KPMG: Story of salvation?

As a young person growing up in church, I’ve heard the message of salvation being preached. Curious, and probably literal to a fault, I decided to look up the meaning of salvation. If memory services, my Webster dictionary stated that it was ‘the act of being saved’. From a Biblical perspective, we come to that place of salvation when we confess our sins before God, repent in the name of Jesus and by faith believe we are forgiven. Then begins the arduous journey of reforming ourselves…

What does this have to do with KPMG? Maybe nothing, maybe everything.

In May 2005, KPMG learnt that it was facing indictment from the Justice. One month after, then Chairman, Eugene O’Kelly, learns that he has a brain tumor with only months left to live. Five days later Timothy Flynn, personable accountant and one time HR head, is appointed chairman.

At this point I’m wondering- what the hell was Flynn thinking? Voluntarily stepping up to captain a sinking ship (or maybe that’s stepping down if the ship is sinking?).

Charged with this seemingly impossible task, Mr. Flynn did the unthinkable for most corporate leaders, he admits wrong! Three days after taking up his position as Chairman, Flynn admits to Justice that KPMG improperly sold shelters designed to evade taxes.

Risky? Yes. The act of a desperate man at the edge of cliff? Probably. A leap of faith? Hell yes- I mean, what else is a desperate man at the edge of a cliff expected to do?

This gutsy move gave KPMG a second lease on life. In August 2005, prosecution was deferred with the company having to meet some strict requirements. But in November 2006, Flynn was able to report that KPMG’s revenues had grown by 2% and in January this year, the deferred criminal charge against KPMG was finally dropped.

Admittedly it wasn’t smooth sailing after Flynn’s public confession, and KPMG still has some rough waters ahead, but hey that’s the story of salvation. The battle doesn’t stop after our ‘amen’. God speed Mr. Flynn!