WORKING TOGETHER TO BECOME NUMBER 1 - PWC FINLAND - CORPORATE RESPONSIBILITY REVIEW 2020
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Working together to become number 1 PwC Finland – corporate responsibility review 2020
PwC in brief 3
Review of the CEO 4
Review of the Corporate Responsibility Partner 7
Our strategy 9
Creating value for companies 12
Creating value for society 14
Sustainability and its management at PwC 16
This corporate responsibility review*) presents a sum-
mary of the measures and results of PwC Finland, i.e., Sustainable business operations 21
PricewaterhouseCoopers Oy over the financial period
Staff and diversity 23
of 1 July 2019 – 30 June 2020.
Community engagement 27
Environmental stewardship 33
Our key figures and appendices 36
*) The GRI standards are applied to our corporate responsibility review. Read more about our GRI index and our
reporting principles at www.pwc.fi/yritysvastuu.
PwC Finland – corporate responsibility review 2020 | 2
PwC Global
PwC in brief Revenue: USD 43 billion
Countries: 155
Experts: 284,000
PwC Finland is a Finnish company that is part of the inter-
national PwC network. PwC’s purpose is to build trust in
society and solve important problems. We help businesses
to grow, operate efficiently and carry out reliable reporting in
a continuously changing operating environment — whether
PwC Finland
the client is a listed company, family-owned business, grow-
ing enterprise, public organisation or non-profit institution.
Our service areas Examples of our expertise Revenue: EUR 159 million
• Legal • Data analytics Offices: 13
• Business management • IFRS reporting
consulting • Internationalisation
• Risk assurance services • Ownership strategy
9,600 8.8 65%
• Finance and Accounting • Enhancement of operative activities
services • Capital market transactions
• Audit and assurance • Strategy
• Tax consultancy • Development of financial Number of clients Overall client Net promoter score
• Deals administration satisfaction (NPS)
• Technology and digitalisation
• Security and privacy
• Sustainability
1,200 35.3 11.7
Number of staff Average age of Staff participation
employees in training (working
days)
The name PwC refers to the PwC network and/or one or more of its member firms, each of
which is a separate legal entity. Please see www.pwc.com/structure for further details.
PwC Finland – corporate responsibility review 2020 | 3
Review of the CEO
Working together to become number 1
The financial period 2020 ended at the Our revenue decreased by three per
end of June in quite exceptional cir- cent to EUR 159.0 million from the
cumstances. Our business developed previous year’s EUR 163.8 million. After
according to the set targets until early nine years of growth, the drop in reve-
spring when the COVID-19 pandemic nue is, of course, unfortunate, but in the
changed the situation both in the world given circumstances, I see the achieved
and in our business. We practically revenue as rather good. It even exceed-
transformed our operating methods ed the forecast given during the peak of
overnight and started to operate as a the pandemic in the spring. Our busi-
virtual organisation since mid-March. ness picked up towards the end of our
Fortunately, as we gradually transi- financial period after the difficult months
tioned to cloud services during the of the spring.
previous years, the change to remote
working went well. The number of our employees
continued to grow, and we offered
Our revenue decreased by 3% to trainee positions to 240 students
159 million euros The number of our staff increased to
COVID-19 affected our client compa- 1,215 employees during the financial
nies in very different ways, which was period (1,196 the year before). At the
also reflected in the demand for our ser- time of writing this, the figure is already
vices. For example, statutory services, higher. In addition to permanent posi-
such as auditing, continued unchanged, tions, we offer trainee placements to
but companies’ decisions to postpone students every year. Over the period
investments were clearly visible in some that ended in June, we had 240 train-
of our consulting services. The decline ees.
in the deals market was also visible in
almost all of our competence areas. We continued the programs and meas-
ures aimed at developing management
skills and well-being at work. We also Mikko Nieminen, CEO of PwC Finland
PwC Finland – corporate responsibility review 2020 | 4
client’s willingness to recommend us) our expectations, it influenced our client
was 65% (60%). I would like to thank base. The year is also significant in that
everyone who has taken the time to of- the fee cap pertaining to other auditor’s
159 million euros
Revenue
fer us feedback! We are humbly grateful
for this feedback.
services, but statutory auditing will en-
ter into effect for most of the PIEs.
We will continue our efforts to ensure With regard to our national legislation, a
that collaboration with us offers a great working group appointed by the Minis-
1,215
Employees
client experience and that our services
meet your expectations or even exceed
try of Economic Affairs and Employment
continued its preparatory work in order
them. to enable those with lighter auditing
requirements to choose a review lighter
Audit industry continues to develop than a statutory audit. The working
240
Trainees
We carry out a lot of development work
in our largest business area in audit.
group submitted its report to the Minis-
try of Economic Affairs and Employment
The changes will be accelerated by on 10 June 2020. The report contains a
digitalisation, client expectations and draft regulatory model, which is drawn
regulation in the field. We develop up in the form of a Government pro-
auditing processes, tools and our posal and was used as the basis for
expertise to enable us to offer even the working group debate. However,
actively trained and coached our staff. better audit services and, for example, the report does not contain the work-
Due to the coronavirus situation, we enable the processing of large amounts ing group’s finalised proposal due to
spent the end of the financial period of data as part of auditing. We are a dispute within the working group.
focusing on internal communication and already using the most advanced According to the Ministry, the discus-
supporting people in our new everyday technology on the market to carry out sion within the working group proves
life. audits. that careful consideration should be
followed in preparing the case, further
Client satisfaction remained at a In the regulation within the auditing preparation and in clarifying the current
high level field, the past year 2020 was a period of state. The Ministry will circulate the
Offering the best client experience implementation of the EU Audit Regula- working group’s report for comments in
was one of the key goals of our strat- tion, which binds Public Interest Entities the autumn of 2020.
