On Demand Webinar
Webinar Details $219
- Webinar Length: 100 Minutes
- Guest Speaker: Michael W. Gozzo
- Topic: Purchasing
- Credit: ATAPU 1.5, CPE 2.0
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If you have a purchasing function then a purchasing audit is a critical tool you should already be using. Join Michael Gozzo as he explains the difference between an internal and external audit, why audits are so important and how often you should be doing them. He will also explain the importance of who should be conducting the audit and what qualifications they should have. You will walk away from this webinar with an understanding of how to organize the audit, how to record your findings and what actions you should be taking with the findings.
Your Benefits of Attending:
- Gain critical insights into what is causing performance issues.
- Understand how to get a picture of your performance and how to use that to improve.
- Learn how to use the audit to ensure your are using the latest and best practices.
- Gain a disciplined mechanism for ensuring compliance to required practices.
Join Michael Gozzo and learn how to add a purchasing audit to your toolkit.
- Introduction
- Content 00:01:54
- What is an Audit 00:03:41
- Auditing Principes 00:04:50
- Audit 00:05:44
- Types Of Audits 00:05:44
- Internal Audit 00:06:45
- Why Perform An Audit 00:09:06
- Benefits Of An Audit 00:09:19
- Competitive Advantages 00:11:03
- Purchasing - Profit Center 00:12:47
- Strategic Planning Questions 00:14:39
- Strategic Questions 00:16:50
- Strategic Questions Continued 00:18:32
- Who Is To Do It? 00:19:41
- Characteristics Of An Auditor 00:20:03
- How To Do An Audit 00:21:43
- Audit Result Summary 00:24:30
- Numerical Scores 00:26:46
- Internal Audit Report 00:28:25
- During The Audit 00:32:45
- Corrective Action 00:34:46
- How To Do An Audit 00:36:54
- Pitfalls That Can Damage The Program 00:37:11
- Survey Samples 00:42:04
- Developing Criteria For Supplier Selection 00:42:33
- Selection Criteria 00:44:37
- Supplier Checklist 00:47:05
- Checklist Continued 00:48:54
- The Supplier Survey 00:51:44
- Who To Do Survey? Organization 00:53:43
- Organization Continued 00:57:18
- When To Re-Survey 00:59:46
- When To Do An Audit 01:04:52
- Developing Sources Of Supply 01:05:04
- Qualifying The Supplier 01:06:05
- Financial Considerations 01:07:42
- Performance Evaluation 01:10:14
- Evaluation Continued 01:11:57
- Procurement 01:14:09
- Purchasing Administration 01:17:49
- Measures Of Improved Supplier Performance 01:18:49
- Reporting & Documenting Results 01:21:17
- Benchmarks Of Purchasing Performance 01:23:12
- Purchasing Ethics In Supplier Relationships 01:25:17
- Supplier Related Quality Costs 01:25:29
- Supply Related - Internal 01:27:54
- Supply Related - External 01:29:00
- Benchmarks 01:30:49
- Appraising & Controlling Purchasing 01:32:15
- Conclusion 01:34:37
- Recap 01:35:14
- Q & A 01:32:26
- Closing Remarks 01:36:51
- Presentation Closing 01:40:55
- Audit 00:00:07, 00:02:09, 00:04:56, 00:05:50, 00:09:26, 00:18:48, 00:24:21, 00:32:49, 00:41:48, 00:54:53, 00:57:28, 01:04:10, 01:14:15
- Benchmarking 01:23:27
- Business Management System (BMS) 00:06:45
- CIP - Continual Improvement Process 00:48:14
- Contract 01:00:07, 01:15”37
- Corrective Action (CA) 00:34:57
- Cost 01:09:46, 01:16:21, 01:26:39
- External Audit 00:05:51
- Fixed Assets 01:09:35
- Incentive Stock Options (ISO) 00:03:56, 00:06:24, 00:09:00, 00:29:54, 00:33:47, 00:50:05, 01:00:32
- Internal Audit 00:05:52, 00:06:57
- Inventory 01:15:41
- Lead Time 00:11:46, 01:11:54
- Maintenance Repair Overhead (MRO) 00:13:37
- Procurement 00:17:08, 00:59:01, 01:08:09, 01:14:23, 01:25:22
- Purchase Price Variance (PPV) 01:16:23
- Situational Analysis 00:14:54
- Supplier 00:13:59, 00:15:30, 00:47:10, 00:50:32, 00:59:09, 01:06:14, 01:18:58
- Supplier Managed Inventory (SMI) 1:15:40
- Supply Chain 0047:44
- Total Cost 01:16:31
- Total Quality Management (TQM) 00:48:07
- Vendor Management Inventory (VMI) 00:13:53, 01:15:40
Audit: A formal examination of an organization's or individual's accounts or financial situation
Business Management System (BMS): A multilevel hierarchy of business solutions that represent how a profit-oriented organization will carry out different functions (like Sales, Purchasing, Marketing, Staffing) to accomplish a task and achieve a goal successfully.
