· China, Hong Kong and Singapore firms. With the recent addition of PwC Taiwan to our group, this report now covers the PwC China, Hong Kong, Taiwan and Singapore firms. In line

Creating shared value

www.pwc.com

The 2011 PwC China, Hong Kong, Singapore and Taiwan Corporate Responsibility report

Corporate Responsibility Report 2011 1

Governments, businesses and individuals all have a role to play in making sure we function in a sustainable way. The way to achieve this is by creating shared value. We put corporate responsibility (CR) at the heart of our business and strive to do even more every year.

This is our third annual publication focusing on PwC’s CR efforts. The previous two reports covered the PwC China, Hong Kong and Singapore firms. With the recent addition of PwC Taiwan to our group, this report now covers the PwC China, Hong Kong, Taiwan and Singapore firms. In line with PwC’s internal reporting procedures, this report covers the Financial Year 2011 (1 July 2010 – 30 June 2011).

During this reporting period, PwC made significant progress in our CR programmes across our four CR focus areas. Our community and environment programmes have expanded. We engaged many of our people in community volunteering for education and the environment, while also continually raising awareness of responsible behaviour towards our environment and our local communities.

PwC continues to measure its carbon footprint. This allows us to better understand our impact on the environment and how we can make significant reductions.

As part of our CR reporting process, we held significant dialogues with key Stakeholders, including representatives of our staff and partners, clients, suppliers and non- government organisations (NGOs). The results from these dialogues helped shape the content of this report, ensuring we produce a relevant document that accurately addresses our Stakeholders’ key priorities and issues.

This report addresses how PwC operates in the marketplace, treats its people, protects the environment and supports the community.

I am very grateful to all our Stakeholders who have contributed to this report and look forward to your feedback. I hope you will find it an enjoyable and informative read.

Message from the Chairman

Silas Yang PwC CaTSH Executive Chairman


PwC firms help organisations and individuals create the value they’re looking for. We’re a network of firms in 158 countries with close to 169,000 people who are committed to delivering quality in assurance, tax and advisory services.

Our business is divided into three lines of service, Assurance, Tax and Advisory, plus Internal Firm Services.

Within this network, PwC China, PwC Hong Kong, PwC Taiwan and PwC Singapore work together on a collaborative basis, subject to local applicable laws. Collectively, we have a strength of 14,358 people with 583 partners and 13,775 staff. We are able to serve a broad range of clients from large, publicly-listed multinationals and small, private, domestic companies.

PwC China, PwC Hong Kong, PwC Singapore and PwC Taiwan are made up of a number of separate legal entities, subsidiaries and joint ventures, all of which have been taken into consideration and are together referred to as PwC CaTSH in this report. Our combined revenues for Financial Year 2011 were US$ 1,388 million.

There have been no major changes to the structure of PwC during this reporting period.

Our major regional locations are in Beijing, Hong Kong, Shanghai, Singapore and Taipei.

PwC China

7,007Partners & Staff

PwC Singapore

1,923 Partners & Staff

PwC Taiwan


2010 Green Procurement AwardTaipei Municipal Environmental Protection Bureau

We have

583partners

13,775staff

Top accounting firm in China for 8 yearsRanked by The Chinese Institute of Certified Public Accountants (CICPA)

PwC Hong Kong


Most popular employerPwC Singapore was ranked as the most popular among professional services firms in Singapore at the Top 100 Leading Graduate Employers event

Caring Company Award Hong Kong Council of Social Services 2010-2011

About PwC – China, Hong Kong, Singapore and Taiwan

Beijing 2,768 Shanghai 2,611

Chongqing 109 Suzhou 67

Chungli 46 Shenzhen 454

Dalian 94 Taichung 104

Guangzhou 504 Tianjin 161

Hsinchu 128 Tainan 74

Kaohsiung 69 Taipei 1,860

Nanjing 2 Xian 76

Ningbo 18 Xiamen 25

Qingdao 118 Macau 54

Partners

Board of Partners

Executive Board

Territory Management Boards

Service Lines Support Functions

See Appendix 1 for information about each role.

2 Corporate Responsibility Report 2011

Corporate Responsibility Report 2011 5 4 Corporate Responsibility Report 2011

Our corporate responsibility performanceThis table represents our progress against priorities we identified for 2011 and defines our key priorities moving forward.

CR KPIs for FY2011

Quadrant KPI Unit FY2011

Marketplace

Compliance Completion of annual compliance confirmation % 100

People

Workforce Partners No. of Partners 583

Staff No. of Staff 13,775

Diversity & Inclusion Female partners % Female partners 29

Gender ratio of newly admitted partners % Female partners 36

Employee satisfaction “I would recommend PwC as a great place to work” % favourable 49

“I am proud to work at PwC” % favourable 60

Learning & Development Hours in training time for staff & partners through Learning and Development

Hours 1,570,068

Average number of training hours per person Hours 109

Environment

Energy consumption Indirect energy consumption kiloWatthours 19,874,047^

Air travel Total distance travelled km 143,675,706^

Purchased paper Total purchased paper tonnes 728^

People perception “I am satisfied that PwC is responding appropriately to address the impact of our business activities on the environment”

% favourable 64

Community

Giving Charitable donations by staff and partners US$ 337,655

Charitable donations from PwC US$ 650,730

Volunteering Participation in volunteering events No. of staff & partners 2,528

Time spent by partners and staff in volunteering events Hours 14,000

People perception “I am satisfied with the actions PwC is taking to be socially responsible”

% favourable 74

Quadrant FY 2011 Priorities FY 2011 Update FY 2012 Key Priorities

Marketplace Develop a framework for robust, transparent public reporting on our CR programme

ONGOING

Reporting in line with GRI G3.1 guidelines

• Continue to improve CR reporting standards

• Continue to link relevant UN Global Compact principles to our CR and business strategy

• Showcase examples where PwC is active on thought leadership and debate in broad CR issues locally and globally

People Integrate CR themes into graduate recruitment and talent management programmes

ONGOING

Links to community and environment programmes were made during graduate recruitment and on-boarding process

• Identify and implement CR related opportunities for talent management and responsible leadership programmes

• Support the expansion of well-being initiatives within PwC

• Integrate deeper CR themes into the Graduate Recruitment process

Environment Measure our carbon footprint for FY 2011

ACHIEVED • Driving carbon reductions by enhancing the understanding of environmental issues and implementing possible carbon reduction initiatives

• Raising awareness and encouraging actions through people’s engagement in green initiatives

• Identify and develop opportunities to engage the student community in environmental initiatives to encourage more green action

Encourage people to be environmentally aware

ONGOING

A number of interactive awareness raising campaigns carried out

Continue to engage communities in green initiatives

ONGOING

Environmental messages embedded into community programmes

Community Expand on existing volunteer programme

ACHIEVED

The number of volunteers participating in our programmes grew to 2,500 in FY 2011

• Increase our volunteer participation rate to 20%

• Launch a formal skilled volunteering programme for our staff and partners

• Continue to provide support (including professional services) to our charity partners to better impact their own target groupsPilot skilled

volunteering projects to give our people the opportunity to use their skills while volunteering for charities

ACHIEVED

Two programmes were piloted in partnership with Talent Management

Continue to support charity partners to better impact their own target groups

ONGOING

Increased funding amounts to key charity partners and offered more volunteer and professional support

(^) Please refer to page 31


Corporate Responsibility Governance

PwC member firms operate locally in countries around the world. But by working together, member firms also comprise a vigorous global network. This structure provides PwC firms with the flexibility to operate simultaneously as the most local and the most global of businesses. Corporate responsibility (CR) at PwC is similarly governed at global and local levels. It runs right to the top of local and network leadership. Responsibility for local CR rests with the Territory Senior Partner in each territory and at a global level, CR is led by the Global Corporate Responsibility Board (GCRB). The GCRB is chaired by Moira Elms, member of PwC’s Network Executive Team.

The PwC Network

PwC CaTSH

The GCRB membership includes CR function leaders from our largest PwC member firms, regional CR leaders and sustainability subject matter experts from our Assurance and Advisory practices. In keeping with best practice, an external independent advisor also sits on the GCRB.

The GCRB meets quarterly. Its role is to provide governance, oversight, input and direction to the global PwC CR strategy in alignment with PwC’s overall business strategy and to provide a forum for CR alignment across our network.

The Corporate Responsibility CommitteeThe Corporate Responsibility Committee oversees our overall CR strategy and meets regularly to provide guidance on implementing CR policies. It also reviews the progress of CR including the PwC Foundation and the Environmental Sustainability Steering Group. The CR Committee reports periodically to the Territory Management and Executive Boards.

PwC FoundationThe PwC Foundation is governed by eight partners across PwC CaTSH. These PwC Foundation Trustees meet regularly to oversee the Foundation’s strategy, progress and use of funds. The Trustees report to the CR Committee.

