Deloitte UK blogs

Digital in a regulated industry

Deloitte Customer UK — Thu, 16 May 2013 12:00:00 +0000

After working within the utilities industry for several years, I have come across challenges that many regulated organisations face when trying to manage and deliver changes in the fast moving world of digital. In an industry where it is hard to differentiate yourself, such as utilities, a great digital customer experience can be the difference between retaining a customer and losing a customer. Customers have an expectation that they will be able to sign up to products online, manage their account online and do all of this without any instabilities in performance. If this expectation isn’t met, customers will become frustrated, have a negative brand perception and may eventually be inclined to move their business elsewhere. Within the utilities industry, there is often the added pressure of having the finger pointed when profits are posted or when prices go up. Utilities companies have a responsibility to educate their customers about any changes taking effect and providing digital functionality for customers to engage with can enable a deeper understanding of prices, products and how the customer can make savings. There are several key enablers that clients can utilise to help manage digital change and improve digital customer experiences: Managing digital:A centralised management structure will help increase internal focus on driving the digital channel forward and will set up the framework for investment. Adopting agile processes in the digital team will help push basic content live quickly (a frequent demand) and will service many internal stakeholder requirements. A close relationship between the digital contact centres and the digital management teams also builds closer working relationships. Measures should be taken to bring relevant teams closer together in terms of location (i.e. product managers and CMS authors) to enable quicker change. Improving customer experiences:Intelligent cross sell/up sell: tailoring web experiences for your customer-base and for future prospects is crucial to delivering a personalised experience. Becoming an analytics-driven organisation: understand customer journeys, take time to analyse drop-off points and use analytics to justify change to senior stakeholders. Focus on optimisation: don’t just focus on the things you have to put on the website. Set up the digital team to have an ‘optimisation’ stream with product managers feeding regular change in through sprint cycles using multivariate testing. This will become the innovative digital team that internal stakeholders want to take advantage of. Following these key principles will put organisations in a good position to deliver great customer-centric digital experiences. Using agile delivery as a change method will enable a prioritised focus to website change but a process is certainly required to bypass release dates to push minor content changes live quickly. Lee PutmanLee is a consultant in the Deloitte Customer Service & Experience practice, focusing primarily on digital projects across private sector clients. Key areas of interest include website transformation, digital channel strategy, social CRM and website optimisation. Connect with Lee on LinkedIn.

What CFOs need to know about tax provisioning

Finance Transformed — Wed, 15 May 2013 11:18:14 +0000

"Convergence of tax into the wider finance teams and processes means that tax isnt an add-on at the end, it's actually part of the mainstream financial close". Rachel Taylor, Partner, UK Tax Finance Transformation Leader, Deloitte. View more insights from our Deloitte CFO Perspectives series. Related articles Delivering Responsible Tax

Oracle CloudWorld Roadshow

Deloitte Customer UK — Fri, 10 May 2013 15:40:40 +0000

Having debuted in Dubai in January, the CloudWorld Roadshow reaches London this coming Tuesday 14th May when it hits the ExCel Centre. In today’s digital world customer expectations and the rules of customer engagement are changing. As a result, organisations are beginning to transform the ways in which they conduct their business by turning to the cloud. The Oracle CloudWorld Roadshow has been travelling globally and has been designed to connect customers, thought leaders, executives, partners and those with an interest with leading cloud technologies to share ideas on how businesses can leverage the cloud; from service to infrastructure, platform to social – helping them get ahead of the business challenges they face today. Within the specialised Customer track, our main focus will be on how the changing consumer landscape is setting new expectations and causing organisations to rethink how they provide a differentiated customer experience in order to retain and grow their customer base. Our session will also explore external market factors, looking at the internal capabilities required to support the experience and provide real life examples of where clients have achieved this already. For customers and partners alike the aim of the exhibition is being able to facilitate the conversations that matter: Plenty of Q&A sessions: in-depth and tailored to specific industries. A wide variety of topics: from "next generation web experiences," to "re-skilling your workforce." It’s not all talk: customers and partners are attending with practical examples and hands-on demos/experience. Our Deloitte Customer team will be there so do come find us. For those with little prior experience of Oracle's suite, CloudWorld is an excellent opportunity to find out more about this area. With no technical background required, real-world case studies fill the agenda so you can see how Oracle's offerings are being implemented. Here at Deloitte, we are very excited to be attending as a Platinum Sponsor. Alongside shaping the agenda for the day, we will be leading a number of specialised keynote presentations for Finance, HR and Customer tracks. This event promises to be an exciting and innovative day and is an excellent opportunity to find out more about this area. Registration is free and the day’s agenda can be found here. We hope to see you in person on Tuesday May 14th but if you’re unable to attend, throughout the day we will be tweeting updates, so follow us on Twitter @DeloitteCustUK and keep an eye out for hashtag #cloudworld. Ben MorganBen leads our CRM Applications team Banking. He has 15 years of package implementation experience and has spent the last 14 years focusing on CRM Ben works with clients to define, resource and deliver their most complex transformation projects. He has developed his skills through various projects ranging from CRM and front office transformations, core system replacements and more recently analytics and big data engagements. Ben has worked extensively with offshore development and understands the complexities of working in such models. Alongside his banking interests, Ben leads the Deloitte Oracle relationship from a Customer perspective and works closely with a number of other vendors in the banking, analytics and experience space.Connect with Ben on LinkedIn or follow him on Twitter.

Analytics in Sports #2 – Breaking down the task

Enterprise Risk Services — Fri, 10 May 2013 14:01:29 +0000

The world of rugby underwent a major transition at the turn of the millennium, as the shift in culture following the professionalisation of the game in the mid-90s started to take root. Phil de-Glanville, former England rugby captain and a player who straddled both the amateur and professional era, talked Deloitte through some of the changes that started to occur as the drive to enhance performance created a desire to deconstruct, measure and improve. Speaking of his time with England: “Sir Clive Woodward broke the game down into components, very specific parts. It wasn’t just forwards and backs, he also looked at defence, kicking, and ultimately developed a view of how each individual player should contribute. He wanted to make everything measurable and work out how to improve even the smallest component. Defending particularly improved massively as a result.” This deconstruction of the thing which you are trying to improve is the start. The next step is to represent the relationship between all the components in data - so that each component can be tweaked, and the impact tested against a baseline. For true data-driven thinking, this is a must-do. Michael Bourne, who is now Head of Science and Medicine for the England and Wales Cricket Board (ECB), having previously held the role of National Lead for Performance Analysis at the ECB, explains how he tackles this challenge: “I build a model of the sport to find the factors which explain the outcome. In the first instance this would be theoretical modelling of the first principles of the sport. You use a hierarchical model where you take a discipline and you define mathematically what it takes to, for example, throw a javelin 90 metres, or run a 100m in less than 10 seconds. You use this model to work out where your interventions are necessary [i.e. where you will try to make a change] and what data you need to collect to explain that particular part of the model.” In a business context this might involve modelling the relationship between different departments, as a simple example: if the sales team increase their efforts, what impact does that have on the inbound call centre? It is impossible to make an informed decision about a change to strategy in one division, if you do not understand its impact on another. “In a hierarchical model you know the inter-relationships of all of the factors. In long jump for example, you would know the direct impact on distance jumped if you increased your run- up speed by 2 metres per second, and you would also seek to understand what positive or negative effects increasing run up by this speed may have on other factors. In more linear sports like rowing or cycling you can do this mathematically. In more complex sports like football or rugby you work on more logical principles which you can confirm using statistics.” It is with this model, and the underlying data supporting it, that you can begin to chip away at the cultural barriers to data-driven thinking, and start to break down a reliance on the HiPPO. Michael Bourne: “When I used to work in Olympic sports there was a belief that Judo champions needed a minimum of 4 techniques in 4 directions, but when you go back and analyse previous champions, they often only had 1-2 techniques in 1-2 directions. They were so efficient that that was all they needed, contrary to the opinions of many.” But Bourne points out that there is not necessarily a one-size-fits-all model for a given sport, it is important to understand the specific metrics which pertain to your team’s situation“You can’t take a non-representative dataset and try to extrapolate that out into the wider population. One example in cricket would be looking at how Australia played when they dominated world cricket. Their process and methods may not be the best way to do things for English cricket, as many things are specific to Australian cricket [for example weather and pitch conditions] and aren’t representative of the English game.” Many businesses do not truly understand the interrelationships between the various component parts of their operations, and consequently when seeking to make changes they often make decisions based on their instincts or anecdotal evidence, or experience of another organisation which may not be relevant. To properly answer questions such as “why do we keep sending incorrect bills to our customers?” or “how can I reduce inbound calls to my contact centre?” requires a model to be built which reflects all the factors which might impact upon that outcome. With this up-front investment, optimising operations is hugely facilitated. David BlackwellDavid is a Partner in Deloitte’s Enterprise Risk Services practice specialising in data analytics, data management and cyber security. David has worked with many of the UK and Europe’s leading Telecoms organisations, and has deep expertise in helping them secure, manage and derive insight from their data.Linkedin

How to monetise original digital content

Deloitte Customer UK — Tue, 07 May 2013 11:01:00 +0000

In a crowded market-place where information is a commodity on the web, customers want original, quality content. This creates a challenge for publishers when it comes to turning a profit, particularly general news sites which do not have a product that is specialised enough to justify a successful pay wall. The reason for this is that premium content is costly to produce. This is due to expensive journalists on the pay roll as well as big-money celebrity partnerships. Popular editorial content also requires good pictures, which cost thousands of pounds. To offset this high cost base, let’s consider how a publisher can increase existing revenue streams by making the most of its web space and content. New audience growthPublishers can grow their audience in many ways, including marketing, search and distribution. Once they have created an attractive destination site, it is simpler to attract customers with a marketing campaign. Search is also highly effective. Although original content typically performs well in natural search, this can be improved through search engine optimisation (SEO) or a paid search campaign. Distribution deals will also grow new unique visitors (UVs) and page views (PVs). Cash free ‘traffic exchange’ deals can be agreed, where the publisher asks another site to send them traffic in return for them directing traffic back via RSS feeds and curated modules. New traffic can also be sent to a publisher using paid services such as Stumble Upon Paid Discovery. Finally consider content syndication. If a publisher has spent time and money creating original content, they have ownership rights and should capitalise on this. They can do this by striking deals with other publishers to integrate sections of their website into the partner’s site. The publisher who owns the content hosts it, however, it uses the partner’s website header and it appears to be the partner’s content. The advantage for the partner is that their audience has access to content they have not had to spend time and money producing, while the publisher receives a revenue share from the advertising inventory sold. Audience recirculationRecirculating existing traffic increases page views. To do this effectively the web page layout needs to be considered. The website’s homepage is a good traffic generator to other channels, as most people land on the homepage first. Many websites have a rotating content module on their homepage (where the user can click through many content links within the same module). Managing this well increases traffic recirculation from the homepage to other channels; methods include monitoring the click-through rate to replace the lower performing links and promoting content from channels which need more web inventory to fully deliver booked advertising campaigns. Effective strategies also include using attention grabbing text links and images throughout the page and where possible running engaging, clickable video content. Existing traffic should also be recirculated to the homepage. This can be done by creating links against original content in channels, for when the customer journey does not start on the homepage. If the website is part of a larger group of sites (e.g. online news sites are usually part of a larger organisation), traffic can be recirculated from other sites within the ecosystem. RevenueAs revenue equals price multiplied by volume, an attractive commercial proposition is needed to justify a good price. Having addressed the volume side, let’s consider price. Alongside a strong brand proposition and high reach, this can be achieved by sophisticated advertising formats and interactive branded content sections. To summarise, it is important for a premium content web destination to scale their audience. Not only will a subscale audience mean that there is less web inventory to sell, it also means there are additional demands on Sales and Client Services teams. As well as being a harder sell, not being a ‘must have’ on the agency/client media plan means that commercial teams are expected to bend rules and adhere to quicker turnaround times when launching media campaigns. Julie ColemanJulie is a Senior Consultant in Deloitte’s Customer practice. She has over seven years’ of digital media experience across advertising and content production within agency and publisher environments. Through her time in this industry she has worked in both pure media and consulting roles.Connect with Julie on LinkedIn.

The changing face of finance

Finance Transformed — Sun, 05 May 2013 12:20:44 +0000

"There are a number of dynamics in the changing role of finance that are putting particular pressure on talent management for CFOs.” – Sally Fisher, Partner and People & Programmes Finance Transformation, Deloitte View more insights from our Deloitte CFO Perspectives series.

Why Deloitte?

Deloitte careers UK — Fri, 03 May 2013 14:57:59 +0000

Early in your career it’s a good idea to join a big firm. Deloitte heavily invests in your development. You will gain professional qualifications that will boost your CV. You will receive a lot of training along the way that will give you hugely valuable skills. I was sent to Dublin for three weeks to learn Java. Having never done coding I experienced a steep learning curve (and got to discover Dublin which I had never been to). At Deloitte you also have a much broader range of options as to where you want to take your career. We are such a big firm that no matter where your interests lie, there will always be something for you. We work across the private, public and financial sectors and within those cover a wide range of industries. We work for the automotive industry, the healthcare industry, insurance firms etc. Though you are initially encouraged to get a flavour across the board, eventually people specialise in one area. Another great thing about Deloitte is its community investment. There are a lot of charity events, such as the Christmas Pudding Race, and Movember that sees your friends and colleagues make fools of themselves for charity, but also more serious ones such as the Ride Across Britain event. We are also encouraged to do pro bono work where we offer our skills and services for free for a good cause. Finally, you will meet a lot of impressive and fun people along the way. With a consulting graduate intake of nearly 300 people you will get to make a lot of new friends and will always have someone to go for a drink with after work. There are lots of social events also. Yesterday I was at a “Women in Technology” event where Judi James, who worked for Big Brother, talk to us about confidence and resilience, and Jay Kumar taught us about Bollywood dancing and the Gangnam style dance. Tonight all technology analysts are invited to an open bar to catch up with our fellow colleagues. Deloitte has a very good stand on work life balance and the social events will mean you will never get bored. The reasons mentioned above made me choose Deloitte to start my career. Clearly, the statistics about the firm also speak for themselves so check out our website if you want to learn more.

Profiting from social: the need for analytics

Deloitte Customer UK — Thu, 02 May 2013 13:02:41 +0000

In previous blog posts, I’ve discussed the opportunities and challenges social media presents for organisations, and identified four areas that they must get right in order to ensure social media success. I argued that organisations must clearly understand how they are performing in the social sphere. And it is to this idea, that of social analytics, that I return to now. The use of social media in business brings a distinct set of challenges. Foremost among these is the scepticism that C-suite executives often display towards social. While social is increasingly seen as a part of the complex, fragmented modern marketing mix, it is rarely seen as central to it. There is an understandable, natural hesitancy in many large organisations to adopt new channels for customer engagement; after all, they need to be certain that current trends are not just a flash in the pan. But with social, there is another key limiting factor: the lack of proper analytics. Meaningful goals and outputs for social media are hard to define and, more importantly, difficult to tie back to business benefits. Setting targets for reach or engagement through social media platforms is all well and good, but these will only gain traction in the organisation if they can be tied back to key metrics such as sales and profitability. In short, then, executives want to know whether engendering social conversation is actually making them money. Without this certainty, many organisations simply use social ‘because we should’, without a clear strategy and, as a result, fail to realise the benefits of social fully. Given this situation, the field of social analytics remains surprisingly underdeveloped. The market is certainly saturated with social listening services and social CRM providers; companies that can ‘scrape’ and summarise data on a particular organisation or product from social platforms. A smaller number then offer nominally analytical services, which work on the basis of analysing social media metrics and sales data in isolation. But what is lacking is a solution that can actually prove this direct link between social media conversation and sales and profitability, rather than simply assuming a correlation. Claiming causality around social media – that seeing a particular post or taking part in a social conversation is the defining factor stimulating a purchase – is difficult, maybe even prohibitively difficult. But the same is true of all marketing channels. What organisations can legitimately desire, however, is a service that considers social buzz as just one part of the purchasing decision, and combines social media metrics with broader data on sales and advertising spend to identify attribution. Until this challenge is tackled, many organisations will continue to struggle to elevate social to the same level of importance as traditional and digital media channels as part of marketing campaigns. Luke HowardLuke sits in Deloitte’s Marketing & Insight practice. His work focuses on Customer and Social Analytics, particularly the use of business insights to improve customer engagement, increase marketing effectiveness and inform growth strategies.Read Luke's previous blogs How social media is changing brand management and Four ways to win with social media.Connect with Luke on LinkedIn.

