Case 1 Internal Audit

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A. The key processes used by Pizza Inc. at their individual site locations: * On the job training is the primary method for employees to learn policies and procedures. * An order will come into Pizza Inc. it will be written down on pre-numbered pads. The date, time of call, name, address, phone number, type of crust, and toppings requested are all taken down. If mistakes are made the pre-numbered order form will be thrown out and a new sheet will be used. * After the order is taken the employee will then calculate the pricing using hand calculators and give the customer a price and then record it on the order form. * Shift manager then check every order to make sure that the information is complete prior to …show more content…

The processes (part A) and the risks (part B) are the bullet points listed on page 1.

D. Is the order walk in or over the phone?
Is the order walk in or over the phone?
Process of placing an order with Pizza Inc.

Order Comes in to Pizza Inc.
Order Comes in to Pizza Inc.
Start
Start

Answer the phone.
Answer the phone. Phone
Greet Customer.
Greet Customer.

Walk in
Customer Places order.
Customer Places order.

Throw away pre-numbered pad and start over.
Throw away pre-numbered pad and start over.
Any Mistakes?
Any Mistakes?
Write down customer order on pre-numbered pad.
Write down customer order on pre-numbered pad.
Write down customer information on pre-numbered pad.
Write down customer information on pre-numbered pad. Yes Yes

Give order to shift manager to check for completeness.
Give order to shift manager to check for completeness.
Give pricing to customer.
Give pricing to customer.
Calculate the pricing.
Calculate the pricing. NO

Key Process | Risk Statement | Potential Impact | Impact rating | Likelihood Rating | Placing an order | Order forms after call may get lost or thrown away. Wrong information/order may be written down on order form. Pricing can be incorrectly calculated. Manager does not find error of employee. | Order will never be processed. Unable to process correct order. Customer will not be

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