Get documents about "Store Audit Program Drugstore
Document Sample
Store Internal Audit Program
Prepared by: Michael King
mikek@kinneydrugs.com
August 11, 2003 (XIII)
Updated: February 6, 2004
April 14, 2004
June 3, 2004
July 23, 2004
Store Audit Program
Store / Number: _______________________________.
Audit Frequency: _______________________________.
Prepared By: ____________________. Date: ________.
Pre Audit Research:
Conduct an entrance meeting with the Manager as soon as possible upon arrival. Briefly outline
The plan and assistance required from store management.
Discuss with Manager areas of concern that may require more time.
Review store injury reports.
General:
Verify that the written Policy & Procedures Manuals for the store are current, complete and accurate.
Review door code file and operator authorization file to insure timely purging of terminated employees.
1. Cash Office Operations
__a. Observe if cash office door has lock and is locked Notes:___________________________.
when not in use by authorized staff.
__b. Perform a count and reconciliation of all the Notes:___________________________.
funds in the cash office. Notify Loss
Prevention and Management of any Safe:_____. Register drawers:______.
significant shortages and or overages.
Verify total to Store on hand balance.
__c. Make note of any non-company funds Notes:___________________________.
located in the cash office or safe. (Which
staff have access?)
__d. Is the safe or file locked when not in use? Notes:___________________________.
__e. Record and copy any personal checks which Notes:___________________________.
represent part of the fund balance.
(Approved voucher/check okay if approved
because payroll check not processed).
__f. Observe the preparation of the bank deposit. Notes:___________________________.
Verify that deposit is reviewed and signed
off by 2 employees, prior to going to the
bank. (Preferably managerial staff). Should
be 2 deposits per day.
__g. Review copies of several days deposit slips Notes:___________________________.
and tie them into the cash control log.
Make copies of 4 or 5 to trace later to
bank deposit statement.
__h. Check to see that deposit slips, deposit log each Notes:___________________________.
line entry and daily cash report are signed by
the Manager?
__i. Review a random sample of checks received &
Charge Card Transactions from prior day’s
business and verify that each Notes:___________________________.
was processed in accordance with existing
policies and procedures.
__j. Review “Paid Out”, “Post Voids” & “Refunds”
vouchers from previous day Notes:___________________________.
and insure they are being completed, supported
and approved in accordance with existing
policies and procedures.
__k. Obtain the daily over/short reports for several Notes:___________________________.
previous days and insure that all cashier
variances are recorded by cashier, register,
amount, and date in Over & Short Log.
(LP notified for item > $20/($20)).
__l. Verify that store management performed Notes:___________________________.
timely follow up with subject staff
regarding shortages/overages.
__m. Observe preparation of the daily Retail & Notes: ___________________________.
Sales report. Verify selected items back
to register output reports.
__n. Observe data entry of daily store cash up Notes: ___________________________.
into computer terminal. (Completed daily
and transmitted to Corporate).
__o. Observe the Managers (or designates) Notes: ___________________________.
Inventory of Lottery Tickets. Insure policy
of balancing daily and reporting shortages
to loss prevention being followed.
__p. Insure Procedures relative to Gift Cards Notes: ___________________________.
are adhered to.
__q. Count Postage stamps and record total. Notes: ___________________________.
__r. Review Register Cash up sheets and insure Notes: ___________________________.
signed by Cashier and Management.
__s. Review status of Bad check Log. Notes: ___________________________.
__t. Are un-activated Lottery Ticket books Notes: ___________________________.
secure and have they been entered to DSD.
__u. Check updating of Canadian Currency Rates Notes: ___________________________.
when applicable.
1. Receiving Merchandise Shipments/Drop Shipments (DSD):
__ a. Immediately upon arrival, request notice Notes: _________________________.
when a merchandise vendor / truck arrives
to deliver a shipment of or to stock product.
__b. Upon notification of the vendor/truck arrival Notes: _________________________.
proceed to the delivery area and observe the
entire process, the counting of the cartons,
pieces, and signing of the bill of lading or
receipt. The Final Delivery Document should
be printed when merchandise is received.
It is used to reconcile to detailed delivery
Report. Stapled report should be attached
To original invoice and submitted to
Accounting via store mail.
__c. Insure the vendor is not allowed to take any Notes: _________________________.
product to the sales floor until the entire
order is verified.
__d. Insure store employees don’t change DSD Notes: _________________________.
system. (cost, retail, upc, etc.)
__e. Insure shortages on a DSD delivery orders Notes: _________________________.
are noted on the supplier delivery ticket
or invoices, as proof of delivery. Should
be signed by Driver and employee.
__f. Determine if the vendor places and order for Notes: _________________________.
product, that it is signed off by management.
__g. If credit is issued, verify if possible the
quantities and record the disposition of the Notes: _________________________.
product.
__h. Insure that DSD product requiring credit is not Notes: _________________________.
setting in the back room for an extended
period of time.
__i. Inventory of carton contents should be done for Notes: _________________________.
100% of all cartons.