Salesforce Customer Company Tour

Deloitte Customer UK — Tue, 30 Apr 2013 11:00:00 +0000

This Thursday (May 2nd), Salesforce.com is back at the ExCeL London for its annual showcase event, the Customer Company Tour. The Customer Company Tour is designed to connect customers, partners and developers with an enthusiasm for Salesforce and its vision for businesses meeting the challenge of transforming customer engagement. You can look forward to: Keynote speeches from Salesforce COO George Hu and Doug Bewsher, CMO, in which they will outline their vision for Customer Companies and reveal real customer stories demonstrating impressive ROI. Attendance of over 3,000 Salesforce professionals looking to broaden their horizons and network with their peers. In the Cloud ExPo, Salesforce partners will be exhibiting the best in class methodologies and practices. Do come find us here! Here at Deloitte we are very excited to be attending. Our representatives from across Deloitte’s European and US practices will be out en masse, making the most of the great hands-on learning opportunities, engaging with industry thought leaders and product experts, and elaborating on the latest emerging trends. Salesforce.com has rebranded last year’s CloudForce to emphasise the importance of putting the customer at the heart of everything you do. It is a theme that we are passionate about here at Deloitte. Our very own Ben Morgan has highlighted in previous blog posts the importance of customer centricity. Within this context, understanding the revolution that is taking place in social, local and mobile is an imperative. It is changing the very nature by which customers interact. At the kick off for the Customer Company Tour at Boston, Salesforce CEO, Marc Benioff, reiterated “These things coming together, not any one of them, but all of them, social and mobile and big data and community and apps and cloud and trust. This is the customer revolution and this changes how we have to think about our businesses.” With the focus increasingly on mobile first we are thrilled to debut the new Pocketforce iPhone app, designed and built by our Deloitte Digital studio. The app allows Salesforce users to view and edit Account and Opportunity records online and offline. In a world where mobile connectivity is still imperfect, we want to ensure Salesforce users can continue to have that great user experience even where they are offline or on low signal. Pocketforce will be displayed on a large interactive screen at the event by our Salesforce mobility experts, and they will be pleased to expand further. The cloud meets offline for opportunity management, and best of all it is free! We hope you come find us on the day but if you are unable to attend, throughout the day we will be tweeting updates, so do follow us at @DeloitteCustUK. Matt RobinsMatt is an Analyst in Deloitte’s Customer Applications & Data practice. He has a keen interest in the digital transformation of customer experience, resulting from the convergence of factors such as mobile, social and analytics. His industry focus is private sector, with experience primarily in FMCG.Connect with Matt on LinkedIn.

Driving the value agenda with finance business partnering

Finance Transformed — Sun, 28 Apr 2013 16:55:25 +0000

"To build momentum around finance’s role in creating value comes down to focused interventions in priority areas that are going to drive the most value.” - John Haughey, Partner & UK Finance Advisory Leader, Deloitte View more insights from our Deloitte CFO Perspectives series.

21st Century Finance - Risk, investment & growth

Finance Transformed — Sun, 28 Apr 2013 16:01:05 +0000

"The big thing that CFOs can do now is to help the organisation look for market share and growth opportunities. A lot of that is about innovation and risk taking, persuading the organisation, despite the mood music that’s here at the moment in the media and elsewhere, that we do need to take risks and that we need to invest capital for the future, and start to grow.” Marcus Boyle, Deloitte EMEA Finance Transformation Leader View more insights from our Deloitte CFO Perspectives series.

After deployment: maintaining momentum with your collaboration tool

Deloitte Customer UK — Tue, 23 Apr 2013 11:01:00 +0000

The implementation has gone to plan on time and in budget (naturally), your users are up and running reporting back that training was none other than very good or excellent, projector glitches and room availability aside. So despite the initial promising signs why is user adoption dropping? How do you maintain momentum? Collaboration tools won’t survive without due care and attention, and timely consideration of the below could make the difference: Focussed attention on senior stakeholders: typically, a senior member of staff’s participation on a collaboration tool has a wide impact, generating discussion, ‘likes’ and idea sharing. It’s a quick way for people to publically praise others - imagine being a junior copyright and a senior editor ‘likes’ one of your ideas? The negative impact of limited participation makes junior members of staff question ‘maybe this isn’t the tool for me’? More practically, if messages shared on collaboration tools are not seen by all intended, then it may be a struggle to have a successful system. So what can you do about it? Ensure that the tool is made relevant to all, provide senior members with examples of success stories, write comments for them to get them up and running and work with them on a regular schedule of updates to be shared to the business using the collaboration tool. Provide BAU training: provide users with the opportunity to be re-trained - a collaboration tool can be a real step-change in ways of working and can take a while to become real. Second wave training allows people to ask the questions they would have missed the first time round. Additionally, (and perhaps more obviously!) collaboration tool training must be part of the on-boarding of each new joiner. Who owns this: the collaboration tool should not be left without an formal owner. Once the implementers have left, the collaboration tool should not fall into disrepair. A governance body should be assembled in order to allow the tool to continue to develop, to define what the purpose is and future looks like. It will fail without active monitoring and nurture. A top community manager can help connect conversations, prune groups that aren’t needed any more and help make sure communications stay on track. They can also help keep the divide between social and work related groups, so the cycling club’s posts don’t get mixed up with the sales team’s! Channel exclusivity: give your users access to unique and exclusive comms and content. Rather than sending out newsletters via email, why not on your collaboration system? This will help pull those who are after the latest news into the system, and hopefully get them commenting and contributing on what’s being sent out. Channel exclusivity can go wider still, and there is real value in reviewing current business processes to see where activities can be driven through the platform to help sustain usage. On a less formal basis, the system can also be a great place to run competitions and shout about success across the organisation, boosting awareness and morale. Give people a reason to come back: critical to the success of your collaboration system will be giving users a reason to keep coming back. For many, their reason is access to great content and valuable, successful collaboration. It’s crucial to encourage your high performers to post content and ideas in the system to keep others coming back, and your community manager can help join up conversations to help users get real value. Don’t be afraid to archive older and less useful content – your PowerPoint aficionados might not appreciate wading through years of old slides to find the document they are after! In considering the above, it will give people a reason to keep coming back and fewer excuses not to. It will also help the tool reach a critical tipping point where users are compelled to embrace change and engage as it becomes an integral tool in the business and in their ways of working. Hannah Goodey Hannah is a consultant in the Deloitte Customer Marketing and Insight practise, focussing primarily on CRM and collaboration tool implementation projects across private sector clients. Key areas of interest include internal collaboration, customer service, Social CRM and digital marketing. Read Hannah's previous blog Collaboration: begin with a pilot, take it for a test drive Connect with Hannah on LinkedIn and Twitter. David Ross David is a Consultant in the Customer practise specialising in the use of technology to improve sales force effectiveness. He has experience across the private and third sector, and passionately believes that social has the capability to transform businesses for the better. Read David's previous blogs Deploying a collaboration tool into your business: touch, paus, engage and Monetising the big data deluge. Connect with David on Linkedin and Twitter.

The Deloitte CFO Survey 2013 Q1 results - Fewer risks, greater optimism

Finance Transformed — Mon, 22 Apr 2013 07:56:55 +0000

The first quarter's Deloitte CFO Survey, published on 16 April 2013, shows a sharp fall in uncertainty and rising optimism and risk appetite among UK corporates. Key findings CFO optimism has risen for the third consecutive quarter, taking it above its average for the last five and a half years. Corporate risk appetite is at its third highest level. Fears of a euro breakup have receded, despite the survey period having coincided with the crisis in Cyprus. Perceptions of economic and financial uncertainty have fallen to the lowest level since early 2010. Credit availability is at its highest level in five and a half years. CFOs' balance sheet policies are becoming less defensive, with less emphasis on cost cutting and cash. Breaking the results down we find that this has been driven by companies with strong overseas exposure which have become markedly more expansionary in the way they run their balance sheets. UK-facing corporates remain in defensive mode. Download the full report now, view previous survey reports or find out more.

Best bits of working as an auditor in the Aberdeen office

Deloitte careers UK — Wed, 17 Apr 2013 15:30:30 +0000

I joined Deloitte in September 2010 with a non-relevant background, having studied Biochemistry at Aberdeen University. Aberdeen had grown on me during my time at university as it is neither too big, nor too small, and within 15 minutes’ drive of the city centre you can feel like you have escaped everything. I now work as an assistant manager within the audit department in the Aberdeen office and have just passed my final ICAS exam, TPE. Coming from a non-relevant background, I only had a very vague idea what audit was when I applied. Below I share some of what I see as the ‘best bits’ of working as an auditor in the Aberdeen office. Hopefully this will give you some insight into what is involved in my job. Travel I have been fortunate enough to work on audits which have allowed me to travel. I worked on one which was in Houston, another in London and a couple of audits just up the road in Inverness. Other people within the office have travelled to Dubai and as far away as the Falkland Islands. Due to the majority of Aberdeen office clients working in the oil industry, they often have offices in oil & gas hubs around the world. Yes, you still have to work hard whilst away but there is always the opportunity to see the sights at weekends and you could even tag a few days holiday on to the end of a work trip if you wanted. Meeting new people To me, this is one of the best parts of working in audit. You are always meeting new people, whether this is new client contacts or just new faces within Deloitte. On each audit you work in a team with others in order to complete the work needed. The teams you work in can vary in size from just two people, for a very small piece of work, to twenty plus people if the client is a very large multi-national company. You will work on several audits a year and each team will be different, giving you the opportunity to get to meet a lot of different people, from different backgrounds. As you can often spend long hours working together on an audit you have to be able to get along with each other. There are also regular social events going on in the office giving you the opportunity to get to know people from other service lines. The Aberdeen office is one of the smaller regional offices and therefore everyone knows each other to at least say hello to when you pass in the corridor. As you progress through your training contract you will find that you will work with some of the same clients for several years in a row, whilst others you will only work with once. The longer you work with a client the more you are able to build a really good working relationship with them. It is always interesting to meet new people and to get to know their company. Variation I like that what I do each day can vary depending on the client I am working on, the people I work with and on the time of year. Although auditors generally have similar work to do with each client, each company is different and have their individual issues or events that have happened during the year, meaning the work required varies a lot. There is the opportunity to work on a variety of clients, from small owner run businesses to large multi-national companies. There is also often the opportunity to gain experience of other service lines or offices. I had a short secondment to the Corporate Finance department within the Aberdeen office and have worked with colleagues from other offices or departments who have come on secondment to Aberdeen. There are of course also long hours and tight deadlines at times, but the Partners are keen for you to get as much as you can from a career with Deloitte, and will do what they can to help ensure you get the correct variety of experiences along the way to help you succeed. Claire West - Assistant Manager, Aberdeen

Taking management information out on the road

Finance Transformed — Tue, 16 Apr 2013 07:10:26 +0000

We are now all using smartphones and tablets to access information, when and where we want in our personal lives. Increasingly, the same smartphones and tablets are starting to make an appearance in the office, as business people no longer want to be restricted to consuming information from a printed report or while using a PC back at their desk. This shift is causing a headache for Finance as decision makers are now demanding information in real time without the restriction of the month-end timetable, and on the road; in the back of taxis, on trains and at the airport departure gate. The challenge for the CFO is how to enable access to management information out on the road. The benefits of ‘Going mobile’There are clear benefits to having your management information with you at all times. Real time decision making – decision makers have the ability to review real time information to make critical business and financial decisions before it is too late to ensure a positive impact upon business performance. Access to information when and where people want – individuals can access information around the clock and without the restriction of the month-end timetable. They can access the information on site, off site and while on the move. Empower the business – the business has instant, direct access to information rather than relying on Finance as the gate keepers of regular management information. Making it happen – not as complex as you might thinkThe benefits of mobile management information are clear and making the shift is not as complex as you might think. CFOs can transform the way in which information is consumed and decisions made. The three areas that CFOs should focus on to deliver more effective mobile management information: Engage with the CIO – you will need to consider how mobile management information is delivered (for example, by providing users with smart phones and tablets or encouraging them to use their own personal devices) and your information protected (how do you minimise the risk of information being lost or stolen when accessed remotely). The earlier you engage with the CIO to consider these questions the easier they are to resolve. Define a reporting strategy – ensure you have a clear, well documented and understood reporting strategy that explains what you report, when you report and how you report. It is important that your reporting strategy is updated to highlight how mobile management information will work alongside your existing and well established methods of reporting. Develop a proof of concept – there are lots of tools and methods available to deliver mobile management information so it is important you understand the advantages and disadvantages of each. A proof of concept will allow you to find out what works for your organisation before committing a wider implementation. Decision makers are getting excited about mobile reporting and starting to ask the CFO to deliver management information out on the road. CFOs have the opportunity to deliver a clear business benefit that transforms the way in which decision makers consume information and positions the CFO as the owners of insight in the organisation. Martin JermynMartin is a Manager in our Enterprise Performance Management (EPM) practice. He works with technology, media and telecommunications clients, helping them to transform the way in which they plan and report. He is currently leading our focus on mobile reporting within Finance.

Direct to consumer

Deloitte Customer UK — Mon, 15 Apr 2013 11:01:00 +0000

Consumers have never been so well connected. They are embracing digital media and are increasingly confident about interacting online: More than half of UK consumers currently own a smartphone and adoption of technology is growing at an exponential rate1. Digitally-influenced shoppers spend more per transaction than ‘store only’ shoppers and are worth 44% of all (non-food) sales2. Digitally-influenced consumers are more loyal with 46% willing to share personal data with retailers in exchange for special offers2. 14% of consumers trust messages provided by the brand, whereas 90% trust brand messages from friends and peers3. Consumer products companies are responding to this shift in consumer behaviour and are increasingly interacting directly with their consumers. They are building brand engagement through communication channels such as content-rich media, online communities and social networking sites, as well as achieving revenue growth through direct sales channels such as proprietary websites, flagship stores, marketplace websites and online partnerships. For example, Diageo has just launched a new online platform to sell its portfolio of premium spirits as well as opening a flagship store - the Johnnie Walker House – in Beijing for its Scottish whisky brand. P&G has experimented with digital walls and has the P&G e-store, an online transactional site for all products across categories. Apple and Nespresso have highly designed and interactive flagship stores, creating unique spaces to engage directly with their consumers. Various consumer products businesses such as L’Oreal trial and sell products through social networking sites. This is a trend that will only grow. Interacting directly with consumers can be complementary to existing trade relationships, selling personalised or innovative products or a broader product range than would normally fit within established channels or within a retailer’s product or price hierarchy. Going direct to consumer can provide consumer products businesses with significant benefits. Communicating directly with consumers in a two-way dialogue can promote consumer loyalty, provide insight on consumer trends as well as providing instant product feedback, all of which drive analytical product portfolio and innovation decisions. Selling directly to consumers either through a physical retail presence such as flagship stores gives companies greater control over margins, consistent brand positioning and increased access to valuable consumer data. Read more about Deloitte’s direct-to-consumer proposition, ‘Connecting with today’s consumer: building brand value’. References: 1 The dawn of mobile influence, Deloitte Digital, September 20122 The Connected Consumer, Deloitte, 20123 Global Trust in Advertising and Brand Messages, Nielsen Trust Survey, The Nielson Company, April 2012 Emily Faiz Emily is a Senior Consultant in Deloitte’s People & Programme’s practice. She has over five years experience and specialises in organisation design in the consumer business industry. Most recently she has worked on a target operating model project for a global CPG organisation. Connect with Emily on LinkedIn.

A fantastic opportunity for innovative social enterprises

Midlandsblog — Thu, 11 Apr 2013 17:03:13 +0000

Our Social Innovation Pioneers programme, initially launched in May 2012, is coming to the end of its first year. During this time we have supported 30 socially innovative businesses across the UK by providing a package of advice, combined with access to our business and client network, to help these businesses to grow and become investment ready. We’re now looking for our second group of pioneers. Having had the pleasure of being involved in the Social Innovation Pioneers scheme over the last 12 months I’m personally very excited about the possibility of welcoming new social enterprises, from a range of sectors, into the programme. The deadline for applications is 21 April and I would strongly urge any interested organisations to apply. My role has been to lead Deloitte’s involvement with My Time, one of the participants based in the West Midlands. My Time is an organisation located in Small Heath, in inner city Birmingham, which delivers award-winning inter-cultural and multi-lingual counselling and support services. The business has an extremely impressive management team led by Michael Lilley (Chief Executive Officer) and Amra Dautovic (Managing Director) and its innovative approach in the services it provides has achieved fantastic outcomes for its users. We have worked with My Time on various projects, including pro bono support from our Business Modelling Group to develop a financial forecast model, property advice from our Real Estate experts, supporting the recruitment of a business manager and jointly hosting marketing events. My Time has also benefitted from marketing advice from Matter & Co, one of our programme partners. I have certainly enjoyed lending my support to the business, as I know how important social enterprises are to the local economy. Having spoken to Michael, I know that the My Time management team feel that their involvement in our Social Innovation Pioneers scheme has been invaluable to the growth and future prospects of the business. I’m confident that successful applicants in next year’s programme would see similar benefits. For details on how to apply, please go to http://www.deloitte.com/view/en_GB/uk/about/community-investment/social-innovation/index.htm. And good luck! Richard Hadley Richard is a Director in Corporate Finance, specialising in providing financial due diligence support to private equity and corporate clients on a range of buy-side and sell-side transactions.

