Internal Auditor

JOB DESCRIPTION INTERNAL AUDITOR

Department: Internal Audit / Compliance
Designation: Internal Auditor
Location: Factory / Corporate Office
Reporting To: Management / Director / Finance Head

Job Purpose

To independently review and monitor company processes, records, inventory, production, purchases, sales, finance and HR systems to identify errors, control weaknesses, wastage, financial leakage and non-compliance, and to provide practical improvement recommendations to management.

Key Responsibilities

1. Factory & Production Audit

• Conduct regular department-wise internal audits.
• Verify production records against actual production.
• Check cutting, stitching, finishing, packing and dispatch records.
• Identify production wastage, rejection, rework and material leakage.
• Verify piece-rate and worker production/payment records.
• Check line-wise and style-wise production data.

2. Inventory & Store Audit

• Conduct physical stock verification of fabric, trims, accessories, finished goods and packing material.
• Reconcile physical stock with ERP/Excel records.
• Check material issue, return and transfer records.
• Identify shortage, excess, dead stock and unauthorized usage.
• Monitor stock control procedures.

3. Purchase & Vendor Audit

• Verify purchase orders, quotations, invoices and approvals.
• Check vendor bills against actual receipt of goods/services.
• Review rate differences and unusual purchases.
• Identify duplicate, excess or unauthorized payments.

4. Finance & Cash Audit

• Check cash transactions, expenses and supporting documents.
• Verify bills, vouchers and payment approvals.
• Review outstanding advances and employee/vendor balances.
• Identify financial irregularities and control weaknesses.

5. HR & Payroll Audit

• Verify attendance, overtime, leave and salary records.
• Check employee master data and payroll calculations.
• Verify contractor/manpower bills with actual attendance.
• Review compliance with company HR policies.

6. Dispatch & Sales Audit

• Verify finished goods against dispatch documents.
• Check invoice, packing list and dispatch quantity.
• Verify returns, shortages and damages.
• Review sales/stock reconciliation where applicable.

7. Compliance & SOP Audit

• Ensure departments follow approved SOPs and company policies.
• Identify deviations and prepare audit observations.
• Follow up on corrective actions until closure.

Audit Reporting

• Prepare Daily/Weekly/Monthly Internal Audit Reports.
• Highlight critical financial, operational and compliance risks.
• Maintain audit observation and corrective-action tracker.
• Present major findings to Management/Director.
• Conduct follow-up audits to verify corrective action.

Key Skills Required

• Strong knowledge of internal audit and control systems.
• Good knowledge of garment manufacturing processes.
• Knowledge of inventory, production, costing and payroll.
• Strong analytical and problem-solving skills.
• Excellent Excel/MIS knowledge.
• Good documentation and reporting skills.
• Ability to identify fraud, leakage and process gaps.
• Strong communication and coordination skills.
• Should be independent, honest and detail-oriented.

Qualification & Experience

• Qualification: B.Com / M.Com / CA Inter / MBA Finance / equivalent.
• Experience: 3–7 years in Internal Audit, Factory Audit, Finance Audit or Manufacturing Audit.
• Garment/textile manufacturing experience will be preferred.