egy over the period that ended in the (listed companies, credit institutions
summer, and it is still. Our client satis- and insurance companies) and their We at PwC will monitor the develop-
faction continued to develop positively: auditors. The impact of the mandatory ment of the situation and maintain a
for the last financial period it was 8.8 rotation of audit firms regarding the positive mindset towards the develop-
(8.7). NPS (Net Promoter Score, i.e. the selection of the auditor started to ments in the field.
become visible and, in accordance with
PwC Finland – corporate responsibility review 2020 | 5
Energy from our new strategy We believe that our new strategy will
At the moment, it is more difficult to speed up and support our operations
predict general economic growth due to despite the coronavirus situation. We
the coronavirus situation. Our finan- are aiming for moderate growth in the
cial period started rather optimistically new financial period. We estimate that
in July, as the M&A market had picked the need for high-quality and effectively
We believe that our new strategy will up in late spring and summer. We have
also succeeded well in our crisis
provided professional services, support-
ed by the latest technology, still exists
speed up and support our operations management, and our operations have
continued throughout the crisis without
and will grow over the coming years.
despite the coronavirus situation. We disruptions. We have also been able to
offer high-quality services to our clients
We still need to continue recruiting new
experts. Our goal is to recruit tens of
are aiming for moderate growth in the in these circumstances. Now, as I am
writing this review, a second wave of
new professionals and to offer trainee
positions to more than 100 students.
new financial period. the coronavirus is sweeping across
many countries. Even in Finland, the Corporate responsibility is an integral
situation has taken a turn for the worse, part of all our operations. We operate
Mikko Nieminen
which means that uncertainty regarding sustainably and support our clients in
the prospects for the financial period is matters related to sustainability. The
greater than normal. work we carry out to achieve this impor-
tant goal is presented in more detail
In September 2020, we published our in the review by Sirpa Juutinen, our
new strategy internally, which follows Corporate Responsibility Partner, and in
our intention to build trust in society this review.
and solve important problems. Based
on the ideas from our staff, the strategy I would like to extend my warmest
was named Yhdessä (Together). thanks to our employees, clients and
Together is one of the key themes of partners for a meaningful collaboration!
our strategy: our goal is to combine our
different competencies more effort-
lessly and engage in close cooperation
across lines of services to provide our
clients with a better client experience Mikko Nieminen
and added value. Another one of our CEO
key themes is to increase digital and
data skills: we offer every employee the
opportunity to develop these skills over
the next years.
PwC Finland – corporate responsibility review 2020 | 6
Review of the Corporate Responsibility Partner
Corporate responsibility becoming mainstream
Spring 2020 will be remembered for EUR 750 billion recovery package to the
the coronavirus, which, in addition to European Union’s climate and energy
everything else, changed our working objectives. The EU’s legislative package
methods by compelling us to move from on sustainable finance also aims at di-
the office to our home offices for remote rect investments and financing towards
work. The concern about the pandemic, sustainable targets appropriate for
its impact on our close ones, clients’ combating climate change and adapting
business operations, and the society to it.
and economy in general has cast a
shadow over the end of our financial I am optimistic that the work to reduce
period. At the time of writing, it remains emissions will continue when compa-
to be seen how the second wave of the nies receive a predictable platform from
pandemic will progress. the EU that offers similar conditions for
their own low-carbon business projects.
In addition, the other significant global I hope that this brings business op-
problem, climate change, remains to be portunities that create new growth and
resolved, even though, the coronavirus confidence in the economy.
managed to decrease, for example,
the industrial and transport emissions Here at PwC, we have also taken
momentarily. People are wondering into account the fight against climate
whether the worries regarding the cli- change and the shift in investments
mate will be put on the backburner as towards low-carbon solutions as we
the pandemic eases: there is a strong renew our business strategy and plan
need to revive the slowing economic Sustainability & Climate Change ex-
growth and to get the industry operating perts’ services to play a part in it. We
at full capacity fast. are zealously looking to team up the
best expertise in different business are-
The President of the European Com- as to solve clients’ complex problems in
mission, Ursula von der Leyen, has these matters as well. This was clearly
announced the objective of binding a visible as the strategy work progressed. Sirpa Juutinen, Corporate Responsibility Partner, PwC Finland
PwC Finland – corporate responsibility review 2020 | 7
I am also pleased that incorporating the I would also like to thank the CEO,
equality and diversity strategy, which Territory Leadership Team and business
was adopted in the previous financial area management for their support
period, into practice has progressed and encouragement given to corporate
into action plans in different business responsibility and equality work. At the
areas. One of the common challenges meetings of the Corporate Responsibil-
that was identified during the drafting of ity (CR) steering group, there is a lot of We all have unconscious bias
the equality and diversity strategy was open, intense but always constructive
the understanding that we all have discussion on our corporate responsi- that affect our own decisions
unconscious bias and impressions to bility. This group has been important to
other people that affect our own me and a supportive driving force which and assessments.
decisions and assessments. Before we matters.
