October 2016 – In This Issue:
Importance of Hotel Internal Audit
Internal audits provide a number of important services to company management. These include detecting and preventing fraud, testing internal control, and monitoring compliance with company policy and government regulation.
Most hotel companies lack the staff to create an internal audit policy or carry out audits to combat these problems or they assign duties to the controller making one annual visit to each hotel using a standard check list. Some companies have a compliance manager to enforce existing SOP’s, whom lack the experience to perform having never worked many of the line level positions in a hotel.
Designing a internal policy with the intention of reducing fraud does no good if not followed. And does it sound realistic if you visit the hotel only once per year? We recommend frequent audits of at least two per year and sometimes quarterly, with detailed scoring and ranking often tied to the general manager bonus structure.
Planning Your Internal Audit requires a professional with hands on experience that has worked the same line level positions your policy is designed to monitor and control. Having an outsourced internal audit brings new life blood into your organization with fresh ideas and a new set of eyes to see with.
Your business likely cannot afford to create an internal audit department, but, our audit services cost less and are more effective then your own attempting your own in-house solution. We price our audit fees to allow more frequent visits to your hotels.
Try us for one of your hotels. What a difference it makes to have regular audits of twice per year or more, it really works!