ISM INTERNAL AUDIT,ITS OBJECTIVE,SALIENT ISSUES AND PERSON RESPONSIBLE FOR SAME

 After July 2010 it became mandatory to carry out internal audit annually under ISM code. Clause 12.1 of ISM code says " Internal safety audits are now required to be carried out on board and ashore at intervals not exceeding 12 months, in extreme exceptional cases it can be extended to 3 months." So, what should be the objective of internal audit?
OBJECTIVE OF ISM INTERNAL AUDIT
1 ) It acts  as a tool to monitor how  well the SMS system is implemented on board regarding the safety practices and pollution prevention activities.
2) It helps in checking whether company safety and environmental policy is continually in compliance with the requirement of this code. Provides an opportunity to possible changes in the SMS system
3) Shows the evidence of the SMS working and that the procedures are being followed
4) To determine compliance with regulatory requirement
How it helps external audit: - Normally an internal audit is carried out 4 weeks prior to external audit. The internal audit is carried out in same rigorous way as an external audit.
During internal audit, the shortcomings of the shipboard SMS, identified as the form of NC, observation can be rectified by ship staff or by the company before any external audit. This provides time and guidance for improving the preparedness towards external audit. Any deficiency /NC which would have been left unattended till the time of external audit thus will be brought up and corrective action procedure will be laid down, brought in the internal audit. The internal audit is carried out as per the procedure laid down in company’s SMS annually. It is conducted by company’s person who is other than the field of audit. By this all documents, displays, procedures, emergency equipments etc. are checked for proper order. Thus an internal audit helps a lot in conducting of external audit. The effectiveness of former will certainly affect the effectiveness of latter.
SALIENT ISSUES ADDRESSED IN INTERNAL AUDIT
1) About safety and environmental protection policy.
2) Instruction and procedure to ensure safe operation of ship.
3) Level of authority and lines of communication between shore and shipboard personnel.
4) Procedure for reporting accidents and non conformities.
5) Procedure for prepare for and respond to emergency situation.
6) Company’s DOC validation.
The auditor should check
1) Plans/ procedures being followed.
2) Laws and regulations being followed.
3) Records/ documentations are being maintained to provide adequate and accurate information.
4) Deficiencies are identified and corrective action taken.
5) Personnel are familiar with use of SMS.
PERSON RESPONSIBLE FOR INTERNAL AUDIT
The person responsible for internal audit is a company’s man and most probably from ISM cell. Designated person ashore (DPA) is the responsible person for carrying out/ organizing the internal as well as the external audit. The audit is carried out by a competent person belonging to department other than the field being audited. Auditor should have undergone training to the extent necessary to ensure their competency in the skills required for carrying and managing the audit. They should have knowledge and understanding of terms, standards used in the system and should have good assessment technique for examining, questioning, evaluating and reporting.