understand them, it is difficult to move Sirpa Juutinen
forward with the development of The majority of directors of large com-
equality. Therefore, the biggest effort panies, 72%, said in a survey of large
during the financial period was put into corporations carried out at the end of
two-hour training sessions, involving a 2019 by OP, that their companies were
total of 835 PwC employees, aimed at responsible for solving topical social
identifying prejudices. We will continue problems, such as the environmental
the training in the next period as well. and economic issues. During the corona
spring, it was, in fact, interesting to ob-
The activity from PwC’s own Green serve discussions on the purpose of the
Team to reduce the environmental company’s operations and how many
impact is also particularly welcome. We have been concerned about the impact
cannot claim that our impact is small of the pandemic on the society and how partners about different areas in need involved in it, and I would like to thank
and that it shouldn’t be considered as it can be seen in the everyday life of of assistance, which strengthens the them at the bottom of my heart on the
one of the most essential issues of cor- different people. This debate has taken view of the accuracy of PwC’s own sustainability journey we have taken
porate responsibility. We must do our place in the midst of the challenges of global purpose: Our intention is to build together. And the journey will continue.
part. The Green Team’s work has been business continuity and, in my opinion, trust in society and solve important
irreplaceable in identifying and it affirms the results of the survey of problems.
responding to the needs of large corporations.
environmental work, for which I would This corporate responsibility review is
like to thank the team warmly. At PwC, we also received a number also an example of the implementa- Sirpa Juutinen
of initiatives from both the staff and tion. The entire staff of PwC has been Corporate Responsibility Partner
PwC Finland – corporate responsibility review 2020 | 8
Our strategy
For the past four years, we have been indicated that we are on the right track.
on this journey set out by our strategy: Client satisfaction also increased during
Working together to become number 1. the strategy term. A warm thanks for
During the financial period that ended this goes to all our employees and our
in the summer, we worked on our new clients for their trust in us! The key theme of the
strategy, which was announced to our
staff at the beginning of September We took a big leap in utilising technolo- new strategy is the
2020. gy and moved much of our operations
to cloud services during the strategy strength of working
We made progress during the 2017– term. We also developed cooperation
2020 strategy term in many of the between different competence areas together.
desired areas: Our strategy had four and operations in order to solve our
separately designated growth areas, clients’ most important problems seam-
two of which increased significantly: lessly. We will also continue this work as
Deals and risk assurance services. The one of the key themes of our new
third growth area, financial services strategy.
also strengthened. With regard to at the beginning of September. Our thus deepen the understanding of our
technology and digital services, we did New energy from our new strategy original purpose was to meet up with key focus areas.
not achieve our ambitious goals and we We spent our last financial period all staff to both discuss strategy and
reorganised our operations at the end working on our new strategy. In the celebrate being together, but due to Our clients can see our strategy through
of the strategy term. We almost work, we engaged the entire staff and COVID-19, the plans changed, and we concrete measures: our experts’ com-
attained our target revenue for the several working groups focusing on held the event virtually. Planning and petencies are growing, we cooperate
strategy term, but due to the different themes, with experts implementing a virtual strategy launch more seamlessly, we understand the
coronavirus situation in the spring, we representing different experiences and for more than one thousand people was needs of our clients even better than
were slightly behind target. business units. new to us, but the event exceeded all before and we produce even better
our expectations and we were highly client experience for them.
One of the most significant successes The central theme of our new strategy praised by our staff.
in our strategy was an improved staff that extends to 2024 was the strength of Our Together strategy in a nutshell
satisfaction. In spring 2019, we were working together. Based on our staff´s Now, we start working hard towards PwC’s purpose is to build trust in soci-
awarded fifth place in the category for suggestions, we named our strategy bringing our strategy to life. We will ety and solve important problems. This
large organisations in the Great Place Together (Yhdessä). continue to discuss our strategy at nu- is the foundation of our strategy and a
to Work competition. The placement merous events during the autumn, and force that combines all our business.
We published our strategy internally
PwC Finland – corporate responsibility review 2020 | 9
Our employees create the best and data facilitated by digitalisation in
workplace together by following our our own operations and services. We
values: acting with integrity, making a are also making a significant contribu-
difference, reimagining the possible, tion to the development of digital and
working together and caring – all which data skills during the strategy term.
are visible in everyday encounters with Every PwC employee is given the op-
our colleagues and clients. portunity to learn these skills and to try
out new opportunities.
We know our clients and their needs,
as well as each other’s capabilities, What does PwC look like at the end
and combine our expertise. We support of the strategy term? Good. Happy.
working together with common working Inspiring. We are our clients’ first choice
methods and by rewarding and setting in helping them solve their most impor-
targets. tant problems. The increased digital
and data expertise, the combination of
Working together is demonstrated in the different competencies for the benefit
way we effortlessly combine our exper- of our clients, and a strong and active
tise to serve our clients in the best way sales and client management culture
possible. To support this, we are going distinguish us from other actors in the
to create a new management model for field. As an employer, we are the most
The strategy was launched for all employees in September 2020 at a virtual event, which
services that require a combination of lucrative expert organisation in Fin-
was hosted by the CEO Mikko Nieminen and Brand and Communications Leader Kaisa
Heikkinen. different competencies. We call the ser- land, where value-based operations,
vices managed and provided in accord- such as caring and good management,
ance with our new model integrated are essential. We create trust in soci-
solutions. ety through our own operations and
services and by acting as an exemplary
We are updating the operating models corporate citizen.
for our sales and client management
with the help of a multi-annual program, You can view the video of our strategy
which will help us bring more added on our website www.pwc.fi/en/about-
value and better client experience to us/strategy.
our clients.
