e.g. Risk Mgt H&S Asset Mgt Teamwork Budget Outcomes / Results against targets Inputs Activity 1 Activity 2 Activity 3 Leadership Competence Reporting Learn Change Organisational behaviour Knowledge Mgt Information security / sharing

3. Therefore Process Auditing requires Auditors who can: • Understand all management principles & how these work together in the ‘real world’ to effect results • Understand all individual business processes across all locations, Depts and sections • Interview and interactive with people from all levels and parts of the organisation • Talk business with Business Managers as equals with credibility • Remain objective not influenced by politics • Remain focused, not distracted by day to day activity when completing the audit • Check compliance against business requirements • Collect sufficient evidence to persuade Management that something needs to change • Understand the ‘softer’ issues such as teamwork, culture and leadership • Identify areas of strength and improvement linked to the objectives of the organisation • Report findings to management in a meaningful manner • Understand the links to all required standards, models and frameworks including Corporate Social Responsibility. ‘not much really – all we really need is super auditors. The question is do they really exist ?’

4. Impact upon traditional approaches The need for auditing processes therefore prompts questions about: • Auditor competence? • Numbers of auditors needed and their availability? • Cost compared to the business value delivered? • The time required to do it properly? • Can internal auditors be fully objective? • How can audits obtain sufficient evidence – particularly on ‘soft’ issues? • Audit sample size, which is often small and unrepresentative? • Engaging the whole organisation in audits and improvement? • Audit reports that can stimulate real business improvement? • Changing from compliance to effectiveness focus? • Inconsistency of application and interpretation? • Adequate knowledge of systems thinking and how the organisation actually works? • Examples of failure – how should auditing help reduce these? ‘it is not the the fault of the auditors - they are only human Using current methods to meet the future need is unsustainable’

5. On-line Assessment Solution – the mechanics Create secure personal resource centre Carryout online assessment Secure & Confidential User Registration Create online assessment with you Set up assessment ready for use online Produce online report identifying Improvements & Non-conformances Monitor progress online Bring about ‘real’ change to improve effectiveness ..realising the opportunity to improve

6. Tailored assessment > building your assessment based on business needs ‘Detailed content is created to reflect your own processes and corporate language. This allows you to determine what is audited and how it is described. We help you do this to ensure you gain maximum benefit. Totally online – no CDs or other programmes required.’

7. Tailored assessment > linking performance indicators based on your goals ‘findings will be reported against your performance indicators and / or the drivers of high performance. Provides results that are truly business focused’

8. Setting up the assessment > sign-in ‘Sign in to your secure area at www.the-hpo.com’

9. Setting up the assessment > welcome to your secure area ‘manage all audits and assessments from here, all screens can be branded to reflect your organisation’

10. Setting up the assessment > set up the scope ‘you define the scope of the assessment to meet your needs. Use the assessment as many times as you like’

11. Setting up the assessment > deciding who will take part ‘You control who takes part and what you call them to get the right sample size’

12. User registration > using the secure access ‘The confidentiality of the overall assessment and each user is protected’

13. Take the assessment > monitor progress ‘with only a few questions each auditee should complete in 10-15 minutes. A progress bar keeps track and allows people to exit and come back in as required’.

14. Monitoring the assessment > status report ‘You can monitor progress at any time’

15. Automated reporting > aimed at improving results • Reports and history are online and can identify: • overall performance • strengths and areas for improvement • performance trends • results against business objectives and indicators • scored – numeric results to track improvement • participation levels • non-conformance & near non-conformances • analysis by different groups (depts, locations etc) involved • graphical representation for ease of understanding

16. Next steps? You can: Try out a free assessment to get a better ‘feel’ for how it all works or/ We can create a resource centre for you or/ We can talk through the complete system by visiting you or by phone Just let us know 01536 790124 enquiries@the-hpo.com