Organizational Development: A Manual for Managers and ... - FPDL

Internal processes, sometimes, are more difficult to check, because they are usually understood as
a daily routine and not as special procedures. Internal organisational procedures may include:
handling of documents, handling of complaints, public procurement, training, etc.. Deficiencies in
the internal procedures sometimes may be the core reasons for failure to provide services for
external customers; therefore their examination may be important.
What needs to be audited
During the audit of organisational procedures the audit team should examine the following issues:
1. What services does each subdivision provide?
2. What are the customers (internal and external) of every service? Are they defined?
3. How and where are the processes defined? Why is this particular order chosen?
4. Are the responsibilities and authority defined in procedures?
5. Are there undefined areas in procedures, where decisions are taken arbitrarily, on case to case
basis?
6. Flow of the procedure – description, why is this particular order chosen?
7. Are the documented procedures implemented exactly how the described, if
not - then why?
8. How are the links with other procedures established? Are there overlaps with other procedures?
Are there any duplicated activities (the same activities performed by two or more subdivisions,
i.e. data collecting activities)? Etc.
The audit team must be aware that flowcharting of complicated procedures may take some time
and not always it is possible to make them “on the fly” by interviewing one person. Therefore it
could be necessary to make interviews during two visits, when the first visit is aimed at defining
responsibilities, processes, services etc., and the second visit is aimed at reviewing the collected
information and description of the main procedures. During those visits it could be necessary to
review the audit objectives and previously identified main areas for analysis.
B) PROCEDURE IS WRITTEN.
Organizational procedures may be already documented using various documentation techniques,
and may be present in various internal documents (regalement, regulations, service standards,
written procedures etc.). Quite often parts of one procedure may be defined in several documents.
In case when procedure is written (documented), during the interviews the auditor should examine
if the procedure is implemented, and clarify the points, which might not be described in the written
procedure (such as criteria for decision).
Then the auditor decides if there is a necessity to draw a flowchart, collecting additional
information and indicating deficiencies in the procedure as described above.
When the auditor finds that the written procedure is not implemented or only partially implemented,
he should find the reasons why, and who made the decision not to follow the written procedure.
The procedure might not be implemented, because:
• It is outdated,
• It is contradictory,
• Related legal requirements have changed;
• There are some other reasons.
The auditor must be aware that managers usually tend to present the wished situation as actual
and it is not easy to understand it clearly from the interview. Therefore from time to time it is a good
idea to ask a question “Is it implemented/working or planned/sought?”
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