Customer Compensation Audit

Customer Compensation Audit is a specialized audit activity in the after-sales process of foreign trade. It refers to the systematic verification of compensation payments made to customers due to product quality defects, repair delays, or improper repairs. Its use scenarios include: after a manufacturer or exporter handles an overseas customer claim, the internal audit department or a third-party institution reviews the reasonableness of the compensation, the accuracy of the calculation, the compliance of the approval process, and whether it is consistent with contract terms (such as warranty scope and liability limits). Precautions: It is necessary to distinguish compensation from discounts and returns/refunds—compensation usually targets incurred losses (such as customer self-repair costs and downtime losses), rather than a reduction in the value of goods; during the audit, repair records, customer complaint evidence, compensation agreements, and payment vouchers should be checked to prevent fraudulent claims or duplicate compensation. Unlike 'quality deduction audit,' which focuses on price reductions for bulk orders, this term focuses on compensation arising from a single repair event. Compared with 'recall cost audit,' its scope is narrower and does not involve large-scale recalls.