Normally the happenings at Big 4 firms in the Middle East wouldn’t rate a mention here other than a link or two stuffed into Footnotes on a slow week but this particular happening might be a sign of things to come at KPMGs closer to home. The happening:
Partners at KPMG Saudi Levant and KPMG Lower Gulf have voted overwhelmingly in favor of a proposed integration of their businesses. The integration will result in the establishment of a new limited liability partnership and, once implemented and necessary regulatory approvals obtained, will see a collective KPMG business comprising over 5,000 employees operating across Saudi Arabia, Jordan, Lebanon, Iraq, the United Arab Emirates and Oman.
OK, whatever. But then there’s this bit:
The proposed integration is consistent with KPMG’s Global Collective Strategy, which includes the clustering of member firms across the network. Greater integration brings a number of benefits to clients, people and the communities in which KPMG operates. Importantly, it underpins KPMG’s commitment to greater consistency and quality albeit continuing to service clients through separate legal entities that have operated in the respective markets.
In May, KPMG UK and KPMG Switzerland announced they were hooking up to form a $4.4 billion firm. So that’s two KPMG hookups in twice as many months.
To rehash what KPMG UK CEO Jon Holt said at the time of the UK/Swiss nuptials: “This marks a historic moment for both firms. We will be stronger as one combined firm and together we will have the scale to significantly enhance our ability to deliver great outcomes for our clients both internationally and within our domestic markets. Merging brings huge benefits for our clients, our people, and our partnership and means we can now grow faster, be more profitable and invest together to create new services in a sustainable way.”
Financial Times had spilled the beans about the UK/Switzerland mashup some months before it was voted on and “overwhelmingly” endorsed by the two firms’ partners. In their December 2023 piece, they said KPMG executives were hoping to “boost growth and profits at the smallest of accounting’s Big Four.”
And Jon Holt said in a statement to FT: “Bringing together our two firms would give us more collective power to invest, build new services for our clients and provide our people with significant global career opportunities. Together, we would grow faster, be more profitable and do so in a sustainable way.”
Is this KPMG’s big picture global plan?
