Pwc Global Recast To Aid Local Arm

PricewaterhouseCoopers has announced plans to restructure its businesses into two or more separate operating units.

Reacting to the global development, Roopen Roy, executive director and management and consulting services' (MCS) head, said the restructuring will enable MCS to seek financial partners, strategic alliances and joint ventures.

"In future, it will be able to access capital markets which is now prohibited by independent requirements," he said.

The conceptual framework for the recast has been approved by the organisation's global board and the goal is to have new operational structures in place in key markets during the second half of the year.

 

"Our restructuring plan is a bold response to the market and regulatory environments which have changed dramatically over the past few years," said PricewaterhouseCoopers CEO, James J Schiro.

Under the proposed plan, the organisation's audit and business advisory services along with its tax practice will remain as PricewaterhouseCoopers. Its management consulting, business process outsourcing, human resource consulting practices, and certain corporate finance activities will be developed into one or more separate businesses.

Roy also said that this is the right plan at the right time. PwC, in line with global restructuring, will also look into incubating various Internet projects.

Earlier, the Securities and Exchange Commission (SEC) of the US had rapped PwC and other Big Five members on the independence issue and had given stringent regulatory norms to address the issue of independence. The current restructuring will take care of regulatory compliance and PwC's business interests.

Last November, PwC said it was undertaking a review of its organisation and that the status quo would not be an option.