HONG KONG, April 27, 2022 /PRNewswire/ -- On 27 April, KPMG China released KPMG: Our Impact Plan | China FY2021, which highlights the firm's environmental, social and governance (ESG) commitments and progress across four key pillars: Planet, People, Prosperity and Governance. Our Impact Plan (OIP) demonstrates the firm's commitment to greater transparency and accountability for its actions and impact on society.
Honson To, Chairman of KPMG Asia Pacific and China, said:
"This is a time of challenges – but it is also a time of hope. In the face of major challenges, such as ecological crises, the global pandemic and the continuity of civilisation, it has become more important than ever to create a world where everyone is safe, can grow together and have a future of shared prosperity. Everybody is impacted by today's challenges. To stride towards a sustainable future, China has made remarkable efforts in many different ways, from reducing urban air pollution and investing in renewable energy to setting its 'dual carbon neutrality' goal. All these efforts have demonstrated China's commitment to shouldering greater responsibility towards society. As a leading firm in the industry, KPMG supports sustainable development and strives to lead by example, having committed to becoming a net-zero carbon organisation by 2030."
Tracy Yang, Head of Our Impact Plan, Head of Corporate Affairs, and Senior Partner, Eastern and Western Region, KPMG China, said:
"Our Impact Plan includes more than just a static ESG report. It is an evolving, living initiative which captures our ESG commitments and everyday actions so that we can truly lead by example. It helps us become more transparent and accountable for the impact we have on society. To bring Our Impact Plan to life is a team effort – it requires collaboration between every individual, department and key stakeholder to work towards a common goal."
Planet – Protecting nature and fostering a sustainable future
In the transition towards a green economy, KPMG China is committed to decarbonising and reducing its environmental impacts along its value chain through policy change, strategy development and awareness-building programmes. To support its global climate goal to become a net-zero organisation by 2030, KPMG China is committed to achieving net zero in its own operations by 2030 and working with business partners to reduce emissions in our value chain.
In FY2021, KPMG China launched its internal environmental policy to incorporate environmental considerations into business operation. The firm achieved the first phase of its target by purchasing 100% renewable energy through renewable energy certificates. Its carbon emissions were also reduced by 8.2% compared to FY2020.
Ian O'Brien, Chief Operating Officer, KPMG China said:
"To reduce KPMG's carbon footprint and achieve decarbonisation, we must put our efforts and resources into increasing our environmental sustainability. By doing so, we can make long-term, practical commitments, engage with our stakeholders and continue to grow in a more sustainable manner."
Ricky Wong, Senior Partner, Southern region, KPMG China, said:
"At KPMG China, we are committed to understanding and improving our impact on nature and biodiversity. Over the past year, KPMG China has been collaborating with non-profit organisations on nature conservation projects that protect and restore freshwater, wetland and marine ecosystems, and we look forward to more collaborations in the future."
In FY2021, KPMG China collaborated with Conservation International to construct a small-scale artificial wetland to treat domestic sewage of a village in Dongjiang Basin in Guangdong province. Working with Shenzhen Mangrove Wetlands Conservation Foundation (MCF), the firm supported a 2-year wetland restoration programme in Shenzhen Bay, having created approximately 7,000m2 of habitat for migratory birds.
People – Respecting individuals and embracing diversity
KPMG China is committed to promoting an inclusive, diverse and equitable culture built on trust. It continues to empower women in workplace and encourage them to take up leadership positions. As at 30 September 2021, women made up 42% of the leadership level (including partners and directors) of the firm. 54% of newly promoted partners were female, while 30% of the board was female.
KPMG China has cultivated a culture of continuous learning by providing abundant opportunities for its people's personal and professional development. In FY2021, the firm provided an average of 70 hours of training to support its people's personal and professional development.
In FY2021, KPMG China established the Next Generation Council (NGC) which offers a channel for young colleagues to express their thoughts and share their ideas about the firm. Its NGC members conducted extensive research and put forward proposals on flexible working arrangements to the firm's senior leaders.
Last year, KPMG China was proud to be once again recognised as one of 'China's Top Employers' by the Top Employers Institute, and also recognised as one of the 'Best Companies to Work for in Asia' by HR Asia for five consecutive years.
Linda Lin, Head of People, Performance and Culture, KPMG China said:
"Our people are our most valuable asset, which is why we put a lot of emphasis on effective communication and staff engagement. We have to get our people engaged, integrate our messages and embed our global ESG goals into everything we do. That way, words can be effectively transformed into action, so we can create a purpose-driven culture and initiate positive change."
