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Governance

Driving positive change together

Dive into our efforts in enhancing leadership diversity, cutting emissions, and ethical procurement. Discover how financial mechanisms help us achieve a resilient and sustainable future.

Sustainability Linked Loan update

In 2022, Deloitte took an important step by signing a three-year Sustainability Linked Loan (SLL) with the Bank of New Zealand. It was an industry first and a great opportunity to further strengthen our efforts towards equity, inclusion, and achieving our social and environmental goals. The loan required setting ambitious KPIs to support our broader objective; these were primarily in the areas of leadership diversity and emissions reduction.

During FY24 we made significant progress towards our gender diversity goal of having 30% women in partner roles and 37% in leadership positions by 2025. We now have 31% female partners and 39% female leaders.  

Our aspirations for the future align with the Champions for Change target: 40% female, 40% male, and 20% any gender. Succession planning and development strategies are in place, reinforced by regular performance discussions to keep these diversity targets central in leadership meetings.

The loan’s two environmental KPIs align with our WorldClimate strategy. The first aims for a 70% reduction in Scope 1 and 2 emissions by 2025. We have transitioned our tenancy electricity contracts to Ecotricity who provide certified renewable electricity. We are working closely with our landlords to transition our shared spaces electricity to similar types of certification and we are utilizing Renewable Energy Certificates (RECs) to inset the portion of our shared spaces electricity that is yet to be certified as renewable.  

The second KPI relates to our Scope 3 travel emissions goal of reducing our business travel per FTE by 50% by 2025. We achieved our FY24 progress target and share more details about our travel emissions footprint in the Environmental section of this report.

We’re proud to say that we have met the loan commitments for the first and second years of our term, and as we approach our final year, we reflect on the enablement of change and maturity the SLL has provided us. Deloitte’s SLL agreement not only ensures accountability through annual performance reporting to the bank, but it also cultivates an organisational culture rooted in sustainable practices.

By addressing diversity and environmental goals head-on, we demonstrate how financial mechanisms can be leveraged to drive meaningful change, paving the way for a resilient and sustainable future.

Transparency in reporting

Reporting is fundamental to Deloitte’s business. From the assurance services that Deloitte practitioners provide to clients to the research and insights we publish across industries and regions, the importance of reporting is deeply ingrained in our organisation. As a purpose-led organisation, we are thoughtful about the company we keep and are committed to our shared values and responsible business practices.  

Deloitte is dedicated to transparent reporting on our material issues and ESG performance, including through this annual impact report. The progress we make in Aotearoa on our WorldImpact goals, including WorldClimate and WorldClass is also aggregated with data from other Deloitte member firms and reported globally. 

Deloitte Global has a long history of reporting on sustainability performance through the annual release of the Impact Report, Together Makes Progress in accordance with the Global Reporting Initiative (GRI) standards, reporting annually to CDP, and more recently, reporting against the World Economic Forum’s (WEF) Stakeholder Capitalism Metrics.  

In October 2023, we published our second TCFD report (Task Force on Climate-Related Financial Disclosures), which provides a deeper level of reporting and transparency on the potential impacts climate change may have on Deloitte. From FY23, Deloitte’s aggregated environmental data has undergone independent limited assurance. See the Stakeholder Capitalism Metrics reference table and Global Reporting Initiative (GRI) content index here: Performance Metrics and Reporting Frameworks. We received an A rating from CDP for our FY23 response to its climate change questionnaire.

 

Empowering leaders with GenAI

Deloitte has an appreciation of the significance of Generative AI (GenAI) and the need to guide Boards and leadership teams in its adoption. Our thoughtful approach offers global perspectives and practical information to ensure the safe and strategic integration of this transformative technology. 

To lead our efforts, we appointed a GenAI lead, Dr. Amanda J. Williamson, dedicated to helping businesses understand and effectively implement this technology. Key initiatives include the creation of the Generative AI Dossier, providing a comprehensive look at global usage and applications, and conducting an Asia Pacific survey to offer benchmarks for business leaders to compare their progress with regional counterparts. Additionally, we shared Deloitte's Trustworthy AI framework with Boards and leadership teams to promote responsible and ethical AI use.

Our engagement activities have been both thorough and targeted. We organised specific Board education sessions to inform members about the opportunities and safe practices associated with GenAI. These sessions aimed to demystify the technology and highlight its potential benefits beyond common perceptions. Moreover, we hosted several roundtable events for Directors, offering a platform for deeper discussions and collaborative learning on AI-related topics.