Environmental Sustainability Steering GroupThe Environmental Sustainability Steering Group reports to the CR Committee. It’s responsible for developing and implementing programmes and initiatives aimed at reducing our operational carbon footprint and creating an environmentally conscious working culture.


Successful organisations are those which fully integrate CR into their business strategy and operations, treating it as a serious channel for creating and delivering value. PwC’s management is committed to working across our teams to continuously push the boundaries of what CR means to us, so we can keep creating value and building our brand as a responsible organization.

Joanne Oswin PwC CaTSH Operations Leader, CR Committee Co-Chair

Approaching corporate responsibility the PwC way

At PwC, we use a "four quadrant" model to take a broad view of what it means to be a responsible corporate citizen and help embed behaviours associated with CR across our entire organisation.

In each of these quadrants, our CR efforts are linked to the goal of creating a distinct PwC Experience through our actions and behaviours, enabling us to do the right thing for our clients, people and communities. By promoting trust in the capital markets, developing our people as responsible leaders, positively impacting the communities in which we operate, and lessening our impact on the natural environment, we demonstrate the social relevance of our business and set ourselves apart as a truly distinctive organisation.

About our report

This report adheres to Global Reporting Initiative (GRI G3.1) reporting principles, and AA1000 principles for our stakeholder engagement process. We believe this report to be GRI G3.1 level C.

In order to determine a Greenhouse Gas (GHG) inventory that is accurate and complete, we adopted the Greenhouse Gas Protocol, for the preparation of our GHG inventory. In order to ensure that the GHG data we present is reliable, the data has been reviewed by an independent internal assurance team – please refer to page 31 for further details.

Our two previous CR publications covered calendar years 2008 and 2009 respectively. This report covers the Financial Year 2011 (1 July 2010 – 30 June 2011).

There are no restatements to issue concerning our previous reports.


MarketplaceContributing to the debate on corporate responsibility and promoting sustainable practices and good governance

EnvironmentBecoming an environmentally responsible organisation that inspires its people, clients and business partners to engage in sustainable business practices, and drives positive change in the community

Approaching corporate responsibility the PwC way

CommunityHarnessing the skills, goodwill and compassion of our people to support our charity partners and positively impact society

PeopleCreating a workplace environment in which our people are well supported and encouraged to develop to their fullest potential and perform their best

PwC ExperienceThe PwC Experience is our commitment to make PwC distinctive through consistent behaviours that enable the success of our clients and people. This means that... Our clients feel as if PwC

understands and cares about them, will deliver results to them, and can contribute to their success. They seek us out, want to be associated with the PwC brand, and ask us to be involved in an expanding number of projects.

Our people see PwC as a great place to work — one that offers them unparalleled opportunities for development. They believe that our culture is strong, healthy, and geared toward high performance and innovation, and that their ideas are welcomed and their contributions are valued.

Our firm is widely recognised as the profession's leader. Our Stakeholders see PwC as the firm that sets the professional standard, and on matters of public policy our opinions are sought and highly regarded.

Value

Robust dialogue

Trust based relationships

Ownership and

accountability

We are focused on enhancing the value

of our people

We put ourselves in each

others’shoes

We share andcollaborate

We invest in teams and

relationships

We invest in client relationships

We share andcollaborate

We put ourselves in our

clients’shoes

We are focused on client value


Defining our corporate responsibility agenda

Listening to, and engaging our Stakeholders about what it means for PwC to be a responsible corporate citizen, helps us do the right thing by our people, clients and our communities.

An open dialogue helps build trust-based and transparent relationships, and that is what we at PwC highly value – this is our PwC Experience.

We defined our most important internal and external stakeholder groups and engaged them through interactive dialogue sessions, written questionnaires and one-to-one feedback sessions. In addition, we looked at our internal employee satisfaction survey results for further insight into how our employees view our corporate responsibility efforts.

Our main objectives for initiating a dialogue with our Stakeholders were:

• to improve our understanding of what our Stakeholders would like PwC to do in the area of CR,

• to gather comments and feedback to help us review our CR strategy,

• to encourage an open, honest and constructive discussion, and

• to determine the issues our Stakeholders most want to read about in this report.

When defining our approach and methodology for the Stakeholder engagement process, we followed AA1000 Accountability Principles of Inclusivity, Materiality and Responsiveness. For defining the report content we followed the GRI G3.1 Reporting Principles for Defining Content – Materiality, Stakeholder Inclusiveness, Sustainability Context, and Completeness**.

We would like to extend our appreciation to our partners and employees, our clients and our business partners, and other groups and individuals who have contributed to the dialogue. Your input was invaluable. We hope you enjoy reading the report, which has taken your feedback and comments into consideration, in addressing our plans for the future.

We find the two standards complementary and by applying both we have been able to gain a better understanding of our Stakeholder’s expectations, adding value to our CR agenda.

** Global Reporting Initiative http://www.globalreporting.org/ReportingFramework/G31Guidelines/

Our Stakeholders

PEOPLE

CLI

ENTS

NG

Os

VENDORS & SUPPLIERS

BU

SIN

ES

S &

IND

US

TRY

OR

GA

NIS

ATIO

NS

MED

IA

PwCG

lobal People S

urveyP

ulse surveyInternal corporate intranet (rise)

Client feedback survey

Brand health index

Regular meetings

Charity events

Volunteering

Feed

bac

k &

deb

riefin

g m

eetin

gs

Active involvement in working

groups and committees

Training and workshops for

journalists on business hot topics

Press conferences

Media luncheons and roundtables

How we engaged with Stakeholders

Key areas of interest

Based on the outcomes of the dialogue, we have developed a materiality index, using the top three issues identified by each group of Stakeholders. The ‘importance of issues to external Stakeholders’ is based on the stakeholder dialogue analysis, and the ‘materiality of issues to business’ is based on internal Stakeholders’ feedback. This has been additionally verified by the CR Committee and PwC’s senior management.

Our stakeholder dialogue in 2011 was the first one conducted to this scale. Next year we plan to involve more Stakeholders - especially governmental agencies - in discussions around the further development of our CR agenda and the way in which we report on this. We are committed to sharing more information and continuing a constructive dialogue on a regular basis with our Stakeholders.

Listening to our Stakeholders

• 149 representatives gave us their feedback

• 83 attended group dialogue sessions

• 66 participated by telephone or by submitting a completed questionnaire

Materiality of issues to business

Imp

orta

nce

of

issu

es t

o ex

tern

al s

take

hold

ers

Environmental strategy Carbon footprint

Paper consumption

Recycling

Community investment

Employee volunteering

Pro bono services

Employee security & wellbeing

Talent attraction & retention

Training & development

Inclusion & diversity

Behavioural change - PwC Experience

People engagement in CR activities

Maintaining exceptionalethicalstandards

Data security

Anti-corruption, anti - bribery measures

CR strategy & targets

Client satisfaction

Water use

• Academia and researchers

• Business and industry organisations

• Clients

• Governmental agencies

• Graduates

• Industry peers

• Media

• NGOs

• People (staff and partners)

• Vendors and suppliers


Marketplace Strategy

PwC is committed to responsible business practices, contributing to the debate on CR and promoting sustainable practices and good governance.

• Engage in the public agenda on a sustainable economy

• Provide sustainability solutions for our clients

• Encourage a sense of CR amongst the business community

STAKEHOLDERS ISSUES

Our Stakeholders identified the following key marketplace issues

• Maintaining exceptional ethical standards

• Anti-corruption and anti-bribery measures

• Data security

• CR strategy and targets

• Client and supplier satisfaction

Our future is dependent on the speed at which we are able to adapt to socio-economic changes caused by the world’s rapid development. We need to invest in business approaches which create shared value for society by enabling the economy to thrive and to bring positive change to the environment. PwC wants to play an active part in facilitating this process.

Ernest Ip China & Hong Kong Territory Senior Partner

Marketplace

At PwC, being a good corporate citizen means being responsible in everything we do in the marketplace. This includes the key issues that our Stakeholders have highlighted such as maintaining exceptional ethical standards, having sufficient anti-corruption and anti-bribery measures in place to meet client expectations and regulatory requirements, and ensuring that we handle data in a secure way. We ensure that our relationships with our

Stakeholders in the marketplace give them the value they are looking for. Having a strong CR strategy, including related targets, which we hold ourselves accountable to, is an important part of this.

Without our strategy and its targets, we wouldn’t be able to grow and progress our programme to a higher level. Please see our CR Performance for details of our strategy and targets.

Working together to achieve more

In addition to our membership to the UNGC, PwC is also a founding member of CSR Asia’s Community Investment Roundtable. Through this initiative, we are committed to promoting best practices for corporate community investment in the region.

PwC has been global advisor and report writer for the Carbon Disclosure Project (CDP) since 2008. CDP acts on behalf of 551 institutional investors, holding

Maintaining exceptional ethical standards

Given the nature of our business, maintaining exceptional ethical standards is essential. Part of our impact on the marketplace is in promoting trust and transparency in the capital markets, and in order to do that our own ethical standards are always a top priority.