Prosperity – Purpose-led corporate decisions, value-added partners
In October 2021, KPMG made the global announcement to spend more than US$1.5 billion over the next three years specifically to focus on the ESG change agenda. Through KPMG's global ESG strategy, the firm is helping to address these ESG challenges head-on while also lending support for the ESG transformation of our clients, employees, and the firm itself.
Wei Lin, Head of Environmental, Social and Governance at KPMG China, said:
"ESG attracts a lot of attention because of the long-term business and social value it creates for companies. By pursuing ESG, enterprises can build trust, promote departmental collaboration and business integration to accelerate growth, embed ESG concepts into their business lines and corporate policies, and ultimately improve their image as a responsible company."
In FY2021, KPMG China increased its presence from 26 to 28 offices in China (*currently 31 offices in 28 cities), creating jobs and fostering knowledge exchange in the society. Notably, the firm opened the second KPMG Digital Ignition Centre (KDi) in Qianhai, Shenzhen to help drive innovation and digital transformation in the Guangdong-Hong Kong-Macao Greater Bay Area during FY2021 (* currently our third KDi commenced its operation in Dalian).
Jacky Zou, Senior Partner of KPMG Huazhen LLP, Senior Partner of KPMG China's Northern Region, and Chairman of the KPMG Foundation, said:
"KPMG China continues to translate corporate social responsibility into action, in areas ranging from community support, lifelong learning, to inclusive development. Corporate social responsibility is closely related to sustainable development, which is the common economic, social and environmental goal of mankind. We are committed to using our professional knowledge and skills to create a positive impact for our communities."
Fostering a culture of social responsibility helps the firm better resonate with its stakeholders; and more importantly, this culture allows the firm to give back to society and build public trust. In FY2021, the firm invested the equivalent of RMB 24 million in their community, contributed 3,690 volunteer hours and provided 11,000 hours of pro bono audit services to charities and non-profit organisations to improve their financial performance and credibility.
Governance – Value-led commitment to corporate social responsibility
"Corporate governance is the foundation of our business operations, as well as one of the pillars of Our Impact Plan. While our values always lie at the heart of the way we do things, we continue to maintain high standards of corporate governance," said Terry Chu, Head of Quality and Risk Management, KPMG China.
To effectively operationalise the OIP at KPMG China, the firm has further refined the OIP governance structure led by the Head of Corporate Affairs, setting up working groups and appointing designated personnel to manage the four pillars under the OIP. To create value for clients, the firm has also appointed a Head of ESG to oversee our external ESG strategy and client services. With a seat on the board, the Head of ESG helps set the tone at the top and drive strategic discussions on ESG issues.
In addition, as guided by our Code of Conduct and our Values, the firm is committed to the highest standards of personal and professional behaviour throughout its firm in everything we do. The firm also works against corruption in all its forms. By acting with integrity, the firm becomes trustworthy and shapes how the firm is viewed by society.
About KPMG China
KPMG China is based in 31 offices across 28 cities with over 14,000 partners and staff in Beijing, Changsha, Chengdu, Chongqing, Dalian, Dongguan, Foshan, Fuzhou, Guangzhou, Haikou, Hangzhou, Hefei, Jinan, Nanjing, Ningbo, Qingdao, Shanghai, Shenyang, Shenzhen, Suzhou, Taiyuan, Tianjin, Wuhan, Xiamen, Xi'an, Zhengzhou, Hong Kong SAR and Macau SAR. Working collaboratively across all these offices, KPMG China can deploy experienced professionals efficiently, wherever our client is located.
KPMG is a global organization of independent professional services firms providing Audit, Tax and Advisory services. KPMG is the brand under which the member firms of KPMG International Limited ("KPMG International") operate and provide professional services. "KPMG" is used to refer to individual member firms within the KPMG organization or to one or more member firms collectively.
KPMG firms operate in 145 countries and territories with more than 236,000 partners and employees working in member firms around the world. Each KPMG firm is a legally distinct and separate entity and describes itself as such. Each KPMG member firm is responsible for its own obligations and liabilities.
KPMG International Limited is a private English company limited by guarantee. KPMG International Limited and its related entities do not provide services to clients.
In 1992, KPMG became the first international accounting network to be granted a joint venture licence in mainland China. KPMG was also the first among the Big Four in mainland China to convert from a joint venture to a special general partnership, as of 1 August 2012. Additionally, the Hong Kong firm can trace its origins to 1945. This early commitment to this market, together with an unwavering focus on quality, has been the foundation for accumulated industry experience, and is reflected in KPMG's appointment for multidisciplinary services (including audit, tax and advisory) by some of China's most prestigious companies.
