Internal Audit Report

Audit Identification: IA202505
Area: Performance Evaluation
Audit Date: 24th September 2025
Auditor: Sean Ashton
Date Completed: 24th September 2025
Findings: 0 Non-conformities, 2 Observations
Scope: Clauses 9.1-9.3
Document Number: FORM_INTAR001 Rev 1 ID 01/09/2025

Executive Summary

This audit assessed A M Water Services Limited's Performance Evaluation processes against ISO 9001:2015, ISO 14001:2015 and ISO 45001:2018 requirements. The audit found substantial compliance with all three standards' requirements for monitoring, measurement, analysis and evaluation. The company has established comprehensive KPIs aligned to their HSQE objectives with monthly monitoring in place. The recently implemented IMS demonstrates good integration of performance monitoring across quality, environmental and safety aspects. Two observations were raised regarding the formalisation of analysis processes and enhancement of customer satisfaction monitoring methods, though current practices are meeting minimum requirements.

Introduction

This audit examined the Performance Evaluation element of the Integrated Management System, covering monitoring and measurement activities (9.1), internal audit processes (9.2), and management review arrangements (9.3). The audit focused on verifying that appropriate methods are in place to determine what needs monitoring, how performance is measured, when analysis occurs, and how results inform management decisions. This forms part of the comprehensive 16-audit programme scheduled for completion by 3rd October 2025.

Aims & Objectives

1. Verify compliance with ISO 9001:2015, ISO 14001:2015 and ISO 45001:2018 clauses 9.1-9.3
2. Assess the effectiveness of performance monitoring and measurement processes
3. Review the implementation of KPIs against HSQE objectives
4. Evaluate customer satisfaction monitoring arrangements
5. Confirm internal audit programme implementation and effectiveness
6. Verify management review processes meet standard requirements

Audit Method

• Document Review: APP_11 Register of HSQE Objectives and KPIs Rev 2, APP_23 Internal Audits Program Rev 2, S.O.P_6.1 Analysis & Evaluation Rev 2, S.O.P_6.2 Internal HSQE Audits Rev 2, S.O.P_6.4 Management Review Rev 2, S.O.P_2.1 Customer Focus & Satisfaction Rev 2, July 2025 KPI Report, Customer complaints log
• Interviews Conducted: Directors (Aaron Mason, Leanne Mason), Team Leaders, Site Supervisors
• Observations: Monthly KPI reporting process, customer feedback handling procedures, internal audit documentation
• Sampling: KPI data from June-September 2025, customer feedback records from past 3 months, completed internal audits to date

Non-conformities

No non-conformities identified.

Observations

Ref	Finding	Clause	Priority	Ref
OBS-01	Whilst monthly KPI data is collected and reviewed, the formal analysis methodology described in S.O.P_6.1 could be enhanced with documented trend analysis techniques and statistical methods where appropriate. Current analysis relies on management experience rather than structured analytical approaches.	9.1.3	Medium	CAR-2025-006
OBS-02	Customer satisfaction monitoring currently relies primarily on reactive measures (complaints, direct feedback). Implementation of the planned customer satisfaction survey would provide more proactive insights into customer perception and enable benchmarking.	9.1.2	Medium	CAR-2025-007

Corrective Action Summary

Not applicable - no non-conformities identified.

Conclusions

The Performance Evaluation processes demonstrate good compliance with ISO requirements across all three standards:

Areas meeting requirements:

• Comprehensive KPI framework established with 20 measurable objectives
• Monthly monitoring and reporting processes operational
• Clear linkage between HSQE Policy commitments and measurable objectives
• Internal audit programme scheduled and progressing to plan
• Management review process defined with clear inputs and outputs
• Customer complaint handling process functioning effectively
• Legal compliance evaluation integrated into regular reviews

What's working well: The Register of HSQE Objectives and KPIs (APP_11) provides excellent visibility of performance against targets, with July 2025 updates showing strong progress. The zero RIDDOR record and maintenance of WIRS accreditation demonstrate effective safety performance monitoring. Environmental monitoring shows good results with 82% waste diversion achieved against an 80% target.

Integration across three standards: The performance evaluation processes show good integration, with single KPI reports covering quality, environmental and safety metrics. The management review process (S.O.P_6.4) comprehensively addresses all three standards' requirements through unified agenda items and reporting.

Recommendations

1. Develop a simple trend analysis template for monthly KPI reviews, incorporating basic statistical process control techniques appropriate for the data volumes involved
2. Implement the planned customer satisfaction survey on a quarterly basis to supplement reactive feedback mechanisms
3. Consider establishing quarterly performance review meetings with key customers to gather structured feedback on service delivery
4. Enhance the internal audit checklist to include specific verification points for each KPI to ensure data accuracy

Feedback & Acknowledgments

The audit was conducted with full cooperation from all personnel. Directors demonstrated strong understanding of performance requirements and actively monitor KPIs through monthly reviews. Team Leaders showed good awareness of relevant performance metrics for their areas. The systematic approach to objective setting and monitoring reflects positively on the leadership team's commitment to measurable improvement.

Audit Report Prepared By

Name	Position	Signature	Date
Sean Ashton	HSQE Consultant	S.Ashton	24/09/2025
Aaron Mason	Director	A.Mason	24/09/2025

Corrective Action Close Out

Not applicable - no corrective actions required.