We adhere to all Certified Public Accounting Institute regulations. Through active membership in these institutions in our markets, we contribute to the running and development of the accounting sector.

All our staff and partners undergo regular compulsory training in compliance and ethics to ensure the integrity of PwC is upheld at all times. We have clear policies in all issues surrounding independence that relate to personal investments and the way we interact with clients and business partners. When ethical concerns do arise, staff are encouraged to use PwC’s

confidential ethics hotline, which is available for them to talk through any issues, and obtain support with what, if any, action needs to be taken.

Throughout our network of firms, PwC has strong anti-bribery and anti-corruption processes in place. Related training is compulsory for all staff, and in 2011, close to 100% of staff and partners completed this training. In a region where the challenges of bribery and corruption are evident, we continue to ensure our people are well equipped to face these challenges, so that the integrity of PwC is maintained and trust in the marketplace is promoted.

Our commitment to tackling corruption and bribery is reflected and reinforced through our commitment to the UNGC. The tenth principle of this Compact centres on anti-bribery and anti- corruption. Through our forensic accounting services, we also equip our

Client satisfaction is important to our Stakeholders and essential to our business. We continue to deliver value to our clients through following the PwC Experience behaviours.

We address client satisfaction in several ways, including formal client feedback and upfront conversations with clients to find out what they value most. Through wider surveys with both current and prospective clients, we aim to understand how PwC is perceived and

Delivering the value our clients are looking for

how we can adapt our behaviour accordingly, in order to ensure we keep delivering value where it is needed. We consider the results from these surveys and develop plans to improve on areas that need attention.

Our entire strategy is dedicated to delivering high quality services and creating value for our clients.

clients with the tools they need to implement strong anti-bribery and anti-corruption measures in their organisations, as well as to investigate any concerns they have surrounding corrupt and fraudulent activities.

Data security is also of paramount importance to PwC. We have clear and strictly implemented policies around:

• access to our office areas and IT systems,

• safe storage of sensitive papers,

• disposal of confidential materials (including recycling), and

• dissemination of confidential materials.

All new joiners undergo training in data security, and aspects of this training form part of the annual training requirements for all our people. During the reporting period no substantiated complaints regarding breaches of customer privacy or losses of customer data were recorded.

US$ 71 trillion in assets under management. CDP investors ask over 3,000 publicly-listed companies around the world to disclose their carbon emissions, how they are changing their businesses to mitigate impacts on climate change and how they are adapting their responses to climate change. Increasingly, performance on such issues is seen as a proxy for effective management. PwC's role is to advise the CDP on developing strategies and actions to further enhance the quality of information disclosed. This year, PwC Hong Kong scored the results of participating companies in Asia.

PwC China’s S&CC team partners with The Climate Group China on its Low Carbon Treasure Program to promote the development of low carbon strategies among Chinese companies. PwC China authored a low carbon

strategy guideline for China's banking and insurance sector, and also organised a financial sector workshop to stimulate discussions among international and Chinese financial institutions on their current approach in dealing with climate change issues.

PwC China continues to be the Major Strategic Partner of the China Greentech Initiative. This sponsorship includes hosting industry specific forums, as well as providing specialist advice and contributions to the China Greentech Report.

Corporate citizenship Global Code of Conduct

We express support for fundamental human rights and avoid participating in business activities that abuse human rights. We act in a socially responsible manner, within the laws, customs and traditions of the countries in which we operate, and contribute in a responsible manner to the development of communities. We aspire to act in a manner that minimizes the detrimental environmental impacts of our business operations. We encourage the support of charitable, educational and community service activities. We are committed to supporting international and local efforts to eliminate corruption and financial crime.

Our overall code of conduct sets out the way we do business and interact with Stakeholders in our marketplace. Our three core values of excellence, teamwork and leadership, as well as the nine supporting attributes that define how we conduct ourselves and do business, all link to the areas expressed by our Stakeholders.

PwC’s corporate citizenship code of conduct (see box) states our commitment to many of the key areas highlighted by our Stakeholders in this report, and aligns with the UNGC principles.

Embedding sustainable values in the marketplaceReporting on social and environmental issues has become more important as consumers, investors and other Stakeholders increasingly demand greater transparency in all aspects of doing business. Besides new costs

associated with legislation and sustainability risks, significant new opportunities are emerging for many sectors and companies, particularly as markets are created for lower-carbon and more sustainable goods and services. Through the services of our Sustainability and Climate Change (S&CC) team, we are able to provide our clients with sustainability-related services to help them deal with the significant sustainability challenges they face.

Besides the provision of sustainability services to our clients, an important part

of our strategy is the promotion of CR in the marketplace. We aim to achieve this through:

• leading by example and sharing best practices,

• contributing to strong thought leadership on sustainability-related issues,

• hosting sustainability related events in partnership with relevant organisations, and

• being members of organisations that share our goals of promoting better CR practices.

Our commitment to being a responsible corporate citizen led PwC to be among the first corporate signatories of the United Nations Global Compact (UNGC). We adhere to its principles on human rights, labour standards, the environment and anti-corruption. Through the development of UNGC LEAD, a select group of UNGC signatories that addresses the UNGC Principles individually in different regions, we look forward to deepening our partnership globally and throughout our region.



People

In today’s world, successful companies are distinguished from lesser ones by their capacity to deliver more value to more people in more ways. The PwC Experience captures our fundamental goals, to treat our clients like people and our people like clients, and to build trusted relationships so that we can create greater value for our clients and one another.

This is what being a good corporate citizen means to us.

Gautam Banerjee PwC Singapore Territory Senior Partner

STAKEHOLDERS ISSUES

Our Stakeholders identified the following key people issues

• Employee safety and well-being

• Training and development

• Talent attraction and retention

• Behavioural change linked to the PwC Experience

• Diversity and inclusion

At PwC, it is demonstrably true that our people and the knowledge they possess are our most important asset. Ever since we opened for business 150 years ago, it has been vital for us to attract bright professionals, mentor and motivate them, and inspire them to high standards of quality and behaviour. With this is mind, our CR people strategy aims to create a workplace environment where people are supported through the challenges of a

demanding industry, feel valued for the work they do and are provided with the opportunities to develop to their fullest potential.

The people-related issues identified by our Stakeholders are all ones we take seriously. These issues give rise to opportunities to support our people so they can develop and grow with PwC, addressed through living the PwC Experience. People Strategy

To create a workplace environment in which our people are well supported and encouraged to develop to their fullest potential and perform their best.

• Equip our people with the skills to work effectively; invest in training and development

• Establish a culture where inclusion, diversity and our corporate values make our people proud to be part of our organisation

• Create a work environment that supports the health, safety and well-being of employees


We Care – StARIn 2011, the We Care Committee celebrated five years of their Staff Appreciation and Reward (StAR) Programme. The StAR programme aims to nurture an appreciation culture where senior staff use vouchers to award their people. Each award voucher is accompanied by a personal “thank you” message and staff can use their vouchers to redeem gifts. In the five years of the program, over 100,000 appreciation messages and vouchers have been given out.

We Care – PwC CupPwC Cup 2010 took place at 12 office locations from September to December. Around 700 of our people competed in badminton and bowling competitions. As one participant commented, "[it’s] like one big family and we were just hanging out and having fun together..."

We Care – Family DayIn 2011, we continued our tradition of Family Day, held before Chinese New Year. During Family Day, our people’s children are welcomed to the office for an afternoon of food, fun and games.

PwC Taiwan wins creating employment awardPwC Taiwan recently received the “Employment Creation Contribution Award” from Taiwan’s government. This honour follows another earlier in the year when PwC Taiwan was ranked number one among professional services organisations in the Nationwide College Survey of Private Companies Students Most Want to Work For survey by Cheers magazine. The award recognises PwC Taiwan’s contributions in job creation and sustainable management concepts, as well as its talent recruitment and retention initiatives.

When we asked a sample group of staff and partners what were the CR-related topics they were most concerned about, the top issue was employee safety and well-being. We recognise that in the professional services industry, a great deal is demanded of our people. Particularly during peak work seasons, our people work long hours for extended periods of time. This is a major concern for our business and an important one to understand so that we can do something about it.

Due to the nature of our industry, there are times when overtime is unavoidable. The challenge for PwC, and for firms in our industry, is to assess this overtime to make sure we move towards a situation where only unavoidable overtime is the norm.

We want to minimise any inefficiencies in project management, resourcing and scheduling that can lead to unnecessary overtime. Similarly, we do not want a culture where it is seen as negative to be the first to leave the office, or to leave before the manager.

In the past year, we focused on eliminating unnecessary overtime and creating a better sense of well-being amongst our people. Partners are encouraged to:

• allocate teams more efficiently throughout the year,

• create better engagement plans,

• communicate more with managers and staff to understand what the work needs are, and

• to bring work forward when possible to alleviate workloads during the peak season.

