Category: Big 4

If it happens at a Big 4 accounting firm, we’re talking about it here.

Chinese Gold Company ‘Respects’ Deloitte’s Decision to Kick Them to the Curb

Your auditor-of-a-Chinese-company-resignation news du jour:

Deloitte Touche Tohmatsu Ltd , the world’s largest accounting and consulting firm, has resigned as auditors of Hong Kong-listed Real Gold Mining , more than four months after the Inner Mongolian miner was reported to have filed conflicting accouting [sic] reports.

Real Gold, which halted trading in its shares on May 27. is under investigation by the Securities and Futures Commission for corporate governance breaches. The miner’s announcement to the Hong Kong stock exchange late on Thursday said it was looking for a replacement for Deloitte, which resigned on October 12.

“The company is disappointed that Deloitte has decided to resign at this time but respects its decision,” the firm said.

Deloitte resigns as auditors of China gold firm [Reuters]

New Jersey Hasn’t Forgiven Ernst & Young for the Whole Lehman Brothers Thing

I mean, you know how it is, when you lose $192 million. It’s a tough thing to forget. The Journal reports that the Garden State has renewed its lawsuit against E&Y saying “Those review reports were false, as E&Y knew or should have known that Lehman’s quarterly financial statements were not prepared in accordance with [GAAP].” When reached for comment, E&Y spokesman Charlie Perkins’s voice was barely audible on a nearly worn out tape recording, “Lehman’s demise was caused by the global financial crisis that impacted the entire financial sector, not by accounting or financial reporting issues.” Wouldn’t it be nice if Chuck had Nick DeSanto sing the statement? With a rock accompaniment? At least it would liven up this story again. [WSJ]

Another Ernst & Young Employee Is Yearned for in Craigslist Missed Connections

This past summer, a comely E&Y auditor was the subject of a missed connection for “personal and professional” reasons. As disappointing as that is, we’re hopeful that we can make true Internet love happen, as another E&Y employee is the object of someone’s Craigslist Missed Connections post, which makes us wonder if the firm’s recruiting efforts have taken a turn for the superficial. Regardless, this particular encounter is of anonymous affections but is far less creepy.


I had to split up the post since our lady friend opted not to use the “Return” button. The rest of it is on the next page.

Since this was in Rutherford, we’ll go out on a limb and say that this is a Secaucus employee. If you’ve got some idea of who, what and where, help us figure out a way to get these two together. We’re trying to make some love happen, people.

[via Craigslist]

Promotion Watch ’11: KPMG Admits 166 New Partners in the Americas

That’s right boys and girls, 166 new lucky Klynveldians will be taking a seat at the big kids table, only to be poached by PwC in the next 2-3 years. Despite the risk that many of these new partners will trade blue squares for autumnal Atari, John Veihmeyer and Henry Keizer were excited to welcome the newest members of the club:

“These new partners are role models for high performance – with a passion for quality, an unyielding commitment to integrity and outstanding service, and a dedication to helping clients cut through the complexity in this dynamic environment,” said John B. Veihmeyer, Chairman of KPMG’s Americas region and Chairman and CEO of KPMG LLP (U.S.).

“We are very proud of each of these new partners, and we look forward to their continued leadership. We’re especially grateful to the spouses, family, friends, coworkers, and mentors who have played a key role in their development and their career success,” Veihmeyer said.

Henry R. Keizer, Deputy Chairman of the Americas region and Deputy Chairman and COO, KPMG LLP (U.S.) said, “With their steadfast focus on technical excellence, professionalism, teaming and relationship building, these new partners have helped us make great strides in achieving our strategic priorities.

“Their ability to engage and motivate our people has also been critical to our efforts in fostering a high-performance culture – thereby driving the firm and our people to the next level,” Keizer said.

The KPMG press release doesn’t have a breakdown of the numbers but luckily we got our virtual hands on an email that has the breakdown. We won’t name names but it’s probably moot since someone at PwC Experienced Hire recruiting probably has them all on a hit list already. ANYWAY, here’s the breakdown by service line for the U.S. (74 new partners):

Advisory – 26
Audit – 27
Tax – 21

And by line of business:

Information, Communications and Entertainment – 12
Financial Services – 17
Healthcare and Pharm – 5
Industrial Markets – 19
Private Equity – 4
Mid Market – 3
Government/Public Sector – 1
Consumer Markets – 9
Other – 4

Congrats to all the new partners!

[via KPMG]

Comp Watch ’11: Big 4 Starting Salaries North of the Border

There’s been quite a bit of chatter out of Canada recently (Happy Thanksgiving, btw) and we now have some of the details for those receiving offers from 3 of the Big 4.

