Internal audit for FPL

AN in-depth internal audit is now being done at Fiji Pine Ltd (FPL) and an evaluation of specific investments carried out.

Company’s executive chairman Ratu Rakuita Vakalalabure said external consultants were now in progress in this area to look at the specific investments made.

“We are now working on the business case for such activity,” Ratu Rakuita said.

“On investments made, it is really important to know the investment makes business sense.

“The company board has initiated a review of the organisation structure and strategic plan of the organisation.”

It is also understood that Fiji Pine is debt-free.

He said the consultants would also look at job evaluation.

“We have also been undertaking an in-depth internal audit. Coming into Fiji Pine Group it was noticeable that the organisation was very light at the top because of its flat structure with the CEO making all the decisions with one or two other personalities and corporate governance questionable, in some cases for short-term benefits.

“Noticeable also was the need for good planning before new investments were committed.”

Ratu Rakuita said the sourcing of equipment such as logging trucks and heavy machinery from global suppliers removed the comfort of known local suppliers with backup maintenance service providers.

He said those local suppliers knew the appropriateness of the equipment for local road, terrain, and climatic conditions.

Staff retention, he said, seemed to be a challenge especially tradespeople leaving because of better terms and conditions of employment elsewhere.