Delivering Responsible Tax

Finance Transformed — Wed, 10 Apr 2013 15:37:38 +0000

Recent events in Parliament and associated media coverage confirm that businesses operating in the UK need to navigate a new tax landscape. Amid all the noise, the public debate on tax avoidance is leading to some tangible changes. Companies that do not have, and as importantly are not perceived to have, a responsible tax approach can run the risk of losing out on government contracts, losing stakeholders through brand damage or finding themselves out of pocket. The OECD released a report into base erosion and profit shifting of corporate taxes. There has also been a UK ministerial statement confirming the Government’s intention to put rules in place to ban companies, partnerships and individuals which take part in tax avoidance schemes from being awarded Government contracts. Companies, whether headquartered here or overseas, now find themselves under pressure to publically defend their contribution to society at large at the same time as continuing to deliver value to their customers, investors and others. How should CFOs prepare?Executives in large organisations that are responsible for the management of taxes need to play a key role in shaping and driving their organisation’s strategic direction and response to public attention. CFOs will need to assess their tax profiles, benchmark their current position to where they want to be and create a roadmap of how they will get there. CFOs need to be aware of the evolving regulatory environment which can provide companies with opportunity as well as compliance and reporting pressures. For example, the implication of the OECD’s base erosion and profit shifting of corporate taxes may lead to a restructuring requirement affecting more than the just the Tax department. Are you ready to respond? In considering whether your business is ready to respond to this evolving tax debate, you might want to consider the following questions: Tax strategy: Is there engagement from the Board/outside Tax around the organisation’s tax strategy? Has the strategy been fully implemented and communicated? Risk of scrutiny: What is the potential risk of scrutiny of the business, both from the public and from HMRC/other tax authorities? Does your organisation have attributes which could attract attention and are not easily explained by reference to publicly available documents? Impact of scrutiny: Should your organisation be subject to scrutiny, what might be the financial and other impact of key stakeholders (investors, suppliers, customers etc) withdrawing their support? Readiness for scrutiny: How ready are you to respond in a controlled and robust manner to scrutiny? Are there clear accountabilities and standards for tax? Do you have controls over key risks associated with your tax position which are periodically monitored? Is there coherent reporting to both internal and external stakeholders? In this rapidly evolving environment, the key to achieving sustainable tax outcomes is by having a responsible approach. Towards a responsible futureTo achieve this outcome CFOs and their teams must be prepared. This includes having an understanding of the public debate and what it would mean for stakeholders through to setting of goals, maintaining the people, process and systems and reporting tax positions clearly and effectively. Benefits that could be evidenced from this forward planning range from tax savings from efficient planning through to managing stakeholder expectations; impacting sales, investments and staff members. For many companies, tax planning continues to move up the priority list using this as an opportunity to plan for a responsible future. Rachel TaylorRachel is a Partner in Tax Management Consulting, specialising in tax technology and the tax aspects of Finance Transformation programmes. One of the key aspects of her work involves business process improvements and reporting enhancements covering corporate and indirect tax reporting, transfer pricing and withholding taxes.

International Women’s Day - Ladies Charity Lunch for Deloitte Disability Sport

Midlandsblog — Wed, 10 Apr 2013 12:09:47 +0000

As a member of the marketing team at Deloitte in Birmingham I was privileged to have been involved in this year’s Deloitte Ladies Charity Lunch to celebrate International Women’s Day. Held at the Hyatt, the event – which grows every year – supports the Deloitte Disability Sport charity; the largest programme of its kind in the UK. This year our guest speaker was TV presenter and multi-award winning journalist Miriam O’Reilly, who greatly inspired me with the story of her legal battle against what many regard as the UK’s most influential broadcaster. Her case, widely reported in 2009, was the first to be won on the grounds of age discrimination and marked a major turning point in the treatment – and inclusion of – older women on television. What surprised and shocked me most about her story was not the response of her male colleagues, but the lack of support from other female presenters, who avoided being seen with her in public for fear of being associated with her and in doing so, risking their own jobs and careers. Miriam’s speech was a stark reminder – to me and I understand to other attendees that I spoke with after the event - that women in business, whatever their role, need to support one another. We should provide encouragement and help each other to achieve success and fulfilment at work, whether that is a seat on the board or learning a new skill. With that in mind I certainly feel proud to have been part of an event that not only raised a great deal of money for a wonderful cause - £4,500 no less - but also provided women in Birmingham and across the West Midlands with a chance to be inspired, and to meet new contacts that might, one day be instrumental in helping them achieve success. Polly Brookes, Marketing Executive at Deloitte in Birmingham

Keeping the customer loyal

Deloitte Customer UK — Tue, 09 Apr 2013 11:00:00 +0000

In today’s challenging economic environment, the importance of holding onto existing customers is more paramount than ever. Too many organisations prioritise acquiring new business from new sources when much of the real value can be found right in front of them – it just needs to be nurtured in the right way. A focus on building loyalty within the existing customer base will create brand advocates organically and, ultimately, stimulate growth. Brand advocacy is not an overnight process. Rather, it is a relentless, consistent and long-term approach to delivering the best customer experience possible. Every touch point that the customer has with a business (and vice versa) needs to be best-in-class: richly personalised and highly efficient. This means having a ‘customer-pull’ culture driving organisations’ operating models. Here are five simple steps to foster this ethos: Get social: we know that social media’s power cannot be underestimated. It is a unique contemporary market research tool and the opportunities that it presents for organisations to engage in direct, real-time conversation with vast segments of their customer base are unprecedented. Leveraging social listening technologies means companies can understand their customers’ needs and wants now and respond accordingly – building satisfaction and loyalty in the process. Provide exceptional customer service: it’s all very well having good customer service – but that has now become the benchmark: ‘good’ is the new expectation. To differentiate, companies need to provide a stand-out service that over-delivers, goes beyond expectations and ultimately makes a marked impression on the customer. Customers shouldn’t merely endure the service businesses provide, they should enjoy it. That way, they’ll come back again and again, bringing new customers with them in the process. Engage in constant communication and dialogue: using whatever means and channels are most relevant, organisations need to ensure a system is in place for reaching out to existing customer base – and that doesn’t just mean blanket marketing messages. By engaging in a personalised dialogue with customers, they will move from being passive consumers to active participants in an organisation’s brand. This participation will quickly mature into advocacy. Offer relevant customer incentives and rewards: having started their formal journey in the airline industry, loyalty programmes have, er, taken off – from coffee outlets to supermarkets, high-street banks to fashion retailers, we are now bombarded with them every day. Through the clutter, it can be hard for organisations to stand out. The key to do so is offering incentives and rewards that are relevant to the customer on an individual level. Simply, care about each and every customer, give them what they want, and they will stay! Utilise big data: understanding data underpins all of this. By leveraging data analytics and predictive modelling techniques, patterns can be scientifically analysed, behaviours can be anticipated, and potential lapsers within customer bases can be identified – and targeted with tailored retention campaigns. The main idea here is around being proactive, rather than reactive: understand the customer better than they understand themselves! Ultimately, loyal customers are a profitable breed: their willingness to pay price premiums, combined with the potential cost savings that they generate, creates a very attractive proposition indeed. It’s time for organisations to drive that proposition and shift the focus of their operations to consolidation and retention – this means knowing your customer inside out and putting them at the heart of your business. Jack Samler Jack is an Analyst in Deloitte’s Customer Consulting practice. He has a keen interest in social media and digital engagement in the context of the customer experience, specifically customer service, customer relationship management and brand / marketing / sales strategy. His industry focus is the private sector, with experience that includes work in television production, broadcasting, media asset management and online gaming. Read Jack's previous blogs My top 5 social media campaigns of 2012 and The power of advertising. Connect with Jack on LinkedIn.

Investor Relations: What New CFOs Should Know

Finance Transformed — Wed, 03 Apr 2013 07:50:02 +0000

Juggling the demands of shareholders, analysts, bankers and ratings agencies is enough to make even a seasoned CFO cringe. For new CFOs, those demands can be intimidating, if not terrifying. Still, there are lessons CFOs should understand about investor relations (IR) before taking the reins—lessons veteran CFOs should revisit on a regular basis. Below I have provided my top tips for new CFOs to consider, and while far from all-inclusive, it offers a window into the external opportunity IR presents for CFOs, as well as its importance as the de facto sales and marketing function to investors. Create your FAQ notebook: As a new CFO, you are going to be asked a multitude of questions in your interactions with investors, and invariably there will be one or more for which you do not have an answer. After listening to a series of quarterly conference calls over several years, I have found that about 80% of the questions are common. If you know the questions and you have a solid understanding of how their models are structured, you can build the answers into a physical FAQ notebook—one you can share with your CEO, IR director and business unit leaders. The other 20% require preparation, including dry runs and leaning on internal resources, particularly when you are new. Allocate your time effectively between buy-side and sell-side investors: As CFO, you deal with both sell-side and buy-side analysts. It is important to understand the requirements of both, but who should claim more of your attention? The answer depends on timing. The sell-side analysts, for example, will typically be focused on your quarterly update calls and incorporate that information into their research. The buy-side analysts, on the other hand, often have well-documented strategies of when they are going to enter—and exit—your stock. Develop realistic business expectations: In your external communications if you forecast a particular sales target, earnings target, income target, cash flow, etc., you should have a high probability of achieving the target. Financial markets tend to be very unforgiving if you don’t. It is critical that you spend the necessary time educating your investors on the drivers of the business and the company’s expected performance relative to peers. Commit to one comprehensive financial model: Just as there should be one overall strategy, there should be one comprehensive financial model. It should reflect the same set of numbers that the financial planning and analysis team develops inside the business. And just like your strategic model, you may want to include some flexibility for the numbers you’re committing to in the event of execution misses. Gain working cross-functional knowledge: As CFO, you may miss a lot if you just sit in your office and manage the finance function. To gain a full picture of the business, you have to be ready, willing and able to get out and engage people outside of finance. The more you understand the issues your strategic business unit leaders and the various functions are focused on, the better prepared you will be to address investors’ concerns. As you gather your knowledge, develop ways to effectively communicate it to the CEO and the board, so they are equipped with the information to properly oversee the company. Give bad news all at once: Inevitably, there will be bad news. When that happens, make sure you fully understand the implications, because you usually get just one shot. If you communicate bad news one week and add to it a week later, it only makes things worse. Before you offer the news, however, make sure cross-functionally that the CEO, the CEO’s direct reports and the board understand what is being communicated and why—and that you have their support. Ultimately, think like an investorCFOs want external stakeholders to view them as having high integrity, as being a competent steward of shareholder resources and a strategic thinker, and of course, as being right. Gaining such a reputation does not happen overnight. In order to achieve it, you need to know the business drivers and the questions investors want answered. As CFO, do your homework, be prepared for a multitude of questions, do dry runs and create the FAQ notebook and ultimately, you need to think like an investor. Marcus BoylePartner, Head of UK & EMEA Finance Transformation Marcus has 20 years consulting experience and is the partner in charge of Finance Transformation in the UK & EMEA. Marcus has published a number of articles and papers and is often quoted in the press on how CFOs can successfully transform their finance functions.

My first day as a Technology Analyst at Deloitte

Deloitte careers UK — Tue, 02 Apr 2013 09:16:19 +0000

1: How it All Began Upon receiving our offers, we would all have some sort of expectations as to how our lives would unfold in Deloitte. Be it the roles we’re going to play, the people we’re going to meet or the experience we’re going to go through, they would undoubtedly stir a lot of excitement, as well as inevitably, anxiety. Nick has already given you a very comprehensive guide as to what a ‘typical’ day of a Tech Analyst is likely to be in the office and hopefully has given you a perspective to work on. But we all had to start somewhere and before all the wonderful things happen, there is something that all new analysts must go through; the Analyst Induction Programme (AIP). I aim to use this series of blog posts to tell you all about the journey of a new analyst which will hopefully fuel some excitement and banish any anxiety you might have about joining Deloitte. You’ve probably already heard that there is no such thing as a ‘typical’ day in consulting life – well I can safely tell you that it is simply impossible to have a repeat experience of an AIP. For me, it all began on the 10th September 2012, when I stepped into the Emirates Stadium. I am not a Gunner fan myself but even so, the stadium is noticeably different, namely the replacement of the Arsenal red with the Deloitte blue and green. The venue is grand enough, but what made an even greater impression on me was the sheer number of people present. Nearly 300 new joiners were clustered there, either registering or were already chatting away. To give you an idea of how large a group it was, when we took our year photo in the stands, we filled up an entire seating section and the photographer had to be in the opposite stands, communicating to us using a mobile phone. Registering went smooth enough for me (which involve showing your contract letter and passport) and before I knew it, I was in the crowd attempting to make conversation with people. To be frank with you, it was rather like first day of school where you’d quite like to make friends but somehow feel weird and I mean, the sight of 300 people dressed up formally, marrying it with the ‘first day syndrome’, was rather overwhelming. Nonetheless, I was very glad to locate a few people who I have kept in contact with since previous Deloitte events and that really helped pull me out of the daze. A quick tip here, do keep in contact with people, be it the people you met in a graduate event or people who go through the interviews with you – some of them will turn out to be the best friends you’ll ever make. Moving on, the morning continued firstly with the photo shoot and then with a series of talks from senior members of the firm led including the AIP lead partner, welcoming us to Deloitte Consulting while explaining what we would go through in the six weeks to come. What really impressed me then was how much effort and resources were put in to make sure our training is worthwhile and that we were happy. Many Deloitte people gave up their work time to be there just to make sure we all settle in, and that included some very senior people who would have had to give up important client time. This was followed by more networking time over lunch then a team building exercise that took up the entire afternoon. We were split into teams, each with people going into different competencies, and were tasked to make a device that performs a certain action. Not to spoil the fun for everyone coming in next year, I shall not say too much about the nature of the device (which I suspect will be altered somewhat anyway) but the main focus of the afternoon was to give us a first taste of working in a Deloitte team. Some of us would be full of ideas; some of us would be more practical. To achieve the target, we had to work together, trying to draw on everyone’s strength. All in all, it was a lot of fun when we threw stuff down the side… Oops, I’ve already said too much. By the time I stepped out of the stadium at around 6:30pm after an exhausting day I was suspiciously hungry. But rather than contemplating my options for dinner, I was thinking over what the Lead Partner told us during the introduction talk: You will be client ready after these 6 weeks. At that moment, I honestly thought it was impossible and I can still remember the fright I had when he said it. I guess, looking back, my fears were not totally rubbish. It was hard work and over a three week period, numerious challenges to overcome but it definitely was not impossible. In fact, me writing this post now proves how wrong I was on the day and I will hopefully be able to show you how the transformation came about in the next entries. I hope my first day’s experience would help in some way. But then again, I’m sure your first day would be another unique experience. Till next time. To find out more about opportunities in Technology at Deloitte please click here. Related articles Experiencing Professional Education Destination Leeds Deloitte Consulting Technology Industrial Placement - what is it really like?

The Cyber Threat to Fund Managers: Choosing not to steal the Mona Lisa

Enterprise Risk Services — Tue, 26 Mar 2013 17:26:33 +0000

Fund managers shepherd highly-valuable assets on behalf of their clients and their business models ensure financial assets like equities and bonds are kept safely. So, is enough attention paid to the protection of their non-financial assets? They say that information is power, and I’ve always thought that it’s particularly true in fund management. The very core of the business is about gathering information, analysing it and turning it into market-beating performance. ‘Inside information’ is so powerful that people go to prison when it’s in the wrong place. Many houses refer to their investment functions as ‘manufacturing’, but there’s no stock and no factory - information is the raw material and the output. This really is the peak of the ‘information economy’. So, the one business that should recognise that information is worth protecting should be the fund management business. Last week I ran a briefing session for Non-Executive Directors (NEDs) from the fund management sector, and was pleasantly surprised to see that this is very true for those charged with providing governance over these firms. NEDs recognised the risks of handling information like live portfolio information, electronic payment instructions, and clients’ personal information. In the briefing we talked about the new shape of the cyber threat – and I was a little taken aback by the level of engagement. It’s worth thinking about why I was so pleasantly surprised. In the past I’ve heard fund managers decide not to prioritise cyber security on several grounds: • “This sounds like science-fiction”• “We’re not a high profile brand, so not an attractive target”• “I’m not an investment bank, I haven’t got the resources to beat them” During the discussion it came out that one London-based house trained its staff on this subject by attempting to value a memory card (like those in a mobile phone or a camera) containing their retail client database. Identity thieves will pay big money for personal information – and given that these databases usually hold bank account and “know your customer” information for many high net worth individuals, they’re an attractive target. So attractive, this house reckoned, that their little memory card was more valuable per square centimetre than the Mona Lisa. So it’s likely that an economically rational fraudster will one day target that database, the systems that transfer billions of pounds (whether executed by an outsourced provider or not), or even pre-trade information that can be easily monetised in the market in a determined way. But this has been true for a few years, so what’s changed? In our discussion we focussed on criminal gangs who are skilled, resourced and determined. These are part of the new internet threat that has to some extent replaced the ‘old’ threats of viruses written by loners pursuing only cyber-kudos from their peers. So how does the new cyber threat relate to those risk attitudes I mentioned earlier? Here’s my view: This is real and it’s happening now. There are plenty of doom-merchants trying to scare people, but there is at minimum - a kernel of truth here. Firms are being attacked, and they don’t speak about it for fear of client redemptions. A high profile brand might mean that casual attacks are more likely, but organised criminals are willing to do fieldwork. They look past the first few results on Google, and will target organisations that are less likely to go public about problems and who are less likely to pursue them to the courts In any case, the likelihood may be debatable, but fund managers will be just as out-of-a-job as anyone else after a successful attack. Even the world’s largest investment banks admit that they can’t stop the criminals getting through every time. Increasingly, efforts are turning towards effective preparation for and response to breaches. This levels the playing field with criminals going for the firms that can’t act quickly and decisively when things go wrong. Imagine the Mona Lisa left on a bench in a London street - it wouldn’t stay there for very long. It dawned on our group that every day firms expect internet criminals (not to mention all their employees and contractors) to simply walk past assets a lot like these and not be tempted. Jon PumfleetJon is a Director in Deloitte’s Enterprise Risk Services practice. Jon is an Asset Management technology risk specialist, having previously been Head of Technology Risk for a leading UK fund manager for over six years. He has led operational risk programmes covering 3rd party management, procurement, business continuity, project assurance and security.LinkedIn