KPMG is offering $40,800 per year. They claim they will pay over time if you work over 40 hours per week.
PwC is offering $40,800 per year with a 0-15% bonus based on performance.
EY is offering $40,500 per year. No mentions of overtime.

This is for the Toronto offices and these figures are all in Canadian Dollars, which comes out to slightly below $40k USD but with the possibility of overtime, obviously the haul could be a lot more. If you’ve heard different numbers (or any Deloitte numbers at all) for these firms, get in touch or discuss below.

Fence-crossing Regulator Wants to Know How to Jump into a Big 4 Firm

Ed. note: Have a question for the career advice brain trust? Email us at advice@goingconcern.com.

I have a senior-level job with a regulator that has jurisdiction over accounting firms. (Don’t want to say much more, because it would be self-identifying.)

I think my credentials may be good enough to land a partner-level job with a Big Four to help with compliance and whatnot. I’d like to pursue this some time over the next several years.

But how should I make the approach? Should I contact the firms directly at the appropriate time? Or go through a headhunter? If a headhunter, which ones have the best contacts for senior positions?

Thanks for your help.

–Fence-crosser (sorry, I couldn’t come up with a witty name)

Fence-crosser,
Give yourself some credit – your nickname is wittier than most (and by most, I mean people usually sign their first and last names and add their Social Security number for good measure).


After a quick (and confidential) search for your background on LinkedIn, I have a much better understanding of your seniority and depth of experience in the regulatory space. Very impressive. Considering your educational background (for those of you playing at home – very strong undergrad and advanced degree programs), I have no doubt that you’ve made your mark within the inner circles of both your industry and your city (major US market).

Before we talk about how to go about pursuing opportunities within the Big 4, let’s talk about this so-called “partner-like” level where you’d like to land. Without a CPA you cannot be a partner, however principals are a non-certified equivalent and directors are nothing to slouch at, either. You’d most easily transition into either 1) a firm’s internal professional practice, helping decipher government regulation and how said firm’s practices are affected by changing laws or 2) a firm’s advisory group, aiding clients with the same issues. The upsides – both monetarily and network-wise – would be in advisory. But do not overlook being an internal expert; they are paid handsomely for their work.

When it comes to seeking out the Big 4’s interest in your particular skillset, I suggest starting with their in-house Experienced Hire recruiters. All of the firms are hot to hire people with your experience. Look into their publicly posted opportunities first; either you will find something in line with your background or at the very least find a name to contact. Check out last week’s post for links to each firm’s experienced hire pages. Your skillset would be an exceptional value added to a firm’s compliance/regulatory departments. Best of luck in transitioning.

Readers – are you familiar with this kind of transition? Have you made the move yourself? Email Caleb and he’ll connect you with Fence-crosser should you be able to help. Are you a recruiter at one of the Big 4? Do the same – contact Caleb and make this happen.

Here’s Some of the Loot Big 4 Firms Are Giving to Recruits (UPDATE) – Even More Stuff

Earlier this week, DWB put out an open call for accounting firm recruiting schwag. Pictures, comments, hell we’d even take your extras but none of you have bothered to email me to get my addy. Your lack of sharing ability will be forgiven but not forgotten, dear readers. Luckily, one recruit out of Toronto sent us a few images of the corporate treasures that Ernst & Young, KPMG, and PwC are tossing to those receiving offers. We’ve laid out the images on the following pages for your viewing pleasure and included our tipster’s thoughts on each.


Apparently this is how the E&Y stuff arrived. Someone needs to work on their bo”http://www.goingconcern.com/2011/10/heres-some-of-the-loot-big-4-firms-are-giving-to-recruits/ey-offer-1/” rel=”attachment wp-att-49718″>


EY offer package – “Cheaply made luggage tag, ball point pen, and passport wallet. A bunch of junk.”

Signing package for EY – EY branded luggage and carry on.

KPMG Offer package – “Dr.Seuss’ Oh the places you’ll go (Party Edition, nonetheless). Neoprene logo computer bag.”

Signing package for KPMG – “No one has received it yet.” UPDATE: Apparently there is no signing package from KPMG, however our tipster did say that the computer bag “was the best pre-signing gift of the three firms, so maybe that’s KPMG didn’t give out anything else.” The House of Klynveld is also throwing a second signing party for the newbies, whereas E&Y and PwC are just throwing one.


Offer package for PwC (not pictured) Now on the following pages – “PwC – PwC branded cookies, $50 prepaid AMEX credit card, hand signed PwC card.”