In order to continue to be a meaningful
partner for our clients, we must make
more effective use of the opportunities
PwC Finland – corporate responsibility review 2020 | 10PwC Finland – corporate responsibility review 2020 | 11
Creating value for companies
For some time, there has been a general transitioned to remote work, but some
acknowledgement among companies may have been laid off due to the sud-
that in order to create value, financial den termination of work. Some sectors,
capital alone is not enough. To obtain such as health care, have needed addi-
skilled staff, keep client networks in or- tional labour.
der and update digital skills and tools in
a company are also factors in success. The examples radically demonstrate the The corona situation has already
A company’s value creation is based many types of capital company’s value
on a number of elements and types of creation depends on and how sudden made visible impacts in the
capital. threats may change company’s ability
to operate. economy, society and environment.
The coronavirus has had a major impact
on companies’ business operations. In It has also been interesting that many Sirpa Juutinen, Corporate Responsibility Partner
some industries, in particular those de- companies have drawn significant
pendent on exports, the impacts were attention to social capital: volunteering,
visible a little later, while in other indus- donations and the provision of expertise
tries the revenue decreased immediate- and equipment to support, for exam-
ly after the restrictions were imposed. ple the public sector. Some have also
The first effects of the pandemic can changed their products to better meet
first manifest as a crisis in the financial the needs of the pandemic situation by
capital out of all the capital types that investing in, for example, the production
influence value creation. of disinfectants or protective equip- our staff and been concerned for the also decreased.
ment. survival of those most vulnerable in
There have also been problems in society. The impact of this period and the
manufactured capital, which has been The coronavirus has also affected changes it has brought are already
evident, for example, as a shortage in PwC’s operations in relation to several As a result of all this, our clients have visible economically, socially and envi-
raw materials or components as the types of capital. At the same time as we received help for their own challenges ronmentally. The impacts will most likely
attempts to prevent the spread of the have stepped up our efforts to support as customised services, our staff have extend beyond this year, and also long-
virus have included closing borders our clients to increase their potential remained healthy and we have also term effects are surely to be expected.
and factories. The third type of capital, for value creation, we have also tran- donated to low-income families in order By assessing the future status of the
human capital, has faced challenges sitioned to remote working, deployed to help them out of the worst situation. factors that create value, their behav-
due to the coronavirus: staff has been digital skills and tools more extensively, Due to remote working and reduced iour can be predicted at least to some
protected from the disease by being protected the health and well-being of travel, carbon dioxide emissions have extent.
PwC Finland – corporate responsibility review 2020 | 12Value creation at PwC Finland
Capitals PwC Finland Output Impact
Financial capital Services received by our clients Financial impact
• Shareholders’ equity PwC Finland is a Finnish company that is part of the international • 908,807 working hours PwC Finland’s revenue: EUR 159 million
• Liabilities PwC network. If required, our clients have access to more than • Continuously developing expert
284,000 experts of the PwC network in 155 countries. Distribution of financial added value
Natural capital services in the following busi-
• Salaries of employees and shareholders:
• Electricity consumption 882,641 kWh ness areas:
- salaries (include social security contributions)
(100% green electricity) - Business management EUR 90.8 million, other taxable employment
Manufactured capital We support our clients in changes and help companies build consulting benefits and other employment benefits
• Operations in 13 locations sustainable growth, operate effectively and report reliably. - Deals • Partners:
• ICT, effective infrastructure, tools and - Tax and legal services - Dividends EUR 6.2 million
software - Audit and other assurance • Public sector
services. - Taxes and tax-related fees EUR 87 million
Human capital
According to the PwC Purpose, our aspiration is to build trust • Property owners and financiers
• Skilled, professional and diverse staff
in society and solve the most important problems of our Other output generated through - Rents and leases EUR 7 million
- 1,215 employees at end of financial • Non-profit investments and subsidies
clients. the production of expert
period - Cooperation with educational institutes and
services
- 240 trainees during the financial • Carbon dioxide emissions organisations, sponsorship and donations
period (business travel, facilities and EUR 464,000
Our organisation is divided into three lines of services: audit
• Well-being and ability to work and other assurance services, tax and legal services, and paper consumption)
Environmental impact
Intellectual capital consulting and deals, which also includes Strategy&, a unit of Fewer emissions
• Client base strategic consulting. Our private company services act as a • More sustainable production of services
• Client satisfaction matrix organisation. In addition, our organisation consists of
• Positive impact through our own services
(Net Promoter Score 65) the following internal services: brand and communications, HR,
office of general counsel, financial administration, information • Encouraging employees towards recycling and
• Known reliable brand sustainable consumption
technology services, and office and facility management.
• Methodology, tools and operating • Fewer emissions through supplier requirements
methods related to client consulting
Social impact
Social capital Building trust
• Community engagement and impact: Our strategic focus areas: deals, services related to technology
• Job creation
and digitalisation, risk assurance services and financial services.
- Partnerships - 154 new permanent employees
- Charity • Helping young people to enter the field through
- Thought leadership, knowledge the trainee program
development and sharing - 240 trainees during the financial period
Large client base: we have roughly 9,600 clients, including listed • Impact of intellectual capital and expertise in the
companies, entrepreneurs, growth and startup companies, non- field and society on a broader level
profit organisations, public organisations, and private persons.
In addition, our services have an impact on our
clients’ business, and therefore on society.
Concerns PwC Finland’s financial period of 1 July 2019–30 June 2020.
PwC Finland – corporate responsibility review 2020 | 13Creating value for society
Our tax footprint
PwC’s Purpose is to create trust in society and solve important problems. As part
of this purpose, we want to participate in the societal discussion on companies’
financial contribution to society in the form of taxes and tax-like charges. We imple-
ment this by continuing to publish our tax footprint. We want to be open about the
way we at PwC handle our obligations and the economic footprint we leave behind
in the form of taxes. We believe that by leading by example, we encourage other
operators to engage in open dialogue and do our part in building trust in society.
