Auditing of multi-combination registered training organisations

Recognised multi-combination Registered Training Organisations (RTO) are audited by the department to assess compliance with the requirements of the Delivery of Training Course Deed (the Deed).

What is an audit

An audit is a process where material and information are gathered and examined to assess whether requirements are being met.

What you can expect during an audit

We conduct 2 types of audits:

1. Comprehensive audits: An on-site audit of your training locations and systems. You will be required to present student training and other records, and the auditor may also:
   • observe training and assessment activities
   • review facilities, equipment, and resources
   • assess governance, management and internal processes.
2. Desktop audits: An audit will be conducted remotely. You will need to submit electronic records. You may be required to participate in phone calls or virtual meetings. You may also be requested to provide proof of your processes.

How do we decide what type of audit to do

We review your audit history, any complaints received, and other data to prioritise audits for RTOs with the highest risk profiles. The type of audit we do depends on your risk level.

How often will you be audited

Initial Audit: You can expect a comprehensive audit to be done within 3 months of being recognised by us. This may occur slightly later if you don’t provide training to many students.

Regular Audits: All RTOs are audited regularly. We will send you an email to schedule a routine audit at least 5 business days in advance.

Additional Audits: If we identify higher risks (e.g., receive a complaint), extra audits may be conducted. These may be either scheduled or unscheduled.

What happens after an audit

If there are no problems at audit, we will send you the audit report within 15 days of the audit being completed and close the audit with no further action required. If there are problems, we categorise them as:

1. Minor non-compliance: Low risk issues that are less likely to lead to negative road safety outcomes, typically administrative mistakes. Examples include:
   • minor record-related issues, such as use of an incorrect template
   • failing to notify us when a driver trainer leaves the RTO.
2. Major non-compliance: Issues that are high-risk that compromise training quality or business activities. Examples include:
   • not delivering training as per the approved package
   • failing to provide students with relevant information and/or resources.
3. Critical non-compliance: Serious breaches affecting public safety and/or student learning, or which show serious disregard for the terms of the Deed. Examples include:
   • issuing Statements of Attainment without proper training
   • denying our auditors’ access to premises or records
   • breaching road safety laws during training.

What happens if we identify a problem

Depending on the severity of the problem, we may take the following actions to address the problem.

Minor Non-Compliance

• If a minor non-compliance is identified, we will provide you with education and guidance. You will be responsible for deciding how to address the issue.
• A written audit report will be sent to you within 15 business days of the audit.
• If multiple minor non-compliances are identified, they may be upgraded to a major non-compliance. This could happen if there are repeated breaches of the same section of the Deed or breaches across multiple sections.

Major Non-Compliance

• For a major non-compliance, we will issue a Corrective Action Report (CAR) along with a written audit report within 15 business days of completing the audit.
• You must submit a Corrective Action Plan (CAP) within three business days of receiving the audit report. The CAP must identify the root cause of the issue(s), outline how you will fix the issues, and commit to an agreed timeframe to develop and implement the plan.
• We will review the CAP within 5 business days and either approve it or request amendments.
• Once approved, you must implement the plan.
• We may also conduct a follow-up on-site audit to ensure the non-compliance has been resolved.
• Failure to address the non-compliance by the due date may lead to further action, including termination of the Deed.
• If multiple major non-compliances are identified, they may be upgraded to a critical non-compliance. This could happen if there are repeated breaches of the same section of the Deed or breaches across multiple sections.

Critical Non-Compliance

• If critical non-compliance is identified, you will receive a copy of the audit report within 15 business days of completing the audit and be informed of the critical issues.
• You will have 5 business days to provide any additional information regarding the audit findings for consideration by the decision-maker.
• Within 15 business days of receiving the additional information, we will issue a written notice detailing the decision. This may include:
  • amending or terminating the Deed
  • issuing a CAR
  • closing the matter with no further action.

We will immediately terminate the Deed if public or student safety is deemed to be at risk.