Factory audit and vendor surveillance are two important aspects of supply chain management that are designed to ensure that vendors and factories comply with the requirements and standards set by the customer.

Factory audit refers to the process of assessing a factory's compliance with relevant standards, regulations, and industry best practices. The purpose of a factory audit is to identify potential risks and areas for improvement in a factory's operations and to ensure that the factory is capable of producing high-quality products that meet the customer's requirements.

Vendor surveillance, on the other hand, refers to the ongoing monitoring of a vendor's performance throughout the supply chain. This includes monitoring the vendor's compliance with contractual requirements, as well as assessing their ability to deliver products on time and to the required quality standards.

Both factory audits and vendor surveillance are critical to maintaining a high level of quality and ensuring that products meet the customer's requirements. They help to identify potential risks and issues early on, allowing corrective actions to be taken before they impact the supply chain or the end customer. Additionally, they help to build trust and transparency between the customer and their vendors, which can lead to stronger and more productive relationships in the long run.

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