Signing package for PwC – “Choice between two options. (1) Backpack, binder, coffee mug. (2) Gym bag, water bottle, umbrella.”

PwC Signing

This recruit told us that he’ll be accepting with PwC but didn’t elaborate on whether he was choosing the coffee cup or the umbrella but did say that PwC is coming on pretty strong to those receiving offers:

Another student who has offers from both EY and PwC received a call from the CEO of PwC to ask her to join PwC. Now I wish I hadn’t signed yet, so I could have talked to him.

Choose wisely, grasshoppers.

That cookies looks repulsive but our tipster says that “It’s soft and looks amazing.” Right.

Where Is Ernst & Young Finding All This Musical Talent?

Look, I understand that these firms want well-rounded individuals but when more and more people start showing talents that outshine their professional services skills, it makes you wonder if the recruiting folks need a talking to. I bring this up because, unbeknownst to us, FORTUNE puts together a Battle of the Corporate Bands every year and this year’s winner is American PI, a 12-member band, 11 of which are E&Y employees. Granted, they won’t be winning Record of the Year any time soon since they’re simply covering I Heard It Through the Grapevine, Southbound, People Get Ready, and Superstition but they did have three members win “best of” awards.

And with this triumph by American PI, E&Y now has rock, show tunes, and hip-hop covered. It’s probably only a matter of time until they manage to poach the PwC pianist.

[via AT]

Ernst & Young Just Gave the New York Attorney General 22.9 Billion Reasons to Feel a Little More Motivated Today

Because business is good at E&Y. Not PwC good or Deloitte good but good enough.

Ernst & Young today announced combined global revenues of US$22.9 billion for the financial year ended 30 June 2011, compared with US$21.3 billion in 2010, a 7.6% increase. In local currency, revenues grew 5.3%. “We have had a very strong year in each of our four geographic areas. We continue to see very positive reactions to the way we have globalized our organization over the last few years, our investments in emerging markets and the great dedication and commitment of our people,” said Jim Turley, Global Chairman and CEO of Ernst & Young.

Also, Jimbo says that E&Y is “focused on building lifelong relationships with our people. This ensures we have outstanding talent to provide our clients the best service wherever they do business.” So if your heart belongs to show business, fine. But your ass belongs to Ernst & Young.

[via E&Y]

Is This Ernst & Young Auditor the Next Character on Glee?

I don’t watch Glee. Hell, I don’t even have TV. I did flip through the GQ spread with Lea Michelle and Dianna Agron but otherwise, I’m completely unfamiliar with any of the characters on the show. ANYWAY, I hear it’s popular. It’s so popular that regular people want to be characters on the show as overblown versions of themselves and are submitting auditions for a chance to do so. One of these regular people is Nick DeSanto, an auditor at Ernst & Young.

We can’t embed Nick’s audition video from the Glee Project web page but we did find his YouTube channel so we can give you idea of his talent:


More about Nick – he worked for a couple of years at McGladrey before joining E&Y’s FSO Media & Entertainment group, where he’s been for about a year. We spoke to him over email and by phone (he “visit[s] GC almost every day”) and that this audition is his first stab at breaking into showbiz. Can you imagine if he had been involved with the In a JIT project? His singing career would already be on the fast track, winning Tonys and such.

So go over and support him at his Glee Audition page by liking his page if you feel so inclined. And even if you don’t feel the urge, go and like/vote for him anyway. Just because your dreams won’t come true, doesn’t mean you can’t support someone who’s trying to do something to achieve theirs.

Are You a Loser If You Don’t Make Partner at a Big 4 Firm?

Good morning capital market servants. Presumably, none of you were on the Brooklyn Bridge yesterday which also probably means you’ve still got a job, a career to think about, etc. etc.

How’s that going by the way? Are you on the partner track or do you have partner tracks on your back? Haven’t given it much thought lately but hey, this is what you’re doing and sure, making partner seems like a sweet gig, amiright?

Well an interesting statement from the Grumpy Old Accountants today got me to thinking about all of you hoping for a seat at the big table:

In fact, in the Big Four accounting firms today, if you don’t make partner, you often are considered a loser.


Now this little snippet comes out of a much larger discussion about why some many accountants are cheaters (it’s because everyone wants to be perceived as a “winner”). That’s a fine discussion as well, and the GOA post is worth a read, but we’ll focus on the notion that “no parter = loser.”

I certainly had my own partner aspirations for a brief point in time and many of you out there in Big 4 land have them right now. For me, my attitude changed when I observed a few partners, saw what their workload and lives were like and thought, “JESUS H. CHRIST, BEING A PARTNER SUCKS.”