As part of this focus, all China and Hong Kong Assurance staff were encouraged to take one week off following the peak season. We also identified the 20 most time intensive engagements in Beijing and Shanghai and increased resources on those projects-secondees from other offices were brought in to ease the strain.

In Singapore, there are different platforms to address the well-being of staff. Every Wednesday is timeout day -staff are reminded to leave the office on time to have more personal time for themselves, their families or their friends. Partners and managers are reminded not to arrange late meetings on Wednesdays so that staff can get away.

In PwC Taiwan, employees still working at 9.30pm receive an automatic message on their laptops reminding them of the importance of maintaining work-life balance and suggesting they return home. This is coupled with a recorded announcement from Taiwan’s Assurance leader saying that employees’ health is a priority issue, reminding people to go home. During peak season, snacks and meals are provided for employees working overtime.

Given that long hours will continue to be part of our business at times, we need to continue to provide good support for our people at work, and opportunities for our people to take care of themselves and to unwind outside of work.

Our We Care programme was set up in 2004 in China and Hong Kong and continues to reinforce and support PwC’s caring culture. Throughout the year, We Care offers health talks, health tips, flu vaccination and health check-ups to help our people maintain their health. In July 2011, it also introduced an Employee Assistance Programme, allowing our people and their immediate family to obtain counselling and work-life resource support 24 hours a day, 7 days a week. We look forward to bringing you updates on the success of this programme in our next report.

To encourage a healthy lifestyle, Wednesday is also designated as Fruits Day in Singapore-partners and staff get fruit delivered to their workstations. For exercise, the PwC Singapore Sports Club organises a variety of activities throughout the year (see break-out boxes p23).

Similar initiatives exist in PwC Taiwan, including free or subsidised annual health checks, seasonal flu vaccination programme for all employees, and tips for maintaining a healthier lifestyle.

Another way we offer our people more balance outside of the office is through engaging in our community programme. We know our people like to volunteer through PwC, and we have grown our community programme to meet this demand.

We also share the plans and environmental commitments from our environment strategy, allowing employees to engage in our environmental initiatives.

Employee satisfaction is very important to us. That’s why, every year, we encourage all our people to take part in our Global People Survey. This survey, carried out across the PwC network, helps us keep tabs on where our people think we are doing well, where we need to improve and where we need to take action.

Employee safety and well-being

WeValueYou WeekTo emphasise to our people that we value them, and we value their well-being, since 2008, PwC Singapore have been designating a week in April as the WeValueYou week. During the week, interesting activities are lined up, with the objectives of helping our people deal with stress, promoting healthy living, encouraging them to review their career development, as well as reminding them to have fun and indulge in themselves. In 2011, activities included self-improvement talks and complimentary health screening. The firm also arranged for express manicures, foot reflexology and head and shoulder massages at discounted rates. Yoghurt drinks and muesli bars were also distributed to staff to promote healthy living.

Annual Dinner and Sports DayEvery year PwC Taiwan hosts its Annual Party Night, and the following day, the firm holds a sports day for all staff and their families.


Attracting, and keeping hold of, the best and brightest people in our market was listed as a main priority by our partners and staff in our stakeholder dialogue, and is also a key objective of PwC.

PwC CaTSH recruits from the top universities across China, Hong Kong, Taiwan and Singapore, as well as from the US, Canada, UK and Australia. When we talk to graduates, we want to make sure that we can share as much about PwC with them as possible, so they can make a well-informed decision when choosing their career path. Graduates repeatedly say a firm’s CR programme and credentials are of interest when exploring the job market. In engaging graduates in our CR programmes from their first encounter with PwC, we foster community engagement and hope the graduates will continue to be committed to social causes once they start working with us.

PwC is committed to the professional careers of all its employees. Staff progress to different levels based on performance and capability as their experience and skills develop. We have clear career development models and associated progression procedures.

PwC continues to increase its intake of new partners in line with medium and long-term growth projections for our firms. In 2011, 47 new partners were admitted across PwC CaTSH, increasing the total partner number by nearly 9%.

Our Learning and Development programmes aim to ensure our people have the training they need to perform to their best, both in terms of business skills and soft skills. Last year PwC invested in 1,570,068 hours of training with an average of 109 hours per person, for our staff and partners across China, Hong Kong, Singapore and Taiwan.

Staff are well-supported throughout their career with our Performance Coaching & Development (PC&D) approach, which offers professional coaching and timely feedback to support personal assessment, development and growth. In 2011, close to 100% of our staff received feedback and coaching through the PC&D system.

Global mobilityWe continue to have one of the largest global mobility programmes in our profession, which allows us to offer our clients, wherever they are in the world, the right expertise at the right time. It also develops the skills and international perspective of our people. During 2011, 180 people from China, Hong Kong, Taiwan and Singapore were deployed internationally on short-term and long-term transfers or assignments. We have welcomed 250 people into PwC CaTSH from PwC network firms around the world. An additional 116 people were deployed within the China, Hong Kong, Singapore and Taiwan firms.

Investing in our people

Sister citiesSister cities is a programme run throughout the PwC Asia Pacific network that gives high-performing junior staff international experience early in their careers. In 2011, there were 11 pairs of exchanges for high-performing junior staff between the China, Hong Kong, Singapore and Taiwan firms.

Genesis Park Genesis Park is an intense, ten-week, residential global leadership programme that aims to accelerate the development of our best people from high-performing senior managers to outstanding business leaders and provide them a unique global perspective. The extended length and residential nature of the programme also allows for personal transformation. In 2011, 13 senior managers from China, Hong Kong, Singapore and Taiwan participated in Genesis Park projects in Boston and Singapore.

Partnering with AIESEC throughout CaTSHThere are 51 PwC territories in partnership with Association Internationale des Étudiants en Sciences Économiques et Commerciales (AIESEC) in an official capacity.

PwC Taiwan sponsored AIESEC Taiwan’s Winter National Conference, an annual event attended by more than 200 AIESEC members in Tainan city. PwC Taiwan’s AIESEC coordinator presented awards to AIESEC’s local chapters that had achieved outstanding performance in running AIESEC operations in Taiwan.

PwC Singapore partners with AIESEC to promote collaboration between PwC Singapore and AIESEC in corporate responsibility, talent development and employer branding. PwC Singapore ran two case challenges on CR and recruitment during AIESEC’s National Leadership Development Conference 2011.

In China and Hong Kong, PwC has a long-term partnership with AIESEC. We support them through joint initiatives such as Developing Leadership Day.

Most popular employerPwC Singapore was ranked as the most popular among professional services companies in Singapore. This was decided by popular student vote and announced at the Top 100 Leading Graduate Employers awards dinner in November 2010.

PwC Singapore Sports Club – PwC Work OutIn July 2010, the Sports Club organised an innovative event called the PwC WorkOut! The event featured a variety of activities where everyone could take part. The

highlight of the day was an 11 a-side soccer friendly match featuring the partners/senior managers team taking on the PwC soccer team, where both teams put on a wonderful performance to entertain the crowd.

The PwC Experience AwardThe PwC Experience Award is an instant, year-round reward and recognition programme introduced in Singapore. It is structured to recognise and reward all staff who excel at demonstrating the four PwC Experience service behaviours consistently, or the skills and competencies that are necessary to bring the behaviours to life. Apart from a certificate, the award recipient receives a shopping voucher worth S$50.

PwC recruiting for good in China and Hong KongIn 2010, every attendee at PwC campus talks held in Hong Kong and China universities was given a voucher to donate to our charity partner Half the Sky.

Over RMB 110,000 was contributed by the 11,000 graduates who donated their vouchers. PwC matched the donation, to raise a total of RMB 223,000, allowing 43 children to participate in Half the Sky’s programmes throughout the year.


Celebrating International Women’s Day International Women’s Day was recognised by PwC Singapore with an appreciation lunch for women featuring speeches raising the profile of women in Singapore. Four inspiring female guest speakers from outside and within PwC shared their experiences.

In China, where women are entitled to a half day national holiday, a group of 20 women from the Shanghai office of PwC China used their half day to volunteer with the Shanghai Special-Care Foundation.

Embracing CulturesCulturally, we’re also a diverse workplace. With the majority of our people coming from China, Hong Kong, Taiwan and Singapore, we already see a rich blend of cultures and nationalities, allowing us to work well with both international and local clients. This gives our people the opportunity to work with others from diverse backgrounds, while also increasing cultural sensitivity and understanding.

Our commitment in Financial Year 2012 is to continue with the above initiatives to deliver the value that our people are looking for. From a CR team perspective, our efforts will focus on:

• creating links between our community and environment programmes and our responsible leadership programmes,

• supporting the expansion of well-being initiatives within PwC, and

• integrating deeper corporate responsibility themes into the graduate recruitment process.