CFOs can utilise technology to stay ahead of risk

Finance Transformed — Tue, 26 Mar 2013 14:33:59 +0000

Think about the most recent time your business encountered volatility. At those moments, the first things experienced leaders seek out are facts. Because they know that to make informed decisions when it matters most, they need the right information. But in many organisations, that’s precisely the moment when they start seriously questioning the quality of their information, their ability to interpret the signals coming from that information, and the mechanisms in place for transmitting data-driven insights throughout the organisation. Whether the problem is outdated, incomplete, or inaccurate information, too much information, not enough, the wrong people getting the right information or vice versa—to name a few familiar challenges—information is at the heart of the issue. New technologies can deliver more accurate risk information While it’s clear that information challenges cannot be solved by technology alone, risk management technologies have advanced dramatically over the past few years, and deserve a closer look. As little as three years ago, risk management technologies didn’t offer the ability to scan for regulatory updates, monitor online chatter, or even send automated process alerts using workflow. Today, these information technology driven capabilities are a standard part of the toolkit for risk-focused executives seeking to understand and keep risks, such as compliance and reputation, in check in the midst of rising volatility. If you are thinking of reviewing your current risk management technology driven process and capabilities, in order to deliver timely and more accurate risk information here are three key criteria to help guide your decision: Efficiency and transparency. The world is constantly changing and organisations have to adapt to respond to new risks and take advantage of new opportunities driven by technology. Advances in tools for tracking, documenting, and reporting risk information can help companies reduce costs while improving the information’s reliability, availability, and timeliness, helping CFOs to make better informed decisions. Awareness and alertness. Harnessing the potency of digital to engage with your customers, suppliers and employees may not only reduce costs, but can also improve your profitability and effectiveness. New capabilities for monitoring the internal and external environment for signs of risk events, and for integrating information across risk management and business silos, can help companies recognise and respond to risk events more quickly. Analysis and insight. Modern business analytics and visualisation tools can help companies extract valuable insights from both risk and operational data. For instance, analytics can help companies develop quantitative metrics for “intangible” value drivers such as reputation, forecast the likely impacts of a particular risk event, and identify relationships among apparently unconnected risk factors that might escape the unaided eye and mind. Of course, all of this presumes a close, active collaboration between risk leaders and their counterparts in IT. If that collaboration isn’t in place today, there’s no better place—or time—to get started.Marcus BoylePartner, Head of UK & EMEA Finance Transformation Marcus has 20 years consulting experience and is the partner in charge of Finance Transformation in the UK & EMEA. Marcus has published a number of articles and papers and is often quoted in the press on how CFOs can successfully transform their finance functions.

Knowing the difference between a ‘Like’ and a like

Deloitte Customer UK — Tue, 26 Mar 2013 09:51:39 +0000

“I like my brand new car”. “Driving my car is like driving a tank”. “Like it or not, you need a car when you live in the country”. If you are a car manufacturer, knowing how many people like (or don’t like) your new model is pretty useful. How many people like it? Is that better or worse than the previous model? Do they dislike the colour? Handling? Do they like the price? Any human can tell the difference between the above three statements - trying to get a machine to do this is not quite as easy. In the time before social media, consumer focus groups were the medium through which this qualitative data was collated and fed back to product and R&D teams. Marketers had to venture out and discover these opinions. Now, the opinions are out there; marketers just need to find a way to tap into them. A series of focus groups may gather a richness of data from, perhaps, dozens of consumers. But with about one billion tweets every week, and growing, how about a richness of data from thousands? How about from hundreds of thousands? As consumers become increasingly socially connected and vocal about brands and products, this type of insight, at this scale, can be immensely valuable. While the technology behind sentiment analysis has been around for some time, appetite for using sentiment analysis in making strategic and operational decisions – perhaps in deciding which products to launch – is gaining traction. Advanced sentiment analytics models can now score sentiment to a level of accuracy approximately the same as humans (about 70-80% by the way – even humans disagree…). However, scoring sentiment accurately about a business or brand is not enough. To be actionable to a business, models must distil the expressions of sentiment down into more detailed dimensions. Which specific product is a customer talking about? Is the customer annoyed at the price or the colour? How do consumers feel about your corporate responsibility? Do customers like you? The combination of structuring this ‘noise’ into discrete dimensions, scored accurately, is where the insight starts to become really powerful. Yes… start. Take a business dataset – revenue data from different product lines perhaps – and compare it to sentiment data from the same product lines. You may find something quite compelling there. I may sound like an evangelist, but by no means is sentiment analytics a panacea for businesses, nor is it easy to do (don’t be deceived by free online tools). Further, there may be challenges for certain industries which are seen as commoditised, where volume of opinion about specific brands is low. Or there may be internal challenges in convincing sceptical senior stakeholders that social media matters (it does) or that advanced models can live up to said claims (they can). That said, it is important to understand the difference between a ‘Like’ and a like… and now we do. Click here to review SentsCheck - an exciting, new digital sentiment analytics solution and quarterly index for the UK retail banking industry, launched recently by Deloitte. Jayson RobinsonJayson has written a number of previous posts including: Discriminalytics, Live in the Cloud and Cloudforce '12 wrap-up. Jayson is in the Customer Analytics team in Consulting and has worked across industries, using business data to maximise value within the business and with their customers. Connect with Jayson on LinkedIn or Twitter.

FFA Banking Fraud Figures: What’s the story behind the numbers?

Enterprise Risk Services — Thu, 21 Mar 2013 18:05:58 +0000

Last week we saw Financial Fraud Action release their 2012 annual fraud figures for the UK banking industry. Two of the stand-out figures relate to the online channel: - Online banking fraud rose 12 per cent, reversing the pattern of declining losses since 2009;- Losses on card-not-present transactions rose 11 per cent, the highest in three years, albeit in the context of increased online spending. These figures represent only a partial view of the overall picture, but they are nonetheless a useful indicator of wider trends across financial services and beyond. Fraud enabled and perpetrated through online channels is once again on the rise, but what are the stories behind these numbers? I have identified four key factors: 1. Low barriers to entryThe online fraud supply chain has become increasingly commoditised. Malware code, infected devices, phishing kits, compromised credentials and mule networks are all available as services to be purchased by growing numbers of less skilled and experienced fraudsters, contributing to the rise in attacks. 2. Few deterrentsSuccessful prosecutions of the individuals involved in online fraud remain few and far between and stolen funds are rarely recovered. This means that online fraud remains an attractive business. 3. Sophistication and scale2012 saw record numbers of phishing attacks targeting financial services organisations, with fraudsters seeking to compromise a wide range of personal data from customers. At the same time, malware targeting online services is becoming increasingly sophisticated, with fraudsters rapidly adapting to any changes in the control environment. 4. Wider focus, new targetsI believe that previous successes in mitigating online fraud, particularly in the large retail banks, have forced fraudsters to search for new organisations and online services that are most vulnerable to targeted attacks. In financial services, this means online banking for commercial and corporate customers; building societies and regional banks with online banking; and emerging mobile banking and mobile payments services. However, the reported rise in online banking fraud is indicative of a wider trend, impacting not just banks, but retailers and gaming businesses with online and mobile commerce channels too. It is important to remember that financial losses are just one part of the impact of online fraud.. The British Retail Consortium estimates that retailers suffered online fraud losses of £77m in 2011-12, yet total costs, as a result of investments in improved security, the erosion of customer trust and lost revenue, were considerably higher. The growing sophistication of digital fraud threats continues to outpace traditional fraud management controls. This, combined with the widening focus of attacks, threatens the ability of many organisations to effectively protect themselves and their customers. Given the speed with which attacks can be perpetrated, it is essential that timely and appropriate action is taken by organisations to avoid the consequences of digital fraud, including considerable financial losses and costly reputational damage. Stephen NichollsStephen specialises in digital fraud prevention. He offers a detailed understanding of business processes and drivers combined with an in-depth knowledge of the digital fraud threats facing financial services and consumer business organisations and an up-to-date perspective on current and emerging market trendsLinkedin

Deloitte Consulting Technology Industrial Placement - what is it really like?

Deloitte careers UK — Tue, 19 Mar 2013 17:05:04 +0000

This time last year, I was in your shoes. I was in the second year of my Management Sciences degree at Loughborough University and was looking to find a 12 month industrial placement. I applied and was offered a job at Deloitte for the IP scheme running September 2012-2013. Within Deloitte Consulting, I sit within Technology and, going slightly deeper, I’m in the Infrastructure service area – I will go into that later! Why Deloitte, you might be wondering? For me, it was a desire to go into consultancy and the simple coincidence of knowing someone on the scheme in the previous year who spoke highly of it. Now that I’m here, I am writing to offer that same benefit to all of the potential applicants who might want to know more. I’m going to try and help answer the question that was definitely on my mind back then: what is it actually like joining Deloitte? The challenge in writing this blog is that no two careers in Deloitte seem to follow the same path. This year, there are 6 twelve month IP students who have joined my Technology area. Each of us sits within a different Technology service area and each of us are carrying out different roles on client projects. Since September we have all taken on a varied set of tasks and roles, making it evident that our experiences at Deloitte will be completely different but grounded with similar foundations and principles. The thought of how different our experiences might be in a year are quite hard to get my head around right now! Before joining, I did have some concerns. Two huge questions which I wanted answered: What is it actually like joining as an industrial placement and being amongst the graduate joiners? Do I have enough technical ability to be joining the technology consulting competency? The first thing is that, as an IP, you are treated no differently from the other joiners. In fact, during induction, you are surrounded by an incredible group of people from varying backgrounds and with varying levels of experience - but you are all joining Deloitte as analysts. The structure of the IP year is the same as the first twelve months of the two year analyst programme which helps you feel part of the group. I joined and completed my initial induction (four weeks in London and two weeks spent residential in the Cotswolds) with approximately 280 other new joiners; 80 of them joining the technology competency. This allowed to me to create a close network that involves both colleagues and friends. This has been driven by a large number of social events hosted by Deloitte. I have been out to more meals than I can count, more casual drinks evenings than can possibly be healthy and, perhaps to balance it out, play football bi-weekly with other Deloitte employees. I have absolutely no lingering concerns about integration. I feel a valued part of the company and Deloitte treat us well and make us feel valued. My second point is one that may not matter to those with a very technical background and comes regarding the technology aspect of the placement: I had no shortage of apprehension regarding the possibility of working in “heavy” technology. The wide spectrum of industries, clients and issues means that projects require a varied level of technical abilities. I joined Deloitte as someone who was almost entirely non-technical, but with a passion for technology and this was not a problem. You choose your own path at Deloitte. If you want to be involved in technical activities you can be - but there are plenty of roles and projects that may be more suited to your particular skill set. I had to learn a fair number of technical acronyms and concepts when I hit client site but, within my role primarily working in the Project Management Office, I haven’t faced anything too technical for me. You may have to be open to learning a few new terms and a little effort may be required to actually work out what the terms mean but it’s not inaccessible at all. You have a team on your project that will help when you need it and you receive specific training and professional qualifications to make sure that you are client ready. My particular project is fairly large for a consulting project and that has helped me settle in a lot – particularly since we’re outside of London. There are approximately forty Deloitte people on my engagement. As I mentioned, this means that there is always something going on in the evenings and everyone is very welcoming to new analysts. I joined this project with 7 other analysts, including 2 other IP students (one of whom was shipped off to Berlin to work on the project from there – not bad!) and that also helps. I might have been a bit daunted coming into a project as a new joiner, and an IP, if I was the only analyst! Overall, I would definitely say that my first few months at Deloitte have already proven to be an incredible experience. My project is interesting, the people are good fun and very skilled in what they do and every effort is made to integrate us into the company. I’m really looking forward to the next 10 months and the thought of going back to a student life after this is perhaps the toughest thing to comprehend right now (almost as tough as the thought of leaving it - just a few short months ago!). I am excited to see what challenges are around the corner – keep tuned for the next instalment! Are you interested in applying for an Industrial Placement in one of our technology teams? Why not read more on our website and apply now! Related articles Meeting people and networking at Deloitte Experiencing Professional Education

Banking on customer-centricity

Deloitte Customer UK — Tue, 19 Mar 2013 14:59:07 +0000

Financial services is an industry that is not often perceived to put the customer at the heart of business models. The industry has sometimes been slow to adopt new technologies and customer relationship models and to respond to consumer needs. However, recent economic and societal developments have changed the playing field irreversibly. The combination of: capital constraints, new regulation, low growth in mature markets, digitisation, and the rise of the connected consumer are hugely disruptive forces in the financial services landscape. Some of the challenges the industry faces New players have entered the market and have been able to swiftly offer a service more tailored to the needs of modern customers as they are not handicapped by legacy systems and operating models. Mobile and online channels are transforming the landscape for consumers and becoming a preferred channel of interaction. Regulation has changed the landscape for advice and sales, with many organisations still working through the impacts, risks and opportunities raised by changes to investment advice and conduct regulations. Consumers’ confidence, especially within the ”millennials” is low. They are more skeptical and harder to engage with through traditional means, such as direct marketing, telephony and traditional advertising. No one-size fits all response exists, but step one is to think customer-centric There is no single catch-all for how institutions should respond to the new environment. In my view, the response should be driven by customer needs and by granular insight about that customer segment. Being ‘customer-centric’ risks becoming a buzz term, much like CRM became in 1999-2003. But when done properly, a customer-centric approach can drive exciting results and outperformance. Operating models need to be customer-centric and collaborative. Instead of product silos think customer segments. Online must have more emphasis, internet channels should feel safe and secure but it should also be more engaging and interactive – allow instant messaging with customer service reps, provide useful content and look and feel as if it was made with the customer not the institution in mind. Channel choice is customer-driven. Don’t look to migrate transactions to the lowest cost channel, but rather recognise that customers will be multi-channel. Give them the opportunity to resolve their transaction on their terms, make it simple, and intervene proactively when things go wrong. Product design needs to evolve. Too often products are designed in isolation from the customer experience, or legacy products can’t be evolved to the needs of emerging segments. How long would it take you to push out a simple, execution-only product via social media channels? Creating affinity to traditional brands can be hard. Be genuine, engage users on their terms and offer a service tailored to their needs. When a customer feels they have been the recipient of free, useful advice or information they are far more likely to return as a paying customer as well as advocate the company that provided it. It won’t work if the organisation isn’t aligned. Virtually every organisation makes statements about being customer focused but few have really embodied this in how their people and leaders act and are motivated. One of the key practical steps is to consider how the customer is represented and embedded in all parts of the organisation. The pace of change has taken many by surprise over the past decade; it has seen the erosion of the traditional boundaries and rules of engagement. However, far from fearing this change financial institutions should embrace it as a unique opportunity to listen, react and update their propositions and processes in line with what their customers want. Peter Desouza Peter is a Consultant in Sales and Distribution. He has 3 years’ experience of working predominantly within the retail banking sector on customer transformation projects. He has worked on defining customer journeys, customer value and segmentation, how to attract, interact and retain customers in the social era. Peter has also consulted on a range of start-ups in the social media and crowd funding space. Connect with Peter on LinkedIn.

Deloitte tax expert urges Midlands’ businesses to face up to RTI

Midlandsblog — Tue, 19 Mar 2013 14:41:09 +0000

Harvey Smith, Director in Deloitte’s Birmingham Tax practice, warns companies against ignoring the pending deadline. As of 6th April of this year, HMRC will introduce Real Time Information (RTI) reporting of PAYE, which will require employers to submit details to HMRC every time they pay an employee, at the time they pay them. It will also require that they submit this information electronically as part of their routine payroll process. Whilst this forthcoming regime has been public knowledge for a number of years, the reality is that many employers and those responsible for payroll are still underprepared for its introduction. At Deloitte’s recent Employment Tax School workshop, less than 10 per cent of attendees said they were “confident that they had done all the necessary preparation in readiness for RTI”. While this is understandable – employers have a considerable amount of responsibility to ensure the new system works effectively – HMRC is unlikely to be sympathetic to those organisations that have not made every effort to comply. Among the key areas for employers to concern themselves with are: the integrity of the data they’re submitting; the capacity of their IT systems to cope with the expanded reporting requirements; the necessary communications to their employee base of the changes taking place, and the possibility of requests for additional personal information; data protection issues; and both the physical and financial management of the new requirements. For organisations, especially SMEs, who anticipate that they simply won’t be prepared in time, it may be advisable to open a dialogue with HMRC as soon as possible on the specific issues and invite HMRC’s feedback on the points of concern. Resource and focus, at this stage, is likely to be best diverted to the integrity and accuracy of the data in time for the first Full Payment Submission (FPS), so that necessary adjustments can be implemented for subsequent reporting periods. The process is likely to represent a learning curve for all concerned, at least for the first year or so. With this in mind, the hope will be that tough penalties are not enforced by HMRC until later years, but only by facing the forthcoming changes head-on, whether that is achieved via good preparation, seeking help, or opening a dialogue with HMRC, will they ensure that they avoid any unnecessary, and potentially costly, impacts. Harvey Smith, Director in Deloitte’s Birmingham Tax practice

Cyber Security - Are CFOs doing enough?

