Today’s world has never been more competitive. As companies try to gain competitive advantage they negotiate agreements that sometimes become complex.
These agreements can include incentives to buy large quantities, incentives to ship product a certain way, incentives to buy at certain times of the year and incentives to buy a particular product from one supplier instead of many. Companies can also negotiate seasonal or promotional buys with their suppliers that can add another level of complexity. All of these factors lead to the possibility that some component of the vendor relationship could be missed.
Our contract compliance review will help you validate that you paid your supplier according to the terms and conditions you negotiated. As a by product of our review we will help identify weaknesses in your internal systems that may have caused the potential for overpayments.
In order to provide a thorough review we will require some of your time. The following is a sample audit plan where I have included your time requirement.
- Meet with Client to discuss how they do business with their suppliers.
- Observe AP Clerk (15 min)
- Talk to Buyers (30 min)
- Review Client Documentation (30 min)
- Discuss Audit guidelines with our client representative.
- Request Data
- Broniec Processes Client Data.
- Auditors receive auditable data.
- Audit is performed validating contracts and documentation against payments.
- Overpayments are submitted after being confirmed.
- Auditors meet with client representative weekly (30 min)
- Audit is completed.
- Management Report is presented to the client (90 min).