The diversity of our people, their backgrounds, talents and interests, that we have across our region, and globally, is one of the strengths that we must continue to harness in order to deliver value.

Making sure that we are able to respond to the needs of people of all ages, in ways that make sense to them, is of great importance to us. In PwC CaTSH, Generation Y (Gen Y) now makes up over 70% of our workforce. So, we are focusing on how to communicate most effectively with our Gen Y people, according to their needs, aspirations and preferred communication medium. One milestone has been the PwC Assurance Breakthrough Programme. This drives organisation-wide behavioural changes, promoting interaction and communication between partners and staff at all levels, as well as bringing value to our people and clients through the PwC Experience. The programme is designed to encourage junior Gen Y associates to provide feedback on the behaviour of partners in the workplace. With this feedback, we can strengthen internal communications and interactions, while helping with staff retention.

Communicating with a diverse workforce

This programme has already had positive results. In 2011, retention in Assurance increased by around 2%, with an improvement of 7% in Hong Kong.

With social media becoming an increasingly popular communication tool in all our territories over the last few years, we’re conscious of keeping up-to-date. We communicate regularly through sites such as Facebook in Singapore, Taiwan and Hong Kong, and Renren in China, but have more to achieve in this space.

In terms of gender diversity, 64% of our total people are women, and women make up 29% of the partnership across our firms. In 2011, 36% of partners admitted to PwC CaTSH were female.

Having equal opportunities for all staff and partners is an important part of PwC’s code of conduct. Created with women in mind but open to all staff and partners, PwC’s flexible working and career break policies are designed to allow greater flexibility for people when they need it.

The PwC Assurance Breakthrough Blog


Having 600 of our people participating in the PwC’s Forest project gave a true statement of how passionate they are about protecting the environment. We need to match this passion with PwC’s commitment to Think Green and Lead the Change.

Albert Hsueh PwC Taiwan Territory Senior Partner

Environment

STAKEHOLDERS ISSUES

Our Stakeholders identified the following key environment issues

• Environmental strategy

• Carbon footprint

• Paper consumption

• Recycling

• Water use

Environment Strategy

Think Green – Lead the Change

Our vision is to be an environmentally responsible organisation that inspires its people, clients and business partners to engage in sustainable business practices, and drives positive change in the community.

• To reduce our environmental impact

• To inspire, educate and engage our people in creating a sustainable working environment

• To raise awareness about sustainability with our clients and business partners

• To engage communities to become more environmentally sustainable


Issues regarding climate change, water use, resource depletion and environmental degradation are now regularly laid at the door of the business community. Many of our clients need to adapt to the realities of climate change, and expect us to provide them with the expertise and advice to help them operate on a more sustainable basis and create the value they are looking for. At the same time it’s crucial that we also take responsibility internally for our own environmental performance. All our efforts in this area are voluntary as there are no specific environmental regulations for our industry to comply with across China, Hong Kong, Singapore and Taiwan.

PwC remains committed to investing in our CR strategy. Minimising our impact on the environment is a key component of this strategy. Our green journey began in 2007 when we completed a high level estimate of our environmental impacts. We have since extended this

assessment to include all of our territories – China, Hong Kong, Singapore and Taiwan, and created a more detailed analysis of our greenhouse gas (GHG) emissions.

In 2008, recognising the importance of addressing our environmental impact in a more structured way, an Environmental Sustainability Steering Group was established to lead PwC’s sustainability agenda. We started measuring our environmental footprint and defined a framework for developing a comprehensive sustainability strategy.

Following extensive research on GHG inventories and the various measuring and reporting methodologies, a more robust GHG footprinting exercise was undertaken at the beginning of 2009. GHG source data is collected across all major offices in China, Hong Kong, Singapore and Taiwan. Calculating our carbon footprint was the first step to developing a comprehensive environmental sustainability strategy, approved in 2010.

Green journey

Think Green – Lead the Change Making environmental sustainability central to how we do business is about more than “doing the right thing.” Our clients want to work with someone who’s committed to making a positive impact on the environment by setting the right example. Our Stakeholders want us to monitor our environmental footprint, as well as have a strategic, coherent approach to addressing our environmental impacts.

Our “Think Green – Lead the Change” strategy is built on our long term commitment to managing our impact on the environment. Our efforts to reduce our GHG emissions are complemented by other environmental activities designed to raise awareness and empower our people and the local community to make environmentally responsible choices. We have established a number of partnerships with environmental organisations – such as WWF and Friends of the Earth. We support their conservation efforts and in turn, they help us promote environmental sustainability internally among our people.

Green Action in TaiwanPwC Taiwan launched a three-year internal program, Green Action, which included a series of green events such as tree planting and wetland protection. The objective was to raise our people’s awareness of the need to protect our environment. To encourage the culture of reusing things, rather than buying new ones, the firm also developed a programme for exchanging second hand books.

Green Week Awareness Campaign Green Week was a five-day focus on the environment and how it’s becoming increasingly important for our clients, our people and our communities. How we treat the environment can have a direct impact on PwC’s revenue, containing costs and enhancing our brand. More importantly, we have an obligation to preserve the environment for future generations, so engaging our people to become more environmentally aware is one of our strategic priorities. During the Green Week campaign, we generated approximately 3,000 clicks on the various communications we have sent out.

Growing PwC’s Forest Nearly 40,000 trees were planted in 2011 at ten tree-planting events across China, Taiwan and Hong Kong, by 600 PwC volunteers and our NGO partners. These trees will help remove around 900 tons of carbon dioxide on an annual basis. As we continue to grow PwC’s Forest across the region, this impact will also continue to grow.


Our approach to managing our environmental impacts

In managing GHG emissions we follow a six-step carbon management cycle. We are still at the beginning of our journey, and need to balance between best practice approach and what is feasible in the markets we operate in.

1 Measure We have a consistent strategic approach, applying a unified GHG emissions calculation method across China, Hong Kong, Singapore and Taiwan.

In order to determine a GHG inventory that is accurate and complete, we have adopted the Greenhouse Gas Protocol, for the preparation of our GHG inventory. In order to ensure that the GHG data we present is reliable, the data has been reviewed by an independent internal assurance team – please refer to page 31 for further details.

We measure various emission sources. However in this report, we only present the most significant – business travel (air travel, car travel and overnight accommodation), electricity consumption and paper consumption.

Our Stakeholders listed water use as a key concern. We are aware of water scarcity issues in our region. Our plans for FY12 include water conservation projects. Our own use of water is minimal and as such is not covered in our environmental reporting.

4&5 Reduce & Offset We’ve already undertaken a number of initiatives to reduce our carbon footprint and the next step will be to develop a comprehensive, robust carbon management plan.

We are also monitoring our environmental impacts with the view to develop reduction targets and exploring options which would allow us to become carbon neutral. There are some operational limitations, such as a lack of renewable energy sources, or absence of alternative means of transportation, but we continue to invest in carbon efficient infrastructure such as video-conferencing and LEED certified office premises. We also plan to continue to grow PwC’s Forest, removing approximately 900 tons of carbon dioxide every year.

Earth Hour – lights out across CaTSHOur offices across CaTSH once again switched off the lights for Earth Hour 2011.

Following a communications campaign in China, Hong Kong and Singapore, around 1,500 PwC employees vowed to make at least one change to reduce their carbon footprint, ranging from using public transportation to bringing their own mug to work. PwC Taiwan sent out various internal communications to raise employees’ awareness of energy saving and environment protection.

Ten colleagues in Hong Kong went the extra mile by designing and running a fun green thinking workshop for 60 children from the Tung Chung YMCA Centre. PwC Singapore also introduced the lunchtime lights out initiative, where staff volunteer to be green marshals and switch off the lights on their floors during lunch time.

39%

7%Overnight

Accommodation

41%

8%

Purchased Paper

Air Travel

Energy Consumption

5%

Car Travel

Total emissions per territory, by emission source

Aggregated total emissions by source for China, Hong Kong, Singapore, Taiwan

2 & 3 Set objectives & Engage Reducing our environmental impact is the overarching objective of our environmental strategy. We understand that making our everyday work environmentally sustainable isn’t just about processes, goals and measures. Staff engagement is essential, so over the last year we’ve been working in parallel on gaining our people’s commitment as well as on identifying possible areas for reductions.

6 Review Every year we review our approach to make sure our GHG inventory includes the most significant contributors to our overall footprint. These are also the areas we focus on the most, allowing us to make the most meaningful changes.

Our greatest impact is CO2 emissions from business travel, and from the use of our premises.

CO2 Emissions (t) China Hong Kong Singapore Taiwan

Energy Consumption 8,385 4,963 1,226 2,075

Purchased Paper 1,533 968 279 274

Overnight Accommodation 671 217 251 733

Air Travel 10,372 3,224 1,823 2,128

Car Travel 2,323 235 819 198

Total per territory 23,284 9,607 4,399 5,408

TOTAL 42,698

The GHG data in the table above and environmental related data identified with a (^) throughout this report, have been subjected to certain limited procedures by the Firm’s Sustainability & Climate Change assurance practitioners, who were not involved with the preparation of this report. Nothing has come to their attention that causes them to believe that the GHG data and environmental related data is not properly prepared, in all material respects, in accordance with the Reporting Criteria as set out on page 47.


