Para 3.20.10 — MSO (Audit)
Original Rule Text
3.20.10 It should be examined whether a proper system exists for evaluating the quality and performance with reference to the standards prescribed for the purpose. Performance budgets, work plans, technical manuals, etc. should also be studied to ascertain the standards prescribed. The standards of quality and performance achieved by the management should then be listed out and compared with those prescribed and the results evaluated.
- Examination of the system of internal audit
What This Means
The auditor must check whether the organization has a proper system for evaluating the quality of its work and measuring actual performance against prescribed standards. Documents like performance budgets, work plans, and technical manuals should be studied to understand what standards were set. The auditor then lists out what the management actually achieved and compares it with what was expected, evaluating any gaps.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Check if a quality and performance evaluation system exists within the organization
- 2Study performance budgets, work plans, and technical manuals for prescribed standards
- 3List actual quality and performance achievements by management
- 4Compare actual performance with prescribed standards and evaluate the results
Practical Example
An auditor reviewing a road construction division checks the technical manual specifying that roads must have a minimum 75mm bituminous layer. The work plan targeted completing 50 km of road in the year. The auditor finds that only 38 km were completed and test reports show several stretches had only 60mm bituminous layers, indicating shortfalls in both quantity and quality.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
What documents help an auditor identify prescribed standards?▼
What happens if no standards are prescribed?▼
Is this only about financial performance?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.