June 15, 2021 — Today PwC unveiled The New Equation, PwC’s landmark global strategy which responds to fundamental changes in the world, including technological disruption, climate change, fractured geopolitics, and the continuing effects of the COVID-19 pandemic. The New Equation is based on analysis of global trends and thousands of conversations with clients and stakeholders. It builds on more than a decade of sustained revenue growth and continued investment.
The New Equation focuses on two interconnected needs that clients face in the coming years.
The first is to build trust, which has never been more important, nor more difficult. Organisations increasingly need to earn trust across a wide range of topics that are important to their stakeholders. Success depends on fundamental shifts in the way executives think, organisational culture, systems and ambition.
The second is to deliver sustained outcomes in an environment where competition and the risk of disruption are more intense than ever and societal expectations have never been greater. Businesses need to change faster and more thoroughly to attract capital, talent and customers. Too often, however, narrowly conceived transformation initiatives do not deliver the outcomes they promise. A new approach is needed.
Bob Moritz, Global Chairman of PwC said:
“The profound changes in the world mean that to succeed, organisations need to create a virtuous circle between earning trust and delivering sustained outcomes. By bringing our unique combination of capabilities together, and matching it with serious investment and our commitment to quality, we can help them do that. In doing so, we will help clients unlock value for shareholders, stakeholders and wider society.”
PwC’s multidisciplinary model is the foundation for the strategy, bringing together a passionate, diverse community to help organisations build trust and deliver sustained outcomes. The model enables investment at scale in the combination of capabilities that is essential to delivering quality and impact for clients, stakeholders and society. PwC firms will invest US$12 billion over the next five years, creating over 100,000 net new jobs across PwC, as well as continuing to develop the skills of PwC’s partners and employees.
PwC’s approach to building trust is designed to meet rising expectations of transparency and stakeholder engagement. It combines expertise in audit, tax and compliance activity with an expansion of specialist capabilities including cyber security, data privacy, ESG and AI. It recognises the importance of quality and that reporting and compliance are just one link in a chain that includes organisational culture, executive mindset, aligned standards, certified professionals, stringent controls, tailored technologies, and appropriate governance.
Similarly, delivering sustained outcomes requires an integrated approach. Instead of a traditional technology-driven approach to transformation, PwC’s approach is focused on the outcome that effort seeks to achieve. PwC then mobilises expertise in strategy, digital and cloud services, value creation, people and organisation, tax, ESG, deals, business recovery services, legal and compliance, amongst other areas to deliver the agreed outcomes.
Planned investments include:
The New Equation also accelerates PwC’s growth in Asia Pacific, with US$3 billion of the investment planned for the region, aimed at doubling its business and significantly scaling up capabilities to serve clients.
Bob Moritz continued:
“To do what we are setting out to do, we are mobilising multi-disciplinary teams, powered by technology and drawing on deep specialist expertise. We will continue to evolve our ways of working, and expand our capabilities in the areas that matter most for the future, while remaining steadfast in our commitment to quality - bringing together the unique combinations needed to help clients answer the expectations of their shareholders, stakeholders and society at large.”
As part of The New Equation, PwC Canada announced an investment of CA$125 million for FY22 which will focus on building PwC’s human-led and tech-powered strategy in Canada. PwC Canada is investing in building the firm's technological expertise and enhancing specialist capabilities for its people to participate, and innovate in an increasingly tech-enabled environment. The strategy and investments will further equip PwC’s highly-skilled professionals with future-focused, technology enabled solutions, creating an empowered community of solvers that fulfill the firm's purpose to build trust in society and solve important problems.
“The CA$125 million investment this year in building our technology capabilities, and in building skills, knowledge and capabilities of our people will create even more value for our clients, communities and colleagues. Organizations across Canada seek PwC’s expertise to accelerate their strategy and transform their business. Clients trust PwC professionals to help them as their needs are constantly evolving in today’s fast-paced environment,” said Nicolas Marcoux, CEO and Senior Partner, PwC Canada. “With PwC’s new landmark global strategy, combined with the investments we are making in Canada, PwC is uniquely positioned to lead the way in building trust, and delivering sustained outcomes for our clients.”
The most important challenges faced by clients and stakeholders can only be met through multi-disciplinary, diverse teams. PwC is doubling down on its existing commitment to attract and equip its people to meet this need - combining human ingenuity with technology to deliver sustained outcomes whilst building trust across the value chain.
PwC is continuing to attract diverse talent, supported by expanded flexible and remote working as well as progressing the previously announced commitment to upskill its own people. The 100,000 net new jobs will be focused in emerging capability areas, from ESG to AI. In addition, PwC will continue to hire over 30,000 people into early career posts each year, providing training and qualifications that set people up for a strong career either within PwC or elsewhere.
Bob Moritz said:
“We want our people to be the most sought after in the market, because they have the technical, digital and human skills needed to build trust and deliver sustained outcomes. We are proud that so many people begin their careers at PwC before moving on, and are committed to continuing to support training and development for a new generation of business leaders.”
In addition, the network is mobilising around the commitment made last year to achieve net zero greenhouse gas emissions by 2030, which involves transforming its business model to decarbonise its value chain. It is submitting specific science-based targets to the SBTi, and each member firm has appointed a Net Zero leader to enable progress based on local plans.
PwC is also increasing transparency around its own operations, through expanded reporting based on the World Economic Forum/International Business Council metrics, as well as the recommendations of the World Business Council on Sustainable Development.
Bob Moritz went on to say:
“There is a strong need for stakeholders from across society to work together. Whether it’s the pandemic, climate change, social injustice or the digital divide, there is a growing expectation that businesses have a role to play in addressing broader societal issues. Our new strategy is about helping clients address their toughest challenges and delivering for society and the planet.”
At PwC, our purpose is to build trust in society and solve important problems. PwC is a network of firms in 155 countries with more than 284,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at: www.pwc.com/ca.
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