Energy consumption As office-related electricity consumption is one of our more significant GHG triggers, we closely monitor our energy consumption.

Our total energy consumption was 19,874,047^ kWh, which constitutes 39% of our carbon footprint. At the end of June 2011, we had 21 office locations across China, Hong Kong, Singapore and Taiwan. These are buildings we either rent as the sole tenant or share with other tenants. In the shared office premises it can be difficult to obtain exact data on our energy consumption. We will continue working towards gathering the complete data, and plan to present a more complete picture of the base building shared areas energy consumption in the future.

When choosing our office location, we do take the building’s environmental performance into consideration – two of our offices in China are LEED certified.

After looking at possible reductions, we introduced the deLux programme. By disabling one out of three lighting tubes, deLux considerably decreased illumination levels without impacting working comfort, and still meeting appropriate office lighting standards. The initiative proved to be both environmentally and economically sound.

Firm-related travel Air travel In FY’11 we travelled 143,675,706^ km, with firm related flights accounting for 41% of our overall carbon footprint. Air travel is part of our business, and considering the nature of our work, and the geographical location of our offices, flights contribute heavily towards our environmental footprint.

Over the past year we have looked at various technical solutions which would allow our people to travel less without compromising on the important relationship management aspect of our work. We already have a video conferencing system linking all of our major offices and we continue exploring the advantages of portable video-conferencing as well as personal video conferencing systems.

No more plastic bottles in SingaporePwC Singapore has continued to find ways to make their office more green, this year they replaced water bottles in meeting rooms with pitchers of water. At the same time around 600 PwC Singapore staff took part in a fun on-line carbon footprint exercise as part of green thinking campaign.

Car travel Car travel accounts for 8% of our carbon footprint, and mainly comes from taxi travel – though in some locations we also have company cars and leased shuttle buses. Across our territories we have a limited number of company cars, which have also been taken into consideration.

In 2010 we launched a car-pooling database for the Shanghai and Beijing offices, promoted regularly during the reporting period. The database allows for an efficient sharing of commuting information. There has been a relatively low uptake in using the database and we will continue looking for more engaging ways to promote the concept of sharing a ride, and to make a better use of the car-pooling database.

We encourage less car travel by choosing office locations with easy access to public transportation. Most of our major offices are located in the city centre, making it easy for our employees and clients to use public transport.

Purchased paper As an office-based organisation, PwC uses a significant amount of paper. In order to reduce our paper consumption per employee, we have continued to make changes. This includes replacing printers and copiers with multifunctional machines with standard double-sided copying, scanning and printing – a simple yet effective change.

In FY 2011 we purchased 728^ tons of print and copier paper, as well as other stationery paper materials, representing 7% of our carbon footprint. We’ve been recycling paper for quite some time now, and plan to report the data in our future reporting.

How climate change may affect our business Business has to play a role in mitigating, and adapting to the effects of climate change and wider sustainability issues such as resource scarcity. Although the specifics of our industry and PwC’s direct operations require only a limited use of natural resources, our business is, and in the future will be even more influenced by the challenges brought by climate change, as well as through the emerging carbon regulations. This is happening through our clients and their dependency on natural resources and need to align with the new environmental regulations, which changes the nature of their business and affects the type of services they expect PwC to deliver.

Governments have also become increasingly more aware of the pressures the growing population will exercise on the environment, particularly as competition for finite resources increases. The urgency of governments and business to act together is greater than ever, as all the established assumptions about societal development and economic stability have to be redefined in the face of global climate change.

We would like to play our part in fighting climate change not only by addressing our own environmental impacts, but also by using our knowledge and expertise to steer the public debate and raise awareness about the possible consequences and the actions required. We can also make a positive contribution to addressing environmental challenges by helping our clients mitigate their impacts and divert them towards more environmentally and socially sustainable business models. This, we see as part of our responsibility.

Our commitment in Financial Year 2012 is to:

• Drive carbon reductions by enhancing the understanding of environmental issues among our people and implementing possible carbon reduction initiatives

• Continue to raise awareness and encourage actions through PwC people engagement in green initiatives

• Identify and develop opportunities to engage the student community in environmental initiatives to capitalise on the concern of Gen Y for fighting Climate Change and to encourage more green action




Community

At PwC we want to positively impact society. By further engaging our people as volunteers, facilitating giving, and building capacity for our charity partners, we can have a real impact on the communities we work in.

Nora Wu Human Capital Partner, CR Committee Co-Chair

PwC staff and partners feel a long-standing sense of responsibility to support the communities in which we operate. We believe that it is the right thing to do, and that it brings benefits to us as individuals and as an organisation. Our Stakeholders identified having a strong community investment strategy, employee volunteering and the provision of pro bono services as important factors in our community programme. These are all aspects that we take seriously and which have been developing since we began our CR programme.

We’re continuing to move away from the piecemeal philanthropy of the early days of our community programme, towards strategic community investment that creates greater impact on the communities we work in and the NGOs that work with them. We also want a strategy aligned with our business needs, making the community programme sustainable.

The active involvement of our people is critical for sustaining our CR activities. Over 2,500 PwC partners and staff participated in community activities during FY2011, contributing their time, skills and resources. In return, they gain new skills, achieve personal fulfilment and develop new relationships.

We have seen great opportunities to engage and build relationships with our clients through community and environment-focused initiatives. In our client stakeholder dialogue, 90% of respondents said that they would like to be involved in or co-organise community events with PwC.

Community strategy

Leverage the skills, goodwill and compassion of our people to support our charity partners and positively impact society.

• Engage our people as volunteers with our community partners

• Facilitate giving and fundraising for our community partners, and in response to natural disasters

STAKEHOLDERS ISSUES

Our Stakeholders identified the following key community issues

• Community investment strategy

• Employee volunteering

• Pro bono services


PwC Foundation

Employee volunteering

Disaster relief When disasters strike close to home and around the world, our people have been generous in donating funds to aid the recovery where it is needed, and we have systems in place to facilitate the donation process. We react to disasters in line with the interests of our people, and in consideration of our responsibility as an international organisation.

In 2011, PwC Foundation together with over 3,500 partners and staff in China, Hong Kong, Taiwan and Singapore raised more than US$345,000 for relief of the Japanese earthquake and tsunami disasters. Funds were directed to the Japanese Red Cross Society.

Charitable giving has long been an important part of our community strategy.

Registered in Hong Kong since 2006, the PwC Foundation provides a channel for the firms in PwC CaTSH and our staff and partners to donate to charities. It also supports volunteer and fundraising events led by PwC people. US$988,385 was donated through the PwC Foundation and the China, Hong Kong, Taiwan and Singapore firms in FY2011 to fund charitable giving events.

Beyond charitable giving, we focus on a small number of strategic partnerships, which make up the majority of our community investment activities. We support our strategic charity partners through financial contributions and both skilled and unskilled volunteering. While the majority of our contribution comes through unskilled volunteering, this year we’ve started to look at how we can support our key charity partners using our core skills where we are able to best impact their work.

Our people show great passion for volunteering in the community. In FY2011, a total of 2,528 people (17.6% of total PwC CaTSH headcount) committed 14,000 hours to volunteer in their communities, and further afield, too.

We are committed to promoting volunteering among our people. At PwC Singapore, time off is offered in preparation for their flagship overseas community programmes as well as other volunteer initiatives. At PwC China and PwC Hong Kong, our people are each given 20 hours to offer to firm-organised volunteer events.

Our staff and partners want to have more volunteering opportunities open to them. This is a strategic objective for FY12 and we have set ourselves a target volunteer participation rate of at least 20% of all staff in China, Hong Kong and Taiwan, and 40% in Singapore.

Of the staff and partners surveyed in our stakeholder dialogue, 31% said they would like to use their core business skills while volunteering for NGOs through capacity building projects. Next year, we’ll aim to further support our charity partners through skilled

volunteering, helping to enhance the efficiency and transparency of NGOs, allowing them to grow more independent and in some cases, move towards being self-sustaining.

We have new plans in place in order to achieve our targets for growing our community programme over the coming year. We’re creating a network of CR champions and upgrading our volunteer database to enable greater participation at our events, as well as promoting greater engagement in all our CR efforts.

As we continue our path to more strategic community investment, we want to better understand the impacts of our programmes. Many of our community projects are still in their early stages so their impact is difficult to measure in a meaningful way. Through strengthening our relationships with our community partners, we intend to focus on the area where we can bring the most positive impact, and then report on that impact as the programmes develop.

We are excited about the story we will tell in our next report. The next few sections share just some of the achievements made over the past year.


