(also referred to as Deloitte Touche Tohmatsu, and branded as '''Deloitte.''') is the second largest
Professional Services firm in the world, and one of the
Big Four Auditors , along with
PricewaterhouseCoopers ,
Ernst & Young and
KPMG . In addition to its accounting practice, Deloitte is one of the largest business advisory firms in the world, providing strategic and operational management consulting, tax advisory, and financial advisory services to many of the world's largest companies.
It was previously known as , which was formed by the merger of Touche Ross and Deloitte Haskins & Sells (outside of the UK) in 1990. The rebranding as simply '''Deloitte''' with a round green dot following the name was commissioned by
John Connolly , the Senior Partner and Chief Executive of the UK firm, who challenged
Enterprise IG in 2003 to develop a brand image that represented the new position of the organization in the marketplace; encompassing the "complete firm", offering accounting and consulting services whilst rival firms had divested their consulting operations.
Confusingly, in the
United Kingdom the local firm of Deloitte, Haskins & Sells merged instead with Coopers & Lybrand (which today is
PricewaterhouseCoopers ). For some years after the merger, the merged UK firm was called Coopers & Lybrand Deloitte and the local firm of Touche Ross kept its original name. In the mid 1990s however, both UK firms changed their names to match those of their respective international organisations.
In 1993, the international firm was renamed Deloitte Touche Tohmatsu, the third name coming from the firm
Tohmatsu & Co , which merged into Touche Ross in 1975. The names in the company title refer to
William Welch Deloitte ,
George Touche , and Admiral
Nobuzo Tohmatsu (等松). The name "Deloitte" is the firm name in longest continuous usage in the accounting profession. Deloitte Touche Tohmatsu is a
Swiss Verein , a
Membership Organization under the Swiss Civil Code whereby each member firm is a separate and independent
Legal Entity . Its global headquarters are located in
Manhattan ,
New York City .
According to the firm's website,
As Of 2006 , Deloitte had a total of 135,000 professionals at work in nearly 140 countries, delivering
Audit ,
Tax ,
Consulting and
Financial Advisory services to more than one-half of the world's largest companies. The US firm employs over 33,000 people (2005) and the UK firm employs over 11,000 people (2007).
As part of a larger effort to effectively target and recruit qualified candidates from underrepresented groups, Deloitte implemented the Women's Initiative (WIN) in 1993 which is intended to make Deloitte a firm where "high-performing" women can find careers that are both satisfying and that provide expanding advancement opportunities. Deloitte USA also claims to have the highest percentage of women directors, partners, and principals among the Big Four accounting firms.
John Ballantine Niven established Touche Niven alongside Haskins & Sells in the Johnston Building at 30
Broad Street in 1900 in
New York . At the time, there were fewer than 500
CPAs practicing in the United States, but the new era of
Income Taxes was soon to generate enormous demand for accounting professionals.
In 1913, Niven opened the organization's first branch offices in Minneapolis and Chicago. That same year, the
16th Amendment to the
Constitution allowed
Income Tax to be levied on Americans for the first time. Compared with modern levels, the 1913 rate of 1% on taxable incomes over $3,000, rising to 7% on taxable incomes over $500,000, seems low, but, as the Journal of Accountancy noted that year, it was "indubitable that the income tax law is to have a more far-reaching effect upon public accountants than upon any other profession or business in the country."
The Journal was so convinced of the demands that it added a tax column—and asked Niven to be the editor. His column advised accountants on income tax requirements, preparing them for the impact of
World War I , when federal spending rose from $742 million in 1916 to $18.9 billion in 1919. By then, income tax provided 58% of federal revenues, and the experts who handled income taxes found their skills in high demand.
There were numerous calls for independent
Auditing in the early decades of the century. But these calls were largely ignored by Washington and Wall Street regulators. The stock market
Crash Of 1929 and the ensuing
Depression brought the issue into the public spotlight, especially when it became obvious that proper accounting practices might have prevented some
Bankruptcies and consequent unemployment.
On
April 1 ,
1933 , Colonel Arthur Carter, President of the New York State Society of CPAs, testified before the
U.S. Senate Committee On Banking And Currency . Carter helped convince Congress that independent audits should be mandatory for public corporations. The
1933 Securities Act subsequently required public corporations to file independently certified registration statements and periodic reports. A year later, the
Securities And Exchange Commission was created to administer the new legislation.
After
World War II , America stood on the brink of historic economic expansion. In this environment, in 1947, Detroit accountant George Bailey, then president of the
American Institute Of Certified Public Accountants , launched his own organization. The new entity enjoyed such a positive start that in less than a year, the partners merged with Touche Niven and A.R. Smart to form Touche, Niven, Bailey & Smart. Headed by Bailey, the organization grew rapidly, in part by creating a dedicated Management Consulting (MC) function. It also forged closer links with organizations established by the cofounder of Touche Niven, George Touche: the Canadian organization Ross, Touche and the British organization George A. Touche. In 1960, the organization was renamed- Touche, Ross, Bailey & Smart, becoming Touche Ross in 1969. John William Queenan joined Haskins & Sells in 1936. As managing partner from 1956 until his retirement in 1970, he led the organization through major developments in the profession. Haskins & Sells experienced its own major development by merging with 26 domestic organizations and establishing offices in Canada, Central and South America, Europe, and Japan.
