How to Create a Corrective Action Plan (With Template)

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Updated June 15, 2026

KEY TAKEAWAYS:

A corrective action plan (CAP) is a method of documentation used in quality management that helps companies outline steps to resolve an action interfering with their business operations.
A corrective action plan is a step-by-step plan implemented to prevent recurring problems from happening again.
Corrective action differs from preventive action because it corrects an issue that has already happened, while preventive action aims to keep a problem from happening in the first place.

A corrective action plan (CAP) is a method of documentation used in quality management that helps companies outline steps to resolve an action interfering with their business operations. In this article, we describe what a corrective action plan is and how to create one, and we also provide a CAP template and example to help you create your own.

What is a corrective action plan?

A corrective action plan is a step-by-step plan implemented to prevent recurring problems from happening again. It documents issues of non-compliance or gaps in business operations, identifies their root causes and describes a plan for fixing them. An effective CAP is SMART (specific, measurable, attainable, relevant and time-bound).

Image description

The SMART Goals image shows the acronym SMART down the left side of the image. Next to each letter is the word that correlates to each letter and the definition of each part. On the right side of the image are simple icons of a target, a sheet of paper and an arrow, a mountain scene with a flag, a pencil with a checkmark and squiggles, and a small calendar with a date circled.The text reads:S - Specific - Make your goal specific and narrow for more effective planningM - Measurable - Make sure your goal and progress are measurableA - Achievable - Make sure you can reasonably accomplish your goal within a certain time frameR - Relevant - Your goal should align with your values and long-term objectivesT - Time-based - Set a realistic but ambitious end date to clarify task prioritization and increase motivation

Companies use corrective action plans when issues arise that have the potential to become a threat to the organization's safety or quality. This may also include positive circumstances, such as when an organization experiences changes. Some benefits of using corrective action plans include:

Complying with regulations
Improving work processes or methods
Promoting customer satisfaction
Streamlining workflow
Increasing efficiency and effectiveness
Finding cost-effective ways to correct errors
Preventing future crises

Note: Corrective action differs from preventive action because it corrects an issue that has already happened, while preventive action aims to keep a problem from happening in the first place.

How to create a corrective action plan

While there's no one way to create a corrective action plan, there are some key steps you can follow when coming up with one:

1. Define the problem

The first step in creating a corrective action plan is identifying the problem. For example, an online clothing store may get a customer complaint about receiving a broken item. Methods for identifying noncompliance issues include internal audits and work incident reports. When defining your problem, describe the who, what, when, where and why of the issue.Consider including links to appropriate sources that support the defined problem. These include resources such as:

Customer complaints
Safety incidents
Audit results
Nonconforming materials

2. Determine the root cause

To help find a potential solution, find the root cause contributing to the issue. Several tools can be used for a root cause analysis:

For the customer complaint about a broken item, the company could work through the five whys analysis and find out that the customer received a broken item since the box fell during shipping.

Download Root Cause Analysis Template

To upload the template into Google Docs, go to File > Open > and select the correct downloaded file.

3. Brainstorm corrective actions

The corrective action plan includes action items for how the organization plans to correct the defined problem. These goals should be SMART—specific, measurable, achievable, relevant and time-bound—and include details to help explain what to do, such as outlining the selected correction plan. Corrective action plans also include the metrics for completion or baseline for the company to reach to consider the issue resolved.You may need to perform a cost-benefit analysis and get management approval for funding. List who will be responsible for what task and detail how your team should report their progress.

4. Perform a risk assessment

Companies can use a risk assessment matrix to estimate the level of risk for particular actions. Reviewing risks is also helpful when concluding the corrective action process since it allows companies to figure out whether their actions helped resolve the issue or whether they should begin the process again.

5. Set achievable deadlines

Corrective action plans include deadlines for the company to complete the steps to reach the desired resolution. Organizations may create lists with what tasks to complete each day, prioritizing the tasks needed to reach their goal. This section may also include the consequences for not reaching the desired due date.

6. Implement the corrective action plan

The next step is to implement the CAP. Corrective actions may be as simple as updating your software or involve more complex processes like training team members on a new procedure. Document your progress and regularly communicate updates to all involved parties.

7. Monitor progress

After completing your corrective action plan, evaluate to see what went well. If necessary, you can create a correction action report and schedule a meeting with your team. During this review, you may find there was a better way to reach your resolution. You can adjust and improve your plan by organizing and restarting the process if necessary.

Corrective action plan template and example

There's generally no standard template for a corrective action guide, but there are elements common to many templates. Here's a template to guide you:

Download Corrective Action Plan Template

To upload the template into Google Sheets, go to File > Open > and select the correct downloaded file.

Corrective action plan example

Global Electronics recently launched new software for its devices and noticed it caused its servers to crash. To figure out what caused the server crash, team members at Global Electronics decided to conduct a root cause analysis. This led them to reexamine the devices they downloaded the software onto to find out if there was an error with them. Teddy, a team member, discovered that one device needed an update. Once they updated the device, the software ran smoothly without crashing.

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