BrazilEY to integrate Asia Pacific and Japan operations in coming year
Global Big Four accounting and consulting firm Ernst & Young will next year integrate its Asia Pacific and Japan operations, with Patrick Winter to lead the expanded region.
As a reflection of the evermore globalised nature of business, the Big Four accounting and consulting giant Ernst & Young has announced that it will integrate its Asia Pacific and Japanese geographic regions from the middle of next year, a move mirroring rival Big Four firm Deloitte’s recent Asia Pacific merger. Current EY Asia-Pacific Area Managing Partner Patrick Winter, who only recently took over the top position, will now head up the new combined region as of the 1st of July 2019.
Currently the global firm’s hottest growth market with a five year annual compound growth rate of 10.2%, EY’s Asia Pacific operations contributed some $4.1 billion of the firm’s record $34.8 billion in revenues for its past financial reporting year. With the addition of Japan (which together with Korea contributes and estimated 44% of the Asia Pacific’s overall $50 billion management consulting market), that revenue figure pushes out to $5.3 billion.
In total, the new geographic region will comprise of activities in 23 countries – home to an EY headcount of more than 51,500 including 2,800 Partners – and is according to the firm a response to the increasing inter-Asia regional trade opportunities for organisations across the Asia-Pacific, with the integration intended to enhance co-operation between EY’s Asia-Pacific entities while providing greater global connectivity for EY Japan’s global clients.
“In recent years, the countries of the Asia-Pacific region have become Japan’s biggest trading partners and many EY Japan clients view the region as a strategically important market with significant economic growth potential,” said EY Japan Area Managing Partner Scott Halliday. “The integration will strengthen the EY Japan position in Asia-Pacific and help enable EY Japan to cooperate more closely with not only the EY Asia- Pacific geographic area as whole, but also EY member firms’ offices globally.”
According to the firm, EY Japan, which through its origins dates back to 1967 and now employs over 7,800 professionals active in 17 local cities including its Tokyo headquarters, will maintain its current legal entities in Assurance, Advisory, Transaction, and Tax service lines – with the firm stating that the integration will strengthen its regional credentials in key sectors such as financial services, technology, energy, consumer products, automotive and healthcare.
“EY is a highly connected professional services organisation and the integration of EY Asia-Pacific and EY Japan geographic areas represents a step-change in how EY teams will provide services to EY clients in Asia-Pacific,” Winter said of the integration. “This move will help EY professionals bring new solutions to clients faster, assemble broader and more experienced teams, continue to lead on audit quality through connected teams of over 80,000 auditors across the globe and invest in EY services to benefit EY clients on a broader scale.”