Finance Transformed — Mon, 18 Mar 2013 12:49:00 +0000

The rapid pace of change in technology has provided huge opportunities for organisations to develop new models, services and products. But while the digital revolution has evolved the way we do business, it has also created a sophisticated and complex set of security issues. Assets that were once physically protected are accessible online; customer channels are vulnerable to disruption; criminals have new opportunities for theft and fraud. It’s time for CFOs to act to protect their organisation for when the inevitable cyber-attack happens. Find out more about how your company can take a proactive approach to cyber security visit www.deloitte.co.uk/cybersecurity. Andy Morris Partner, Global Enterprise Risk Services Finance Transformation LeaderAndy has sixteen years’ experience helping clients manage the risks associated with the use of existing and emerging technologies.

The Drivers of Corporate Social Innovation

Responsible Business blog — Wed, 13 Mar 2013 10:46:03 +0000

The Deloitte Institute of Innovation and Entrepreneurship (DIIE) is an exclusive ten year partnership with the London Business School, which through its research, teaching and outreach activities, will enable our clients, people and wider society to access the latest Insights and tools needed to lead innovation within complex environments.The Deloitte Institute holds an annual programme of executive roundtable events in order to showcase the research arising from the Institute and to disseminate that research and its findings to a high level corporate audience. An executive roundtable was held on January 30th led by Prof. Ioannis Ioannou and featuring Heather Hancock, Deloitte Managing Partner for Talent and Brand. The event was hosted by Sir Andrew Likierman and was attended by senior executives from major corporations and non-profits. In the video below, Ioannis and Heather summarise the roundtable discussion with Ioannis sharing some of his latest research on the drivers of corporate social innovation. “In this project we explore which organizations engage in social innovation and why they do so. Social innovation refers to those product, process or business model innovations that are specifically designed to synergistically generate economic as well as environmental and social good. Social innovation is powerful because it harnesses the full power of profit-seeking businesses to invest in opportunities that tackle the world’s most acute challenges (e.g. climate change and global warming). We hope to provide a better understanding of how social and environmental issues are increasingly becoming embedded in the firms’ business models and the drivers for this trend. We also examine whether, when and how such embeddedness creates economic, social and environmental impact.” Ioannis Ioannou, Assistant Professor, Strategy and Entrepreneurship Claire BenchClaire is Head of Community Investment at Deloitte, leading the firm’s major community and volunteering initiatives including our Skills and Education programmes and our support to social enterprise.

Security University

Deloitte careers UK — Tue, 12 Mar 2013 11:46:10 +0000

Starting in Security and Resilience in the Risk Consulting team at Deloitte meant that I spent my first six weeks attending “The Security University”. Having come from a non-technical background I was worried that I would spend six weeks in a confused haze trying desperately to understand what was going on – luckily it wasn’t at all like that! The University took place at conference venues near the New Street Square office and was attended by the graduates starting work in Security and Resilience, Corporate Security and Penetration Testing - this meant it was a great opportunity to get to know people in the same boat! The Resilience and Corporate Security graduates attended the first four weeks, with Information Security and Penetration Testing attending for six weeks. The courses were run by colleagues from the Risk Consulting teams and covered a range of topics including; Security Architecture, Introduction to Corporate Security, Information Security, Disaster Planning and Access Management. For two weeks a Wargame ran concurrently with the courses (more on that later!) The courses were excellent, and aimed at those of us with little technical knowledge; there were also plenty of group activities and lots of opportunities to ask questions – so not at all like my University lectures of the past! Covering such a wide range of topics gave us a good overview of what the other teams within Security and Resilience did and helped us to understand where we fitted into the team as a whole. I came away from the courses feeling like I had a good baseline knowledge which I could put to good use when I started work. During University time we also took a course in Foundation Level Software Testing, which lasted three days and ended with a multiple choice exam. This was a professional qualification run by ISEB – and required some evening revision – it wasn’t easy, but receiving the certificate in the post a few weeks later made the hard work worth it! For two weeks we were split into three teams to compete in a Wargame. Over the duration of the exercise the teams were given information regarding a simulated business situation and had to use this to complete various tasks culminating in a presentation to several senior managers/partners. This gave us the opportunity to practice many of the skills we would need as Consultants in an interesting and fun way – despite a large dose of friendly rivalry! I really enjoyed my time in training, it gave me a great opportunity to learn about my new career but also to meet the people I would be working with in the future – one of the course facilitators is now my manager! To find out more about Risk Consulting training and development please visit our website.

Welcome to the North

Deloitte careers UK — Mon, 04 Mar 2013 12:25:40 +0000

“WELCOME TO THE NORTH” – sang Rob Harvey of The Music at the Leeds O2 Academy to a roaring home crowd in August 2011. This would be the last time the band would share a stage and it goes down in memory as one of the best concerts I’ve ever been to. Those who read my first #destinationleeds blog (http://blogs.deloitte.co.uk/careers/2013/02/destination-leeds.html) would be forgiven for thinking that Leeds is a one trick pony, or perhaps that I’m a little obsessed. But consider the wealth of musical heritage which has emanated from the city: The Who’s Live at Leeds, The Kaiser Chiefs, Utah Saints, The Pigeon Detectives, Chumbawumba, The Brudenell Social Club, The Cockpit, The Well… and that’s not to mention the Symphony Orchestra or even a little known festival held in Bramham Park every August bank holiday weekend. Leeds is a cultural melange however and there’s much more to draw you in. There are a number of notable museums here well worth your time such as the Leeds City Museum in Millennium Square and the Abbey House Museum which is situated at Kirkstall Abbey – well worth a day out. The Royal Armouries Museum is perhaps my favourite though with its vast collection of military exhibits, which we were fortunate enough to visit for the Leeds Chartered Accountants Student Society Annual Dinner only weeks ago, hosted at the impressive modern building. It would be remiss not to also mention the Leeds Art Gallery on The Headrow in the centre, with its impressive collection of both traditional and modern pieces (see the visitor’s leaflet detailing “Ten Key Works” if you’re in a hurry but don’t want to miss anything important). The Carriageworks, the Grand Theatre and the West Yorkshire Playhouse are the three theatres in the city centre; at the latter there is a current run of Marlowe’s Dr. Faustus (23rd February – 16th March) in collaboration with the Glasgow Citizens Theatre. I can’t write about the culture of Leeds without mentioning its sport. It was only in January that Leeds United A.F.C. overcame Tottenham Hotspur in the fourth of the FA Cup in a dramatic match at Elland Road. There are two premier Rugby teams which are based in the city, Leeds Rhinos (Rugby League – 2012 Championship Winners) and Leeds Carnegie (Rugby Union) and furthermore Leeds is also home to Yorkshire County Cricket Club, the most successful team in English cricketing history. All that and I haven’t even touched on the shopping on offer, with well over 1000 retail stores to choose from. The Headrow, The Light, The Corn Exchange, The Victoria Quarter, the White Rose Shopping Centre, Briggate…the list goes on and on! The nightlife very much speaks for itself with the hot spots being Call Lane, the area towards Millennium Square and the Northern Quarter, but this also extends past the city centre to the suburbs of Chapel Allerton and Headingly, which both have a number of good pubs and restaurants. Yorkshire has a long history of producing fine ale which the Leeds pubs proudly serve. Leeds has so much on offer and the above represents just a flavour. The event that I am most looking forward to is the Leeds Carnival held in Chapeltown and Harehills every August bank holiday. It is a three day long festival in which over 100,000 people takes to the streets to celebrate West Indian Culture, an element ingrained in the city of Leeds. The vibrant festival nature of the event is a great metaphor for the city of Leeds – it is a colourful, friendly and energetic place to live. Leeds is a city best seen to be believed. To find out more about Leeds and our job opportunities available click here

Demonstrating our legacy commitment

Responsible Business blog — Thu, 28 Feb 2013 10:10:04 +0000

What an achievement! Everyone involved should be proud of raising over £1M for the British Paralympic Association (BPA), on a night when we were also celebrating the announcement of Deloitte continuing as title sponsor of our corporate cycling challenge Deloitte Ride Across Britain, and signing on as an official partner of the BPA through to the 2016 Paralympic Games. On Tuesday I was fortunate enough to be invited to the BPA’s £1m Celebration. It was great speaking to Paralympian Craig McCann who is taking part in Deloitte Ride Across Britain (RAB) 2013 and hearing how the money raised made a difference to ParalympisGB in the London 2012 Games. Since 2006 we have been a dedicated partner of the BPA and through Deloitte RAB we surpassed our aim to raise £1m by 2013 a year early. In fact, over the last three years Deloitte RAB riders have pedalled almost 1,800,000 miles and raised £1,151,689 in total. If every pound equated to a mile, what has been raised would get us to Rio and back 200 times and to the moon and back almost 5 times (at least I was reliably told this fact anyway!). After our firm’s transformational impact on disability sport in the UK before and during the London 2012 Paralympic Games and the now confirmed extended support, Deloitte is clearly showing our legacy commitment to ensure the disability sport movement in the UK continues to go from strength to strength to see even more medals won in Rio 2016. From grass roots to gold medals, we’re also proud to be sustaining our backing for the British Paralympic Association, as their Official Partner, on their journey to the Rio 2016 Paralympic Games. This integral support, combined with funds raised through Deloitte RAB, will help the BPA maintain the momentum of ParalympicsGB, who won more medals at the London Games than ever before. We believe that it is the continued success of this team that will inspire the nation to think differently about disability. Jess RonanJess is a Disability Sport Marketing Executive at Deloitte

Destination Leeds

Deloitte careers UK — Tue, 26 Feb 2013 09:53:40 +0000

Why Leeds? I’m a Yorkshire lad born and bred, but I had never really intended to move back up North when I had finished my studies in Birmingham. I won’t pretend it was the weather that made me warm to Leeds, but there were many reasons why I chose not to succumb to the bright lights of London – here’s just a few: When I was still studying I would regularly travel to Leeds to play with my band and this was how I discovered the amazing live music scene. There are loads of explosive venues across the city and it’s been just as exciting from both sides of the stage. The nightlife speaks for itself as I’m sure anyone considering Leeds will know but there is a lot more to the place than that; cinemas, galleries, museums and fine restaurants, not to mention the quality shopping. I’ve haven’t had a dull weekend yet, in fact I’m going to two gigs in the centre this weekend. Despite already knowing a few people in the city, I was effectively moving to Leeds on my own – setting up with a house full of unknown young professionals – and this was when I really started to understand what makes the city so great; the people are incredibly warm and friendly. I’ve moved to Chapel Allerton, which is a trendy Northern suburb of Leeds. Just across is Headingly, the favourite student haunt, and the city centre is even affordable enough to live in… I can’t imagine you could live within a 5 minute walk of your office in London if you were just a bright eyed graduate! OK, so Leeds is a great city to live and play in… but what is it like to work in? A popular misconception is that all the most interesting business and work opportunities surround the capital and that is simply not the case. Since joining the firm only 5 months ago I’ve worked on everything from large public companies to tiny home grown manufacturers across a variety of industries. Perhaps this is more indicative of the interesting and eclectic mix of clients which working for Deloitte will expose you to, regardless of your chosen office. So given the chance again, if I was in your shoes applying for the first time, I would still place Leeds as my first choice. I could have happily stayed in Birmingham or shipped myself off to London like many of my peers, so I’m glad I gave Leeds a proper thought in my application. In truth it’s not like either of those cities, I think it’s better. Come find out why. Richard HounsomeRichard is an Associate in our Audit team in Leeds. To apply for a role in our Leeds office click here.

Does LTE need a killer app? The clue is in the name….

Enterprise Risk Services — Mon, 18 Feb 2013 16:41:07 +0000

LTE is truly upon us, with the recently launched Deloitte Telecoms Predictions forecasting that there will be over 200 million LTE subscribers by the end of this year. But will they using their devices in a discernibly different manner? Will LTE be the same stuff, faster, or will an LTE “killer app” differentiate it from current 3G offerings?In the late 90s and early 2000s, there was much debate about what the killer app for 3G would be. 3G offered vast performance improvements over the existing capabilities, but in reality it was a technology solution looking for a problem to solve, despite £22.47bn having been spent by UK operators on licences. Many observers agreed that either pornography or gambling would be the killer app for 3G. That suitable handsets would be available to make content consumable was taken for granted, but arguably the killer app for 3G was the launch of the 3G iPhone in the summer of 2008, some eight years after the UK licence sales. The iPhone’s form factor enabled users to comfortably consume data in large quantities in a truly mobile manner. After years of cutting prices to encourage data usage, the iPhone-induced data demand meant operators had to invest considerable sums to ensure their networks kept pace, despite prices being charged for data not necessarily reflecting this additional expenditure.So what of LTE? Does it require a killer app to take off? Probably not. Mobile data is now an everyday part of life. As a consequence, mobile operators are upgrading their networks to LTE a) because the cost of providing data over LTE is considerably cheaper than over 3G and b) to keep pace with rivals. Video streaming will be better over LTE – but it’s often acceptable over 3G. Cloud services will be better, as retrieving content from the cloud (such as music) will be faster – but again it’s currently something that mobile users already do over 3G. Plus of course users have become accustomed to downloading larger volumes of data to their devices prior to venturing out or using wi-fi hotspots (particularly those not paying for eat all you can data bundles).This is borne out in research undertaken in countries with more mature LTE deployments (such as Sweden and the US): LTE users are on average consuming more mobile data than 3G users – more video streaming, more web browsing, downloading larger files – but they are not doing anything different. Perhaps the biggest clue is in the name. LTE = Long Term Evolution. Evolution, not revolution. George JohnstonGeorge is a Director in Deloitte’s Enterprise Risk Services practice, specialising in the Telecommunications industry. George has a particular focus on information management and data analytics, and has worked with leading operators across EMEA to help them understand, manage and obtain value from their data on a wide range of transformational programmes.Linkedin | Twitter

Experiencing Professional Education

Deloitte careers UK — Wed, 13 Feb 2013 09:55:56 +0000

One of the main attractions of joining Deloitte for me was the opportunity to study for the Chartered Accountancy (CA) qualification at the Institute of Chartered Accountants of Scotland (ICAS). It’s one of the first discussions that all new starts have with their senior colleagues: “So what’s it really like to study at ICAS?” In short, the answer is, “Very demanding”, but with this challenge comes experience and learning which will stand you in good stead for the realities of working as a graduate in Deloitte. I studied Law at university, which is deemed to be a “non-relevant” degree, in the sense that it was not related to accountancy. Therefore, I had to participate in the Test of Competence, which involves studying towards 5 courses: Business Management, Business Law, Financial Accounting, Finance and Principles of Auditing and Reporting. Those with relevant degrees might be able to get exemptions from some or all of these courses. Starting a professional accountancy qualification without any previous accountancy knowledge can be a daunting experience. Deloitte realise this and put the year group through a week long course in Bookkeeping, which is essentially a starter course in Financial Accounting. It was a difficult week trying to come to terms with debits and credits, depreciation and balance sheets, but it proved invaluable when it came to starting the Financial Accounting course. This extra week’s tuition offered a real head start to those fortunate enough to receive it. Each of the five courses are demanding in themselves, but when the courses are combined it is the sheer volume of material that had to be covered in a relatively short space of time that provides the most difficulty. Studying at ICAS is very unlike university, where I think it would be fair to say that many students do not operate at 100% capacity all of the time! At ICAS, students need to hit the ground running and maintain a good work ethic throughout the duration of the course. The studies at TC level were delivered via a mix of classroom teaching and studying from home for a period of three weeks. Each method has its pros and cons but the one thing they have in common is: you’ll be working hard! To become confident in the material requires between two to three hours of extra study in the evening. You will need to keep on top of this because the progress tests and mock exams come thick and fast. These were very demanding but by the time the exams came round, I felt practised and ready. The proof will be when the results are published in the next few weeks! Deloitte has a great internal support network, with each student being assigned a mentor who has completed the stage you are at just the previous year. I found this helpful, even when it was just exchanging a few text messages of encouragement or chatting about your experience so far. At one point approximately a week before the exams, I felt I was struggling with a particular subject so I made this known to Deloitte. Within an hour I had two tutor sessions lined up, one with a mentor and another with an ICAS lecturer. This really helped me understand the subject better and I went into the exam far more confident that I would have done had it not been for the help of the support network. The five exams were done in the course of three days which was tough but as with any challenge, there is a feeling of great satisfaction when the task is complete. You will also make good friends throughout the ICAS experience, as you are going through the challenge together with many other colleagues, so throughout there is a real sense of camaraderie, which is another factor that helps you get through it. Looking back at the first stage of ICAS, it was everything I expected it to be and more: demanding, hard work, a steep learning curve and overall, a very rewarding experience that will prove invaluable for advancing in my career at Deloitte. The next stage for me begins in April this year. I’m ready for the challenge! Joe LeeJoe is a Consultant in our Enterprise Risk Services team.Want to find out more about the professional qualifications that Deloitte offers to graduates? Visit our website now. Related articles The recruitment process Meeting people and networking at Deloitte Easy qualifications that could help you get a job in finance Why Deloitte?

