By: Jessica Makrinos, Samantha Melanson & Julienne Reis

Agenda Brief History Industry Overview Company Overview Global Domestic Domestic Diversity and Inclusion Philosophy Metrics Analysis Recommendations Implementation Plan Final Thoughts Today I will start off giving a brief history and then give an industry overview. Sammie will then give Deloitte’s company overview both global and domestic. Julie will talk about the domestic diversity and inclusion philosophy. From there we will…

Deloitte’s History Established 1990 By 1990 Deloitte 132 countries Professional services Deloitte Deloitte Touche Tohmatsu Limited (DTTL) - Global Deloitte LLP United States - Domestic Founded by: William W. Deloitte, George A. Touche, Charles W. Haskins and Elijah W. Sellsin 1990 From the merger of Deloitte, Haskins & Sells and Touche Ross International network -> Deloitte & Touche 1998: Name changed to Deloitte Touche Tohmatsu Those services included accounting, auditing, and tax services; management consulting; and financial tax advice By 1990 they were proving 132 countries worldwide with a host of professional services fifth-largest accounting and business services firm in the world one of the Big Five accounting firms that dominate public accounting Specify between DTTL and Deloitte LLP. “We will first start off

Industry Overview Competitors Professional Services Industry Net Worth: 391 Billion USD Employs: ~1.1 Million Competitors The Big Four: PricewaterhouseCoopers (PwC) Ernst and Young (E&Y) Klynveld Peat Marwick Goerdeler (KPMG) Deloitte Touche Tohmatsu The big four employs 690,000 staff

Industry Services Areas Audit and Enterprise Risk Consulting Financial Advisory Forensic Growth Enterprise Human Resources IFRS Reporting Tax Bold is the services which Deloitte offers Deloitte’s services are in bold. Companies in the professional services industry use these services to provide the best outcome for other companies in industries such as the banking and securities, consumer products and private equity

Industry Analysis Highly competitive Highly profitable Fast growing Professional Services Industry Analysis ­ Highly competitive (Notes: the big 4 employs 64% of total employment in industry) ­ Highly profitable (Notes: Large firms have advantages in marketing and in being able to offer wider ranges of services to meet the needs of major clients) ­ Fast growing (Notes: Growth through acquisition strategy­ acquire companies that will significantly accelerate our growth and profitability.)

Industry Revenue PwC – 31.5 Billion DTTL – 31.3 Billion E&Y – 24.4 Billion KPGM – 23 Billion

DTTL Overview Member Firms: 48 Countries: 140 Professionals: 193,359 Subsidiaries: 150 Countries: 140 Professionals: 193,359 Private Company FY 2012 revenues: $31.3 billion USD http://www.deloitte.com/view/en_US/us/About/index.htm http://en.wikipedia.org/wiki/Deloitte http://public.deloitte.com/media/0564/pdfs/DTTL_2012GlobalReport.pdf

Vision & Mission Vision Mission: To be the standard of excellence Be highly respected by their community of stakeholders Be the first choice of the most coveted talent Be the first choice of the most sought-after clients Mission: “To deliver measurable value to our clients through a global network of diverse professionals who bring unmatched depth & breadth of expertise” Our vision is to be the standard of excellence. It is realized through being highly respected by our broad community of stakeholders, and being: The first choice of the world’s most coveted talent… drawn by our eminence, culture and diversity. The first choice of the most sought-after clients… attracted by the breadth and depth of our world-class service in each market segment. Our mission is to deliver measurable value to our clients through a global network of diverse professionals who bring unmatched depth & breadth of expertise. Vision and Mission is consistent throughout all of Deloitte’s subsidiaries and member firms

DTTL Financials In Billions od USD 2009 2010 2011 2012 Net Revenue 26.1 26.6 28.8 31.3 Growth -4.74% 1.92% 8.27% 8.68% Performance by numbers: FY2012 revenue results

Revenue Broken Down: BY REGION BY FUNCTIONAL AREA BY INDUSTRY In FY2012, Deloitte grew across all of the organization’s major geographic regions, business lines, and industry sectors

DTTL Professionals Americas 84,855 Europe/ Middle East/ Africa 68,317 193,359 – total 84,855 – America Asia Pacific 40,187

DTTL Gender Diversity BY REGION LEADERSHIP AND GOVERNANCE BY LEVEL (GLOBAL) NEW HIRE BY GENDER (GLOBAL) People by gender http://annualreport.deloitte.co.uk/audit-transparency-2012/at-report-2012.pdf?x=99

DTTL Women Representation Global talent Gender diversity DTTL Women Representation 44% Women as a percentage of total member firm personnel 18% Women as a percentage of total member firm partners and directors 45% Women as a percentage of total member firm hires 34% Women as a percentage of total member firm managers DO NOT READ-STATS

Deloitte LLP U.S.: Overview Professionals: 56,827 37 States FY 2012 revenues: 13.07 Billion USD Subsidiaries: Deloitte & Touche LLP Deloitte Consulting LLP Deloitte Financial Advisory Services LLP Deloitte Tax LLP

Leadership Team Joe Echevarria, CEO Frank Friedman, CFO Jennifer Steinmann, Chief Talent Officer Michael Zychinski, Chief Ethics and Compliance Officer Mary Ellen Rogers, Corporate Responsibility Officer Larry Quinlan, Chief Information Officer Punit Renjen, Chairman of the Board of Directors John Zamora, Chief Diversity Officer Deborah L. Haas, Chief Inclusion Officer

