As a follow-up to our 2009 report, Risk Intelligent governance: A practical guide for boards, we’ve taken a fresh a look at helping board members achieve Risk Intelligent governance. To that end, this paper provides real-world examples and case studies compiled in our work with boards that employ state-of-the-art practices.
These practices focus on six key areas: defining the board’s risk oversight role, fostering a risk intelligent culture, approving the risk appetite, helping management incorporate risk intelligence into strategy, assessing the maturity of the risk governance process and making sure the organization discloses the risk story to stakeholders.
We offer this paper to directors as food for thought and a catalyst for focused action, with the caveat that Risk Intelligent governance is not a one-size-fits-all approach to be adopted by every organization or within each industry.
Global corporate tax and withholding tax rates
Global tax rates 2014 provides corporate income tax, historic corporate income tax and domestic withholding tax rates for more than 150 countries.
Mapping Out Health Care Reform: Activity in the States
How many individuals have selected a plan on the health insurance exchanges? What decisions are states making around Medicaid expansion? How many medical insurance carriers are competing in states’ individual markets in 2014? Check out these maps to find out.
The Value Killers Revisited
The last two decades have seen a number of events driving major value losses in individual companies, and collectively in the global economy.
Since Deloitte LLP’s first value killers study in 2005, risk management has grown in importance to corporations worldwide. We find boards, management, and regulators paying increasing attention to risk management and governance. New disclosure requirements seek to help shareholders become more aware of company-specific risks. Yet, many companies experience significant value losses in a short period of time.
“The value killers revisited” reexamines the 2005 study, in which we assessed the drivers of 20 percent or greater value losses in a company within a one-month period relative to a broad market index. Following up on our prior research, this latest study examines the drivers of major value losses from 2003 through 2012. The losses, while distinct, were often driven by similar underlying risks.
European tax survey: The benefits of stability
How are challenging internal and external environments affecting heads of tax? What keeps heads of tax awake at night? Which jurisdictions are perceived as the most challenging and where in Europe does it seem it is becoming easier to do business? Nearly 1000 companies were surveyed.
TMT Predictions 2014
TMT Predictions’ objective is to identify critical inflection points we believe should inform industry strategic thinking, and to explain how we think these will manifest over the next 12-18 months for companies in Technology, Media, Telecommunications (TMT), and other industries.
Despite tough economic conditions, revenues for the world’s 250 largest retailers reached $4.3 trillion* in the last fiscal year (June 2012 through June 2013). The average size of the top 250 retailers exceeded $17 billion according to the 2014 Global Powers of Retailing report from Deloitte Touche Tohmatsu Limited (DTTL), in conjunction with STORES Media. For the first time ever, the report also includes a list of the world’s top 50 e-retailers** and found that more than three-quarters of them (39 companies) are part of the top 250 retailers globally.
The 2014 boardroom agenda (PDF)
What can be expected as the 2014 proxy season gets underway? Are there new or emerging hot topics that boards should be focused on? This month’s Hot Topics article will highlight issues that may appear on boardroom agendas in 2014.
Employers will be challenged to attract, retain and develop people in 2014. Organizations will need bold, innovative talent and human resources strategies to compete for skills amidst a global economy recovery. As retention concerns mount, organizations will focus on building a passionate, highly-engaged workforce.
We will expand on these challenges and more in Predictions for 2014: Building a Strong Talent Pipeline for the Global Economic Recovery. Available now to Bersin WhatWorks® members and on a complimentary basis to non-members, this annual report provides a preview of business, training and talent management developments in 2014.
2014 Global life sciences sector outlook
Despite increased regulation, pricing pressures and the effects of health care reform in many countries, the global life sciences sector is exhibiting resilience and reinvention as it employs new research and development (R&D) and business models to cost-effectively deliver innovation, value, and improved patient outcomes.
The report outlines the top issues facing global life sciences stakeholders, provides a snapshot of activity in a number of geographic markets, and suggests considerations for companies as they seek to grow revenue and market share in 2014 and beyond.
In today’s digital world, the response to a data breach is both critical and complex. The response is critical because sensitive information, such as intellectual property, product specification and manufacturing techniques, or Personally Identifiable Information (PII), may be exposed or released. Likewise, the response is complex because it can affect the specific needs of multiple stakeholders in your organization. These stakeholders, such as business operations, IT, the Office of General Counsel and Human Resources can all have a stake in the incident response. Thus, a proper incident response program should implement a multi-faceted approach with unified coordination.
Audit Committee Resource Guide
As the business, economic, and regulatory environments become more complex, much more is being asked of audit committees. This trend heightens the importance of staying current with changes in audit committees’ responsibilities.
Whether you are a seasoned or new audit committee member, there are many considerations to keep in mind. To help you understand what is expected of audit committee members, and what you can expect from serving on the committee, the Audit Committee Resource Guide presents an overview of the requirements for U.S. public companies.
