The Malta Independent 27 April 2024, Saturday
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Creating an audit culture

Sunday, 24 March 2024, 08:40 Last update: about 2 months ago

Katya De Giovanni

Much has been said about magisterial and state inquiries over the past months. Such debates are spurred by the perceived severity of incidents, key stakeholders, politicians and also public opinion.

Parliamentarians on both sides have discussed at length what should and should not be included in our laws in order to ensure that the rights and obligations of citizens are balanced and kept in check. However, there is a key difference between legislating and implementing. Policies within companies may be agreed upon by managers, company directors and supervisors. Whether these trickle down to the shopfloor and to the front liners is indeed another matter.

Quality at source is a concept that measures quality at every step of a manufacturing process or the provision of a service. It is typically accomplished by creating standardised work such as documenting work methods, materials and tools. This mentality emphasises the responsibility of each employee to produce high-quality work. Each employee takes personal responsibility for the quality of their own work.

If they identify an issue or a potential issue, employees need to be empowered to address this immediately. Legislation and policies enable employees to take action but there needs to be a culture of empowerment which enables them to act on the spot. This might mean halting a production line or work on a construction site. In other words, the process of service is paused in order to address the problem at hand.

A culture of prevention is also reinforced. Rather than assuming that errors will not occur out of default, employees are continuously looking out for potential problems. This means that employees do not rely on the end inspection and depend on such authority for checking out the quality. Rather, it is their own pride in knowing that what ever is manufactured or serviced with their own hands and authority must be speckless. Therefore employees are given the tools, knowledge and also the authority to fix problems on the spot without any need for escalation.

Continuous improvement is also essential and in their work employees are encouraged to improve the process in order to prevent future issues. This necessitates a cultural shift where everyone from management to frontline workers value quality and continuous improvement.

The overall benefit is a reduction on costs as addressing issues early avoids rework, scrap and warranty claims. Most importantly in high end, risk environments, it saves lives. Such a culture also resolves problems in a faster manner leading to faster resolution and less downtime. Downtime creates loss for any organisation. On the psychological end, such a culture improves employee morale. Employees take pride in their work and this leads to increased job satisfaction. On the other hand higher job satisfaction will result in less absenteeism and less costs for organisation as employees are trusted and trained in doing a high quality job. Overall then, the finished product or the service offered is of higher quality. This in turn leads to satisfied customers and fewer returns or complaints. Such a return on investment leads to better reputation for the company which leads to potential business growth.

The construction industry is a prime example of where such a culture should be instilled. From regulator to construction worker, the issue of quality is paramount. One needs to think on a long term basis in order to ensure that the construction carried out will not cause harm to self or harm to others. The public at large should also be on board. Each construction site is part of a larger community and the implementation of a quality at source culture is everyone’s responsibility. Audaciously, it should be a concept taught in compulsory education where citizenship and citizen participation are paramount.

 

Dr Katya De Giovanni is a Labour MP

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