In 1952, Touche Ross became the first large accounting organization to automate its
Bookkeeping . Later, Gordon Stubbs wrote Data Processing by Electronics and Introduction to Data Processing, the first two professional brochures of their kind. In 1964, the organization's work with statistical sampling led to the Auditape System, which brought computer technology to audits. The organization's MC group, which provided computer systems advice, felt the greatest impact from the technology revolution. The organization did work for several leading corporations and for many government agencies. At Touche Ross, the discipline matured during the 1960s and 1970s under leaders like Robert Trueblood and Michael Chetkovich.
In 1982, David Moxley and W. Grant Gregory succeeded Russell Palmer as leaders of Touche Ross. In 1985, Edward A. Kangas, a management consultant, was appointed managing partner of Touche Ross. In 1984, J. Michael Cook became managing partner of Deloitte Haskins Sells.
Touche Ross and Deloitte Haskins Sells merged in 1989. The newly formed Deloitte & Touche was led by J. Michael Cook and Edward A. Kangas.
In 1995, the partners of Deloitte & Touche voted to create Deloitte & Touche Consulting Group (later Deloitte Consulting). Deloitte's stated goal continues to be to “simplify work so that it can be done more rapidly and more effectively.”
In the first few years of the new century (2001 - 2003), Deloitte also began a strategy of outsourcing many of their staff level jobs to India.
The United Teachers Los Angeles, UTLA
{Link without Title} , has been seeking remedy from the company and the district, to no avail.
Major clients include (note that not all of these are audit clients):
- Alliant Techsystems , Boeing , Northrop Grumman
- Sotheby's
- Arab Bank , The World Bank , Rosbank , Royal Bank Of Canada , Washington Mutual , Royal Bank Of Scotland , BNP Paribas
- Dow Chemical Company , Huntsman Corporation , Solutia
- Sprint Nextel Corporation , WPP
- Tyco International
- American Electric Power , Keyspan Energy , Southern Company , Xcel Energy
- American Express , VISA , Bear Stearns , Charles Schwab Corp. , E---TRADE Group Inc. , Fannie Mae , Fidelity Investments , MasterCard , Merrill Lynch , Morgan Stanley , Sky Financial Group Inc. , MoneyGram , Radian Group , MICEX , Berkshire Hathaway
- Abbott Laboratories , HealthPartners , McKesson Corporation , UnitedHealth Group , Wellcare Healthplans Inc. , Health Net, Inc. , Servicio Occidental De Salud
- Blackstone Group , Deere & Company , Dura Automotive Systems , Fiat Group General Motors , Hyundai Motors , Nissan , Tata Group , Vulcan Materials Company , UPS
- Mittal Steel , MMK (Russia) , Norilsk Nikel
- Allstate , Berkshire Hathaway , Metlife
- Bloomberg L.P. , Middle East Broadcasting Center , Comcast
- Ahold , Best Buy , Gap , Hyatt , Levi Strauss & Co. , L'Oreal , Nordstrom , Procter And Gamble , Safeway Inc. , Starbucks , Walgreens , Pep Boys
- Bristol-Myers Squibb , Monsanto , Rite Aid Corporation , Schering-Plough , Hikma , Johnson & Johnson
- State of Texas, United States Department Of Defense , United States Department Of Justice , United States Department Of Homeland Security , United States Intelligence Community
- Cox Enterprises
- Major League Baseball , Comcast-Spectacor
- Dell Inc. , Gateway, Inc. , Microsoft , Motorola , Pentair , Intel
- Comcast , Vodafone , MTS , Umniah
- Port Authority Of New York And New Jersey
- ATA Airlines , Continental Airlines , Midwest Airlines , Northwest Airlines , US Airways , United Airlines / UAL Corporation
Deloitte was named to the following lists of top workplaces:
- "100 Best Companies to Work For" by '' Fortune '' magazine
- "100 Best Companies for Working Mothers" for 2004 by ''Working Mother'' magazine
- "Top 50 Best Companies for Diversity" -- '' Essence's '' Top 30 Best Companies for African-American Women List
- ''Latina Style'' - One of The Best Companies for Latinas
- Trainingmag.com - # 6 on list of Top 100 companies
Deloitte Touche Tohmatsu moderates the
Deloitte Fast 500 , a worldwide survey of the fastest growing technology companies.
Deloitte has several different services/branches (by Swiss Verein):
- - The consulting side focuses on different industries such as Manufactoring, Retail, Public Sector etc.. The practices are separated in five different Service Areas: Enterprise Application, Technical Integration, Strategy & Operations, Human Capital and Extended Business Services. Each one of these are broken down to sub catories called Service Lines.
Each of those services is further broken down into other branches. For example, Enterprise Risk Services is broken down into Security and Privacy Services, Control Assurance, Internal Audit, Risk Control and Regulatory Services and other service lines (that vary by country).