Evolution of ethical hacking

Enterprise Risk Services — Tue, 12 Feb 2013 14:24:45 +0000

Today the average ethical hacker (or penetration tester) skillset is a lot more complex than “breaking into networks”. This was an evolution and a response to the changing landscape of security. When I started, not once did I think I would find myself pretending to be someone I’m not, using pin-hole cameras, Neuro-linguistic Programing (NLP) and lock-picking as part of my skillset. – I honestly thought I was a computer guy!The rapid pace of change in the way organisations do business has developed new models, new services and new products that sometimes we wouldn’t have thought a decade ago. As a side effect, this evolution however has also changed the playing field for criminal organisations and has generated not only an amazing new way of doing business, communicating and going about our daily lives but also has provided new opportunities for theft and fraud.In the present day, Information has moved away from IT as much as Hacking has moved away from the classic portrayal of Mathew Broderick as the teenage hacker in the movie “War Games” or Angelina Jolie in “Hackers”. Today hacking is a multi-billion criminal industry, where you can buy bot-nets in bundles of hundreds and thousands, and subversive click-to-hack exploit kits that require no technical knowledge. There is an established pattern of organised crime focusing towards the human element in order to reach to the Holy Grail of Information, via sometimes evading traditional IT defences altogether, such as using social engineering techniques like Phishing. However as cybercrime is becoming more involved and sophisticated so is cyber security. It has become apparent that static, defensive measures, whilst important, no longer provide sufficient protection to address these dynamic, targeted threats to an organisation’s physical assets or digital information; we need to start engaging in what we could call a “cyber security transformation”. By taking advantage of emerging and maturing techniques and technologies along with specialised skillsets we can improve our security posture as businesses by allowing for more proactive threat management and incident response. It may sound complicated but we simply need to start thinking along with the three pillars of cyber security transformation:• Awareness - Real time threat intelligence, identifying existing vulnerabilities and continuous monitoring and service improvement.• Preparedness – Being able to anticipate, assess, plan and prepare for a cyber-attack.• Response –Attacks will happen. How do we respond, contain and manage the impact? Ari DaviesAri is a Senior Manager within Enterprise Risk Services with over 12 years of information security and ethical hacking experience. Ari is an experienced penetration testing consultant and engagement manager with notable experience in extensive and complex multi-tiered security engagements as well as an extensive background in security operations. LinkedIn

Cybersecurity. Evolved

Enterprise Risk Services — Mon, 11 Feb 2013 11:06:46 +0000

In less than 300 seconds you can experience the speed and intensity of a cyber attack. Today companies can defend themselves, taking control of the situation -- effectively fighting back. Are you prepared?

Asset Management Outsourcing – too big to fail and too small to worry?

Enterprise Risk Services — Fri, 01 Feb 2013 16:47:51 +0000

The FSA wrote to CEOs of Asset Managers in December to say that firms weren’t always realistic about outsourced service provider risk. They said firms would be in real trouble should a big provider of investment operations or transfer agency go bust. Broadly this seems fair - the likelihood and impact of such an event could be off the scale in most firms’ risk management processes and as a result, many firms are struggling to see a credible solution to the regulators’ concerns. The reality is that the regulator will press this issue, and there are some subtleties that may be worth thinking about to both satisfy the requirement and to actually give firms an edge. Here’s what firms are currently saying: “There’s a reason the work was outsourced in the first place”. Retaining an ability to exercise “step-in” rights or in-source the function quickly defeats the business case for outsourcing. “Oversight has to focus on delivery not risk”. Firms meet providers regularly and get Management Information (MI) on service delivery. They often skimp on risk because vendors are shy about internal operational risk and clients can’t do much about it. “Investment firms have little leverage”. Providers are typically large global banks. Most firms have little or no commercial leverage, so expecting these players to adjust their operating models or to expose internal MI is unrealistic. Even where contractual “step in” rights exist, many people agree they’re hard to enforce. “It’s like deck chairs on the Titanic”. A provider failure would either be caused by – or would cause - major market disruption. Firms may stop trading after declaring a chaotic market. Besides, our peers would be equally troubled, so there’s little competitive advantage to be gained. “We’ll club together with other firms”. These organisations have many clients. Between us we could step in and recover. So the argument goes that if outsourcing is effectively prohibited, that’s fine – but clients will experience higher fees and get a less resilient service. That can’t be what the regulator wants, right? In response, the regulator might say: “You haven’t outsourced the risk”. It’s an old one but a good one. If the new model has new risks, they need managing – and remember the firm has chosen to be in this situation. “Oversight is different from risk management”. Those who monitor providers’ services are typically incentivised by service delivery, not risk management. So this can’t be about silos – the support, assurance and risk functions need to line up around this one. “The business model and environment have changed”. The sector has outsourced a lot in the last decade, and we know big providers can go ‘pop’ (the regulator may be less averse to this than in the past). There are few firms who can demonstrate an ability to deal with the combination of those two changes. “Limited commercial power doesn’t excuse inaction”. There are still things you can do to prepare, predict and react. Not all firms will be affected in the same way - there may be good opportunities to harvest FUM from failed competitors. So where does this leave the CEOs who have to respond to this letter? The regulator’s position is likely to evolve – but we know enough to give existing BAU and change efforts something to think about: Narrow responses won’t work. Vendor managers, BCP, Op Risk and others need to join up. Solutions from each of these functions alone are likely to be incomplete. It’s not all about the big players. Many firms may be surprised by how a ‘middle tier’ of vendors is critical. This may include smaller unregulated firms like datacentre providers. They’re more likely to fail, get less oversight, and could create the same client outcome, i.e. big redemptions. This is where the outsourced risk is both credible and manageable. It doesn’t have to be reactive. Some firms use formal ‘early warning’ indicators for the financial viability of their providers. Although a rushed in-source or switch is still unattractive, early detection could provide valuable time to act. Jon PumfleetJon is a Director in Deloitte’s Enterprise Risk Services practice. Jon is an Asset Management technology risk specialist, having previously been Head of Technology Risk for a leading UK fund manager for over six years. He has led operational risk programmes covering 3rd party management, procurement, business continuity, project assurance and security.LinkedIn

Meeting people and networking at Deloitte

Deloitte careers UK — Tue, 29 Jan 2013 10:04:06 +0000

As I’m sure you already know, there’s a lot of people working for Deloitte – and that can make getting to know people pretty daunting. Of course, starting with an intake of other new graduates gets you off to a good start as these are the people who are in the same situation as you and you will probably socialise with most, especially in the first few months of training. But it’s important to get to know other people in the firm as well – so how do you meet them? I started off meeting people by attending some networking events that I received emails about. The first was a lecture on Information Security followed by networking and although it was initially daunting to walk into a room full of people I didn’t know I soon found myself chatting away to other people from Risk Consulting who were all very welcoming! I also attended a networking event held for new starters in both Risk Consulting and Consulting – this gave us the opportunity to meet people from the Consulting arm of the business (who we may work with on projects) and get to know them in a relaxed environment. Well – until the quiz started and our competitive sides came out! It was great to get to know some of the Consulting team and hear more about what their job entails. Deloitte also has a range of Diversity networks and interest groups. I attended one of the Women in Technology group’s social evenings – which is made up of women from all over Deloitte who work in Technology roles – there was an excellent lecture on body language from Judi James (of Big Brother fame) followed by a Bollywood Dancing lessons – although unfortunately my run for the train meant I had to give that a miss – hopefully next time! As well as Diversity Networks there are also groups for people who share similar interests – for everything from Theatre to Triathalon and choir to surfing! I love a night at the theatre and so I have joined the Theatre Group and am eagerly keeping my eye out for the next event! That gives you a flavour of some of the ways you may choose to start meeting people and building your network at Deloitte, whatever your interests there’s bound to be something for you! Find out more about Deloitte careers on our website. Related articles A day in the life of a Security and Resilience Consultant A day in the life of a Technology Analyst at Deloitte Why Deloitte? Choosing a service line

A sense of optimism

Responsible Business blog — Fri, 25 Jan 2013 17:06:28 +0000

Reflecting on the many conversations I’ve had with clients, and others, this week, it’s clear that there is a definite sense of optimism compared to the position at the start of 2012.

The concerns of last year—particularly of a eurozone exit—have receded materially. Despite the continued low growth in Europe there is a definite feeling of greater resilience and a growing confidence that economies are improving, albeit slowly. I’ve also seen much greater recognition of the need for business leaders to have a stronger voice in making the case for responsible business.

Alongside client meetings, Davos has also again provided a good opportunity to engage with the media—with the BBC, the Telegraph and the Times all carrying interviews.

Today’s highlight, however, was the opportunity to join the British business leaders’ lunch. Having heard David Cameron speak yesterday, I was looking forward to Boris Johnson speaking. He delivered a tour de force in setting out an optimistic picture of London and, by extension, the UK’s continued place as a world leader. As you’d expect he didn’t waste the opportunity to make the case for a new airport in London! The accompanying photograph also shows that he became the second major political figure to enjoy our live scribe wall at Davos.

I have some final client meetings and receptions this evening, before leaving Davos tomorrow morning. I am excited to bring a little bit of Davos back with me. On Tuesday I’ll host a breakfast on Perspectives on Growth from Davos, back in London, with Barry Salzberg, Global CEO, Joe Echevarria, CEO USA, and Alain Pons, CEO France.

We’ll share our reflections on Davos and lead a debate with 30 of our senior clients on the response necessary from business to some of the key themes from the World Economic Forum.

David Sproul
David is Chief Executive and Senior Partner of Deloitte LLP

Will a referendum create uncertainty?

Responsible Business blog — Thu, 24 Jan 2013 17:26:39 +0000

Day two started with a panel on ‘Fostering Entrepreneurial Innovation’ that included Barry Salzberg, Global CEO DTTL. It was a really great session that brought home just how hard it is to embed disruptive innovation into a large organisation. A lot of the discussion, though, was about product innovation and there was less about service innovation— which I see as key to our future success. The role of innovation in creating more sustainable growth has been one of the main themes at Davos today. It means our own focus on the role of leaders, the creation of an environment to foster innovation, and the importance of paying attention to the societal benefits of innovation, has been hugely topical. Deloitte has also opened an online forum at Davos that allows anyone to share their ideas on business, innovation and its impact on society. The best ideas are being transcribed onto a live scribe wall. You should see a picture on the right of both the wall and a very recognisable face. I’ve enjoyed seeing a small slice of our market leading collaboration facility, the iZone, transplanted into the Swiss mountains. I would encourage you to share your ideas on innovation through this online forum. The other big topic has been Europe. This follows the Prime Minister’s speech yesterday and his comments at Davos. It seems to me that the Prime Minister has set out a compelling direction for the UK and has made it very clear that he supports a strong UK being part of a strong Europe. I believe this is the right position for our business and reflects the opinion of clients I’ve spoken to, both at Davos and over the last few months. Of course, we as business leaders need to recognise that many voters are sceptical about the benefits of Europe. That’s why the new construct for Europe that the Prime Minister described needs to be pursued. At the same time, businesses need to make a stronger case with their customers and stakeholders on the economic benefits of being in Europe. There is also a risk that the prospect of a referendum in 2017 (or beyond) creates uncertainty. International businesses looking to invest in the UK have already raised this as a concern that may cause them to delay investments. They will need reassuring that the Government will continue to make the case for the UK’s position as a strong partner in Europe rather than focus on the referendum to take place after 2017. I’m sure we’ll continue to discuss these issues at the Deloitte CEO Dinner tonight. With leaders from across Deloitte entertaining more than 100 clients, it should be one of the highlights of the week. David SproulDavid is Chief Executive and Senior Partner of Deloitte LLP

Is the UK punching below its weight?

Responsible Business blog — Wed, 23 Jan 2013 14:13:40 +0000

Thankfully the snow in London thawed sufficiently and I was able to fly to Zurich last night for the World Economic Forum (WEF) at Davos. I always look forward to Davos. The concentration of CEOs creates a fantastic opportunity to meet and share insights with the leaders of some of our largest clients. Over the next two and a half days I’ll meet with ten CEOs. This is something that you can’t schedule in such a compressed time at any other point in the year. I also find there is a real openness in the sharing of new ideas and challenges which is hugely valuable. This morning we hosted a UK Futures breakfast for CEOs and CXOs. I was on a panel with leaders from Arup, London Business School, Markit Group and the Saïd Business School. Our point of view is that the UK punches below its weight in growth markets such as China, India and others. At the moment these 20 growth markets account for only 16 per cent of the UK’s trade, while the US and Europe remain its main trading partners. There is no point in criticising the past. Our proposition is that we are now at an exciting inflection point. With a rapidly developing middle class and widespread urbanisation the needs of these growth economies are moving from transport, heavy industry and infrastructure to looking for skills and expertise in knowledge-intensive industries such as technology, education, and business and professional services. This is an area of real strength for UK plc – previously we have just had the wrong sort of things to export. To make the most of this opportunity will require more than just selling – we talked about the need for a business ecosystem of collaboration and joint marketing. This is not a panacea – the right skills need to be in place and pricing is always important – but there was real resonance in the audience and across the panel for these ideas. The Indian and Chinese leaders at the breakfast spoke of the critical importance of building relationships in these markets. Later on today I have client meetings with the CEO of a major consumer goods business and the CEO of major retailer and it will be interesting to get their ideas on this issue. Finally, I’ll leave you with a thought from one of the main sessions I’ve attended on ‘Leading in Adversity’. Many business and political leaders speak about the need for greater certainty in the environment before they can move forward. An alternative view is that it’s precisely these conditions that will allow some business to break away from their competitors and establish themselves as leaders. The challenge for leaders will be to find the right balance between these conflicting views. Find out more about UK Futures: our strategic campaign to help address the ongoing challenges facing the UK economy through a strategic discussion on the role for business in wealth creation. David SproulDavid is Chief Executive and Senior Partner of Deloitte LLP

Looking again at the purpose of business

Responsible Business blog — Mon, 21 Jan 2013 11:34:01 +0000

I was lucky enough to be invited to the panel session as part of a day-long Social Impact Workshop. It was hosted by Deloitte UK and attended by many of the Deloitte Social Innovation Pioneers—a programme that is working with 30 socially innovative businesses, providing them with a bespoke package of Deloitte support to help them mainstream and become investment-ready. During the session, a significant part of the discussion revolved around how social businesses can demonstrate their impact in society with rigour and consistency. Someone from the floor made the very insightful remark that (to paraphrase) 'Surely this impact measurement stuff is only going to work and have real value if all businesses measure their performances in this way, not just ‘social businesses’. He took the words right out of my mouth. I am part of a DTTL team that, along with clients and partners from other industries and sectors, is trying to ‘reimagine business’ and look again at the purpose of business. Can we recalibrate the contribution that our core business activities make to global society? At its most fundamental, isn’t business, hasn’t it always been, and shouldn’t it always be about building society? Without wanting to take anything away from the enormously impressive outcomes achieved by social entrepreneurs the world over, we believe that building a flourishing society for all is not a task that should just fall solely to social enterprises, governments, NGOs, and departments in corporations that are separately dedicated to ‘responsibility’ or ‘sustainability’. Indeed, our call is for every business to identify and articulate the contribution its core business makes to society, embrace that sense of broader purpose, and pursue it with all the resources at its disposal. Can we break down the walls or perception between ‘business activity’ on the one hand and ‘building a better society’ on the other? Are not business and society inextricable from each other? Indeed, are they not one and the same thing?Embracing a sense of purpose is one thing but measuring it is quite another! The private sector has a significant role to play in the effort to measure societal impact, but any successful framework must result from a collaborative effort that draws in expertise from a variety of fields—social entrepreneurship, public policy, business, academia, human development theory. At the Deloitte Network, we believe that developing the right kind of metrics really matters. We are beginning to develop a pioneering methodology to allow all businesses to ‘report against purpose’, going beyond economic impact measurement to incorporate qualitative and quantitative metrics for the positive impact that core business activities have on building a prosperous, sustainable society. Our belief is that what business achieves can be measured by more than just financial gains (although these are undoubtedly important). In addition to making profit, business helps create different freedoms for individuals. For example, banks allow individuals to create and innovate through the provision of financial products such as loans. Telecommunications firms give individuals the freedom to connect with each other across the world and pharmaceutical companies allow many individuals to enjoy freedom from suffering. The challenge of measuring a business’s social impact should not be left to social entrepreneurs alone. As our Social Innovation Pioneers have proven, and innovative mainstream businesses are beginning to agree, success at its core should not be measured merely by profit. Instead, our definition of success should be broadened to include the positive change business creates in wider society—a change our social entrepreneurs are striving to measure. Read Deloitte Impact 2012 Rachel SearleRachel came to Deloitte after 16 years consulting and senior management experience in both the private and social sectors. Rachel is responsible for leading the Deloitte network’s global platform on the relationship between business and wider society also known as ReImagining Business.

