The audit profession, like other key participants in our financial system, is under close scrutiny as regulators and policymakers seek to introduce new measures to prevent a recurrence of the global financial crisis. Our goal in working with regulators, policymakers and other members of the profession is to determine the right changes – those that will enhance and improve the relevance and quality of audit, tax and advisory services, including the auditor's report, and provide a robust framework for auditors, preparers and those charged with corporate governance.
Audit plays a critically important role in society by enabling the efficient operation of the capital markets and helping secure the confidence placed in them by investors and other stakeholders – a responsibility we take with the utmost seriousness. Maintaining investor confidence in the quality of our audits and protecting shareholder interests is essential to upholding our public interest responsibilities, and therefore quality is at the core of our business strategy.
Quality is about delivering a robust independent audit opinion in accordance with professional standards based upon our consistently applying the fundamental principles of independence and objectivity, thereby delivering value to capital markets. We believe that quality is not improved through mandatory auditor rotation, but rather by building deep experience and insight into client organizations, coupled with the professional skepticism that runs through our culture.
At its essence, the auditor's role is to enhance the reliability of a company's reporting. An effective tax system requires strong dialogue between tax authorities, tax payers and professional tax advisors. And our advisory professionals help clients create and maintain sustainable value. We must continually ask ourselves whether we are meeting the requirements of all of our stakeholders – not only the companies we audit and advise, but also investors, employees, governments and the wider community.
Our ability to meet our stakeholders' requirements is greatly enhanced by the collaboration of all of our professionals in audit, tax and advisory. Our multi-disciplinary business provides our engagement teams with access to a range of expertise and specialist skills that are critical to performing quality work. For example, it is impossible to deliver a high quality audit without tax and technology skills.
We maintain a system of quality control for our Audit practice that is designed to reflect our drive and determination to deliver the highest standards of independent, unbiased advice and opinion as well as meet the requirements of legal and professional standards issued by local regulators and accounting bodies. This is discussed further in the KPMG International Transparency Report that forms an annex to this review.
Firmly entrenched in our culture are values which have successfully guided KPMG and our member firms for many years. Our values reflect an unwavering commitment to acting with the highest standards of integrity, objectivity and due professional care in serving clients and meeting the expectations of the investing public. Our steadfast dedication to quality and integrity is reflected in our Global Code of Conduct, which outlines the standards of ethical conduct KPMG expects of its people and member firms around the world.
Our Code was updated this year to reflect changes in law, regulation and professional ethics, as well as our commitment to act in the public interest as signatories to the World Economic Forum's Responsible Capitalism framework. Our Code clarifies what is expected of our people to make sure we all adhere to our values for the benefit of each other, the KPMG network, clients and the wider communities in which we operate.
Back to top