Category: Deloitte

Let’s Congratulate the New Deloitte Partners and Directors

Perhaps it’s no accident that Joe Echevarria’s Q&A dropped in the Journal today because we also had the good fortune to have the list of new partners and directors forwarded to us earlier today. We still waiting for confirmation of the details from various Deloitte PR folks so we won’t give you names but we’re sharing a number of cities and practices after the jump.

Altogether there are 144 new partners and 190 new directors for fiscal year 2012. These numbers vary a little bit with our first report of the new partner numbers from a few weeks back. In that post, our tipster informed us that had there were 146 partners and 180 directors. These differences, for our purposes, are deemed immaterial, although we’re sure anyone directly affected would disagree.

Partners

AERS: 55 Total. Cities with the largest numbers of promotees: New York – 12; Chicago – 4; Wilton, CT – 4; Los Angeles – 3; Dallas – 3; San Francisco – 2; Orange County -2.

Consulting: 48 Total. Big winners: Atlanta – 5; Chicago 5; San Francisco – 5; Los Angeles – 4; New York – 3; Orange County – 3; Kansas City – 3; Boston – 3; Arlington – 3.

FAS: Six total: New York – 3; Dallas – 2; Los Angeles – 1.

Tax: 32 Total: New York – 6; Chicago – 5; Houston – 3; Washington – 3; Atlanta – 2.

USA: Three total: Atlanta, Washington and New York each had one.

Directors

AERS: 56 total. Show-off cities: New York – 14; San Francisco – 3; Cleveland – 3; Salt Lake City – 2; Princeton – 2; Philadelphia – 2; Parsippany – 2; McLean – 2; Chicago – 2.

Clients & Industries: Six total: New York – 3; Philadelphia, Charlotte and San Francisco all had one.

Consulting: 53 total. Notables: San Francisco – 6; Chicago – 6; New York – 5; Atlanta – 3; Boston – 3; Minneapolis – 3; McLean – 3; Washington – 3.

FAS: Four total – Washington 2; New York and Chicago – 1.

Field Operations: Two – Atlanta and Hyderbad

Finance: A pair in Hermitage, TN.

Markets & Offerings: Two in Chicago and nine cities with one each.

Other Shared Services: One lonely soul in Wilton, CT.

PR/Communications: One in New York and one in Wilton.

Research/Innovation: Hermitage and Wilton with one each.

Strategy, Brand and Innovation: One happy camper in Los Angeles.

Talent: One each for Chicago, Parsippany, Boston and Indianapolis.

Tax: 38 total: Chicago – 7; New York – 5; San Francisco – 4; Atlanta – 2; Boston – 2; Los Angeles – 2; Philadelphia – 2.

Tech: One each for New York, Camp Hill, PA and Hyderbad

USA: One soul in Stamford, Rosslyn, Arlington, Richmond and Wilton.

So congratulations to all the new partners and directors. Leave them some well wishes in the comments. The only question now is, which one of these rainmakers is buying Joe’s house?

Deloitte CEO Joe Echevarria Has Been Listening to a Lot of Bellyaching

The Wall St. Journal published a little Q&A with Deloitte CEO Joe Echevarria today to get an idea of what’s been going on since he took the reins as the head of the U.S. firm. It’s been nearly 100 days since JoeE got the nod and the flaks at Deloitte probably felt as though it was as good of a time as ever to roll out their new man.

Oddly enough, it’s been about 30 days since we told you that JE’s Westchester home was up for sale and since none of you cheapskates have bothered to help him out, this gives us the opportunity to remind you that it’s still up for grabs.

Anyway, this Q&A. It’s about what you might expect – but we’ll try to jazz it up for you.

For starters, did you know Joe worked at gas station in the Bronx? Yes, he’s already tougher than you’ll ever be. But while he was washing windows and filling up the locals, he noticed that the accountant didn’t seem to do diddly squat and made WAY more money than he did:

What stood out to me was I worked all day and I was making whatever minimum wage was at the time. The accountant came into the gas station once a month, did something, and walked out with a lot more money than I made in a week.

Back when Joe started at the firm, things were a lot different. For example: email. What is this fancy crap?:

I started at Haskins & Sells, the predecessor to Deloitte. I started in the audit practice. All the tasks were hierarchical in those days, so you had to work your way up. We weren’t in an environment where everything is electronic. We had to get mail. It didn’t just come over some laptop.