Women in Technology

Deloitte careers UK — Tue, 15 Jan 2013 12:01:17 +0000

Three months into my graduate scheme at Deloitte and absolutely loving it. I’ve just completed my fourth week on a client project after our initial six weeks of training. I have to say the thing that most shocked me during our training was the male to female ratio. Having come from a mixed school, sixth form and university where the male to female ratio was pretty consistent, it was something I noticed almost straight away. Not necessarily a bad thing, but just unusual for me. Of around the seventy that joined the London office for Technology Consulting this year, approximately twenty of us are women. However, this isn’t reflected in my current project team, where there are three males and three females. I’m assured the aim is to get more women into technology. Since joining Deloitte, I’ve joined the Women in Technology network, one of the many networks available to get involved in. The Women in Technology network is a great way for Women in Technology to share ideas and learn from each other. As well as frequent activity on the firm’s social networking site, the network also organises social events and networking opportunities. The latest networking event was a presentation by Judi James, one of the UK's leading body language/behaviour experts followed by a Bollywood dance session! I perhaps think that people see Technology and think you have to be an IT geek or an expert programmer to be good at it. That is completely not the case. Yes, Deloitte needs the super techies but I’ve come across people who’ve joined Technology that studied History, Social Sciences and Law to name a few. I’ll be the first to admit I wasn’t sure how ‘techy’ you needed to be. I come from a broad business background, having done a Management and Strategy degree at Aston University and a placement year at McDonald’s in their Business Strategy and Insight department. A keen interest in technology is important. Technology excites me because it’s everywhere, it’s all around us. Think about what you’ve done today and how much you’ve used technology. Could you have even done it without technology? It’s the future. And it’s the most exciting place to be. With this in mind, one of my aims during my time at Deloitte is to get as many people, especially young women, involved and interested in applying for Deloitte and the Technology Consulting graduate scheme. You can read more about Technology Consulting (and the other graduate schemes Deloitte has to offer) here.

Mobile Payments: weighing up the opportunities

Enterprise Risk Services — Tue, 15 Jan 2013 11:05:59 +0000

The United Nations recently reported that there are now 6 billion mobile phone subscribers in the world. 6 billion; nearly one for every man, woman and child on the planet. Of these, one billion are smartphones, devices which have captured our imagination and are increasingly our gateway to our digital lifestyles. As with most prominent technologies, smartphones have evolved significantly to provide a vast array of communications, entertainment, information and productivity facilities. The next wave of innovation is predicted to be the ability to make payments – I say predicted, on some networks and handsets, this facility has already arrived. The predictions do however, point to a significant increase in the deployment and uptake of mobile payment services, across a number of competing technologies and business models. By the end of 2012, Gartner is predicting that over $175bn of payments will have been initiated by mobile devices3 and by 2017 Juniper predicts this figure to rise to $730bn. At the forefront of this growth is Near Field Communication or NFC-based mobile payments, but can also include app based peer-to-peer payment services such as Barclays’ PingIt and M-Pesa in Africa, and QR-based services such as the Starbucks’ in-house payment application. Clearly, as the use of physical cash declines and card use matures, the natural alternative channel will be the smartphone – this transition is almost inevitable and the opportunities for different players to capture and shape the market are there for the taking. However the mobile payments space in 2012 presents a potent combination of new and potentially damaging risks. From a macro perspective, the mobile payments sector is unique as it involves the close collaboration of previously unconnected industries. Retailers, mobile operators, handset and SIM card manufacturers, banks and card payment networks will be required to work together to create a complex ecosystem which contains vastly different objectives, requirements, cultures and experience. In setting up a mobile payments service, each player has a number of strategic options to pursue. Do they go it alone or work on a niche offering with one or two other organisations? Do they participate in a broader offering such as the US mobile operator joint venture ISIS or the UK’s version, Weve? How will value be derived from the business model, particularly on the assumption that consumers are not willing to pay more for goods and services simply through choosing to pay with their mobile? Once a decision is made, what is the regulatory impact of this decision? These are key questions that clients from across these sectors should be asking themselves at the outset. From a technology point of view, the risks in establishing a mobile payments ecosystem are immense. New data sets will need to be owned, governed and securely stored, in line with all relevant information privacy and protection requirements. Front and back-end technology will need to be completely secure, something which has unfortunately recently impacted Google’s Wallet offering.The ability to detect and mitigate fraud should also feature prominently in all considerations. Lastly, as with any large scale implementation, deploying technology to enable mobile payment services presents significant risk, particularly in the context of the different ecosystem players and the complexities of managing different supplier and customer stakeholders. From a business perspective, there are of course obvious risks in terms of integrating mobile payments services and processes into existing operations, such as finance, procurement and HR. New mobile payments offerings will need to be governed appropriately, with the right policies and procedures underpinning a risk management and governance framework which will ensure minimal disruption during transition into BAU. An effective risk management strategy, across the entire risk landscape and managed at each stage of the evolutionary process, should reap significant rewards for any organisation intending to operate in the mobile payments space, ensuring that businesses go to market in a controlled, risk-aware and secure fashion. The opportunities presented by mobile payments and enabling technologies, to engage and inspire the 6 billion global subscriber base are limitless. How will these be balanced with risk? David BlackwellDavid is a Partner in Deloitte’s Enterprise Risk Services practice specialising in data analytics, data management and cyber security. David has worked with many of the UK and Europe’s leading Telecoms organisations, and has deep expertise in helping them secure, manage and derive insight from their data.Linkedin

Do you need a ‘brand guard dog’?

Enterprise Risk Services — Wed, 19 Dec 2012 10:00:24 +0000

Banks’ most valuable physical assets are kept in vaults. Reserves of cash, gold and other valuables are locked behind imposing metal and concrete walls, with state of the art locks and alarm systems. They are hard to break into and a great amount of money is spent in outthinking thieves’ ways to break in. Compare this approach with protecting a brand – arguably, most companies’ most valuable asset. Like banks with their vaults, companies spend huge sums of money building their brands. Once banks have filled their vaults, they use security staff and sophisticated technology to protect their assets. Companies sometimes forget how important this is: they invest in campaigns, but forget to hire ‘guard dogs’ and buy ‘alarm systems’ to protect their brand. This error can be costly – but to understand this cost we need to look at how brand value is calculated.There are two common metrics used in measuring the effectiveness of marketing and branding campaigns. The first is monetary return on investment (ROI) for companies to evaluate the bang they get for their bucks. Money certainly talks but with social media and the phenomenal growth of speed of communication, a campaign can be far-reaching but also harder to measure its wider-impact. A recent article in Forbes highlights the importance of the softer metric of Return of Impression; measures of this include the number of people who see your ad, their engagement on social media sites and most importantly consumer perceptions of the brand. Brands are emotional and are built by consumers’ experience, thoughts and feelings towards a brand. If companies are not measuring these softer metrics, they will be in the near future and with direct advertising spend in the UK at £16 billion, marketing and branding represents a huge spend by companies, particularly those looking to engage a consumer base. Yet despite this spend, many companies have seen their brand value slip, some more dramatically than others. While it has been environmental disasters, whistleblowers and employee scandals that have grabbed the headlines in recent years, there have been companies that have struggled with their brand identity as disjointed marketing campaigns and confused messages have affected their bottom line as consumers turn away from them. Brands can take years to build, are expensive and high-maintenance but brand damage can in hours or days lay to waste the best-laid brands. With so much investment in advertising, PR and customer insight, the large majority of companies have very little provisions in place to protect their most expensive asset. While they see the value in tracking the effectiveness of their marketing through the Return of Impressions, very few are taking care to track and prevent the threat of an unfavourable news report, viral video or product recall and its impression on current and potential customers and clients. Social media engagement is becoming increasingly popular amongst companies to engage with consumers. This is a good example of brand defence, but it is just another Maginot Line if not incorporated into a wider brand risk and resilience strategy. Largely, brand risks are outside of an organisation’s direct control, even those from within the company. Attacks from outside sources are often purposeful and menacing but individuals within the company, who mean no intentional harm, may inflict just as much damage. A confidential email forwarded to the wrong person or a CEO’s snide remark that’s secretly recorded may damage brand equity just as much as dissatisfied customers. Companies can implement strategies to mitigate the threat of brand damage: planning for worst case scenarios, being proactive in engaging employees to monitor both internal and external threats and learning and adapting from how organisations respond to brand threats to learn what works and what does not all will significantly increase a company’s brand risk. Marketing campaigns of global giants are frequently slickly executed, highly monitored with plenty of prior-planning. If this same focus was applied to protecting what companies have invested so much to build, companies would be able to spend more time cultivating their brands, rather than digging them out of the dirt of another PR disaster and having to expensively re-grow their brand’s reputation.Jack TrewinJack is a Consultant in Deloitte’s Enterprise Risk Services practice. Jack is a data specialist, with a focus on analytics and visualising data to deliver data insights. He has extensive experience providing primary-research services across various industries to financial investors, including hedge funds and mutual funds with event driven investment strategies. LinkedIn

Tranquilize Your HiPPO With Big Data

Enterprise Risk Services — Fri, 14 Dec 2012 15:10:58 +0000

The cultural shift towards harnessing big data sets can be as hands-on as raising a small child, but there a three baby steps you can take to help drive the change. Big data is the hottest of hot topics at the moment: The confluence of vast, untapped data with mega-computing power has analysts, technologists, and future-gazers frothing with excitement at the possibilities. From predicting the exact moment a customer might want to buy a new toothbrush, to understanding all the factors that might cause a big, complex oil drilling platform to fail in the North Sea -- big data is the answer. To read the full article visit: Big Data Republic David BlackwellDavid is a Partner in Deloitte’s Enterprise Risk Services practice specialising in data analytics, data management and cyber security. David has worked with many of the UK and Europe’s leading Telecoms organisations, and has deep expertise in helping them secure, manage and derive insight from their data.LinkedIn

Diversifying your network potential

Responsible Business blog — Mon, 10 Dec 2012 17:26:53 +0000

I'm sitting on the train home thinking of the topic I will blog about - diversity networks. What purpose do they really serve and are they worthwhile? Looking around the carriage, there are so many different people, and I wonder if any of them belong to a diversity network or group? Working in the City, I believe having diversity networks within the workplace is important, because people should feel a part of or have an affinity to something – whether it’s a shared sense of purpose, or an opportunity to connect with like-minded people. At Deloitte, where I work, we have nine diversity networks which cover faith, multicultural, lesbian gay bisexual and transgender (LGBT), parents and carers, and disability & mental health. With more than 4,000 members combined, our networks help to build bridges between Deloitte employees and communities outside the firm. Supported at partner level, each of the networks has a leader, and group who help manage the network, volunteering their spare time to create an inclusive workplace culture. Participation is not confined to just the members of each network. They’re open to all - everyone can take part in, and contribute to the development of them. It’s an open forum for all employees to share, learn, network and enhance diversity and inclusion within the firm. As network lead for Deloitte’s Multicultural network, I'm often faced with the question; ‘how can we connect with our network members effectively and include other people from within the firm and clients?’ We do this by arranging interesting and exciting activities, initiatives and events to help educate other people about the network, and to also give our members a chance to speak to other people within the firm with similar beliefs or views. Being multicultural is in the firms DNA; our network has a host of different ethnic and nationality groups, so catering to all is not an easy task. There is a shared responsibility between myself and the Multicultural network committee team to consistently raise the bar in what we deliver to the network to ensure that apathy amongst members is minimal and that we don’t lose touch with them. However, there is also a responsibility for members of the Multicultural network to utilise the opportunities offered and be proactive in navigating their personal and professional development as a result of being member of the network. As our networks grow from strength to strength, it’s clear that their purpose and value is influential to the firm’s diversity strategy. They help drive and shape the firm’s diversity and inclusion agenda. The networks are constantly involved in employees working days, for example, hosting events internally, for clients or graduate recruitment events. The majority of diversity networks at Deloitte are involved in mentoring programmes, either internally or as part of the firm’s community investment, or both. If you believe that diversity and inclusion are priorities for talent management and building an inclusive culture in the workplace, diversity networks can play a pivotal role in shaping this precedence and creating a more inclusive workplace. Find out more about Deloitte’s nine diversity networks Ama Afrifa-Kyei is an advisor in employee engagement & diversity at Deloitte LLP, providing expertise regarding the firm’s UK diversity and inclusion agenda. She is also the network lead for the firm’s Multicultural diversity network and has been awarded a Deloitte Leaders in Society award for leading the network.

Unleashing my inner-fearless-risk taker

Responsible Business blog — Mon, 19 Nov 2012 12:13:50 +0000

Having completed sixth form in 2011, my year group was the last class to pay £3k per year to study for a degree. Some may see this as lucky as the unfortunate ones an academic year behind us would be indebting themselves treble that amount. However that wasn’t enough to persuade me to accept the offer and pack my bags for university. The state of the UK economy has made it very difficult for young people to be able to fund themselves for university and find paid jobs. Having taking that into consideration, I unleashed what I like to call my ‘inner-fearless-risk taker’ and set out on a mission to find myself a full time job. If I wasn’t working for Deloitte today I’d either be piling up the debt of university and drowning in books or struggling to find my feet in the world of work with the 957,000 other 16-24 year olds in the UK who were unemployed in June-August 2012 (source: ONS). After enjoying a long summer in 2011, I worked part time in a market research agency (one of those callers that bug you to participate in surveys you have no interest in) and looked online for work. On my searches I stumbled across the Tower Hamlets Education Business Partnership (THEBP) who at that time were launching a 10 week pre-apprenticeship training programme to boost chances of getting the right placement. After I enrolled, I found myself in a room with 9 others in the same boat as me and suddenly the competition seemed very real. Luckily for me the Corporate Responsibility Team at Deloitte work closely with THEBP around skills and education and were looking for an apprentice. My CV was forwarded and before I knew it I had been interviewed and was in a training room with dozens of graduates attending the two day Deloitte induction. My current role with the CR team is sadly coming to an end and I’ve undeniably had the most memorable, educating experience. Being an apprentice meant that I was given extensive support and guidance in developing my skills, and I have made the most of Deloitte Learning and Development over the last 12 months. With help from the team and the experience I have attained, I have been offered a permanent role in the Deloitte Tax department. Hoorah! The opportunities that Deloitte has on offer for young people are beyond just a job, it’s giving people like me a chance to find their feet in a corporate firm and supporting them as they develop their careers. Deloitte has recognised that university isn’t for everyone and introduced the BrightStart School Leavers scheme as one of a number of opportunities the firm offers young people. BrightStart is a national programme which aims to recruit a significant number of school leavers into key service lines. Deloitte also offers university students the chance to gain paid experience through the Scholars scheme, internship and industrial placement opportunities and the firm continues to recruit over a thousand graduates each year. In FY12 Deloitte recruited 3,215 people in total into both entry level and senior hire roles and have spent over £20m on Learning and Development. Choosing this route has proven to be a very good choice for me and I have been privileged to be able to benefit from Deloitte’s support. Tajmina AktharTajmina studied at Central Foundation Girls School and is just finishing her Business Administration apprenticeship in the Corporate Responsibility team at Deloitte.

Helping our charity partners to sing in tune

Responsible Business blog — Mon, 19 Nov 2012 12:13:22 +0000

The face of corporate charity partnerships has changed dramatically over the last 10 years. Partnerships no longer reflect out-of-tune carol singers knocking doors and expecting cash from disgruntled and semi interested householders, who in turn just want to be seen to be ‘doing the right thing’ by handing over cash. They’re much more about mutual satisfaction - businesses want to support charities to sing in tune, they want to invite them in to practice and they want to support them on the next doorstep when the song being sung for them has finished. Charities want to know what types of songs will open the corporate door and want to still be feeling the effects from the first house when they’re five houses down the street. But enough analogies for now... Deloitte is in the process of nominating new charity partners for the next three years. Charities we hope to have a real and lasting impact with – like we have had with our existing partners. For the last three years we have had phenomenal success with our National Charity Partners, Cancer Research UK, Help for Heroes and CHILDREN with CANCER UK. In total, we have raised more than £1.8m, provided more than 3,000 hours of pro-bono support and over 2,000 volunteers have been engaged across a range of projects, activities and initiatives. Whilst these numbers are impressive it’s the stories behind them that show the real impact we have had. For Help for Heroes this means Tedworth House - their flagship Personnel Recovery Centre. Deloitte has worked at the heart of the project, providing almost 3,000 hours of strategic and operational support through Drivers Jonas Deloitte, Consulting – Technology, Strategy and Operations. Tedworth House has, to date, supported over 350 wounded soldiers, received a total of nearly 9000 visits, and has managed over 130 referrals to its Support Hub. For Cancer Research UK, this means Healthy Lifestyles - a unique project we worked in partnership to create and pilot. Healthy Lifestyles provides a health messaging toolkit for a corporate audience and to date more than 50 Deloitte people have been trained and delivered presentations, enabling over 500 Deloitte employees to enjoy a healthier lifestyle in order to reduce cancer risk. CRUK have already used the blueprint to engage with corporate partners and the success of the project was recently confirmed with us winning the Charity Times ‘Consultancy of the Year’ award. For CHILDREN with CANCER UK, this means our support for a new programme of national clinical trials which over the next five years is expected to treat 2,500 children and young people with Acute Lymphoblastic Leukaemia (ALL). So... whilst we have 6 months left of the current partnerships we have started the process to nominate our new Charity Partners. The challenge for us all is to make sure we continue to build on the lessons we have learnt and the momentum we have gained from the existing partnership – this means that from the start of the new partnership we are getting under each other’s skin, sharing our strategic goals and taking the time to understand each other’s relative strengths, skills and cultures... we want to make sure that through our experience, skills and insight we make a real and lasting impact – an impact that continues to prove that our charity partnerships are about much more than just cash! Phil ScottPhil joined Deloitte in February 2006 and is currently Impact and Reporting Manager within the Corporate Responsibility team.

Brighter times ahead for retailers?

