Develop and implement an internal audit system to confirm compliance with the freight transport operator’s licence requirements
Overview
This standard is about developing and implementing an internal audit system to confirm compliance with the freight transport operator's licence requirements. You will need to understand the principles of auditing and the requirements of the operator's licence to develop a suitable audit system.
The standard includes monitoring the audit system including providing reports on progress and reviewing the agreed actions where discrepancies are found during an audit.
This standard is for the Operator, who is the licence holder, and the internal or external Transport Manager, who is held responsible for the operator's licence.
Performance criteria
You must be able to:
P1 develop and agree with relevant colleagues a system of internal audits to confirm compliance with the freight transport operator’s licence requirements
P2 identify and review processes in the organisation against the freight transport operator's licence requirements
P3 identify the risks to the organisation of non-compliance and where improvements can be made to your organisation's processes
P4 agree with relevant colleagues the scope and objectives of the internal audits required to confirm compliance with the operator’s licence
P5 establish objectives for the internal audit system which are Specific, Measurable, Achievable, Realistic and Time bound (SMART) to meet compliance requirements
P6 implement the agreed internal audit system to confirm compliance
P7 monitor the progress of the internal audit system against the objectives and take appropriate action in the event of variations
P8 provide relevant colleagues with reports against the internal audit system, in line with organisational requirements
P9 keep records of the reports and internal audits in line with relevant legislative requirements
P10 evaluate the results of the internal audit system against the agreed objectives and make recommendations to colleagues and relevant authorities regarding compliance
P11 review the effectiveness of agreed action to rectify discrepancies identified during internal audits
P12 provide feedback to relevant colleagues whose systems were internally audited
Knowledge and Understanding
You need to know and understand:
K1 your organisation's processes to meet compliance with the freight transport operator’s licence requirements within different UK and non-UK nations and countries
K2 the operator's licence compliance standards and procedures
K3 the internal audit questions and documentations required to confirm compliance with the freight transport operator’s licence requirements
K4 the principles of compliance auditing and how to conduct an internal audit investigation in the context of the operator's licence requirements
K5 the colleagues within the organisation with whom you agree the scope, objectives and programme of the internal audit system to meet compliance requirements
K6 the structures, responsibilities and processes within the organisation which impact upon the operator's licence compliance requirements
K7 how to recognise examples of non-compliance and the remedial action to be taken
K8 how to assess the risks of non-compliance, ineffective systems and incorrect system use
K9 the reasons for developing and how to agree Specific, Measurable, Achievable, Realistic and Time bound (SMART) internal audit objectives to confirm compliance with the freight transport operator’s licence requirements
K10 how to develop and implement an internal audit system which confirms compliance with the freight transport operator’s licence requirements
K11 how to monitor internal audit activities against objectives, identify variations and determine relevant preventative and corrective action with regards to compliance of freight transport operator’s licence requirements
K12 the relevant organisational requirements for progress reports and to whom to report
K13 how to measure the results of internal audits against agreed objectives relating to compliance with the freight transport operator’s licence requirements
K14 how to assess the effectiveness of corrective actions agreed following the internal audit to confirm compliance with freight transport operator’s licence requirements
K15 the organisation's internal policy requirements for reporting on compliance and audit system performance
K16 the importance of communicating with colleagues and customers in relation to operator’s licence compliance