Third Party Audit of Stock from Manufacturer to Franchisee

A major motor manufacturer that distributes vehicles and parts through franchises nationally.


A major motor manufacturer required an independent third party audit in order to manage and report stock levels at 80+ national sites. The customer’s requirements were to:

  • Verify that stock was correct to held records and in correct bin locations
  • Produce 100% verified stock file result in units and value
  • Report the error rate % in units and value
  • Move away from manual paper checks to digital recording
  • Update the customer’s master system on site with a final list of variances


RGIS worked with the major motor manufacturer to complete the following:

  • Created a 100% verified result with full data audit trail
  • Barcoded bin locations were labelled prior to count and scanned
  • Loaded pre-count on-hand numbers in order to prepopulate for variance numbers
  • A process to investigate and agree with site the actual variances
  • Factoring in the days sales


By outsourcing the end-to-end verification audit to RGIS, the major motor manufacturer:

  • Had a complete auditable rate for each centre/franchisee with a validated error rate
  • Could identify both problem and successful franchisees
  • Were able to establish franchisees that were not managing the stock out files
  • Acquired a process signed off and approved by external auditors