Whether you’re considering a new supplier or have been working with them for some time, it’s critical to vet them as thoroughly as possible.

 

A factory audit can help you ensure that your supply chain is compliant, efficient, and able to deliver quality products to your customers.

 

What is a Factory Audit?

A factory audit is an on-site assessment of a facility where the auditor evaluates its systems, capabilities, and workplace environment to ensure that they meet your requirements as a buyer and that the supplier provides quality services and products.

 

Performing a factory audit can greatly benefit your import business, which has the following benefits:

  • Avoid encountering scams or illegal factories.

  • Ensure you work with partners who can provide the highest quality products and services.

  • Ensure you save time and money in dealing with the right factory.

  • Suppliers’ permanence and willingness to cooperate are essential to optimize business growth. A perfect plan with a flawed supplier line can cripple a business. That’s why it’s important to perform a factory audit.


What is the Difference between Factory Audit and Quality Inspection?

Usually, a factory audit is the final step in the sourcing process, performed after a group of potential suppliers has been selected. It is not only the most expensive form of evaluating suppliers, but it is also the most in-depth.

 

In the other hand, quality inspection refers to measures directed at inspecting, measuring, and testing various product characteristics and correlating the results with the requirements to comply with the required regulations.

 

The following are the main differences between factory audits and quality inspections:

1. Factory audit focus on the long term

When considering a different supplier to produce your product, a factory audit is helpful for you in choosing a long-term supplier.

It focuses on the quality of the maintained product, while quality inspection only focuses on the products in a particular shipment.

 

2. Factory audit focus on the big picture

A factory audit gives you a big picture view of how a factory operates and how it can ensure that they produce a high-quality product.

You can look at their ability to do this throughout multiple shipments, whereas a quality inspection is only for one specific shipment.

 

3. Factory audit is not just about product quality

Factory audit ensures that the factory meets standards related to health and safety, child labor, working hours, and management.

Buyer access to these audits can help make better supplier choices. However, quality inspection is usually performed on the factories with who you already have an established relationship.