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Management Audit

A management audit is an analysis and diagnosis of the forces at work in a company’s human equation. Objective, confidential and thorough, it provides top management with an accurate overview of the quality of its management team.

Clients have requested management audits at all stages of a company’s life, before major corporate changes, such as reorganizations acquisitions or the implementation of new strategies. Audits may be narrowly focused or quite extensive. They may evaluate a functional segment of management or provide a broad, comprehensive review of the client’s human resources.

Audits are useful tests of how well corporate executives are fitted to corporate strategies and goals. A management audit ensures a greater degree of depth and objectivity than may be expected from the company’s own staff.

In a typical management audit, a team of our consultants conducts intensive interviews with designated executives. We are particularly attentive to how these executives have helped the company reach its objectives. We compare their individual achievements with those of their peers in the same industry. We also compare the succes of the company with its competitors. To offer an effective comparison, we often interview executives from other companies. Finally, we seek to determine the personal goals and aspirations of individual executives.

Our management audit helps clarify corporate objectives and makes them more easily obtainable. Our reports include analysis of the client’s methods of executive selection, promotion and retention. The corporate culture and the internal communication systems are reviewed and, when appropriate, the management structure. A separate appraisal is provided for each executive, evaluating his or her strengths and weaknesses in the context of corporate strategy. We also evaluate how executives work in teams, looking at their groups skills and attitudes. New insights are thus often gained into how a company works, where its strengths and weaknesses are, and how the management team can improve itself.