Volunteering activities at a glanceBecause of the passionate engagement of our people, we have over 2,500 volunteer stories to share. We’d like to thank all our volunteers and those that supported them for their great work in projects throughout the year. Below we feature just some of the highlights.

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2

3

4

5

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1 China Rural School Volunteer Programme

Through the Rural School Volunteer Programme (RSVP), we partner with different NGOs, sending small groups of volunteers to rural village primary schools for a week, leading fun, interactive classes in English, computer literacy, environmental awareness and physical education. A key focus is to share new ideas, inspiring students in rural areas to learn more. In 2011, five RSVP trips were arranged with 67 participants contributing over 2,500 volunteer hours. A total of 620 classes were delivered to 1,750 students. After the on-site visits, volunteers continue to keep links with the schools and students in their classes to provide support when requested. PwC also donated RMB 77,000 worth of books, classroom and sports equipment in 2011 in response to specific requests from the schools. As we develop relationships with each of the schools we visit, we’ll continue to identify areas where we can focus our efforts and measure our impact.

2 Singapore Overseas Community Programme

A partnership between PwC Singapore and the YMCA of Singapore, the Overseas Community Programme (OCP) is now in its fifth year. Every year, around 40 volunteers from PwC Singapore, often joined by volunteers from other firms, take part in the OCPs. This programme was further supported by our Singapore colleagues who raised funds to support the volunteers in their various activities.

3 Growing PwC’s ForestTo promote green thinking among

our people and to play our role in protecting the environment, we launched PwC’s Forest project in March 2011 in partnership with the China Green Foundation and the Agriculture, Fisheries and Conservation Department in Hong Kong. Nearly 40,000 trees were planted last year with the help of these partners and 600 PwC volunteers took part in ten events across China, Taiwan and Hong Kong. This will help remove around 900 tons of carbon dioxide on an annual basis. As we continue to grow PwC’s Forest across the region, this impact will also continue to grow.

4 Cleaning up our coastline In 2011, volunteers from PwC

China and Hong Kong took part in coastal clean-up activities in their cities. Around 70 volunteers from PwC Hong Kong participated in the International Coastal Clean-up, the world’s largest volunteer effort to clean beaches around the world. A team of 20 volunteers from Shanghai partnered with Marinedream to clean Nanhui beach in Shanghai. While the immediate impact of these activities was the collection of 275kg of waste and a cleaner coastline, the longer term impact comes though the partnership with International Coastal Clean-up. Their mission is to analyse the waste that is collected by volunteers to better understand where it comes from and how the problem can be tackled at its source, rather than simply cleaning up the effects.

5 Lighting Banda Street – Singapore

In December 2010, 300 PwC volunteers visited the elderly residents of Banda Street in Chinatown, Singapore. Staff and partners raised S$30,000, distributed 400 hampers of daily necessities to the elderly residents and hosted them to a dinner and performance.

6 Using our skillsPwC Taiwan has continuously

provided assurance and tax services to more than 60 non-profit organisations (NPO). In 2009, the firm launched the Non-profit Organisation Financial Capacity Support Plan, a volunteer-based programme to help local charities strengthen their financial management systems. This year, 18 volunteers worked with seven NPOs representing a variety of worthy causes. PwC Taiwan also plans to collect related knowledge and information to publish a book for helping local charities strengthen their financial management system.

7 Running for CharityIn 2011, 1,217 of our people across

China, Hong Kong, Singapore and Taiwan took part in walks, runs and marathons to raise money for charity. Combining fundraising and leading examples of healthy lifestyles, our people collectively walked, ran and cycled thousands of miles, raising funds one kilometre at a time. Some of those runs included the UNICEF charity run in Hong Kong and the JP Morgan Corporate Chase Challenge in Singapore.


In February 2011, PwC China worked together with Shanghai Special-Care Foundation to organise a charity bazaar at the Shanghai office. Hundreds of our people attended to buy handicrafts made by mentally-challenged young people. A total of RMB 28,000 was raised and donated to the charity.

On Women’s Day, 8 March 2011, 20 women from the Shanghai office volunteered with 100 intellectually challenged students from a vocational school aimed at helping young people to enter the workforce.

To promote the spirit of giving for Christmas, a charity sale of desktop calendars and cookies was organised by a group of volunteers in PwC Singapore, with proceeds going to the Make-a-Wish Foundation in support of terminally ill children, and to the Girl Guides in support of their community services.

More than 300 PwC Singapore colleagues, together with their family and friends, participated in the Habitat-Barclays Bare Your Sole Barefoot Charity Walk 2011. For this event, volunteers walked barefoot to raise funds in support of Habitat for Humanity, a non-profit Christian housing organisation with a mission to eliminate poverty housing worldwide by building simple, decent houses.

Key Charity Partners –investing in our communities

We remain conscious of the PwC Experience behaviours when choosing the charity partners we want to work with. We share and collaborate with them to address community needs that are in line with our CR strategy. We invest in relationships with our charity partners so that we can understand each other better and have a greater impact on the community. Conscious that the corporate and non-profit sectors can often approach the same issue from different angles, we put ourselves in the shoes of our key Stakeholders, and involve them in discussions to make sure we keep ourselves on the right track. Ultimately, we need to make sure that our mutual efforts create shared value for our Stakeholders, both in the community and at PwC.

Our charity partners are important Stakeholders in our community programmes and we place great value on their input in our stakeholder dialogue process. The top four issues identified by the NGOs were:

• Our community investment strategy,

• Embedding sustainability into our client services,

• CR reporting targets and strategy, and

• Engaging our people in CR activities.

For more details of our charity partners please see the community section of our CR website.

http://www.pwccn.com/home/eng/cr_index.html

PwC receives Caring Company Award

PwC Hong Kong was presented with a Caring Company Award by the Hong Kong Council of Social Services in 2011. Caring Companies receive this award for their good corporate citizenship and ongoing contributions to the economic and social development of Hong Kong.

PwC Taiwan black tea

After a huge earthquake devastated the rural community of Hsianchajiao (in central Taiwan) in 1999, the survivors set out to rebuild and recover, despite an absence of support from public resources. Forest Black Tea – a community-run organisation, is now a source of inspiration to the people at PwC Taiwan.

PwC Taiwan decided to support Forest Black Tea by “adopting” tea-growing land, providing assistance with elementary accounting, providing advice to help the community of Hsianchajiao with their business operations, and through regular purchases of tea.

Recognising our volunteers

International Volunteer Day, which lands on 5 December every year, is a day designated by the United Nations. The day recognises the contributions volunteers make in promoting global development.

Coordinated by the PwC China, Hong Kong, Singapore and Taiwan CR teams, the firms celebrated the day across the region. About 200 volunteers attended appreciation lunches and evening receptions across Beijing, Guangzhou, Hong Kong, Qingdao, Shanghai and Shenzhen. Representatives recalled their experiences on a range of education and environment-focused projects organised by the CR team and funded by PwC.

In November 2010, volunteers from the Dalian office helped out with a charity bazaar to raise money for orphans in a local child welfare institution.

In April 2011, volunteers from the Shanghai office continued to visit Yucai Migrant School where they played games with the children, and taught them various subjects, including English and mathematics.

In December 2010, more than 40 volunteers from the Macau office hit the streets for the 27th annual Walk for a Million charity event in Macau. With support from the PwC Foundation, they raised HK$ 28,000 for charities in Macau.

In January and February 2011, volunteers from PwC China’s Beijing office made a series of visits to a Beijing school where 16 children orphaned in the Qinghai earthquake (April 2010) were living. The children, from seven to 13 years old, enjoyed having fun with the PwC volunteers.

In July 2010, a team from PwC Hong Kong joined forces with a team from Standard Chartered Bank to volunteer for visually impaired children at a school for the blind.

In October 2010, 14 volunteers from the Qingdao office spent a day volunteering with children at the Qingdao Half the Sky children’s welfare institution.



Appendix 1

GovernanceThe Board of Partners consists of twenty elected members, in addition to the Senior Partner. Members of the Executive Board shall not normally be eligible for election to the Board of Partners. The Board of Partners is a committee representing all shareholders with respect to the business and operations conducted by the firm.

The Board has an oversight role and it serves as a link between the shareholders and the management of the firm. It reviews, approves and advises the Senior Partner and the Executive Board on many policy matters which may affect the rights, responsibilities, benefits and obligations of the shareholders.

The principal role of the Senior Partner is to oversee the overall strategy and direction of the firm; to deal with matters relating to

constitution, governance and partner affairs; to be the primary / country contact on international affairs / relationships; and to be primarily responsible for market positioning and overseeing lines of services and client service / delivery.

The Executive Board consists of the Senior Partner and the partners appointed by the Senior Partner.

The Executive Board is the principal executive decision making body for firm-wide strategic and operational decisions. The board comprises the Territory Management Boards and other members. The Territory Management Boards are responsible for evaluating operation issues and determining appropriate actions for further consideration and approval by the Executive Board. Other members of the board represent a cross-section of partners from lines of services, industries and geographies who bring a range of different perspectives to the decision making process.



