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Second Party Audits & Assessments - sbpm

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__Second Party Audits__

A second-party audit is an external audit performed on a supplier by a customer or by a contracted organization on behalf of a customer. A contract is in place, and the goods or services are being, or will be, delivered.

Why Second Party Audits is necessary?

As a company’s supply chain grows, so too does its risk. With every new supplier comes the threat of poor performance. Without proper oversight, the quality of supplied parts and components can slip through the cracks. A supplier audit is an effective way to examine the quality of a particular supplier and the risk it presents to the organization before it becomes a problem. Following are reasons for 2nd party audit of your supplier is necessary:

  • Adopt Organizational Quality Standards
  • Practice Effective Document Management
  • Identify Areas of Potential Risk
  • Recover the Cost of Poor Quality
  • Improve Supplier Communication
  • Improve Customer Satisfaction