DFS NAM Monthly Internal Audit

• Conducted on

  Date

• Prepared by

Sales Floor

• Are associates following policy by not showing more than 3 WJA items from the display case at a time?

  Yes

  No

  N/A

• Are purchased products kept in a designated holding area for runners to pick up?

  Yes

  No

  N/A

• Please provide image of call-out area

  Media

• Are STEBs being used for all LAG purchased? Are all unused bags secured?

  Yes

  No

  N/A

• Please provide image of unsecured STEB bags

  Media

• Are all customers being greeted and engaged throughout their visit?

  Yes

  No

  N/A

• Are all associates aware of how to identify counterfeit currency?

  Yes

  No

  N/A

• Are staff checking bills over $20 dollars (1 of every 10)?

  Yes

  No

  N/A

• Are fraud detectors present next to POS and being used for Cash transactions?

  Yes

  No

  N/A

• Has the High Value Watch Log been completed for the AM and PM shifts for the previous day and compared against system quantities?

  Yes

  No

  N/A

• Provide image of previous day log

  Media

• Are associates signing out of POS when not in use?

  Yes

  No

  N/A

• Are only active discount codes available on the POS?

  Yes

  No

  N/A

• Do prices displayed on the shop floor match prices on the POS? (check 5 SKUs from different departments)

  Yes

  No

  N/A

• Provide SKUs that did not match

• Does the POS prompt for supervisor for cash transactions of $3000+ and $10,000+?

  Yes

  No

  N/A

• Are staff aware of where to locate IRS 8300 Forms and when to use?

  Yes

  No

  N/A

• Is there a segregation in duties for those performing cycle counts and those reconciling with system on-hands?

  Yes

  No

  N/A

• Please provide image of stock count log

  Media

• Are all display cases and show windows locked?

  Yes

  No

  N/A

• Are cabinet/display keys kept in the lock box or on the designated person?

  Yes

  No

  N/A

• Are beauty testers labeled as such and within expiration date?

  Yes

  No

  N/A

• Please provide photo of aged/unmarked tester(s).

  Media

• Perform a random cycle count on 5 high value items. List SKUs counted and if count aligns with system data.

• Are the associates following procedures on credit card purchases (not swiping for customer, inserting chip where applicable, not manually keying in card information)?

  Yes

  No

  N/A

• CC expiration date is not printed on the customer receipt.

  Yes

  No

  N/A

• Are staff following proper procedures when accepting travel agent gift certificates? (scanning barcodes and using appropriate value)

  Yes

  No

  N/A

• Is POS control for supervisor approval when refund exceeds $500 in place?

  Yes

  No

  N/A

• Are staff bags checks performed daily when associates leave the store?

  Yes

  No

  N/A

BOH

Back of House

• Is there an SOP book kept in the office?

  Yes

  No

  N/A

• Is temperature-sensitive merchandise being kept within product requirements?

  Yes

  No

  N/A

• Are the safe/alarm codes changed upon leadership turnover?

  Yes

  No

  N/A

• Are all the store keys secured on the appropriate persons?

  Yes

  No

  N/A

• Are fire extinguishers inspected regularly?

  Yes

  No

  N/A

• Provide location of expired inspection

• Are fire extinguishers mounted and accessible?

  Yes

  No

  N/A

• Provide photo of fire extinguisher not accessible.

  Media

• Are Loyal T enrollment forms being completed properly?

  Yes

  No

  N/A

• Are T&C signed by customers?

  Yes

  No

  N/A

• Are Loyal T enrollment forms/ cards kept securely?

  Yes

  No

  N/A

• When Loyal T consent box is not ticked by customers, is this reflected in the system?

  Yes

  No

  N/A

Cash Room

• Are cash drops secured in cash office?

  Yes

  No

  N/A

• Is the Daily Cashier Log complete in full containing signatures of a member of the leadership team and associate?

  Yes

  No

  N/A

• Provide image of yesterday's cashier log.

  Media

• Are the keyed credit card purchases imprinted and to the slips contain necessary information?

  Yes

  No

  N/A

• Is the safe completely locked and in good working condition?

  Yes

  No

  N/A

• Are Manual Transactions Slips stored in the Cash Office?

  Yes

  No

  N/A

• Are gift certificates/cards kept securely?

  Yes

  No

  N/A

• Provide image of unsecured gift certificates/cards

  Media

• Is the manual packing slip log filled out and up-to-date (validate against actual OH)?

  Yes

  No

  N/A

• Provide image of manual packing slip log.

  Media

• Has the Manager's Bank form been filled out and funds been verified for AM and PM?

  Yes

  No

  N/A

• Please provide image of current form.