We distribute financial profits generated and shareholders and as performance
by the sale of our services to our em- bonuses. All payments are subject to
ployees and shareholders. A consider- pay-as-you-earn taxes and various
able share of this sum also benefits the social security contributions.
surrounding society in the form of taxes
and tax-like charges. In the assessment “In other words, the income our com- Markku Hakkarainen, PwC Finland’s Tax and Legal Leader
of social impact, factors that should be pany receives is, after debited VAT and
considered include not only taxes paid rents, divided between employees and
by our company, but also taxes and shareholders in the form of compen- PwC Finland’s tax footprint goals and high-quality operations based
tax-like charges arising from incentives sation, as well as the state and munic- All PwC Finland’s business operations on our values.
and bonuses distributed to our employ- ipalities in the form of taxes and tax- are carried out by Pricewaterhouse-
ees and shareholders. like charges,” says our Tax and Legal Coopers Oy, which is wholly and direct- Shareholders are remunerated by a
Leader Markku Hakkarainen. ly owned by its shareholders living in salary divided into a fixed monthly pay-
Our competent and highly specialised Finland. The company’s operations are ment and a variable portion. During the
staff is at the heart of our operations “We offer our clients extensive services not funded from abroad and it does not 2020 financial period, we will, similarly
and the most valuable part of it. With related to tax matters. Transparency in have any interest-bearing liabilities. to the previous period, pay the variable
our expertise, we aim to create added tax reporting is one of the areas where salary portion as dividends that are
value for our clients in the form of our we advise clients and believe that the The variable salary portions paid by the treated as input-based dividends in the
services. The profits that remain from discussion in the form of reporting is an company to its shareholders and staff company’s taxation, and that are deter-
the sale of our services after all the important part of the societal discussion are determined according to the com- mined on the basis of performance and
expenses have been debited are prac- on taxes,” says Hakkarainen. pany’s results, the fulfilment of personal paid for out of the profit for the 2020
tically always distributed to our staff
PwC Finland – corporate responsibility review 2020 | 14Taxes and tax-like charges paid and reported by PwC Finland for the financial period 2020 (2019) financial period. Input-based dividends
constitute earnings subject to taxa-
tion for the recipient, while they are a
90 deductible cost for the company during
€87,165,373 the year when they are paid out.
In addition, shareholders have access
80
to share-specific dividends that are
Taxes and tax-related fees divided between capital income and
paid by the company: earnings in taxation. Shareholders do
Tax withheld in advance not receive any salary or other person-
70
€29,997,364 al financial payments from the PwC
(€30,531,462) network.
Social security contributions*
60 The company’s annual operating profit
€918,219 is mainly used to remunerate staff and
(€761,428) shareholders.
TyEL pension insurance payments*
50 Our revenue for the financial period
€21,069,152 totalled EUR 159 million, while the total
(€8,020,380)
amount of taxes and tax-like charges
Unemployment insurance and payments was more than EUR 87
40 contributions million. Totalling EUR 56 million, corpo-
€2,899,956 rate taxes, prepayment taxes and social
(€2,129,995) security and pension payments ac-
VAT paid counted for the majority of these taxes
30
€31,180,015 and tax-like charges.
(€32,864,001)
The added financial value produced
20 by our company for society, i.e., the
company’s tax footprint, consists sig-
Taxes paid by the company: nificantly of prepayment tax collected
Income taxes and paid by the company. The amount
of prepayment tax is presented in the
10
€1,100,667 *) Figures for 2019 are not comparable
figure below.
(€1,082,110) due to the introduction of the incomes
register, which caused changes in the
payment schedule for TyEL pension
0 insurance and social security payments.
PwC Finland – corporate responsibility review 2020 | 15Sustainability and its management at PwC
We want to be the best company in The annual action plan includes the
our field when it comes to corporate practical measures by which both the Four focus areas in our corporate responsibility program
responsibility. For this reason, we set corporate responsibility program and
ambitious sustainability targets for the equality and diversity strategy are
our operations, and we report on their integrated into service production, staff
implementation annually. We focus our and equality issues, social engagement
efforts on the most essential issues, and environmental stewardship.
while also considering the international
goals of the PwC network. Responsibilities and management Sustainable business Staff and
At PwC, corporate responsibility is man- operations diversity
The most important corporate respon- aged and coordinated by the Corporate
sibility matters have remained the same Responsibility Partner, Sirpa Juutinen,
for several years. These include respon- who reports to the CEO. She is also
sibility in our business operations and the partner responsible for equality
responsibility in matters concerning and diversity matters. In addition, she
staff and equality. In addition, we also participates in the operations of the
centre our work on the two focus areas corporate responsibility expert services
of responsibility in the PwC network: of the business areas. Since 2018, the
social engagement and environmental Corporate Responsibility Partner Sirpa Community Environmental
stewardship. All these constitute the Juutinen has also been a member of the engagement stewardship
four themes of our corporate responsi- Global Sustainability Steering Board,
bility. set up to coordinate globally the PwC
network’s corporate responsibility busi-
For our operations, we will draft a ness operations.
multi-annual programme for corporate
responsibility, which will be approved The Corporate Responsibility Partner is
by the Territory Leadership Team. The supported by the Corporate Respon-
program focuses on the four selected sibility Steering Group, which consists
themes, and its purpose is also to sup- of PwC’s managers and experts repre-
port our business strategy. In addition, senting different business functions and
we have an equality and diversity strat- which is chaired by Janne Rajalahti,
egy that covers the period up to 2023. Chairman of the Board of PwC Finland.
