In a landmark move that promises to reshape professional services, global organizations KPMG and Microsoft have announced an extensive expansion of their relationship. This strategic collaboration is set to revolutionize business-critical areas such as workforce modernization, secure development, and the utilization of Artificial Intelligence (AI) solutions for clients and industries worldwide. With a multi-billion dollar commitment from KPMG in Microsoft cloud and AI services over the next five years, this alliance is poised to unlock significant growth opportunities for KPMG, estimated to surpass US$12 billion.

Supercharging the Employee Experience with AI

A key focus of this alliance is to empower KPMG’s vast global workforce of 265,000 professionals, harnessing the capabilities of Microsoft’s cloud and Azure OpenAI Service. By doing so, KPMG’s workforce will be better equipped to unleash their creativity, analyze data more efficiently, and allocate more time to delivering strategic advice to clients. This strategic advantage will enable KPMG to stay ahead in an ever-evolving AI landscape, solving complex business challenges, and positioning themselves for future success in the rapidly transforming world of work.

Early Access to Cutting-Edge Technologies

As part of this collaboration, KPMG will serve as an early access partner for Microsoft 365 Copilot and Azure OpenAI Service. This allows KPMG professionals to pilot these groundbreaking technologies with select business groups across the organization, integrating their expertise, insights, and industry knowledge to enhance client engagements and accelerate the development of digital solutions.

A Bright Future for KPMG’s Core Business Areas

This expansion of the global alliance between KPMG and Microsoft will have a significant impact on the firm’s core business areas, including audit, tax, and advisory services.

Audit Transformation through AI and Data Analytics

By infusing data analytics, AI, and Azure Cognitive Services into the audit process through the KPMG smart audit platform KPMG Clara, 85,000 audit professionals will be empowered to focus on higher-risk areas, sector-specific risks, and challenges. This integration opens up new market opportunities for KPMG, and with the use of Microsoft Fabric, KPMG teams can perform audits in real-time by directly pointing to client data.

Tax Advancements with AI Solutions

Integrating Azure OpenAI Service and Microsoft Fabric into KPMG Digital Gateway will give clients access to KPMG’s full suite of Tax & Legal technologies, providing transparent access to data and holistic management of tax functions. A recently developed AI solution using the Azure OpenAI Service enables the analysis of environmental, social, and governance (ESG) data and the drafting of ESG tax transparency reports, all at increased speed and scale. Additionally, a generative-AI powered “virtual assistant” will enhance revenue-generating opportunities and support tax professionals in becoming more efficient.

AI-Enabled Solutions in Advisory Services

The partnership also aims to create an AI-enabled application development and knowledge platform on Microsoft Azure, expediting the creation of specialized solutions for clients to enhance their competitive advantage and profitability. Ethical and secure practices will remain at the core of these offerings, as KPMG and Microsoft strive to provide cutting-edge services that align with clients’ needs and values.

Supporting Sustainability and Social Impact

KPMG and Microsoft will work together to support businesses with their environmental, social, and governance (ESG) agendas. This includes leveraging AI-powered solutions such as the KPMG Circularity Tracker and an ESG and climate data management and analytics solution, both based on Microsoft Cloud for Sustainability and Microsoft Azure. These solutions will help clients make real-time value-add decisions and fulfill their sustainability commitments.

A Shared Vision for Social and Community Impact

Beyond commercial interests, KPMG and Microsoft are committed to joint opportunities that drive social and community impact on a global scale. Initiatives like the UNESCO global education coalition and KPMG’s 10×30 strategy to empower 10 million underprivileged youths by 2030 through education, employment, and entrepreneurship opportunities are testament to their dedication to making a positive difference in society. Furthermore, both organizations will collaborate to enhance the reliability of carbon accounting through the Carbon Call, reinforcing their commitment to sustainability and environmental responsibility.

Conclusion

The expanded alliance between KPMG and Microsoft marks a groundbreaking milestone in the professional services industry. Through this transformative partnership, KPMG is poised to harness the power of AI and cloud technologies, revolutionizing their core business areas and driving exponential growth. By providing KPMG professionals with early access to cutting-edge tools and technologies, they can enhance client engagements and deliver solutions that align with the rapidly evolving business landscape. Moreover, the alliance’s commitment to sustainability and social impact showcases the shared values of KPMG and Microsoft, as they work together to create a brighter future for society and industries worldwide. As this strategic collaboration unfolds, the global professional services landscape is set to witness unprecedented advancements, unlocking the full potential of AI and cloud technologies to fuel innovation and drive success for clients, industries, and society at large.