This presentation intends to help auditors expand their understanding of business strategies of why a company would outsource their manufacturing or service processes. Once the outsourcing decision is made, there are many elements to consider in selecting the best fit supplier (third-party contractor). Understanding what those elements are will help you to better understand the supplier relationship structure.
Auditors armed with better knowledge will result in increasing the usefulness of tools used in the audit planning process, for example, the audit checklist and interview questions.
More effective audits result in more than just a compliance check, but also improve supplier performance and promote a more open and cooperative customer supplier relationship.