In his first 100 days, what’s been Joe’s biggest accomplishment? Making important leadership appointments? Overseeing the consolidation of regions? Nope. Listening to partner complaints:

One of the goals we’re beginning to accomplish is having a conversation. We opened up a communication vehicle with our partners and our directors that I call Social CEO. It gets the partners to engage, open dialogue, ask survey questions and ask questions of me or others. I get every comment.

How about this economy? We might be looking at a double-dip which could have some Green Dotties a little worried. But have no fear, Joe & Co. are all over it:

Once upon a time there was a view that there would be a rebound. I would say now the probabilities of a rebound are diminishing and the probability of a double dip is increasing. We have a set of plans that we would undertake for any of those scenarios. This isn’t new for us.

And if those plans don’t go as they should, there won’t be too many sad faces:

The first thing is we look at the costs that we incur and how much ahead we’re hiring. Maybe 18,000 [new hires] becomes 17,000.

See? No cause for concern.

For Deloitte CEO, Hard Economic Times Are Nothing New [WSJ]

Engineer Curious to Know if an Advisory Role with PwC or Deloitte Would Be a Good Opportunity

Ed. note: Looking for career guidance from a couple of Big 4 expats or our resident permanently ink-stained wench? Email us at advice@goingconcern.com.

Hello,

I have become an avid reader of your website and need your help regarding an opportunity. I have an engineering background and 5 years of experience in the heavy construction industry specifically oil & gas. In hopes to moving on to something different and possibly working as a consultant I have got a chance to work at PWC and Deloitte in a senior associate advisory role. I do know that these companies are primarily in audit but the sales pitch they gave me was that they were trying to build the Capital Projects Advisory division. Do you all think it is good opportunity?

Sincerely,
Chugga Chugga Choo Choo

Dear Chugs,

As a self-proclaimed avid reader, I hope you caught the post I did in June about the engineering consultant in a similar situation as yours. Check it out for feedback focused on what to do once you start at your new gig in a Big 4’s advisory practice.

That said, you’re asking if the chance to work at the #1 or #2 public accounting firms in the world are “good” opportunities. I follow up your question with one of my own:

If working for #1 or #2 is not a good opportunity, what more are you looking for?

So yes, they are great opportunities to jump start your career into the “consulting” slash advisory biz. Sure, they crank out audits and tax returns, but those are very different revenue generating streams than their advisory practices. To put things in more engineering terms – wary of working in the advisory group of PwC or DT because they perform assurance services is like turning down an aerospace engineering job at GE because they also make light bulbs.

Assuming the offer details are similar, look at each firm’s Capital Projects practices. Which group is more established? Have they made other external hires recently? What is each group’s current market share/focus, and what are long term plans?

Good luck with whichever role you pursue, and welcome to the Big 4 community.

Cheers,
DWB

Tara Reid’s New Husband Is a Deloitte Consultant

The lucky new Mr. Tara Reid is none other than Zack (aka Zach, aka Zachary) Kehayov and he works out of Deloitte Consulting’s Washington, D.C. office, according to this LinkedIn profile. Frankly, the profile could use some work but now that he’s got access to American Pie residuals, it probably doesn’t make any difference.

We were tipped off to this information by reader who wrote, “For anyone who thought their aspirations of being in TMZ would be on hold while at Deloitte, think again.” Indeed.


For those not up to speed on their partygirl-suddenly-gets-married news, Reid and Kehayov got married an hour after being engaged on the Greek Isle of Santorini. Reid first announced their engagement on Twitter and then two tweets later she announced “Love in Greece…I am now a wife.”

She then tweeted several pictures including her ring and two portraits of the newlyweds. Her most recent tweet was simply “Bulgaria we love u!” Bulgaria being the home country of the Kehayov.

Anyway, more about Zach – like we said, his LinkedIn profile says he’s in the DC Metro area but on his D Street (that’s Deloitte’s internal Facebook) profile that you can see on the next page, it says he’s in Pittsburgh. His profile also says that he’s a Marymount University graduate, majoring in Financial Economics. He lists Georgetown Private Cliente (now part of DC-based Manna Capital Management) as a previous employer and as co-founder of Semper Sports, LLC (Google search turns up empty).

