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Internal auditing is widely recognized as an important business tool in the area of quality management. This article examines the technique and role of internal audits in the continuous improvement of the quality of the sports goods industry in Pakistan. Toward this goal, a survey of 100 ISO 9000 certified companies was conducted at the end of 2001 and 88 usable questionnaires were obtained. It was observed that about 70 percent of the firms have established internal quality audit departments with an average duration of 2.5 years. Since then, the rejection rate has been reduced to an average 2.8 percent from the initial 7.9 percent defects. Moreover, the internal auditors are well trained, their professional skills are highly rated and they enjoy good relations with the production staff and/or auditees. The management of the sports goods industry benefited in terms of reduction in cost, defects, non‐conformity, rejection and also better and improved ways of doing their routine work. It is anticipated that the finding of this study will work as a benchmark for other industries in the region.
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Bhatti et al. (2004) studied this question.
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