This sample audit report focuses on the warranty/field services process and highlights activities related to billing, customer inquiries and contract negotiation. The purpose of this report is to evaluate the internal control environment and the efficiency of the warranty/field service process for support, spares and repairs. This tool outlines best practices with this process and identifies opportunities for internal control and process improvements.
The following key observations were noted during the review:
- Field services performed outside the warranty contract terms are not consistently billed.
- A database to track field service reports (FSRs) does not exist.
- The current process of handling customer inquiries is not streamlined.
- Field service reports (FSRs) are not used to drive the billing process.
- Standard field service contracts and pricing models are not consistently used.