A recent highlight was an event centred on AI, which brought together governance leaders from various industries. The event featured interactive discussions among 20 board directors, who shared their experiences with GenAI. These conversations echoed findings from our Generative AI in Asia Pacific report, shedding light on the adoption, challenges, and benefits of Generative AI across the region. The evening underscored the crucial role governance leaders play in addressing increasingly complex AI-related issues and fostering meaningful dialogue.

We remain committed to supporting organisational leaders in realising the potential of GenAI safely and effectively. By continuing these conversations and sharing knowledge, we aim to empower leadership teams to navigate the complexities of AI and harness its transformative power responsibly.

 

Building trust in the financial services sector

The financial services sector is experiencing rapid change, and with this comes fresh challenges related to data, privacy, fraud, and the need to improve transparency and innovation.   

Deloitte supports our clients through an extensive range of FinTech services and solutions, including a report which looks at New Zealand’s FinTech landscape. The 2024 FinTech Pulsecheck is the second report from Deloitte and FinTechNZ; it delves into what’s happening in the industry today, the impact that innovation could have on the level of trust and transparency in the industry, and the current regulatory environment. 

Built from surveys, research and interviews with market participants, the report is designed to support New Zealand’s FinTech industry in navigating the changes and challenges ahead. It draws on the experience and expertise of Deloitte and FinTechNZ. 

Read the 2024 FinTech Pulsecheck here. 

 

Driving meaningful sustainability change together

At Deloitte New Zealand, we are focused on systems-level efforts to drive meaningful action and change for the better. Our ecosystems and connections are a pivotal part of this. We are active members of the Sustainable Business Council (SBC), New Zealand’s partner to the World Business Council for Sustainable Development.

Despite the growing commitment to ESG shown by businesses, the ‘social’ aspect of Environmental, Social and Governance leadership is lagging behind. To support SBC’s Thriving People programme, we collaborated on the 2023 Strengthening the ‘S’ in ESG for Aotearoa businesses report, which sets out the basis for defining social sustainability through the lens of te ao Māori. The report provides practical tools and recommendations and helped identify the role SBC can play in supporting its members to lead positive action. 

Towards the end of 2023, the SBC’s CEO-led Climate Leaders Coalition (CLC) celebrated five years with a snapshot report reflecting on what has been accomplished so far. Deloitte New Zealand is a proud member of CLC. We support its ambition in leading the way on climate adaptation and transition, and creating momentum that influences all businesses to act on climate change.  

Together we can make an impact that matters, and we are proud to be part of the ecosystems that are leading the way in this space.

 

Leveraging the advantages of collaboration

Addressing modern slavery is an issue more complex than any one business could meaningfully respond to alone. At Deloitte New Zealand, we recognise the advantages of collaboration and are working to elevate ethical and sustainable business practices through a unique ecosystem in Aotearoa.  

Co-hosted by Deloitte since October 2020, The Collaborative Advantage is a network that aims to help participants meaningfully prepare for and respond to social and environmental challenges with a collaborative mindset. The goal is to enable greater collaboration and shared learning to drive more sustainable transformation from within the New Zealand business communities on social sustainability topics. 

In this spirit, we have recently welcomed Walk Free, an international human rights group dedicated to eradicating modern slavery in all forms, as a knowledge partner to The Collaborative Advantage. 

Walk Free’s Global Slavery Index is the world’s most comprehensive data set on modern slavery. Their Modern Slavery Business and Investor Toolkit is a collection of resources to help guide organisations in how they address the risk and reality of modern slavery. 

The Collaborative Advantage is open to all New Zealand businesses, and the group currently consists of a variety of organisations of different sizes and from different industries, creating a network with a collaborative and benefit mindset.  

Find out more about The Collaborative Advantage here.

 

Deloitte Directors’ Programme

Deloitte’s Directors’ Programme offers thought leadership, connections, and platforms for board members to meet, discuss current topics, and exchange ideas across different industries and organisations.

The programme is made up of a series of events, initiatives, and engagements designed to foster connections and knowledge exchange. 

Of particular note are our quarterly Directors’ Dinners, where board members can come together to discuss current topics and listen to guest speakers. Recent topics have included cyber security, generative artificial intelligence, workforce transformation and digital infrastructure. 

