Independent Third-Party Compliance Audits

A third-party audit is carried out by an organisation that is independent of both the audited party and whoever relies on the result, and itmad provides third-party compliance audits: independent assessment against regulatory frameworks, contracts and standards, with local auditors and a travelling team. itmad audits follow the principles of ISO 19011, and itmad is a certification body that applies strict impartiality rules. itmad operates across the Middle East, Asia and Europe. Last reviewed: October 2026.

Independence is the product

The independence of the auditor is the whole point of a third-party audit. It is why a regulator, insurer or client accepts the report instead of taking the audited organisation's word for the same facts.

First, second and third party

The three types of audit are often confused, and the difference decides who can carry one out. A first-party audit is an organisation auditing itself: the internal audit that every management system standard requires, conducted by or for the organisation. A second-party audit is a customer auditing a supplier against the customer's criteria, which are contract terms, specifications and codes of conduct and not a standard. A third-party audit is an independent body auditing against defined criteria, with no commercial relationship to either the audited organisation or the party relying on the result. Certification audits are one form of third-party audit, and compliance audits are another.

What compliance is measured against

A third-party compliance audit can assess against management system standards where an assessment is required without certification, regulatory frameworks and licence conditions, contractual requirements and service level commitments, customer codes of conduct including ethical and labour requirements, client-specific technical or HSE specifications, group or corporate standards applied across subsidiaries, and requirements that insurers or lenders impose as a condition of cover or finance.

How the audit is conducted

Scope, criteria and sampling are agreed before the audit starts, because an audit whose criteria are settled afterwards is not an audit. itmad then examines the documented arrangements, samples objective evidence from records, observes activities in operation, and interviews people at the levels where requirements are actually met. The audit follows the ISO 19011 principles of auditor competence, evidence-based findings and impartiality. The report gives findings against each criterion with the objective evidence examined, classifies non-conformities by severity, and states plainly what conforms, what does not, and what could not be determined, in the format that the relying party requires.

Who commissions these audits

Boards and audit committees seek independent assurance. Clients that impose requirements on contractors need those requirements verified. Organisations show compliance to a regulator or licensing authority, insurers and lenders require verification as a condition, parent companies assess subsidiaries or joint ventures, and organisations preparing for an external assessment that they cannot afford to fail want to know where they stand.

Impartiality rules

itmad is a certification body and applies the obligations of one strictly. itmad does not consult on the systems that it audits, does not perform internal audits for the organisations that it certifies, and where any earlier relationship could reasonably be seen to affect impartiality, discloses it before accepting the instruction and not after the report is issued.

An audit report is worth only the independence behind it. Anything that compromises independence destroys the value of the work, which is why these restrictions are worth more to the commissioning organisation than flexibility would be.

Related audit services

Where the audit is of a supply chain against the buyer's criteria, supplier audits and second-party audits cover that. Where it is against environmental or safety legislation, environment and safety compliance audits apply. Where the aim is certification against a management system standard, that is a certification audit and not a compliance audit.

Frequently asked questions

What is a third-party compliance audit?

It is an audit carried out by an organisation independent of both the audited party and whoever relies on the result. That independence is why a regulator, insurer or client accepts the report instead of taking the audited organisation's word.

What is the difference between first-, second- and third-party audits?

A first-party audit is an organisation auditing itself, a second-party audit is a customer auditing a supplier against the customer's criteria, and a third-party audit is an independent body auditing against defined criteria. Certification audits are one form of third-party audit, and compliance audits are another.

What can a compliance audit assess against?

Management system standards where assessment is needed without certification, regulatory frameworks and licence conditions, contractual requirements, customer codes of conduct, client-specific specifications, group standards across subsidiaries, and requirements set by insurers or lenders. Scope, criteria and sampling are agreed before the audit begins.

Who commissions third-party compliance audits?

Boards and audit committees, clients imposing requirements on contractors, organisations demonstrating compliance to a regulator, insurers and lenders, and parent companies assessing subsidiaries or joint ventures. Organisations preparing for an external assessment also commission them.

What does the report state?

Findings against each criterion with the objective evidence examined, non-conformities classified by severity, and a clear statement of what conforms, what does not, and what could not be determined. It is issued in the format that the relying party requires.

How does itmad protect impartiality?

itmad does not consult on the systems it audits and does not perform internal audits for organisations it certifies. Any earlier relationship that could reasonably affect impartiality is disclosed before the instruction is accepted.