Deloitte LLP: Professionals 2011 All Deloitte U.S. Entities Personnel mix Percent women 41% Percent minorities 35% Women partners/principals/directors 1,016 Minorities partners/principals/directors 461

Deloitte LLP: Stakeholders Key Stakeholders: Clients Alumni Deloitte staff and their families Government and regulators Professional associations Non-profit organizations and community organizations International multi-stakeholder organizations Suppliers Analysts Educational institutions/academia

Philosophy on Diversity & Inclusion “Our mission is ambitious: Deloitte will be recognized as the leading professional services organization with diversity at all levels contributing a variety of perspectives to achieve our vision to be the standard of excellence”

The Case for Diversity

Commitment to Diversity & Inclusion Build our talent pipeline Improve talent acquisition Strengthen inclusive behavior within Deloitte Enhance our brand Eminence

Business Resource Groups Ability First & Allies Armed Forces & Allies Asian-American Alliance & Allies Black Employee Network & Allies GLBT Employees & Allies Hispanic/Latino(a) Employee Network & Allies International Business Resource Groups & Allies 7 Nationally recognized BRGs ****MAKE SURE ALL US******

Women’s Initiatives Women of Ascend Women of ALPFA Women of NABA Women in Leadership Women’s Initiative (WIN)

Programs Emerging Leaders Development Program Think Tank Leadership Development Program Imagine Mentoring Inclusion Advisory Council (IAC) Deloitte University Deloitte University Leadership Center for Inclusion (DULC4I) http://www.deloitte.com/assets/Dcom-UnitedStates/Local%20Assets/Documents/DAR_sm%20FINAL.pdf

Awards and Recognition 100% rating in the Human Rights Campaign Corporate Equality Index Ranked #3 on G.I. Jobs 2013 Top 10 Best Military Friendly Diversity One of the 202 Top Twelve LATINA Style Companies of Year American Woman’s Society of Certified Accountants Lead by Example Award Included as one of Diversityinc’s “Top 50 Companies for Diversity,” 2002-2004, 2007-2012 Why is bolded so important?? 1). For 7 consecutive years 2).

Metrics External Advisory Council 58% increase in minority representation in 10 years Reduced turnover rate by 9% since 1990s Increased women in leadership by 9% since 1995 Reduced gender turnover gap from 7% to <1% 50% minority business unit CEOs http://www.deloitte.com/assets/Dcom-UnitedStates/Local%20Assets/Documents/us_DeloitteLLC_Inclusion_Printablepdfdoc_021913.pdf Only company out of the big four to have an external advisory counsel

Strengths Weaknesses Strong diversity programs Continuous innovation Diversity as a driver for increasing bottom line Commitment to professionals Inclusive culture Lower level diversity Too many programs Metrics do not measure up to the diversity programs Advancing women to upper level management http://www.deloitte.com/assets/Dcom-UnitedStates/Local%20Assets/Documents/AD/us_DeloitteLLC_LeadershipCenterForInclusion_pdfdoc_04182013.pdf http://www.deloitte.com/assets/Dcom-UnitedKingdom/Local%20Assets/Documents/About%20Deloitte/uk-deloitte-annual-results-2012.pdf

Advancing women to upper level management Analysis Problem #1 Problem #2 Advancing women to upper level management Measuring Metrics Why? Does not follow Deloitte’s philosophy Gender Diversity Broad Programs only geared toward lower-level employees Does the following still apply? Problem 1: Lack of communication of diversity practices between senior­level executives and lower­level management team (According to a survey: Problem 2: Women make up 0% of the DTTL Executive, only 6% of the board of directors and 19% of the leadership team. (Although Deloitte has numerous BRGs, alliances and awards, many employees still believe that it is not succeeding in the area of women in the workplace. According to a 2012 survey given to employees:)

Recommendations Solution to Problem #1 Solution to Problem #2 Shift diversity practices Upper level positions Strengthen Sponsorship More effective use of company resources Employee Survey Deloitte’s Diversity and Inclusion Analytics Tools (DDIAT) Cost: promoting more women: Choosing diversity over qualification -> Pepsi case Another recommendation -> add more about diversity to the employee survey - (i.e. more about gender and minorities) Benefits: instead of just developing random diversity campaigns ask employees what they want – @ Pepsi the employees were able to form their own BRG’s which allowed them to feel comfortable and happier at their job – leading to happier employees http://www.deloitte.com/assets/Dcom-UnitedStates/Local%20Assets/Documents/Federal/us_fed_Diversity_Analytics_120111.pdf

Implementation Plan Problem #1 Problem #2 “Make a Match” Start sponsorship early Personality Profiles DDIAT Annual Reports Firm-wide satisfaction survey Tool for comparison work with the inclusion advisory council (IAC) - http://www.deloitte.com/view/en_US/us/About/Inclusion/8107ec88717e6210VgnVCM200000bb42f00aRCRD.htm http://www.deloitte.com/assets/Dcom-UnitedStates/Local%20Assets/Documents/AD/us_DeloitteLLC_LeadershipCenterForInclusion_pdfdoc_04182013.pdf Continuous learning Requirement as part of the leadership program – part od deloitte university have a person part of BRG go to a different BRG meeting

Final Thoughts Developing diversity Improvement with metrics Integration of lower level programs Will accomplish D & I goals

http://www.youtube.com/watch?feature=player_embedded&v=0IbGkm7Bk1I http://www.youtube.com/watch?feature=player_embedded&v=0IbGkm7Bk1I Deloitte is Diversity