One of the world’s leading manufacturers and marketers of quality skin care, makeup, fragrance and hair care products required the support of RGIS. The company’s products are sold in approximately 150 countries and territories.
THE CHALLENGE
The customer required RGIS to provide the following:
- To complete a compliance audit of 20-30 stores per month
- Get sign-off from the store manager after compliance audit completed
- Send store report with summary and brief analysis within seven days of audit
Why RGIS?
The beauty product manufacturer and distributor wanted to have a compliance audit of stores daily operations to lower the potential operational and financial risk.
Our Solutions
The beauty product manufacturer and distributor partnered with RGIS to complete the compliance audit of standard store operation procedures, and provided the following:
Scheduled one experienced RGIS auditor per store
Allocated four to six hours per store
Compliance audit consisted of checking the original order, in and out delivery record, sales slips and the inventory record
Spot check of specified items to verify physical quantities were correct with main system
Produced a compliance report per store
Results
The beauty product manufacturer and distributor found by outsourcing the compliance audit of standard store operation procedures to RGIS, the following results were achieved:
Due to the compliance audits, fraud was identified in some store operations
The customer had a better understanding of the real operation status in stores
Able to issue actions to reduce the opportunity of additional fraud taking place in other stores
Conclusion
By partnering with RGIS, the beauty product manufacturer and distributor established a structured, independent compliance audit programme delivering consistent oversight across 20–30 stores per month. The disciplined audit methodology—covering documentation review, inventory validation and store-level sign-off—provided timely, standardised reporting within seven days of each visit. As a result, operational irregularities and instances of fraud were identified and addressed, giving management a clear, evidence-based view of store performance. The insight gained enabled the implementation of corrective actions and strengthened internal controls, significantly reducing the risk of further compliance breaches across the retail network.