Gawker called a Kehayov a “a random giant-ring-buying rich guy who works in finance” but a Deloitte consultant hardly qualifies as a “rich guy.” Maybe his father is some captain-of-industry type in Bulgaria who gave his son boatloads of money to study/live/spread seed in the States but even if that’s the case, why would he go to school at Marymount? Perhaps the female to male ratio? But more importantly, why would he work at Deloitte? In Pittsburgh? Anyway, it appears he’s back in DC and is obviously doing all right for himself.

Although judging by this picture from the Daily Mail, Zach looks as though he needed some time away from the Green Dot. The man looks like he was ready for a vacation. We left messages for the numbers we could get for Mr. Kehayov but so far have heard nothing and considering he’s abroad, that’s understandable. Don’t rush back, Zach. You’ve got co-workers that have found peace while on vacation, you can do it too!

Deloitte Consultant Inadvertently Finds Peace on Vacation

Barbara Adachi, a principal in Deloitte Consulting’s human capital practice, started creating a stricter separation between vacation and work when she was in Patagonia on vacation several years ago. Her BlackBerry didn’t get reception there, she said, “and I had no choice but not to check it — it was very freeing.” [NYT]

Comp Watch ’11: Individual Results Coming in at Deloitte and More Details on Bonuses

Following up on our previous post that addressed the high level discussions at the firm, some people started getting calls on Friday and more are having meetings today:


Our first tipster was a recently promoted to Senior Associate in ERS Tech Risk in the Northeast:

Year end rating of 2, 18% [raise].

And the latest from Houston for an 5th year Senior Associate in audit:

Audit 4th year senior going into my 5th year from the Houston Office (Mid-America Region).

As a 1-rated senior my numbers were:

9.9% raise
10.4% AIP bonus

In addition, we received a couple of slides that could be of interest to you on the following two pages.

Here are details for “Rewards and Recognition” which spells out the awards in the program and last year’s stats:

Sixty-nine percent of SMs receiving a bonus seems impressive and the Outstanding Performance award could pay out nicely if you’re lucky enough to get one on the high end. The Service Anniversary award, on the other hand, is not impressive at all.


If this slide looks familiar, it’s because it is very similar to one we posted back in July that showed Deloitte’s efforts to revamp their comp structure. The previous slide showed the AIP pool for Senior Consultants while this one is for Senior Managers (although :

So share your details as they roll in and feel free to comment on the results, the slides and anything else that tickles your fancy (as it relates to Green Dot Comp).

Bonus Watch ’11: Deloitte Gives Up PowerPoint Presentations After Stellar Going Concern Reporting UPDATE: Audit Practice Didn’t Get the Memo

This just in from the Deloitte FAS comp call that is apparently going down circa now:

7% AIP pool. No slides with details b/c it ends up on GC. Talking about PwC right now.


What, exactly, is being said about P. Dubs is not immediately known but I’m guessing it has something to do with the fact that they’re obviously vulnerable in the Tampa market but actually it’s more like simple trash talk, according to our source:

[PwC] made draconian cuts during the recession. They are making up for it now. They suck, D&T rules. [FAS CEO] David Williams is stressing total comp., not just base salary throughout the call. Base comp is targeted at 50% of the comp survey range.

[PS -] He loves to use the word “granular” as much as possible.

Unrelated sidenote: David Williams’ favorite hobby, according to his firm profile, is yoga.

Of course you’re on the call and have other details you wish to share, you can elaborate below.

Earlier:
Comp Watch ‘11: Deloitte’s New Structure Is Taking Shape

UPDATE:
A little comparison for AIP and merit increases for the opiners appears on the following pages.

Comp Watch ’11: Deloitte Audit Comp Call Details Are In

Thanks to our tipster who spilled the dirty details just moments ago:

No specific salary increases or bonuses were addressed, as the call was high-level. But here are the approximate levels:

Raise and Bonus Percentages:

3-rated (average) – 7% salary increase, 5% bonus
2-rated (middle) – 8.5% salary increase, 7% bonus
1-rated (highest) – 10% salary increase, 10% bonus

Milestone promotions (senior, manager, senior manager) would be 3 to 5% on top of the salary increases above. No additional bonuses or raises for new managers.

