In order to create and maintain a responsible and sustainable supply chain, auditing is vital to make sure that the criteria for sustainability and quality standards are being met. However, we often hear that the auditing is not capable of driving change in the supply chain since audits represent a snapshot of a given point in time.
Even though there is some truth in this critique, we believe that auditing will always remain a important factor for improving the sustainability of supply chains.The purpose of an audit is to make sure the criteria for a standard are being met. If an audit manager is unable to identify problems and hotspots in a supply chain the whole idea of an audit is subject to debate. Therefore, audits should be combined with other sources of information to provide a fuller picture.
Internet of Things
We live in age where more and more devices collect data, are connected to each other and exchange data automatically. This Internet of Things is currently used a lot in innovative farming methods but the possibilities are basically endless. Satellite data for instance, can be used to monitor deforestation, water usage and much more.
Another example of a secondary source of information is social data such as risk indexes. This is especially useful to detect forced or child labour. By using risk indexes on a global or regional level, companies are able to identify where a higher risk of forced labour is located. This makes the audit process more efficient and therefore more effective.
The key here is not to require as much data as possible, but to combine audit data with secondary data into a clear picture for an audit manager and his coworkers alike. With modern Business Intelligence solutions, it’s possible to analyse collective audit results from a multitude of angles to learn of emerging trends.
Do you know how you can integrate audit data and secondary data to create impact with your audits? In our solution paper we outline common problems within audit process and how smart software can be used for better audit management.