Manager - Internal Audit

1. Purpose of the Role

The Internal Auditor in a textile mill is responsible for evaluating and improving the effectiveness of internal controls, risk management, and operational efficiency across all departments — from raw material procurement to finished goods dispatch. The role ensures that financial, operational, and compliance processes support profitability, cost control, and sustainable production.

2. Key ResponsibilitiesA. Financial and Accounting Audits

• Verify accuracy and integrity of financial records, including purchases, sales, payroll, and inventory valuations.
• Check for proper authorization and documentation of financial transactions.
• Audit costing systems, including raw material consumption, labor cost, and overhead allocation.
• Review budget utilization and variance analysis to control wastage and inefficiencies.

B. Inventory and Production Audits

• Conduct physical verification of raw materials, work-in-progress (WIP), and finished goods stock.
• Audit the raw material procurement process, including supplier selection, purchase pricing, and goods receipt.
• Evaluate production efficiency and wastage control, including yarn breakage, fabric rejections, and machine downtime.
• Review material movement records, ensuring accuracy between production, dyeing, and finishing departments.

C. Compliance and Control

• Ensure compliance with textile industry standards, labor laws, environmental regulations, and export/import documentation.
• Verify adherence to ISO, Oeko-Tex, or other quality certifications applicable to the mill.
• Check statutory compliance, including ESI, PF, GST, TDS, and factory safety norms.
• Identify and report non-compliance or deviations from internal policies and government regulations.

D. Operational Efficiency

• Evaluate machine utilization, maintenance scheduling, and energy consumption to identify areas for cost reduction.
• Audit procurement and stores management, ensuring transparency and accountability.
• Review waste management and by-product handling to minimize losses.
• Monitor logistics and dispatch processes to ensure accurate documentation and timely delivery.

E. Risk Management and Fraud Detection

• Identify potential risks such as inventory theft, manipulation of production data, or false billing.
• Perform surprise audits in sensitive areas like stores, dispatch, and cash handling.
• Recommend controls to prevent revenue leakage and resource misuse.

F. Reporting and Recommendations

• Prepare detailed audit reports highlighting findings, risks, and suggested improvements.
• Discuss audit results with management and follow up on implementation of corrective actions.
• Provide insightful recommendations to improve cost control, process efficiency, and compliance systems.

3. Skills and Competencies Required

• Strong understanding of textile manufacturing processes (spinning, weaving, dyeing, finishing).
• Knowledge of costing, budgeting, and internal control systems.
• Familiarity with ERP systems or inventory management software.
• Analytical, detail-oriented, and objective in approach.
• Excellent communication and report-writing skills.

4. Reporting Structure

Typically reports to the Head of Internal Audit, Finance Director, or Managing Director, and works closely with the production, accounts, and procurement departments.

Job Type: Full-time

Pay: ₹300,000.00 - ₹500,000.00 per year

Benefits:

• Commuter assistance
• Flexible schedule
• Health insurance
• Leave encashment
• Life insurance
• Provident Fund

Work Location: In person