PwC Finland – corporate responsibility review 2020 | 16PwC Finland’s corporate responsibility organisation
Board of Directors
Approves corporate responsibility review
CEO and Territory Leadership Team
Approve the corporate responsibility
The line organisa- program and objectives
tion, together with
supporting func- Corporate Responsibility Partner and
Corporate Responsibility Steering Group
tions, implements Coordinate and develop corporate responsibility
corporate responsi-
bility Several working groups operate under the corporate
responsibility steering group to prepare matters related to
various subareas of corporate responsibility.
The members of PwC Finland’s CR Steering
Group include Sirpa Juutinen, Corporate Re-
sponsibility Partner and Leena Tiensuu, Human
The CR Steering Group sets objectives review of the achievement of targets support from the Corporate Respon- Capital Leader.
for corporate responsibility, coordinates and the development of corporate sibility Partner and members of the CR
practical measures, monitors their responsibility in various subareas. The Steering Group. If required, experts of
fulfilment, and takes part in preparation Territory Leadership Team also receives the sustainability and climate change
of the corporate responsibility review. an annual review of the implementation business area offer their help.
During the last financial period, the CR of the equality and diversity strategy.
Steering Group convened eight times. The Board of Directors discusses and The most important responsibility
approves the corporate responsibility issue related to equality and diversity
PwC’s Territory Leadership Team has review. for the financial period 2020 is the
the overall responsibility for corporate training of all staff
responsibility. The Corporate Respon- We manage corporate responsibility In the financial period 2020, we started
sibility Partner reports on the overall as part of our day-to-day business to systematically implement the equality
situation in corporate responsibility operations, and leaders of business and diversity strategy drafted, in par-
matters to the Territory Leadership areas are responsible for the practical ticular, to promote the equality between
Team at least twice a year, presents a implementation of activities, with women and men. All our lines of services
PwC Finland – corporate responsibility review 2020 | 17are obligated to identify the key chal- not in order. This not only applies to
lenges related to equality, to prepare a equality between women and men, but
plan to correct them and to start imple- also to equal treatment between people
menting the plan with determination. representing gender and sexual minor-
The plans were prepared in autumn ities and different cultures and beliefs.
2019 and the Territory Leadership Team In addition, in the midst of the world’s
received a report on the progress of increasingly complicated problems the
their implementation in spring 2020. needs of clients require a wide range of
expertise in finding functional solutions.
The equality challenges differ some- This is why diversity is important,” says
what from one business area to another, Sirpa Juutinen, partner responsible for
which means that the actions needed equality and diversity.
are also different. To build a common
foundation and to support our oper- Progress in environmental work The UN Sustainable Development
ations, we arranged a total of eight An environmental working group Goals gain support from companies
training courses, lasting 1.5 hours each, consisting of staff representatives, the In autumn 2015, 17 sustainable de-
on the identification of unconscious Green Team, has taken a number of velopment goals and 169 targets for
bias affecting our views. So far, 835 initiatives leading to practical measures 2030 were agreed upon by the United
people, or 65% of our staff, have to reduce environmental impact of PwC. Nations. The Sustainable Development
participated in the training. The team also arranged a feedback Goals (SDGs) are aimed at eradicating
survey for the staff, which, in addition to abject poverty, promoting equality and
In the action plans for business areas, other initiatives, highlighted the desire preserving environmental resources.
it is essential to involve the promotion for a sustainability guidebook and its
of equality as part of the management implementation to our regional offices. Even though states and governments
system and thus a part of the day-to- The Green Team also focused on com- are the initiative’s principal participants,
day operations and decision-making. ing up with ways to reduce food waste companies’ contributions are also
This requires that targets are clearly in meeting catering and introduced required. Numerous companies have
set, and the achievement of those guidelines for sustainable meetings for embraced the goals as part of their
targets is measured and monitored. It organisers. For more information on our corporate responsibility programs and
has been gratifying to see the business environmental work, see page 33 of this they also include information on their
area leaders’ determined efforts and the report. sustainable development goals in their
support from HR to promote equality. corporate responsibility reviews.
We will provide more details on our sus-
“PwC wants to remain a lucrative em- tainability work in all areas of corporate Companies should focus their sustain-
ployer, which is impossible in modern responsibility in the following chapters able development measures on those
days, if matters regarding equality are of this review. SDGs that they have the most influence
PwC Finland – corporate responsibility review 2020 | 18on through their core business opera- Providing training of women and men in working life. We developing our operating methods in a
tions–either by increasing positive or Considering our also conduct a regular salary survey, more sustainable direction towards the
decreasing negative forms of impact– growth and success, which examines the potential differenc- PwC network’s goal to become globally
along with those goals that are the most it is essential that we es in pay between men and women. carbon neutral by 2030. Travelling is
critical to achieve and come under the offer the best place to an integral part of our client work, and
focus areas of the countries in which work for our excellent Decent work and travel by air forms the single largest
the companies are based. professionals. We economic growth factor in our carbon footprint, with
invest in equal and diverse on-the-job One of the main driving being the second largest con-
training for our experts to offer all the themes of our cor- tributor. We have set climate targets for
PwC’s operations and SDGs
employees the opportunity to forge a porate responsibility our operations in order to tackle global
PwC promotes sustainable develop-
career at PwC that suits them best. activities is to iden- warming. In addition, we began to offset
ment by creating added financial and
Each year, we also offer training oppor- tify solutions that carbon dioxide emissions from our air
social value for society through its ser-
tunities to about 200 trainees through promote sustainable development travel in 2018. We have been committed
vices. Thanks to the skills of our staff,
our trainee program. We provide our and responsible business both locally to these goals as part of the Climate
we can solve some of the most pressing
staff with information on matters related and globally. To serve as an engine of Partners Initiative. With the help of our
problems, thereby increasing trust in
to sustainable development, such as change, we support our clients in their Sustainability & Climate Change team,
society.
