This Transparency Report is published for our financial year ended 30 June 2020.
The report was approved and signed by Ian Clague, as Territory Senior Partner on behalf of PricewaterhouseCoopers LLC ("PwC Isle of Man").
Ian Clague, Territory Senior Partner
I’m delighted to introduce our 2020 Transparency Report, providing information about how the firm is governed and our systems of quality control over audits. While PwC is a multidisciplinary firm, this report is primarily focused on our audit practice and related services. The audit profession continues to be under significant public scrutiny and challenge. We understand the concerns and are committed to changes that will improve audit quality.
In the Isle of Man we are committed to providing a quality industry-focussed service to a wide range of clients, with a service offering of audit & assurance, tax, advisory and actuarial services. We aim to deliver more value than our clients expect and form long-term relationships.
Of course this year, continuing to deliver audit quality during the COVID-19 pandemic was an unprecedented challenge and key focus area for us.
Our priority throughout has been taking care of our people and continuing to support our community and the organisations we work with. The pandemic has brought enormous challenges for many of the businesses we audit, at a time when confidence and trust are at a premium.
As explained more fully on page 10 of the report, in addition to safeguarding the health, safety and well-being of our people, we remained focussed on sharing developments and experience as a network and utilising our technology to continue to deliver audit quality to our clients and other stakeholders.
We also launched a COVID-19 business support helpline to continue to help businesses in our community through this challenging time.
At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 157 countries with more than 276,000 people who are committed to delivering quality in assurance, advisory and tax services. We are committed to drive a strong culture of quality and excellence that is core to our purpose.
Operating from our Douglas office, PricewaterhouseCoopers LLC (“PwC Isle of Man” or “our firm”) is a locally owned and controlled organisation of more than 100 staff with 13 Partners/Directors.
Trust lies at the heart of everything we do at PwC. It’s fundamental to fulfilling our firm’s purpose. One of the ways we build trust is by being transparent. As auditors, we’re also acutely aware of another trust driver: the quality of our external audits. That’s why we’ve introduced our inaugural Transparency Report showing how we maintain quality in our audit work. The report describes our policies, systems and processes for ensuring quality and the way we foster a culture of quality at every level of the firm. It details the Market Traded Companies we performed audits for and the total revenue from our audit and non-audit work.
Our people are key to performing high quality audits and we draw upon a wide range of specialist skills across our multidisciplinary practice. That’s why we maintain a constant emphasis on our purpose and values that address integrity and independence. We continue to invest in our people by providing ongoing professional and personal development, with in depth training.
As scrutiny and challenge of audits intensify, we’re actively seeking to strengthen quality, oversight and control within our audit practice. In July 2020 this included separating the role of Territory Assurance Leader and Territory Senior Partner. This will enable the new Assurance Leader, Nicola Shepstone, to dedicate her time and expertise to developing audit quality and ensuring audit suitability. I will continue in my role as Territory Senior Partner.
Nicola Shepstone, Territory Assurance Leader
We have taken further steps to align our business to support this focus on audit quality. We continuously invest in innovation and new technology to support our services across the firm, to meet the changing audit challenges in a digital age and to enhance the quality of our audit services.
PwC has invested in a global ‘New world. New skills.’ programme and our upskilling journey has started. Over the next few years, we will be making a major investment in building the ‘digital fitness’ of our people as we look to uplift digital capability to keep pace with client demands, optimise operations and continue to attract top talent.
Technology is of increasing importance to the audit profession and to that end, we have introduced a ‘digital accelerators’ programme. Our ‘digital accelerators’ have received in-depth training on selected tools and methodologies, such as Alteryx and Power BI. The ‘digital accelerators’ are our local champions leading the way in implementing these tools on our engagements, developing innovations and new ways of working to be more efficient for our clients. A two-day course is being delivered to all our partners and staff across the Isle of Man firm upskilling the practice and encouraging our people to challenge what we do in our day-to-day work, and how it could be done better with these new tools.
Our ‘Digital Fitness Assessment’ app has been made available to all our people and is free to Isle of Man residents. It assesses each person’s baseline digital capabilities and through a personalised learning plan helps you to develop skills and learn, gaining insights to navigate our new world.
Taken together, all these measures are a significant transformation of our audit business and support our focus on audit quality and our public interest responsibilities.
You can download the full report at the link below and if there are any matters you would like to discuss please get in touch.