Midlandsblog — Mon, 19 Nov 2012 09:19:57 +0000

In my last blog, I looked at the prospects for the UK’s automotive industry in the post-Olympic era which had left us with a glow of positivity. Now, a couple of months down the track I’m thinking about the retail sector and again, will start with an Olympic reference. As we entered 2012 there was much anticipation for what the London Games would deliver above and beyond pageantry and sporting success. Amongst the retail community there were high expectations that the Games would drive a boost in sales figures with Deloitte research revealing in January that 84% of retailers were expecting a positive upturn. The ONS retail sales figures released in September,however, indicated that the boost hadn’t been as strong as anticipated. Indeed, a second piece of Deloitte research conducted during the Olympic Games found that only 59% of retailers experienced an increase in demand. We’re now in what is widely referred to as the ‘Golden Quarter’ – that is the all-important run up to Christmas when trading figures find themselves in ‘make or break’ territory. And yet we’re faced on an almost daily basis with seemingly contradictory data and retail experience. So what is the reality facing retailers here in the Midlands and beyond? From my perspective it isn’t all doom and gloom. Yes, certainly we are still seeing major retailers experiencing difficult trading conditions and even failure, yet at the same time certain retailers are enjoying growth and even profit. There is no democracy here – one retailer in a certain sector will flourish, whilst another in the same sector will flounder. Those who are doing well are demonstrating a commitment to customer service and presenting a distinctive offering that allows them to take business from less robust competitors and capture market share. And there is still much to be positive about. ONS figures released in mid-October showed that retail sales figures had grown in Q3, and at the fastest rate for two years. Deloitte figures released at around the same time showed that retail administrations were down 15% on the same period in 2011. Add to this that household spending has shown modest growth this year and new car sales have increased it becomes clear that there is some cautious consumer confidence returning. Having worked through the VAT rise to 20%, lower inflation has reduced the squeeze on real incomes we saw at the beginning of the downturn and the UK’s labour market is showing a certain resilience keeping unemployment below the peaks that previous recessions have experienced. Indeed, there are still retailers demonstrating there are good times to be enjoyed with news of rises in sales figures and record profits still being announced on a weekly basis. We’re not completely out of the woods yet – whilst we anticipate 2013 being brighter and consumers having more to spend, there are still challenges such as rises in fuel, utility and food bills, which mean retailers need to keep on their toes and plan a strategy that will see them through the Christmas trading period, and beyond. At the heart of getting this strategy right are a number of factors. Importantly amongst these is getting the balance between store, online and mobile strategies right. It is an inescapable fact that mobile is growing in influence in the retail space and those who use this to their advantage should experience positive customer growth and market share. It is believed that almost half of smartphone users have used their device to research product information before or during a shopping trip – that is 6% of in-store sales being influenced by mobile use which in turn is equivalent to £15bn of sales in this year alone. Add to that the phenomena of voucher-led discounts and flash sales. Gone are the days of just bi annual summer and Boxing Day sales. Now it is the norm for retailers to offer their customers (often via an online relationship) discounts for a limited time, or to stage flash sales aimed at driving footfall over a given timeframe. Whilst these undoubtedly work for many retailers, there is a need to employ such tactics in a strategic way to ensure you’re neither too far ahead, or indeed behind, the competition and don’t damage profit margins. These tactics need to have an overall beneficial impact after all. Sadly I am not a fortune teller. I can’t say who will and who won’t survive. What is for sure, however, is that retailers need to seize the signs of better times ahead and recognise that in doing so, they may need to re-evaluate how they run their businesses and stay close to what their customers want. Vijay Thakrar Vijay is a Partner with Deloitte and provides commercial and tax advice to various manufacturing clients

Addressing mental health with a Black Dog

Responsible Business blog — Wed, 07 Nov 2012 11:50:19 +0000

In October we unveiled our SANE Black Dog statue, to celebrate Deloitte’s commitment and ongoing campaign to support staff mental health and wellbeing. We are working with the charity SANE to help reduce stigma around mental health and to encourage our staff to come forward to tame their ‘Black Dog’. One in four people will be affected by a mental health issue. It is clear from our people at Deloitte that many of our best and brightest could at some point in their career suffer. We currently have a SANE Black Dog in the reception area for all our people and visitors to see. Nomi the dog is part of an on-going programme we have created to make mental health in the workplace something staff can discuss openly, and get help for. SANE launched its nationwide Black Dog Campaign in 2011. It seeks to normalise mental illnesses such as depression, so it is viewed in the same way a physical condition would be. The Black Dog statues aim to help people define their experience of this ‘invisible’ condition, as well as promoting more open discussion, understanding and acceptance. Staff at Deloitte have known about the arrival of the ‘Black Dog’ for some time now, and have been encouraged to get involved with naming it and designing a coat for it. We want all staff involved as it helps raise awareness across the firm that mental health can become a serious issue. I suffered from depression, which I didn’t want to talk about or deal with until it got too much, and so took time off for over 2 months. I was pleasantly surprised when my Managing Partner spoke to me, and helped me return to work, when I felt ready to do so. This inspired me to set up the Mental Health Champions, which is a group of Partners at the firm who have been trained to have a confidential conversation with any employee who feels like they might have a mental health issue. By tackling these issues head on and speaking out about them, there might be someone who can help you deal with the issue before it gets out of control, and affects your life even more. At the launch event, SANE also introduced a new way to involve people in its Black Dog Campaign – Send a Text Save a Life. The aim is to help people to recognise the basic signs of a mental health problem so they are able to help a friend or colleague if they experience any of these. If they see any warning signs, they are encouraged to send a text message of support and encouragement before problems escalate, or signpost them to further sources of help. Commenting on SANE’s Black Dog campaign partnership with Deloitte and Send a Text Save a Life, Marjorie Wallace, SANE’s CEO said: “SANE’s Black Dog campaign is taking strides with improving mental health awareness, not only in public but in the workplace. We now have eight handsome fellows with dazzling coats in prominent places for everyone to see: Horace, Homer, Hugo, Harry, Kalman, Elvis, Salty Dog and now Nomi. Everyone knows somebody who they think is feeling low and possibly worse, but we’re all nervous of treading on egg shells and don’t quite know how to express concern. Send a Text Save a Life gives an easy way to show that concern which could make a huge difference to people in daily life.” John Binns, Partner, DeloitteJohn is currently a lead Partner in the Operational Excellence practice within Consulting. He has been with Deloitte since 1994 and over the last 3 years has led the development of ground breaking mental health initiatives.

Back to School

Midlandsblog — Wed, 24 Oct 2012 15:37:56 +0000

This time last week I put aside my usual to-do list and became a schoolgirl again, as part of our annual Deloitte Community Day. Each year, people from our firm - not just here in Nottingham but across the UK - join local schools, community groups and other important initiatives to provide a helping hand. Our hope is that we lighten the load, albeit it temporarily, whilst also raising awareness of the amazing work that these people and organisations do. This year myself and some colleagues joined Huntingdon School in Nottingham. This is actually my third year at the school, and I was delighted to return. The children – which come from a variety of backgrounds - are a real joy. They are always so happy to share their day with us and they, and the staff, always welcome us with open arms. Our day began with the Head calling our very own ‘Register’. Once we were all present and correct we joined the nursery assembly. The topic was “Everyone was a baby once” and the children had brought in photographs of themselves as babies – as had the teachers. They all took turns in trying to guess who was who. This was followed by a short performance, with them all singing and dancing along with the teacher. It was a lovely start to the day, looking at the 30 children before us – some smiling, some nervous - but all desperate to give us a memorable performance, which it was. After this we joined Year 5 and helped the class with their reading. The ability of the class ranged dramatically - from Bigg and Chip to Enid Blyton to history books. The children pick their own books, and it’s great to see how passionate some of them can be about them. For others, like one boy who had joined the school in September not knowing any English, it’s a much greater journey. Our day is such a small thing, and yet I am genuinely proud to be part of this initiative. What people forget is how much you get in return from giving – whether that’s a few hours, a donation, or more. I returned to work humbled yet happy and dedicated to do more. Pauline Nicholls Pauline Nicholls is Marketing Manager for the Nottingham office of Deloitte

Regulatory Change: A Breakfast Briefing

Midlandsblog — Tue, 23 Oct 2012 16:09:08 +0000

As a Manager in the Midlands Risk and Regulatory team, the topic of financial services regulatory reform is something which is affecting all of my clients and is a topic which is impacting all financial services firms.

At present, no single institution has the responsibility, authority and tools to monitor the financial system as a whole, and respond accordingly. That power will now be given to the Bank of England. The Government has created a new Financial Policy Committee (“FPC”) within the Bank, which will look at the wider economic and financial risks to the stability of the system. The reforms will also introduce greater judgement and focus to regulation of financial firms.

It is expected that from 1 April 2013, the Financial Services Authority (“FSA”) will cease to exist in its current form, with the Government creating two new focussed financial regulators; a new Prudential Regulation Authority (“PRA”) responsible for the regulation of all deposit-taking institutions, insurers and investment banks - and an independent conduct of business regulator, the Financial Conduct Authority (“FCA”) responsible for regulations including conduct in retail, wholesale, financial markets. Earlier this month, the FSA published a consultation paper on the proposed approach of the FCA to its role under the new regulatory regime, which can be found by clicking here.

The Midlands Risk & Regulatory practice is holding its regular breakfast forum on 30 October in Birmingham and 1 November in Nottingham, which will discuss the new regime and other key conduct risk topics. This popular event brings together a cross sector group of risk and compliance officers or equivalent from across the Midlands to provide an excellent opportunity for attendees to network, share knowledge and experiences with peers, whilst hearing the views of Deloitte experts in a roundtable discussion. If this is something you would be interesting in attending, please don’t hesitate to contact via rephillips@deloitte.co.uk.

Rebecca Phillips

Rebecca is a Manager within the Midlands Risk and Regulatory team and provides advice and assurance to clients on compliance and regulatory risk

Just as we need to capitalise on the Olympic spirit, so must we leverage the current positivity in the automotive sector

Midlandsblog — Wed, 15 Aug 2012 15:12:00 +0000

A little over two weeks ago the question was asked whether London could deliver an Olympic Games that the UK could be proud of; an event that would make the world sit up and take notice and put the ‘Great’ back in Great Britain. How would the public transport infrastructure cope? Would our typical British Summer cause a problem? With the Games now concluded I don’t think there is any doubt that we more than delivered and London 2012 has been a resounding success. We won more medals than ever anticipated, and put on a show both before, during and after, that has left the country with a positivity that needs to be harnessed as we continue to face economic uncertainty. I believe there is an analogy here with the UK’s automotive sector, and the associated industries that support and benefit from it. For so long we were viewed, and indeed viewed ourselves, as the ‘has-been’ of the automotive world. We went through some tough times and it’s often easier to remember those than to accept the current reality. That reality is that the sector here in the Midlands has been resilient through a focus on innovation, efficiency and customer service, and automotive is now again regarded as a bright spot in the UK and Midlands economy. Indeed, the more I speak with clients in manufacturing here in the Midlands, the more I get a sense that the UK, despite all the doom and gloom that the media pumps at us, is more innovative and efficient than we give ourselves credit for. This is allowing us to win market share, but we need to keep our eye on the ball to ensure this continues. A US-headquartered manufacturing client of mine just two weeks ago voluntarily stated that they saw the UK as a great place to do business: they most notably cited a sensible regulation environment and an attractive tax regime. News just last week that the SMMT is launching a new forum to discuss the future prospects for the UK-based automotive supply chain is also welcomed. What we must not do is rest on our laurels. Yes, the media and industry are once again singing the praises of our automotive credentials – in fact barely a day goes by when we don’t hear further good news from JLR and its effect on the supply chain in this region. This good news however can only be sustained long term if we ensure an adequate supply of skilled engineering specialists. So in the same way we’re now debating how best to capitalise upon the Olympics legacy, I’d like to call upon those in education, parents of students considering future careers, and industry leaders to ensure that we work together to make manufacturing an attractive career choice for young people. In recent years the sector has brushed itself down, picked itself up and is once again doing well and feeling positive – let’s make sure that lasts beyond the next few years. Vijay ThakrarVijay is a Partner with Deloitte and provides commercial and tax advice to various manufacturing clients.

Calling all Midlands entrepreneurs

Midlandsblog — Wed, 25 Jul 2012 15:10:45 +0000

As the newly appointed lead for the UK entrepreneurial business practice at Deloitte, it may come as little surprise that I’ve decided to post a blog on our annual report, “Entrepreneurship UK” which is now well under way for 2012. The report, now in its fifth year, provides us with an in-depth, authoritative view of the attitudes, performance and objectives of UK-based entrepreneurs and their businesses – from those that run multi-billion pound established companies, through to newer, high growth ventures. Having the historical data provides us with the ability to really assess the trends and challenges being faced by the UK’s entrepreneurial community. I am particularly looking forward to seeing how this year’s respondents feel about predicted revenue growth given that last year over 90% anticipated growth in 2012. Will the continued Eurozone crisis, Jubilee or Olympics have had an impact on this optimism? Or will entrepreneurial businesses in the UK, as we hope, have pushed forward with growth in uncertain times, focusing on the opportunities that this type of environment creates? I am passionate about supporting and strengthening entrepreneurialism, even in the toughest of economic climates. We have seen time and time again that with the right support, small owner-backed organisations can quickly turn into national – and even international – forces. This support can only be tailored and provided, however, once the needs and challenges are clearly understood, not only by advisory businesses such as Deloitte, but also by the government and of course the banks and others in the funding community. We have ambitious targets for this year’s survey: a doubling of respondents. From the 500 that completed it last year, we’re working hard to ensure that this year we receive input from over 1000 - so please take a few minutes to take part and to forward information on to other relevant contacts. Yes, this is a national survey, but it will only be a true representation if we ensure we have input from the wealth of entrepreneurs that can be found across the whole of the United Kingdom, and that includes all of you across the Midlands. I promise it really does only take 10 minutes to complete and we’ll make sure you receive a full copy of the report when it is published later this year. To take part visit: www.entrepreneurshipuk.com Mark Doleman Mark DolemanMark recently took up the national role of Head of Private Companies across the UK after having been Nottingham Office Senior Partner for seven years.Twitter

Sir Roger Carr speaking at the Deloitte-sponsored CBI West Midlands Annual Dinner on June 18th 2012

Midlandsblog — Mon, 02 Jul 2012 08:26:01 +0000

Businesses must help government formulate strategy to achieve sustained recovery, says Sir Roger Carr at West Midlands event The CBI president, Sir Roger Carr, has called on the government to take a “fresh look” at its approach to industrial policy. A clear vision of how the UK should position itself is critical to economic growth, Sir Roger told an audience of businesspeople at the Deloitte-sponsored CBI West Midlands Annual Dinner on Monday. “We need a fresh look at industrial policy,” he said. “We need to stimulate long-term investment in the UK’s productive capacity and future capabilities. “And we need to recognise where we sit within the global economy and set out where we want to be in the year ahead. A clear and thoughtful plan.” Sir Roger, also Centrica chairman, added that business must be called on to help to shape industrial policy – a key project for the CBI in 2012 and beyond. He said: “We know that a policy will work best if it is in tune with – and shaped by – business. We know that the strategy will only work if it is adopted across government and that the culture and practices of different departments are aligned to become mutually supportive.” Also speaking at the dinner at Edgbaston cricket ground in Birmingham was scientist and TV presenter Lord Robert Winston. This article appeared on the CBI website

Midlands firms urged to prepare for the Patent Box

Midlandsblog — Tue, 12 Jun 2012 10:53:10 +0000

If you are a regular to this blog then you will have previously read of our take on the implementation of various government initiatives encouraging businesses to invest in the UK – the reduction to the main rate of corporation tax, changes to R&D tax credit relief and changes to the Controlled Foreign Company rules to name a few. In this blog we are addressing a new tax initiative - the Patent Box regime. In its simplest form, the regime will save companies tax, potentially on an annuity basis and is expected to cost the UK government £1bn per annum. From April 2013, a reduced rate of corporation tax will apply to companies that earn income from processes, products or services that are patented or have parts that are patented, effectively reducing corporation tax to 10% on the related profits. So who will benefit? Broadly, any company! The regime can even apply where the product, process or service does not have a registered patent yet. There are certainly aspects of the rules which make the regime almost too good to be true. For example, the entire income from a product may be subject to a reduced corporation tax rate, even if the patented component is very small. Take the manufacturing industry, for example, and the production of a car. Perhaps it is only the brakes that are patented, but they form part of the whole product – even spares and consumables attached to the product can qualify. There were concerns surrounding the limitations of the regime as being sector specific, but Emma Cooper of our Patent Box team comments: “the regime has generated significant interest across a wide range of industries, including software companies, engineering firms, manufacturers and financial services companies so it is definitely not restricted to the pharmaceutical sector as many perceived it to be”. The regime is indeed generating a lot of interest from major international and listed companies through to start up businesses – an indication that it will have a wide application and a positive impact on business. The Midlands Patent Box team is currently working with a number of companies to make these complex rules simple and help them to assess the potential benefit of the Patent Box regime as well as how this can be maximised. The team comprises specialists from our Research & Development and Transfer Pricing teams as well as IP and Patent consultants, so we are well placed to ensure that the full breadth of the new regime is explored and that our clients can benefit as a result. Peter GallimorePeter has worked for Deloitte in Birmingham for the last 17 years. He is the Midlands’ Manufacturing Leader and a partner specialising in Audit and Corporate Treasury. Twitter | LinkedIn