__j. If a vendor log is used insure the vendor signs Notes: _________________________.
log.
__k. Ensure all DSD receiving/returns are entered Notes: _________________________.
to the system the day received/returned.
__l. Is an associate staying with DSD driver at all Notes: _________________________.
times in the back room?
2. Front End Observations:
__a. Review register, scanning equipment Notes: _________________________.
to insure in good working order. Is
FAS Tagger deactivation working
Correctly?
__b. Verify that merchandise recovery procedures Notes: _________________________.
are being followed. Timely return of
returns to sales floor.
__c. Review register transactions Notes: _________________________.
and insure they are being handled in
accordance with company policy:
Money Orders Western Union
Lotto Utility bills
Scratch off Lottery Paid Outs
__d. Insure that register drawers are being run by the Notes: _________________________.
same associate until cash up is done.
__e. Customers ID’s being requested for sales of Notes: _________________________
Tobacco and Alcohol (proof of age)?
3. Photo Department:
__ a. Insure the area is neat and the equipment clean Notes: _________________________.
and in good working order.
__b. Review the maintenance log for last service dates Notes: _________________________.
and jot them down.
__c. Observe if high dollar items are tagged. Notes: _________________________.
(cameras, electronics etc.)
__d. Review processing of employee photo finishing Notes: _________________________.
purchases. They should be paid for and
processed by another employee.
__e. Review the age of photos finished and not picked Notes: _________________________.
up by customer yet. Note old items.
__f. Verify overnight photo processing have been Notes: _________________________.
entered into the system day of receipt.
__g. Are chemicals properly stored and handled to Notes: _________________________.
prevent accident or injury? Is storage, and
handling according to OSHA standards?
__ h. One hour photo Check log to insure “Un-billable Notes: _________________________.
clicks (start-up, maintenance, etc.) are being
accounted for.
__ i. OSHA CD training completed and documented. Notes: _________________________.
4. Store Safety:
__a. Verify that doors are clear of obstructions. Notes: _________________________.
Stairs clear of obstructions? (OSHA)
__b. Are all exit doors in good working order? Notes: _________________________.
Emergency Lighting in working order?
(OSHA)
__c. Is the receiving area, dock/door, outside Notes: _________________________.
parameter and parking lot cleaned and
well maintained?
__d. Is there an emergency evacuation plan? Notes: _________________________.
Is it posted at strategic locations
throughout the store? (OSHA)
__e. Verify that receiving door is closed and Notes: _________________________.
locked with padlock when not in use,
unless tied into Detex alarm system.
__f. Review back room area and insure it is orderly. Notes: _________________________.
Storage in overhead racks needs to be secured.
(OSHA)
__g. Wet Floor signs being used when appropriate? Notes: _________________________.
__h. Chemicals stored near food products? Notes: _________________________.
__i. Other:
Ladders used properly Notes: _________________________.
Chemical Hazard MSDS sheets
available.
Photo chemicals stored and
handled properly
(OSHA)
OSHA = specific areas:
5. Damaged Merchandise:
__a. Obtain the paperwork for all existing salvage Notes: _________________________.
merchandise awaiting disposal and match it
to some or all of the corresponding pieces
of merchandise collected.
__b. Document questionable salvageable merchandise. Notes: _________________________.
__c. Document the location of the Damage paperwork. Notes: _________________________.
__d. Verify that Managerial approval is on paperwork. Notes: _________________________.
Review any questionable items with management
and loss prevention.
6. General other areas:
__a. Review the overall neatness and organization Notes: _________________________.
of the store. Floors, windows, displays,
signs, back room, break room, rest room,
etc.
__b. Postings of Licenses (DEA & State Board Notes: _________________________.
for Pharmacy) , DOL and OSHA
documentation, Sales Tax current and
in the required locations?
Food Stamps, HIPPA, Tobacco & Alcohol
both NY & VT.
__c. Run a copy of Inventory Adjustment Report Notes: _________________________.
off the system. Review unusual items
with the manager. (shrink, contributions,
damage warehouse, outdated product,
pilfered, recall, scrap at store, and transfer to
or from, store use & pick-up.
__d. Do a random review for outdated merchandise . Notes: _________________________.
__e. Damaged credit for National brand products Notes: _________________________.
returns timely. If a lot of credits or substantial
let Management know.
7. Deliveries:
__a. Review and test store delivery policy. Insure Notes: _________________________.
documentation, approvals etc. are correct.
__b. Do we have copy of valid driver’s license, Notes: _________________________.
proof of insurance, and responsibility
sign off form? Insure at least 18 years of age.
__c. If applicable review credit card miles usage. Notes: _________________________.
__d. Review Open Outstanding Balance of AR. Notes: _________________________.
(with bookkeeper)
8. Managers responsibility Should be twice weekly:
__a. Counts the safe and check safe log for accuracy. Notes: _________________________.
__b. Check lottery ticket inventory and dispersal. Notes: _________________________.
__c. Be informed of over/short situations and follow up. Notes: _________________________.
__d. Verify that bank deposits are being handled Notes: _________________________.
Properly.