GRI G3.1 Index Indicators description Reported Commentary and/or cross reference Page in report

1. Strategy and Analysis

1.1 Statement from the most senior decisionmaker of the organisation about the relevance of sustainability to the organisation and its strategy.

fully Message from the Chairman 1

2. Organisational Profile

2.1 Name of the organisation. fully About PwC 3

2.2 Primary brands, products, and/or services. fully About PwC 3

2.3 Operational structure of the organisation, including main divisions, operating companies, subsidiaries, and joint ventures.

fully About PwC 3

2.4 Location of organisation’s headquarters. fully About PwC 3

2.5 Number of countries where the organisation operates, and names of countries with either major operations or that are specifically relevant to the sustainability issues covered in the report.

fully About PwC 3

2.6 Nature of ownership and legal form. fully About PwC 3

2.7 Markets served (including geographic breakdown, sectors served, and types of customers/beneficiaries).

fully About PwC 3

2.8 Scale of the reporting organisation. partially About PwC Our CR performance - KPIs table

3; 5

2.9 Significant changes during the reporting period regarding size, structure, or ownership.

fully Message from the ChairmanAbout PwCAbout this report

1; 3 ; 9

2.10 Awards received in the reporting period. fully About PwC 4; 23

3. Report Parameters

REPORT PROFILE

3.1 Reporting period (e.g., fiscal/calendar year) for information provided.

fully Message from the ChairmanAbout this report

1; 9

3.2 Date of most recent previous report (if any). fully About this report 9

3.3 Reporting cycle (annual, biannual, etc.) fully About this report 9

3.4 Contact point for questions regarding the report or its contents.

fully GRI Index 46

REPORT SCOPE AND BOUNDARY

3.5 Process for defining report content. fully Defining our corporate responsibility agenda

13

3.6 Boundary of the report (e.g., countries, divisions, subsidiaries, leased facilities, joint ventures, suppliers).

fully About PwC Message from the Chairman

1; 3

3.7 State any specific limitations on the scope or boundary of the report.

fully About PwC Message from the Chairman Carbon footprint reporting criteria

1; 3; 47

3.8 Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations and other entities that can significantly affect comparability from period to period and/or between organisations.

fully About PwC Message from the Chairman Carbon footprint reporting criteria

1; 3; 47

3.10 Explanation of the effect of any re-statements of information provided in earlier reports, and the reasons for such re-statement (e.g. mergers/ acquisitions, change of base years/periods, nature of business, measurement methods).

fully About this report 9


3.11 Significant changes from previous reporting periods in the scope, boundary, or measurement methods applied in the report.

fully About PwC Message from the Chairman About this report

1; 3; 9

GRI CONTENT INDEX

3.12 Table identifying the location of the Standard Disclosures in the report.

fully 44-46

4. Governance, Commitments, and Engagement

GOVERNANCE

4.1 Governance structure of the organisation, including committees under the highest governance body responsible for specific tasks, such as setting strategy or organisational oversight.

fully Appendix 1 3; 43

4.2 Indicate whether the Chair of the highest governance body is also an executive officer (and, if so, their function within the organisation’s management and the reasons for this arrangement).

fully Appendix 1 3; 43

4.3 For organisations that have a unitary board structure, state the number of members of the highest governance body that are independent and/or non-executive members.

fully Appendix 1 43

4.4 Mechanisms for shareholders and employees to provide recommendations or direction to the highest governance body.

fully Defining our corporate responsibility agenda People

12-13

24; 43

STAKEHOLDER ENGAGEMENT

4.14 List of stakeholder groups engaged by the organisation.

fully Defining our corporate responsibility agenda

12-13

4.15 Basis for identification and selection of stakeholders with whom to engage.

fully Defining our corporate responsibility agenda

12-13

5. Management Approach and Performance Indicators

Economic Performance Indicators

Aspect: Economic Performance

EC2 Financial implications and other risks and opportunities for the organisation’s activities due to climate change.

fully Environment 33

Environmental Performance Indicators

Aspect: Energy

EN4 Indirect energy consumption by primary energy source.


EN26 Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation.

partially Environment 28-31

Aspect: Compliance

EN28 Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with environmental laws and regulations.


EN29 Significant environmental impacts of transporting products and other goods and materials used for the organisation’s operations, and transporting members of the workforce.




Labour Practices and Decent Work Performance Indicators

Aspect: Training and Education

LA10 Average hours of training per year per employee by gender and by employee category.

partially Our CR performance - KPIs table 5

LA11 Programs for skills management and lifelong learning that support the continued employability of employees and assist them in managing career endings.

fully People 22

LA12 Percentage of employees receiving regular performance and career development reviews per gender.

fully People 22

Aspect: Diversity and Equal Opportunity

LA13 Composition of governance bodies and breakdown of employees per category according to gender, age group, minority group membership, and other indicators of diversity.

partially People Appendix 1

24; 43

Society influence indicators

Aspect: Compliance

SO3 Percentage of employees trained in organisation’s anti-corruption policies and procedures.

fully Marketplace 17

SO8 Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with laws and regulations.


Product Responsibility Performance Indicators

Aspect: Marketing Communication

PR5 Practices related to customer satisfaction, including results of surveys measuring customer satisfaction.


PR8 Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data.


Carbon Footprint Reporting Criteria

Sources and calculation methods PwC selected the calculation-based quantification methodology as there are appropriate emission factor guidelines that have been released by authoritative sources covering PwC’s activities.

• 2010 Guidelines to Defra / DECC’s GHG Conversion Factors for Company Reporting

• Environmental Defense Fund (EDF) Paper Calculator

• China Electricity Grid Emission Factor 2010 - Ministry of Environmental Protection of the People’s Republic of China, National Development and Reform Commission

• Guidelines to Account for and Report to GHG Emissions and Removals in HK 2010

• WWF Hong Kong Carbon Accounting Manual 2009

• Singapore Ministry of the Environment and Water Resources - Key Environmental Statistics

LimitationsOffice electricity consumption data was unavailable for four offices in China: Xian, Ningbo, Xiamen and Suzhou. In terms of headcount this represents approximately 1% across PwC CaTSH.

Also, due to office renovations and relocations the list of specific office locations covered in this report is not provided. We will consider including this in the future.

Shared base building electricity consumption represents electricity consumption in the common areas shared by all tenants in the buildings where PwC operates. PwC’s share of common electricity consumption is based on data controlled by the building owners; which we are unable to independently obtain or verify at this point .

We will continue to look for ways to improve our data collection in the future.

Scope Emission source CN HK Singapore Taiwan

Scope 1 Company cars √ - - -

Scope 2 Purchased Electricity √ √ √ √

Scope 3 Purchased Paper √ √ √ √

Overnight Accommodation √ √ √ √

Air Travel √ √ √ √

Taxi Travel √ √ √ √

Leased shuttle bus - √ - -

Electricity Transmissions Losses

√ √ √ √

Our carbon footprint is reported in accordance with the World Resources Institute and the World Business Council for Sustainable Development Greenhouse Gas Protocol (2004, Revised Edition).

The reporting period covers the twelve month period July 2010 to June 2011.

We have defined all permanent premises as all those that PwC occupies for the purpose of conducting PwC activities, including all PwC owned and managed leased assets within our operational control.

• Direct emissions (scope 1) – PwC measures and reports emissions resulting from the use of company cars.

• Energy indirect emissions (scope 2) – PwC measures and reports scope 2 emissions which includes all electricity consumed within offices deemed to be within its operational control.

• Other indirect emissions (scope 3) – PwC measures and reports scope 3 emissions relating to paper, business related travel, electricity transmissions and distribution losses.

The scope of our carbon footprint calculations covers the following 21 PwC China & Hong Kong, Singapore and Taiwan locations:

Beijing, Chongqing, Chungli, Dalian, Guangzhou, Hong Kong, Hsinchu, Kaoshiung, Macau, Ningbo, Qingdao, Shanghai, Shenzhen, Singapore, Suzhou, Taichung, Taipei, Tainan, Tianjin, Xiamen and Xi’an.

GRI Application Level

C C+ B B+ A A+

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Third Party Checked

GRI Checked


Contact informationFor questions or comments on this publication, please contact:

Callum Douglas [email protected]

Aleksandra Nocon [email protected]

Anita Louis [email protected]

Ivan Liu [email protected]

© 2012 PwC. All rights reserved. PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see http://www.pwc.com/structure for further details.

This is printed on Revive 100 which is made with an elemental chlorine free process and fibre from well-managed forestry with 100% post consumer waste. Revive 100 is ISO 14001 certified.

Documents

· China, Hong Kong and Singapore firms. With the recent addition of PwC Taiwan to our group, this report now covers the PwC China, Hong Kong, Taiwan and Singapore firms. In line