Internal Audit Report

Audit Identification: IA202506
Area: Improvement
Audit Date: Wednesday 24th September 2025
Auditor: Sean Ashton
Date Completed: 24th September 2025
Findings: 0 Non-conformities, 2 Observations
Scope: Clauses 10.1-10.3 (ISO 9001:2015, ISO 14001:2015, ISO 45001:2018)
Document Number: FORM_INTAR001 Rev 1 ID 01/09/2025

Executive Summary

The audit of the Improvement process demonstrated strong compliance with ISO requirements across all three standards. A M Water Services has established comprehensive procedures for managing non-conformities, implementing corrective actions, and driving continual improvement through S.O.P_7.1 and S.O.P_7.2. The system effectively captures improvement opportunities from multiple sources and channels them through appropriate evaluation and implementation processes. Two observations were identified relating to the documentation of improvement initiatives at operative level and the frequency of trend analysis, neither of which constitute non-conformities but present opportunities to strengthen the system further.

Introduction

This audit examined the company's approach to improvement as defined in Section 10 of the ISO standards, covering general improvement requirements (10.1), nonconformity and corrective action processes (10.2), and continual improvement mechanisms (10.3). The audit focused on verifying that improvement processes are embedded within operational practices and that the company maintains a proactive approach to identifying and implementing improvements across quality, environmental, and health & safety performance.

Aims & Objectives

1. Verify compliance with ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 Clause 10 requirements
2. Assess the effectiveness of the non-conformity and corrective action process
3. Evaluate the mechanisms for identifying and implementing improvement opportunities
4. Review the integration of improvement processes across the three management systems
5. Confirm that improvement data feeds into management review and decision-making
6. Examine evidence of continual improvement in HSQE performance

Audit Method

• Document Review: S.O.P_7.1 Customer Complaints/Control of NCR/Corrective Action (Issue 2), S.O.P_7.2 Continual Improvement (Issue 2), Non-Conformance Log (current), APP_25 Accident Statistics Register (Rev 2), Management Review Minutes (Q2 2025), APP_11 Register of HSQE Objectives and KPIs (Rev 2)
• Interviews Conducted: Director (Aaron Mason), HSQE Consultant, Site Supervisor, Team Leader
• Observations: Review of improvement tracking systems, corrective action close-out processes, WhatsApp communications regarding site improvements
• Sampling: Non-conformance records from June-September 2025, improvement suggestions from toolbox talks (last 3 months), customer feedback analysis (Q3 2025)

Non-conformities

No non-conformities identified.

Observations

Ref	Observation	Clause	Priority	Ref
OBS-06-01	Whilst improvement suggestions are regularly discussed during toolbox talks and team meetings, not all suggestions from operative level are formally captured in the improvement tracking system. Enhanced documentation would strengthen the demonstration of worker participation in continual improvement.	10.1	Medium	CAR-2025-008
OBS-06-02	Trend analysis of non-conformance data is currently performed primarily at management review (annually). More frequent formal trend analysis (quarterly) could enable earlier identification of systemic issues and improvement opportunities.	10.2	Low	CAR-2025-009

Corrective Action Summary

Not applicable - no non-conformities raised.

Conclusions

The audit confirms that A M Water Services maintains an effective improvement framework that meets the requirements of all three ISO standards. Key strengths identified include:

Meeting Requirements:

• Comprehensive procedures for non-conformity management and corrective action (S.O.P_7.1)
• Structured continual improvement process with multiple input sources (S.O.P_7.2)
• Clear linkage between improvement activities and management review processes
• Zero RIDDOR incidents demonstrating effective safety improvement culture
• Integration of improvement requirements across quality, environmental, and H&S aspects

Working Well:

• The Non-Conformance Log provides effective tracking and close-out verification
• Root cause analysis methodology is understood and applied consistently
• Directors' hands-on involvement ensures rapid response to improvement needs
• WhatsApp groups facilitate quick communication of improvement actions
• The family business culture encourages open reporting of issues and suggestions

The improvement process successfully integrates requirements from ISO 9001, 14001, and 45001, with S.O.P_7.1 and S.O.P_7.2 providing unified procedures that address all three standards efficiently. Evidence demonstrates that improvement opportunities from various sources including audits, customer feedback, incident investigations, and employee suggestions are systematically evaluated and implemented where appropriate.

Recommendations

1. Implement a simple improvement suggestion form that can be completed via mobile phone or tablet, allowing operatives to submit ideas directly into the tracking system whilst maintaining the current informal discussion culture
2. Introduce quarterly trend analysis reviews as part of regular management meetings, using simple dashboard visuals to identify patterns in non-conformances, near misses, and improvement suggestions
3. Develop a "You said, we did" communication board in the yard to demonstrate how employee suggestions have been implemented, reinforcing the improvement culture
4. Consider establishing improvement champions within each team who can help capture and communicate improvement ideas from their colleagues, supporting the formal system whilst maintaining the collaborative approach

Feedback & Acknowledgments

The audit process was fully supported by all personnel interviewed, with Aaron Mason providing comprehensive insight into recent improvement initiatives and their implementation. The team's commitment to continuous improvement was evident throughout the audit, particularly in the proactive approach to addressing potential issues before they become non-conformities. The maintenance of zero RIDDOR incidents whilst growing the business demonstrates the effectiveness of the improvement culture. Special recognition to the site teams for their engagement with improvement processes despite operational pressures.

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.

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This audit forms part of the 2025 Internal Audit Programme as detailed in APP_23. The next scheduled audit (Environmental Management - ISO 14001 Specific) is planned for Thursday 25th September 2025.