CIP - Continual Improvement Process: A continual improvement process, also often called a continuous improvement process, is an ongoing effort to improve products, services, or processes. These efforts can seek "incremental" improvement over time or "breakthrough" improvement all at once.
Contract: A written or spoken agreement, especially one concerning employment, sales, or tenancy, that is intended to be enforceable by law.
Corrective Action (CA): To remove the root cause and prevent a problem from ever happening again.
Cost: The sum of the applicable expenditures and charges directly or indirectly incurred in bringing an article to its existing condition and location
External Audit: An external audit is an examination that is conducted by an independent accountant. This type of audit is most commonly intended to result in a certification of the financial statements of an entity. This certification is required by certain investors and lenders, and for all publicly-held businesses. The objectives of an external audit are to determine:The accuracy and completeness of the client's accounting records; whether the client's accounting records have been prepared in accordance with the applicable accounting framework; and whether the client's financial statements present fairly its results and financial position.
Fixed Assets: Assets that are purchased for long-term use and are not likely to be converted quickly into cash, such as land, buildings, and equipment.
Incentive Stock Options (ISO): Incentive stock options, are a type of employee stock option that can be granted only to employees and confer a U.S. tax benefit. ISOs are also sometimes referred to as statutory stock options by the IRS. ISOs have a strike price, which is the price a holder must pay to purchase one share of the stock.
Internal Audits: Internal audits evaluate a company's internal controls, including its corporate governance and accounting processes. These audits ensure compliance with laws and regulations and help to maintain accurate and timely financial reporting and data collection.
Inventory: A company's inventory typically involves goods in three stages of production: raw goods, in-progress goods, and finished goods that are ready for sale. Inventory or stock refers to the goods and materials that a business holds for the ultimate goal of resale, production or utilization.
Lead Time: The number of days from when a company places an order for supplies, to when those items arrive.
Maintenance Repair Overhead (MRO): Maintenance expenses incurred to maintain and repair equipment directly related to the manufacturing process are considered manufacturing overhead expenses. Maintenance expenses related to equipment and premises outside of manufacturing are non-manufacturing overhead.
Procurement: Procurement is the process of finding and agreeing to terms, and acquiring goods, services, or works from an external source, often via a tendering or competitive bidding process. Procurement is used to ensure the buyer receives goods, services, or works at the best possible price when aspects such as quality, quantity, time, and location are compared.
Purchase Price Variance (PPV) : Purchase Price Variance represents the difference between the actual price and the standard price, multiplied by the quantity purchased. The formula is: Purchase Price Variance = (Actual Price – Standard Price) x Actual Quantity.
Situational Analysis: A detailed examination of a company's market presence based on internal and external factors.
Supplier: A supplier is an entity that supplies goods and services to another organization. A supplier is usually a manufacturer or a distributor. A distributor buys goods from multiple manufacturers and sells them to its customers. Similar Terms. A supplier is also known as a vendor.
Supplier Managed Inventory (SMI) : The Supplier Managed Inventory (SMI) process is a supplier-driven replenishment and planning process. With the SMI module, suppliers can view and manage inventory levels, shipping as required to maintain the ideal inventory level at the customer site. SMI reduces the customer's responsibility to monitor inventory and contact the supplier.
Supply Chain: A supply chain is a network between a company and its suppliers to produce and distribute a specific product to the final buyer. The supply chain also represents the steps it takes to get the product or service from its original state to the customer.
Total Cost: Total cost is the total expenditure incurred to produce some type of output. From an accounting perspective, the total cost concept is more applicable to financial reporting, where overhead costs must be assigned to certain assets.
Total Quality Management (TQM): Total quality management consists of organization-wide efforts to "install and make permanent climate where employees continuously improve their ability to provide on-demand products and services that customers will find of particular value."
Vendor Management Inventory (VMI): A supply chain agreement where the manufacturer or supplier takes control of the inventory management decisions for the seller or retailer.
