Forestry Audit Services

Dendro’s Foresty Audit Services are utilized by sawmills, paper mills, wood procurement teams, forestry consultants and timberland investment organizations. Each of our services is designed to enhance and support the theft and fraud stance of your company. This is accomplished by leveraging our “boots on the ground” forestry background and our Certified Fraud Examiner (CFE) training to examine your procurement department, wood supply chain, or timberland management’s operations for any possible control weaknesses. If we identify a weakness our report to you will contain recommendations on fixing the weaknesses. If we don’t see any issues, our presence and audit processes will enhance your zero tolerance for fraud message.

Scale House Audits

Some of the largest forest industry frauds have been committed in the scale house by falsifying the data in some way and directing payments towards the scalers benefit. One of the largest documented frauds in the US was for $6.7 million dollars.

  • Scaling is the process of measuring the volume of any wood products delivered to the mill.
  • The measurement can be done by weighing the truck or using standard forest metrics to directly measure each tree.
  • Each load delivered is recorded on a scale ticket that provides the details to the driver and to the mill who is to be paid for the wood.

How Does a Scale House Audit Work?

  • These Audits include observing scaling procedures as wood is delivered, reviewing scaling reports and auditing the inventory procedures.
  • Audits include both manned and unmanned facilities.
  • Regular scale house audits ensure your company operations are compliant with company policy and procedures.
  • A systematic audit process also communicates a great anti-theft and fraud message to all employees and contractors.



Harvesting Audit

The objective of a Harvesting audit is to provide management with assurance that harvesting on their timberland is meeting and surpassing company and environmental guidelines as the harvests are planned, executed and completed.

Areas reviewed include:

  • Forest management plans
  • Silviculture activities
  • Road construction activities
  • Fire protection activities
  • Site preparation.
  • Tree planting
  • Merchandizing
  • Tract closeout procedures.

How Can We Help?

With years of experience in managing harvesting jobs and conducting comprehensive harvesting audits Dendro Resource Management Inc. is able to provide top-notch service to all its clients throughout the United States. If you are on the lookout for a reputed, reliable, and experienced forestry audit company, get in touch with us today and one of our experts will be there to assist you!

Get a harvesting audit for your timber security

Ensure your complete harvest makes it to the mill.


Dendro Resource Management, Inc. has perfected a comprehensive contractor risk assessment process to provide our clients with a risk rating for each contractor working.

In the past, contractor risk assessments were accomplished by utilizing a standard set of questions ranging from crew composition to timber security system utilization. Data gathered from the 18 years of conducting this process has been instrumental in creating an objective risk model. DRM partnered with Stang Decision Systems, a company that specializes in decision science technology, to build this risk model and assist DRM in keeping the database objective and learning into the future. As more data is gathered the risk model becomes even better.

Benefits of a Contractor Risk Assessment

  • Once the contractors are interviewed the data gathered is entered into the model which in turn generates a risk rating for each contractor.
  • That rating is an objective score that simply quantifies the operational risk any contractor brings to your operations.
  • Ratings are reported to our clients who can utilize the scores as a tool to assist them in managing risk across all operations.
  • This risk model adjusts to account for who is being interviewed, size of the organization, regional differences, crew characteristics and production trends that impact overall risk.
  • The risk model “learns as more data is gathered” which continually provides better and more accurate ratings to clients.

How Can Contractor Risk Assessment Help?

Contractor Risk Assessments are an important tool in raising the theft and fraud awareness throughout your operations and is a key component of our theft and fraud deterrence package.

Audit your timber harvesting contractors

Don’t lose money at the mill. Audit the process.


DRM can assist your internal audit department by supplying 32 years of operational forest industry experience. Those years of operational auditing mean we can assist by making the complex forest industry supply chain, wood procurement systems and inventory management processes easy to understand and audit. Hiring a subject matter expert from DRM to supplement your internal audit staff can greatly enhance the internal audit team of any company.

And if your company does not have an internal audit department, DRM can act as your internal audit services company. Services include:

We Act as Your Internal Audit Department

  • A review of scale house operations
  • An audit of the entire wood procurement department processes
  • Policies and Procedures auditing
  • Business control environment testing followed by recommendations to enhance any weak controls .
secure the timber harvested

Are field workers doing what they have been trained to do?

Policies and Procedures Compliance Audit

A company’s policies and procedure manual is designed to clearly express the operating parameters for any company. In forest operations, the manual covers everything from contract execution expectations, purchasing limits, expenses account processes and forest practices to be followed. And many other items too numerous to mention here.

A compliance audit is designed to compare and contrast the operating principles in the manual with the actual business practices in the field. When discrepancies are found, the audit report will recommend methods to re-align the manual with current business practices.

Additionally, a compliance audit will communicate to those within the company the importance of the policies while at the same time providing management the assurance that operations are working as designed.

Get an internal procedures audit to ensure security

How Can We Help?

As a forestry audit services company that has been operating for over 32 years, Dendro Resource Management Inc. has the experience and expertise of conducting a comprehensive compliance audit for all players involved in the timber industry. We have offered our services to paper mills, sawmills, biomass mills, timberland management organizations and wood producers alike, and provided management the assurance that field operations are being conducted as they designed them in the boardroom.

Are Your Investments Protected and Managed Properly?

Timberland Investment Management Organizations (TIMO) Auditing

Designed for those with pension funds invested in TIMO’s these audits provide you the investor that timberland operations are being conducted in a way that meets their fiduciary responsibilities.

Audits Include:

  • Reviewing the annual management planning processes
  • Examining and field testing the contracted silvicultural operations.
  • Auditing stand inventory management processes and harvest depletion methods.
  • Review the harvest inspection processes and timber security systems.
  • Evaluate the company’s adherence to the various environmental standards.

Suspect that your operations may be losing money?

Do not hesitate another day. Fraud happens. We can detect and stop it.