Recent events required KPMG South Africa to make fundamental changes to how it runs its business. As part of this process, we committed to start reporting publicly.
I am pleased to present the KPMG South Africa Baseline Report 2018, which provides a transparent overview of the journey we have been on, the actions we have taken and our next steps.
As a firm, we made some serious mistakes and errors in judgement. We have undertaken significant changes since September last year, but we know that rebuilding the trust of our stakeholders, and the country, will take a commitment to doing what is right on a continuous and consistent basis. We want to build a firm that balances commercial success against what is right for our clients and society in the long term.
We are not making superficial changes. While we are keeping what established KPMG South Africa as a successful firm, we are introducing a wide range of bold reforms that are creating a significantly different and renewed firm. I am confident these are the right steps to take. Now, we need time for these to be fully embedded in the business.
It is important to highlight that we are, and will continue to be, a business of scale. Over recent months we have had regrettable staff and client losses, but the large majority of our clients have stayed with us. Similarly, although there has been increased levels of staff attrition, many colleagues have made the conscious decision to stay with KPMG South Africa because they want to play an active part in the future of the firm, and to serve the wider business community.
This report represents the start of an ongoing honest conversation with our stakeholders and South Africa, and we will publish a full report at the end of the year. We have a clear vision of the type of business we want the renewed KPMG South Africa to be, but we also recognise that the rebuilding process will take time. By publicly reporting our progress, every year, we hope to gain confidence that we are accountable and on track.
I am optimistic about our future and I am grateful to all my colleagues, our clients and stakeholders for their continued support.
Nhlamulo (Nhlamu) Dlomu
Chief Executive Officer
KPMG South Africa