VERMONT STORES ONLY:
__e. Copy of Beer & Wine invoices kept in file in store. Notes: _________________________.
__f. Signatures of all employees stating they have Notes: _________________________.
attended State of VT Training for Alcohol
& Tobacco Sales.
9. Pharmacy:
__a. Are all required books and manuals Notes: _________________________.
relative to State regulations on hand?
New York:
Facts & Comparison
USPDI
Copy of Part 80 Rules & Regulations
Vermont:
Facts & Comparison
USPDI
F/C Drug interaction Guide
APA Handbook of Non-Prescription
Drugs- 13th. Edition
APA Handbook of Pediatric Dosage
Forms- 9th. Edition
Copy of Federal and State Law
Of Pharmacy
__b Is a pharmacist present in the store Notes: _________________________.
during all open hours?
__c. Does the pharmacy have a current Drug Notes: _________________________.
Enforcement Administration License?
__d. Does the Pharmacy have a current license by the Notes: _________________________.
State Board?
Other Licenses:
New York:
Pharmacists Licenses & Registrations
ESAP Certificate (for sale of syringes
Without RX)
Vermont:
Pharmacists Licenses & Registrations
Technician Registration
__e. Are controlled substances secured (CII in Notes: _________________________.
locked cabinet) to obstruct theft
or diversion? (BU/D/D/C/A to run CII
on hand).
__f. How often is a controlled substance Notes: _________________________.
inventory taken? Should be once a
year unless a change of SP.
__g. Are controlled substance documents Notes: _________________________.
maintained separately from other
drug records?
Review Store Control Box:
Documents kept 7 years (separate
Control boxes)
1. Current Power of Attorney Paperwork
2. Invoices
3. VT Invoices initialed
by person checking in every page
date,store number and if order is
correct.
4. Drug Inventory (perpetual 2 years VT)
5. Unused C-11 order Blanks (222’s)
6. Used 222’s with Invoices
7. RSD Returns with shipping receipt
8. Past Inspection Reports/Corrective Action taken
9. Patient Profile Release forms
__h. Is a separate log of controlled Notes: _________________________.
substances maintained? Review
adjustments made. Verify physical
count back to receipts, scripts etc.
for a couple of drugs. (Log/ Renlar
Physical Count).
__i. Does physical set up of Pharmacy Notes: _________________________.
deter customer from reaching in and
taking a product?
__j. Review the prescription signature log Notes: _________________________.
for completeness. Scan to insure check
marks are indicated when consultation
declined.
__k. Check OPD (office Of Professional Notes: _________________________.
Discipline) areas of review:
Computer list of top 150 drugs
and retail price available in system?
Refrigerator contains drugs only?
Thermometer in refrigerator to insure
temperature at between 2 & 8 degrees
Celsius.
Outdated drugs pulled from
stock and marked?
(Quarantined and Marked “Outdated
Merchandise”)
__l. Pharmacist must sign, date and list quantity Notes: _________________________.
dispensed for all controlled substances
on the face of the prescription. Any
re-fills must be on the back of the
Prescription. Must have Complete heading
on the prescription including name, date,
address, physician etc.
__m. Review 2/3 Non CII drugs a check actual Notes: _________________________.
to Renlar. Review Interactive edits looking
for large adjustments downward. Xanax &
Hydrocodone.
__n. McKesson returns done within 30 days? Notes: _________________________.
Credit memo signed by McKesson driver
and Kinney representative.
__o. Shortage calls to McKesson in 5 days non- Notes: _________________________.
controlled and 24 hours controlled must be
done?
__p. Is cycle counting being done according Notes: _________________________.
to policy? Look at results. Once a month
according to schedule.
__q. Are filled dated “On The Wall” prescriptions Notes: _________________________.
purged and returned to stock if not picked
up timely? (2 week period).
__r. Is the log of daily prescriptions filled signed Notes: _________________________.
by the pharmacist?
__s. Are inter-store transfer files maintained and Notes: _________________________.
followed up?
8. Merchandising:
__a. Are window/Ads and store signs current and Notes: _________________________.
appropriately placed? Are signs according?
to Company policy?
__b. Using Telxon test system prices to shelf and Notes: _________________________.
product labels.
__c. Test price change list & Specials list to shelf Notes: _________________________.
marked prices.
9. Follow- up items:
__a. Perform necessary review and analysis of audit
leads developed during the execution of the
audit questionnaire.
10. Audit Finalization:
__a. Prepare Draft Audit Report. Should include identified control deficiencies and operations
problems. Cross reference factual statements in report to supporting workpaper (s ).
__b. Conduct an exit conference and discuss draft report and or findings with manager.
__c. Based on results of exit conference, make revisions to findings or draft audit report.
__d. Prepare final audit report for distribution. Distribute to appropriate management.
President, CEO, Audit Committee
VP Finance & CFO
VP Pharmacy Development
VP Store Operations
VP Store Development & Design
Regional Managers
Store Manager
SP
Related docs