eco-friendliness and equal treatment of sustainable development programs, use we can support our clients in recog-
people, through various campaigns and modern technology in our operations nising and controlling environmental
We prioritised the SDGs that are the
training. We will also invest significantly in a smart way and create additional fi- impacts, and in verifying environmental
most important to PwC Finland by
in developing the digital expertise of nancial value for our society by offering information.
determining which SDGs our sector can
the staff. jobs and paying taxes.
have the most influence on and which
of the goals create the best opportuni-
We also promote sustainable develop-
ties for us. In this analysis, we utilised
Gender equality ment within our company and among
tools created by the PwC network, such
According to the our clients through the services offered
as the PwC Selector tool, which can be
diversity guidelines by our Sustainability & Climate Change
used to assess sector-specific impacts
of the PwC network, team. In recent years we have invested
on various SDGs. In addition, we used
PwC Finland also in the integration of sustainability into
the Global Business Navigator tool
pays attention to di- the services offered to our clients.
designed on the basis of more than 200
versity, and in particu-
data sources to provide information on
lar to equality between men and wom- Climate action
how various countries have succeeded
en, the equal treatment of sexual and In our operations,
in the achievement of SDGs.
gender minorities, and the acceptance we pay systemat-
and appreciation of other diversity. We ic attention to our
have drafted an equality strategy, and environmental impact,
its main goal is to promote the equality and are continuously
PwC Finland – corporate responsibility review 2020 | 19PwC Finland’s corporate responsibility goals
Sub-areas Goals for 2024 strategy term Measures for the 2021 financial period
Sustainable business 1. We enforce the implementation of the PwC Purpose 1. We discuss how the PwC’s Purpose interrelates with business operations in a concrete
operations in PwC’s business operations. and practical manner with PwC’s partners.
2. We support our clients in their path to carbon-neutral 2. Our different areas of expertise work in cooperation to further develop our Net Zero
operations. services that support clients in their path to carbon-neutral business operations.
3. We support our clients in sustainable investment 3. We design comprehensive sustainable finance and investment and the associated ESG
activities and in related ESG reporting. reporting service range.
4. We support our clients in comprehensive reporting 4. In addition to the reporting assurance services, we provide our clients with more compre-
by combining the assurance services for financial hensive assurance services, which also take into account the reporting of non-financial
and non-financial reporting. information.
Staff and diversity 1. We are constantly investing in the expertise of each 1. We invest in developing competence, especially through the Digital Upskilling program.
PwC employee to ensure that competence meets the 2. We invest in developing supervisory work: we reform the management training program
demands of the future. and link it to our well-being program.
2. We strengthen our staff´s management skills. 3. We will continue diversity-related communication and, if necessary, training internally.
3. We are an attractive employer for experts whose Based on the Diversity strategy, we will take measures in business operations according to
different skills and backgrounds bring added value to individualised plans. We will set up a Diversity Steering Group to guide and coordinate the
our operations. operations.
4. We promote our staff´s overall well-being, functional 4. We develop occupational health and well-being, i.e. the BeWell program, as a whole to
ability and balance of life, and strengthen the flexibili- prevent coping-related challenges and to tackle them at an early stage.
ty and manageability of work. 5. We enhance resourcing and the efficient mobility of expertise.
Community 1. Through voluntary work, we support the digitalisation 1. In cooperation with the HelsinkiMissio, we will organise an event for care centres for the
engagement of society by focusing our support on the parts of elderly. This so-called digital clinic aims to assist the residents with their practical digital
society who face the risk of exclusion. challenges.
2. We make PwC’s services and other functions more 2. We support our experts in identifying megatrends in sustainable development and the
visible to society. direct and indirect impacts caused by our own and our clients’ services.
Environmental 1. We work to increase the staff´s environmental and 1. We communicate about our corporate responsibility program to the staff. We also publish
stewardship responsibility awareness. a handbook on corporate responsibility, which includes the most important matters from
2. We reduce environmental impacts. the perspective of PwC Finland’s corporate responsibility. We also organise internal com-
3. We increasingly take into account responsibility in munication campaigns on corporate responsibility to increase public awareness.
procurement. 2. We will improve energy efficiency, recycling and the purchase of green electricity in region-
al offices.
3. We take environmental perspectives into account in meeting caterings. We will extend the
self-assessment of sustainability requirements for our suppliers to all major suppliers.