The problem is, if you’re appear to be making a career for yourself at a Big 4 firm (I was quite the nomad which doesn’t really work), what is the ultimate goal? No one says to themselves, “I’d be fine with making Senior Manager in 8-10 years and then spending THE NEXT 30 in that same position.” As such, partner is a goal for many of you. However, we all know that Senior Manager is a parking lot in most service lines, so it may not be 30 years at SM but it’ll sure seem like 30. Having said that, if you like your firm, are reasonably good to FUCKING AWESOME at your job, then why wouldn’t you want to make partner? Not all Big 4 partners are created equal but if you’re on the fast track at PwC, would doing anything less than being admitted to the partnership satisfy your professional ambitions? And if you give up on career goals because…well, just because…does that not make you a L-O-S-E-R?

The answer is no. Personally, I’ve seen plenty of people with partner-level talent, hot on the partner track give it up because 1) something better comes along; 2) They want their life back; 3) SOMETHING BETTER COMES ALONG. In fact, many new partners are working harder than ever (i.e. “like a 2nd Year Senior Associate” has been overheard). Does that sound like a “winner” to you? GOA might have it exactly bassackwards. The last thing most Big 4 alums will tell you is that they feel like losers because they didn’t make partner. Quite the opposite in fact. It’s probably more accurate to say you’re a loser if you think you’ve got a shot at making partner at a Big 4 firm.

UDPATE:
Professor Ketz clarifies below (seen via Twitter) that they the GOAs were talking about the culture within the Big 4 firms rather than you individual losers:

As we said, “… IN THE BIG FOUR ACCOUNTING FIRMS TODAY, if you don’t make partner, you often are considered a loser” (emphasis added). We were discussing the culture of the large accounting firms–we were not discussing our evaluations of those who are not partners. After all, we aren’t partners and we hope we aren’t losers!!

I’ll continue my contrary narrative here and argue that this not the case either. As we know, Big 4 firms sell themselves as great places to start careers but they don’t regularly make the case that this is where you want to spend 15-20 years of your professional life. The culture inside has evolved to accept attrition as part of the formula and that younger professionals are anxious when it comes to getting ahead. In fact, things have changed so much that convincing the talented professionals to stay is part of the culture. Hearing “You’ve got a bright future here,” from a pair of partners over lunch is standard these days because they know the “winners” will leave and the “losers” don’t know when to get out.

Will Years Out of the Game Negate the Big 4 Boomerang Effect?

Ed. note: Have a question for the career advice brain trust? Email us at advice@goingconcern.com.

Here’s an issue I rarely see. I joined PwC management consulting right out of my Ivy League school, and have my undergrad degree in Economics. I loved it, worked hard, made manager in five years and worked for some huge clients. I did all of the extras, methodology writing, promotion committees, coaching, proposals, etc. Managed some huge high profile projects too. Was offered a slot at PwC’s new executive MBA program, and was in the alpha class, graduating with a concentration in Marketing (picked by the firm). But then we had huge post 9/11 layoffs, were spun off and bought by IBM. I left soon after to start a family. I was there nearly ten years.

I went back to school and got my MSAT, and now am halfway through my CPA exam, acing it thanks to my teaching and experience. I’ve been teaching accounting and tax at a major university for the past four years as an adjunct, and doing a little private consulting.

Can I get back in to Big 4? Do I do it as an experienced hire? I know I’ve never been a practicing auditor but I know the methodology and how to manage large engagements. What’s the best way for me to work my way back in? My former colleagues are all at IBM or have left. I am not eligible for on campus since I graduated with my latest masters in 2009.
Thanks!

DISCLAIMER: not every circumstance in the history of circumstances has been taken into consideration when making this statement:

Public accounting – you can always come back.

The flow of people out of public accounting is much more intense and consistent than the experienced hire onboards, but that’s not to say it’s impossible. I did a little searching on LinkedIn and realized that you live in the greater New York City area, which is to your advantage. Many of the Big 4’s support staffs are located in NYC, so there might be options in those areas of the firms if a return to client servicing is not possible. so your odds of finding an opportunity and a new home with one of the Big4 improve slightly. Start with searching their Experienced Hire websites for open opportunities. Links are below:

Deloitte

E&Y

KPMG

PwC

Scour LinkedIn for experienced hire recruiters within each firm and reach out to them directly; have them hear your story. Most importantly, be persistent. The experienced hiring model within the Big 4 is can be touch and go, especially considering the recent uncertainty in the economy.