As expected, Deloitte talked a bit about salary multipliers, but not nearly to the extent that PwC did in their presentation. Of note on this front are the fact that experienced audit seniors can expect to earn 1.3x their starting salaries, as opposed to 1.5x at PwC. Also notable is the Deloitte model is “total compensation” (salary + bonus + rewards received), whereas PwC’s structure appears to apply only to salary.

Deloitte Hedge Fund Adviser Threatens Soros Won’t Be the Last

When George Soros announced he was essentially shuttering Soros Fund Management and his infamous Quantum fund after almost a decade of declining new client money, you could almost hear the jaws drop around the world. But one person was not surprised: Ellen Schubert, chief adviser to Deloitte’s hedge fund practice.

“Soros won’t be the last,” Schubert told investment website AdvisorOne this week. “Hedge fund managers generally are very smart people who have usually enjoyed what they were doing.”

Earlier in the year, Schubert actually described Soros’ new strategy pretty well when she shared a new trend among startup hedge funds; bypassing clients that aren’t friends or family to avoid hitting the mandatory SEC registration requirement for funds managing a minimum of $150 million.

When Bloomberg told us Soros was out, they made Dodd-Frank sound like a dirty word writing “There’s a two-word explanation for closing what was once one of the world’s biggest hedge funds and consistently one of the best-performing — with returns of about 30 percent annually in its first 30 years: Dodd-Frank.”

How many more hedge fund managers will follow Soros’ lead? And how many of them could blame Dodd-Frank for their departures from other people’s money?

Soros’ fund was exempt from rules that require private investment advisers to register with the SEC but those exemptions will not be an option come March 2012. Which could or could not have something to do with Soros’ decision, though that’s doubtful given the fact this decision has been in the making since 2000.

Deloitte Goes Partner Crazy

Fresh from the mailbag… well, not fresh, actually, it’s kind of been sitting in there gathering dust all weekend so it’s kind of the moldy gym sock of mail. But I digress.

Prior year they [Deloitte] promoted 101 partners and 136 directors; for this year (actual firm year starts June 1, but partners get promoted in September) there will be 146 partners and 180 directors.
This is for the United States only…

Great news for the new partners and directors, not so great for those of you who are still staring at the Green Dot’s multiplier slides wondering when that 8x bump is going to kick in.

Feel free to commence to discussing how big your yacht will be when you make partner in the comments.

Comp Watch ’11: Deloitte Auditors To Get Enlightened About Results in a “High-Performance Culture”

This just in:

To All U.S. Audit staff,

Please join me on Friday, August 5 from 2:00pm – 3:15pm ET for a webcast for you, our staff, where we will discuss our Audit compensation strategy to reward for results in a high-performance culture. During the call, we will also share what you can expect for this year’s process and overall timeline. (Webcasts are being held for all Audit professionals by level to allow sufficient time for Q&A.)

I look forward to speaking with you.

Thank you.

Rick Rayson
Chief Talent Officer
Deloitte & Touche LLP

Get excited, people.

Who Wants to Live Like a Deloitte CEO?

Newly minted Deloitte CEO Joe Echevarria is upgrading his digs and he needs your help! His 6,000 square foot house in Westchester is on the block for $2.8 million and he dropped the price just last month, so now i


There are all kinds of nice amenities including: fireplace, high ceilings, patio, sprinkler system for the lawn, walk-in-closets [!], and a walkout basement and more. If that doesn’t sell you, read the broker’s description:

Spacious, striking residence in prestigious Matthiessen Park, built for gracious living & comfort. The home embodies spectacular craftsmanship with superior attention to detail. Beautiful stone entryway from local quarry, masonry fireplaces, soaring ceilings with dentil molding, red oak herringbone inlaid floors. Expansive family room, breakfast area & deluxe kitchen. Elegant library with exquisite mahogany millwork. Additional 2,000 [square feet] in finished lower level.Seasonal views of the magnificent Hudson River.

Sounds lovely, no? Anyway, take a peek over the next few pages and then hit up the team at Houlihan Lawrence to make an offer.

Naturally, you’ll want to look at a few photos