PwC Finland – corporate responsibility review 2020 | 20Sustainable business operations KUVAAN Kalle Kinnunen ja Anni Kasari
We asked our clients and other stake- ple, into services supporting corporate
holders a few years ago what they deals, as well as services related to list-
consider important in PwC’s sustaina- ing or developing business strategies.
bility. Two things were highlighted more Sustainable Bridge has been the foun-
than others: we are expected to take dation of the Net Zero, a carbon-neu-
care of our staff and their expertise, as tral business operation, involving both Anni Kasari and Kalle Kinnunen are part of the Net Zero team.
well as to integrate sustainability into all experts in business management
services. consulting and corporate responsibility
in Finland and international experts in
We met the expectations of integrat- the PwC network. PwC Hack Week sped up the development of
ing sustainability in our services by, Net Zero services
for example, developing competence In addition, PwC Finland’s Sustainability
regarding ESG (Environment, Social, & Climate Change team has partici- In late 2019, we arranged an internal event called Hack Week
Governance) matters and tax footprint, pated in providing the aforementioned for our staff as part of the development of our new strategy. The
and our ability to support our clients in services and its members have worked objective of The Hack Week event was to find and develop new
their transition to low-carbon business to develop the clients’ sustainability in business opportunities through internal crowdsourcing. A total
solutions. In PwC’s new business strat- corporate responsibility management, of 12 teams attended the event, each with 2–5 experts in them.
egy, sustainability as part of other PwC reporting and assurance issues with
services will be highlighted more visibly. the support of other experts. Similarly, One of the winning teams of the event was the Climate Revolu-
it has provided the teams that develop tion team, whose goal was a part of the wider climate change
The ambitious emissions targets of the strategy or business changes with the problem: a team of experts in different competence areas devel-
Paris Agreement, the EU Green Deal necessary expertise and vision of cli- oped business-oriented solutions for reducing climate change,
program and the Finnish Government mate change, its economic impact and in particular for low-emission activities and services, and how it
Program require companies to make new business opportunities. should be supported from strategy to implementation.
reforms towards low-carbon business
operations. This will also be even more PwC Finland’s Sustainable Finance “Our internal hackathon event sped up the development of the
clearly reflected in the content and working group has also continued its services aimed at reducing climate change. During spring 2020,
production of our sustainability services operation by bringing together ex- we discussed our Net Zero services, which have had a clear
in the future. perts from PwC’s different sub-areas market demand,” says Jussi Nokkala, the team’s sustainability
to prepare for new EU-level regulation expert.
With the Sustainable Bridge project, we regarding both the financial field and
have continued to transfer sustainability other companies. We have worked
outlook and competence, for exam- closely with the actors in the field, par-
PwC Finland – corporate responsibility review 2020 | 21Overall client satisfaction (0–10) Net promoter score (NPS) %
10 100
ticipated in the work of the international code of ethics of the PwC network in all
PwC network regarding the subject our business operations. Operations of
8.6 8.7 8.8 58 60 65
and commented on the various stages auditing firms are governed by several
of legislative development in the open regulations, rules and ethical guidelines. 0 0
2018 2019 2020 2018 2019 2020
consultation organised by the EU. PwC Finland and the PwC network as
a whole have developed processes,
The Financial reporting obligations, systems and training to enable the im-
sustainability classification system (tax- plementation and monitoring of compli-
onomy) and carbon level rating system ance with these regulations.
provide a number of changes. At best, receive and collect feedback from other Based on the feedback, our clients
these changes will make it possible to In our procurement, we comply with channels, such as chat services on our appreciate the competence of our
move towards low carbon efficiency the requirements of the PwC network’s website and social media. experts and that we listen to them and
by allocating funding to it. At the same Third-Party Code of Conduct by de- understand their business operations.
time, they will bring new demands to manding that our suppliers commit to During the financial period, we collected Clients also appreciate the fact that we
companies, which will take time to them. We also use the self-assessment feedback from 1,179 clients through can challenge their ways of working if
prepare. form made for suppliers to monitor the electronic channels. The response rate necessary. Our experts also received
compliance. When it comes to, for ex- to these surveys was 37%. In addition appreciation for their work ethic,
The Climate Performance Analytics ample, organising catering for meetings, to the surveys, we conducted dozens of keeping to the schedule and being flex-
(CPA) tool developed by PwC Finland we have also made progress from the in-depth interviews with selected clients ible even in tough situations. However,
is part of the global PwC network’s perspective of sustainability by drafting throughout Finland this year. we need to develop active communi-
toolkit. A new version of the CPA has and introducing sustainability guidelines cation with our clients, for example.
been developed during the financial for organising meetings and catering. During the financial period, we intro- Sometimes information is requested
period, allowing more extensive analysis duced a new reporting and analysis from the clients at unnecessarily short
of around 2,500 companies worldwide. Positive client feedback on our tool for client feedback that enables us notice.
Based on tailor-made analyses that are expertise to utilise client feedback better in the
founded upon emissions and financial Our client experience and satisfaction development of our operations. “We greatly value feedback from clients,
data, it is easy to design low-carbon are at the centre of our strategy and both positive and constructive. We
business development measures in an operations year after year. We regularly Total satisfaction of our clients in- actively use it to develop our opera-
economically sustainable manner. and continuously collect feedback from creased slightly by 8.8 (in the previous tions. In accordance with our strategy,
our clients about the different phases of period 8.7) on a scale of 0–10. we want to ensure that our clients
Sustainability is also achieved in our projects so that we can further develop receive a first-class service from PwC
service production our operations and services. All feed- Our other client satisfaction indicator is and that the client is left with a positive
Sustainable business operations are not back is important, and we want to thank the Net Promoter Score (NPS). A pos- experience of working with PwC,” says
just about providing sustainable servic- our clients for giving feedback. itive NPS denotes a good result. If the Markets Leader Hannu Suonio.
es. Sustainability must also be estab- figure is higher than 50%, the situation
lished in our own service production. In addition to annual project-specific is excellent. Our NPS increased from
It is supported by compliance with the feedback and client interviews, we also the previous year (60%) to 65%.
PwC Finland – corporate responsibility review 2020 | 22You can also read