We also host an online Directors’ Hub where directors can access current developments, Deloitte perspectives and events. The latest reports and thought leadership pieces from Deloitte, covering local and global topics, are shared in our quarterly newsletter which is curated specifically for our audience of board directors. 

With boards facing the challenges of a rapidly evolving business landscape, Deloitte New Zealand is here to help. These programmes and platforms help Deloitte foster deeper engagements with governance leaders while supporting the exchange of ideas and knowledge across Aotearoa’s industries and organisations.

 

Corruption risk in an ever-evolving world

Collaborating with our peers at Deloitte Australia, we launched the annual Australia and New Zealand Bribery and Corruption Survey in September 2023. Led by the Deloitte Forensics team, the survey shows us how businesses are staying on top of the growing risks in today's fast-changing world. It presents honest views from leaders across various sectors and reveals an unexpected drop in reported corruption cases. This key finding raises questions about how companies detect and handle corruption, shining a light on what we might still be missing in the fight against dishonest practices. 

You can read the full report here.

 

Our journey towards sustainable procurement

At Deloitte, we strive to support positive human, economic, social, and natural capital. One way we contribute is through procurement, ensuring our suppliers are committed to creating a more inclusive and equitable society.

Deloitte New Zealand works with over 600 direct suppliers in categories like travel, real estate, HR, technology, and business services. Seventy-five percent of our supplier spend is with just 50 suppliers, most of whom are based in New Zealand. For some categories, such as software, we leverage Deloitte’s global procurement while focusing on building local relationships.

Several of our WorldClimate goals directly involve our suppliers and their progress on sustainable outcomes. Our Supplier Code of Conduct includes aspirational targets to protect Te Taiao, our natural world, and its people. By the end of FY25, we aim for two-thirds of our suppliers (by emissions) to set science-based targets validated by the Science-based Targets initiative (SBTi). In FY24, we reached out to key suppliers to share our goals and understand their emissions reduction efforts. By the end of FY24, eighteen suppliers had set targets with SBTi, and another six had committed to doing so.

Over the past year, we've strengthened sustainability criteria in RFPs for large tenders and delivered sustainable procurement training to key staff. This training covered human rights and modern slavery risks in supply chains, offering practical steps for our people.

We embrace Te Tiriti o Waitangi principles, respecting Te Ao Māori in our operations. We collaborated with Ngāti Whātua Ōrākei to incorporate cultural designs into our new build in Tāmaki Makaurau. Our opening celebrations featured artists who explained the cultural design significance, honouring Tāmaki Makaurau iwi and mana whenua, reflecting our values of mahitahi.

CXO Vantage programmes

Deloitte's CXO Vantage programmes are designed to inspire and empower current and aspiring C-suite executives and board members. 

By sharing our expertise, we help participants build strong leadership and communication skills, boosting their ability to exercise leadership and influence stakeholders. The programmes provide valuable insights into best practices and offer networking opportunities with leaders from various industries and sectors.

Delivered by Deloitte leaders, there are three Vantage programmes targeted at C-suite groups: Chief People Officers (CPO), Chief Financial Officers (CFO) and Chief Information Officers (CIO).

This programme is designed for emerging People and Culture leaders who are poised to become CPOs. Delivered over the course of three months, CPO Vantage inspires and connects People Executives and positions them to navigate a changing world successfully. Topics include the four faces of the CPO, essential future capabilities and the art of building a People strategy.

Candidates for the CFO Vantage programme are senior finance professionals who the CFO believes could be ready to be elevated to the role of a CFO within the next two to five years. Conducted over three workshops, aspiring CFOs sharpen their skills through interactive workshops centred on leadership, influence, and competence – the three pillars of CFO success. Together, they dive into the complexities and challenges of the CFO role, master impactful communication, and explore the future of finance.

The CIO Vantage programme is a series of bespoke workshops held over four months. Seasoned guest speakers help to equip aspiring CIOs to tackle diverse challenges, accelerating both their careers and organisational capabilities. Together, participants explore the evolving role of the CIO, master impactful leadership, explore transformative ways of working, and learn how to establish themselves as a leader in the field.

Our CXO Vantage programmes allow us to strengthen current, and form new, relationships while sharing market insights, knowledge, and skill development. Our leaders bring first-hand experience to participants in a fun and fresh way. If you’re interested in our Vantage programmes, get in touch.