  Media

• Is the Manager's Bank at the $5000 limit

  Yes

  No

  N/A

• Has the petty cash fund audit been complete(validate for accuracy).

  Yes

  No

  N/A

• Please provide image of most recent cash fund audit

  Media

• Does the store have copies of the Cash Payment Over $10,000 worksheet with carbon copies and copies of the IRS for 8300.

  Yes

  No

  N/A

• Are the dated deposit bags strips attached to the Daily Cashier Log?

  Yes

  No

  N/A

• Are the associates signing and dating the deposit bag strip?

  Yes

  No

  N/A

• Are cash transfers from stores to safe secured by either LP or supervisor escort?

  Yes

  No

  N/A

• Is the Armored Carrier Pick-up Log filled out with the number of bags with approximate cash amount listed(from PAX), picked up and appropriate signatures?

  Yes

  No

  N/A

• Please provide image of most recent Armored Carrier Pick-up Log

  Media

• Does the store have an updated employee list for their Armored Carrier Company?

  Yes

  No

  N/A

• Please provide image of current list

  Media

• Are all deposits dropped in the presence of a member of Leadership?

  Yes

  No

  N/A

• Is the Deposit Drop Log being utilized with associate initials for the bags they are dropping and leadership initials for verification?

  Yes

  No

  N/A

• Please provide image of most recent Deposit Drop Log

  Yes

  No

  N/A

Warehouse

• Are trash and boxes inspected by a member of leadership before disposal for Back of House and Floor trash?

  Yes

  No

  N/A

• Are aisles/floor clean and free of debris? (Warehouse)

  Yes

  No

  N/A

• Please provide image of debris

  Media

• Do all light sockets have working bulbs? (Warehouse)

  Yes

  No

  N/A

• Are bag checks being performed on all associates leaving the relay warehouse (if applicable)?

  Yes

  No

  N/A

• Are all Loc to Loc transfers documented correctly?

  Yes

  No

  N/A

• When receiving a transfer, is the merchandise being piece counted?

  Yes

  No

  N/A

• Are the number of boxes/totes being verified prior to signing the drivers scanner/invoice?

  Yes

  No

  N/A

• Is damaged or tampered shipment counted/noted upon arrival?

  Yes

  No

  N/A

• Do all customers claims have tickets and "Flight line Reports" filled out and attached?

  Yes

  No

  N/A

• Please provide image of customer claim bags

  Media

• Are RTVs completed immediately and processed per policy?

  Yes

  No

  N/A

• Are the Packing Slips and Receiving paperwork organized and filed correctly? Does the location have 90 days of documentation?

  Yes

  No

  N/A

• Are damages being stored neatly and in one area?

  Yes

  No

  N/A

• Please provide image of damages area.

  Media

• Are damages being disposed of according to procedure?

  Yes

  No

  N/A

• Are damaged reports being filled out in full?

  Yes

  No

  N/A

• Is all GDC merchandise kept secure in a designated area and not left in corridors?

  Yes

  No

  N/A

• Please provide image of GDC storage.

  Media

• Is product leaving the warehouse to other terminals/gate stores secured in locked/sealed totes?

  Yes

  No

  N/A

• Please provide image of sealed tote.

  Media

• Are all seals for the toted kept secured? (Warehouse/Relay Warehouse)

  Yes

  No

  N/A

• Do Distribution invoices/manifest contain quantities and are they signed?

  Yes

  No

  N/A

• Are stores sending Delivery Log to Inventory Control containing how many pallets/cartons have been received from Torrance?

  Yes

  No

  N/A

• Is the merchandise neatly stored in the stockrooms and designated areas?

  Yes

  No

  N/A

• Are the stock room doors closed and secured during work hours?

  Yes

  No

  N/A

• Are the Fire Exits/Receiving Doors locked when not in use (If applicable)

  Yes

  No

  N/A

• Are all STEBs secured and not left out unattended?

  Yes

  No

  N/A

• Please provide image of unsecured STEB bags

  Media

• Have fire extinguishers been inspected and serviced annually by a certified vendor?

  Yes

  No

  N/A

• Please provide last date of inspection

  Date

• Are all fire extinguishers properly mounted?

  Yes

  No

  N/A

• Please provide image of unmounted fire extinguisher.

  Media

• Are keys to high risk areas carried only by authorized person and on their person?

  Yes

  No

  N/A

• Are flight line audits being completed according to policy?

  Yes

  No

  N/A

• Please provide photo of last week's audits.

  Media

• Is the flight line log for unclaimed bags, up to date through previous day?

  Yes

  No

  N/A

• Please provide image of flightline log

  Media

Human Resources

• Is the HR file cabinet secured and is the key in the appropriate persons?

  Yes

  No

  N/A

• Are employee files complete?

  Yes

  No

  N/A