Hazmat Compliance Audits: Staying Ready Before Inspectors Knock

Audits are not surprises when your system works

Most brands fear hazmat audits because they imagine a federal inspector walking in with a clipboard and a grim expression. In reality, hazmat compliance audits only feel scary when you have no idea what they will find. When your processes, training, and data stay aligned with the rules, audits simply confirm what you already know.

Hazmat compliance audits come from several directions. DOT reviews shipping papers and packaging under 49 CFR Parts 171 through 180. OSHA checks hazard communication, training, and workplace safety under 29 CFR 1910.1200 and related standards. EPA and local fire officials examine chemical storage, hazardous waste handling, and reporting obligations. Each agency looks at a slightly different slice of your world, but the throughline is the same: prove you know your hazards and control them.

What DOT auditors check first

DOT hazmat inspections often start with basic documentation. Inspectors look at shipping papers, emergency response information, classification records, packaging approvals, and employee training files. Their lens comes from 49 CFR 172 for communication, 173 for packaging and classification, and 178 for performance packaging standards.

Director of Vendor Operations Kay Hillmann sees how fragile these foundations can be when classification is sloppy. "We are certified in all hazardous materials. We were looking at a matches company, that is a hazardous material. We ship concrete sealant, that is hazardous, a different classification. Paint, your everyday paint you get from a home center, that is hazardous material. Flammables, like gas power generators, that is hazardous material. Perfumes, alcohol." Those classifications drive packaging choices and shipping papers. If the starting point is wrong, everything downstream fails an audit.

OSHA brings a different checklist

OSHA focuses on workplace safety and hazard communication. Under 29 CFR 1910.1200, inspectors look for accurate chemical lists, Safety Data Sheets, labeling, and employee training. They also examine walking working surfaces, forklift operations, PPE use, and spill response procedures. Even if you ship hazmat perfectly, an unlabeled drum or blocked exit can derail an OSHA audit.

Director of Operations and Projects Maureen Milligan calls out the importance of ground up feedback. "Just because you happen to work in a warehouse does not mean that your idea is not valid." OSHA compliance improves when frontline employees point out labeling gaps, awkward storage patterns, or recurring spill risks. Problems shrink fast when people feel empowered to speak.

EPA and fire officials connect storage to risk

EPA inspections focus heavily on hazardous waste under the Resource Conservation and Recovery Act, codified in 40 CFR Parts 260 through 273. Inspectors check generator categories, accumulation limits, container labels, and manifests. Local fire departments check storage against the International Fire Code and often reference NFPA 30 for flammable liquids and NFPA 13 for sprinkler design.

Chief Revenue Officer John Pistone has seen how products change these expectations. "If you have a lithium ion battery that is greater than 300 watt hours, it is considered fully regulated. That means there is special packaging that it has to have. Everybody who touches it has to be certified. You have specific requirements in your warehouses, like the type of sprinkler systems." Auditors expect facilities handling these materials to reflect those demands in layout and procedures.

Internal audits prevent bad surprises

Director of Operations Holly Woods explains how G10 approaches peak season. "We have very intensive planning as we get close to a peak timeframe. We run forecast models, staffing models, and we audit inventory, equipment. All of these preparations happen ahead of season just to ensure that we can handle anything that comes our way." That same discipline applies to compliance.

Internal audits mimic the questions regulators ask. Are hazardous materials stored in the right areas. Are quantities within allowable limits. Do shipping papers match what is staged on the dock. Are training files current. Do SDS records match the real chemical list. When these questions become routine, official audits lose their sting.

Why WMS accuracy is the backbone of passing audits

CTO and COO Bryan Wright puts it plainly. "A bad WMS system will not track inventory 100 percent, as it should. A good WMS tracks inventory through the warehouse at every point that you touch it." In hazmat compliance, accuracy is everything.

When your WMS holds hazard codes, packing groups, and storage permissions, internal audits become data driven. Instead of walking the building hoping to spot errors, you run reports that show mismatches between expected and actual locations or quantities. Because Bryan and his team built the system, hazard logic lives inside item masters, slotting rules, and pick flows instead of in a binder no one opens.

Training makes or breaks every audit

DOT requires hazmat employee training under 49 CFR 172.700 through 172.704, covering general awareness, function specific duties, safety, and security. OSHA requires hazard communication training under 29 CFR 1910.1200. EPA expects training for hazardous waste handlers. None of these rules allow guesswork.

Kay explains G10s foundation. "We have been certified by the expert in the country on hazardous materials in all classifications." That training gives employees the confidence to handle packaging, labels, and spills correctly under pressure. A trained team prevents the kinds of small mistakes that turn into audit findings.

Culture determines whether audits go smoothly

Bryan talks about how G10 treats people. "I think that just comes to being fair with people, understanding, and just being a person. Caring about your employees." A team that feels respected is more likely to follow procedures instead of cutting corners.

Maureen highlights another advantage. Employees at G10 speak up. When they see mislabeled pallets or poor storage, they report it. That feedback loop lets operations fix problems before regulators see them.

What founders should ask about hazmat audit readiness

If your brand ships hazardous materials, or even borderline products, hazmat audit readiness should be part of your 3PL evaluation. Ask how often the 3PL conducts internal audits. Ask whether they review storage against fire code limits. Ask how training files are maintained. Ask how the WMS enforces hazard logic. An operation that cannot answer these questions cleanly will struggle under regulatory pressure.

Turning hazmat audits into a point of confidence

Hazmat compliance audits are not the enemy. They are a chance to confirm that your systems, people, and practices are strong enough to scale. When your operation is built on accurate data, disciplined planning, and real training, audits become routine checkpoints rather than existential threats.

Kay sums up the mindset. "We follow regulations and guidelines to a T because we want to make sure that we are doing it legally, correctly, and safely." With that approach, hazmat compliance audits stop being storms to fear and start being proof that your fulfillment operation is built for long term growth.

If you want a hazmat program that stays ready before inspectors knock, talk with G10 about how internal audits, WMS accuracy, and disciplined training can keep your brand scaling safely.