Contract Vendor Audits

WHY DO YOU NEED US?

For a variety of reasons, your vendors’ self-reporting may be inaccurate, and their invoices may not always match what was stipulated in the terms of the contract. This can easily result in overpayment which, if replicated across multiple vendors and several operations, could seriously impact your profitability and in a worst case scenario, the viability of your business.  

The complexity of dealing with numerous vendors across multiple projects only adds to the risk. Yet it’s unlikely you will have the time and resources to investigate the issue whilst still managing your operations and your other business pressures. In comparison, our highly experienced auditing team is dedicated to the task and has the skills and tools to examine, resolve and report quickly and accurately.  

In addition, they can flag up areas in your contracts that could be amended to reduce risk, pinpoint any operational weaknesses that could lead to cost savings and create an environment where vendors are more aware of their contract accountability – leading to fewer problems in the future. 

THE BENEFITS

• We are experienced, thorough and work quickly, using tech wherever appropriate to analyse extensive data in close detail 
• We uncover any disparities between the vendor’s billing and the contract terms 
• We’ll also reveal and alert you to non-compliance with agreed operating procedures 
• There is the potential to recover significant sums, especially when multi-year contracts are involved, such as overbilling or unused funds 
• Where your operations are widespread, our audit can also highlight any variations in how regional parts of your organisation apply their controls 
• We may also be able to show you how you can improve data-sharing within your organisation, and your own efficiency and controls 
• Our report will highlight any opportunities to reduce costs and improve quality control – critical in a challenging and competitive environment 
• By improving transparency and trust, we can help you build stronger relationships with your vendors. 

A COMPREHENSIVE AND WORTHWHILE REPORT

We’ll save you time by managing the entire Contract Audit process, whilst liaising with you and the vendor. We will: 

• Issue and agree audit scopes well in advance of the audit fieldwork  
• Tailor our work to focus on key areas, such as deliverables, expenditure levels against contract terms, billings and payments 
• Identify potential compliance issues for risk mitigation purposes, cost efficiencies and process improvement  
• Verify the accuracy of the vendor’s data, to make contract compliance more transparent 
• Report to you immediately on conclusion of the field work, identifying any cost recoveries. 

As well as reviewing the vendor’s systems, we’ll appraise your relevant control systems to identify any scope for improvements, and report back on how you might implement them.