A Corporate Governance Breakdown: Exposing companies to greater risk of fraud and corruption
Internal auditors play a vital role in reducing the risk of fraud, corruption and other corporate wrongdoing. Yet, according to Deloitte’s new analysis of member survey data from The Institute of Internal Auditors (“IIA”), 62 percent or more of internal audit (“IA”) functions at public companies globally do not comply with all of the IIA’s International Standards for the Professional Practice of Internal Auditing. The situation is surprisingly similar at private companies, governmental and nonprofit entities.
Many boards and audit committee members, and investors, may be unaware of noncompliance with IIA Standards by their internal audit function. This noncompliance may pose significant risks for company leadership, which should seek to adopt appropriate internal audit programs consistent with leading industry practices and standards.
Forthcoming changes to the insurance market landscape in 2014 and 2015 will bring many employers to a crossroad. As health care reform unfolds, markets evolve, and costs continue to rise, employers will need to make important strategic decisions to actively manage their costs and figure out how best to respond to insurance-related provisions of the Affordable Care Act (ACA or the Act).
Deloitte’s 2013 survey of U.S. employers (50+ workers) offering health benefits shows their concern and uncertainty about ACA preparedness, health care system performance, cost-reduction strategies, and the quest to find value. Among key findings:
- U.S. health care system performance — Seeking better value and health outcomes for their investment, many employers are dissatisfied with the performance of the health care system, considering it to be costly, wasteful, underperforming, and lacking in transparency.
- Affordable Care Act — Although familiar with many of the ACA’s insurance elements, three years into implementation and facing decisions around insurance exchanges and the employer mandate, the Act remains largely a mystery to many employers.
- Employer strategies and tactics — Employee cost-sharing tactics are in place but there is a gap between what employers are currently using and tactics they think could have high impact in managing costs.
Many employers are sitting on the fence with respect to any radical changes in their employee health care coverage strategy. To date, most are adopting a “wait and see” position on health insurance exchanges. Some are taking steps to help employees lower their health risks and manage their consumption of health care but could do more. Few appear to be evaluating any return on investment of wellness programs or undertaking claims analyses to drive insights and decision-making.
New strategies are likely to emerge as employers weigh their options and as the implementation of the ACA impacts their thinking. What is clear is that “doing nothing” is not an option.
Survival of the fastest: TV’s evolution in a connected world
Television is characterized by constancy and change. It delivers consistently high quality entertainment and information to hundreds of millions of homes in Europe against a background of unrelenting change. Consumer behaviors, business models, underlying technologies and the needs of adjacent sectors such as telecommunications evolve untiringly.
Hospital Consolidation: Analysis of Acute Sector M&A Activity
Consolidation in the acute sector is accelerating as hospitals seek sustainability amid increasing stress from margin pressures, regulatory compliance costs, public transparency responsibilities, operational integration in value-based delivery systems, payment reforms, and clinical improvements based on new diagnostic and therapeutic models.
How well do acquired hospitals perform financially post-merger? Do hospitals acquired by national chains outperform local/regional “in market” acquisitions? How does the performance of acquired hospitals compare to a peer group (same size) and acute hospitals?
The Deloitte Center for Health Solutions analyzed 101 hospital transactions in 2007-2008, using three measures to analyze the performance of the acquired hospital pre-merger and up to three years post-merger. The study reveals:
- The financial performance for acquired hospitals improved, but did not achieve peer group medians.
- The financial performance of hospitals acquired by national chains outperformed local/regional acquisitions as a result of lower operating costs and increased volume comparatively.
The 2014 Essential Tax and Wealth Planning Guide: A year-round resource to focus on managing uncertainty
Wealth planning in a time of uncertainty may feel as solitary as standing on a mountain ridge at sunrise, camera in hand, waiting for ideal conditions to capture that once-in-a-lifetime shot. But there are tools that can help. Just as a landscape photographer relies on a tripod, various filters, and knowledge of aperture and shutter speed, you can navigate the tax planning process by relying on your trusted tax advisor to stay informed on the latest tax law changes, relevant planning opportunities that address your current tax situation, and financial and tax risks that may lie ahead.
The 2014 Essential Tax and Wealth Planning Guide discusses opportunities available through the final few months of 2013, and the planning environment beyond as policymakers continue a tax reform debate that could fundamentally change how individual taxpayers compute their taxes.
Now in its 26th year, the guide features insight into how potential changes could impact your tax and wealth plans with an eye toward the possibility of further increasing rates — particularly for wealthy individuals and their estates. In this publication, we will help you analyze your personal circumstances and identify underlying realities as you plan in the context of today’s environment.
Global Human Capital Trends 2013
Five years after the onset of the Great Recession, companies are beginning to reset their horizons. For the last several years, human capital decisions have been largely shaped by that recession and its aftermath of weak economic growth. While the global economy continues to lurch forward, the Deloitte Global Human Capital Trends 2013 report finds companies pivoting from the recession to the new horizons of 2020.