Governance at KPMG in Brazil G4-38 | 39 | 41 | 42 | 47

Our local governance structure adheres to the standards established by KPMG International and has its own additional bodies for management coordination and oversight, in accordance with Brazilian law. The model in place favours dialog between leaders and other partners and professionals, ensuring all areas are represented at the Organisation's primary decision making bodies.

Partners - All partners are called to quarterly meetings for strategic alignment and to report on results. In addition, all partners attend statutory annual meetings to approve reports and discuss other subjects related to the business. We also organise periodic business group meetings through bodies such as KPMG’s Network of Women (KNOW) and the Profit Sharing Committee. Read more here (Know).

Chairperson - The chairperson is the principal local executive and is appointed by peers for a term of three years, renewable for a further two like terms. Within this limitation, we promote leadership rotations and encourage various partners to join senior management, maintaining our succession process. G4-39

As part of the career development process, professionals showing outstanding performance become partners and can apply as candidates for chair, provided they meet the requirements established in our bylaws.

Chief Operating Officer (COO) - The COO is responsible for management and representation on the Executive Committee of each administrative area, including Corporate Citizenship & Diversity; Marketing; People, Performance & Culture; Learning & Development; Controllership; Financial; Facilities; and Information Technology.

Executive Committee - The Executive Committee is composed of the chairperson and up to eight partners appointed by the chairperson, generally the heads of the relevant practices, who continue to perform their responsibilities in servicing clients. As an executive body with both management and strategy functions, its standing membership includes no independent, non-executive members. The Executive Committee is supported by the General Meeting in discussing and approving strategic and management guidance. G4-38

Together, the chairperson and the Executive Committee are responsible for reviewing the purpose, vision, mission and values of the Organisation, as well as for the planning, supervision and general management of activities, including defining goals for local growth and determining the strategic management of business areas, ensuring consistency with global strategy. G4-42

The Executive Committee is supported by:

Disciplinary Committee - Investigates suspected violations of rules and policies by our professionals. This committee consists of practice heads and the heads of Human Resources, Performance and Culture, the Risk Management partner and the Chairperson. Read more here. G4-41

Finance Committee - Responsible for the financial management of the organisation, including investment and short-and long-term cash flow management.

Operations Committee - Consisting of the chairman, the Audit, Tax and Advisory heads, the COO and the head of Markets, the Operations Committee is active in the day-to-day conduct of business, working towards the goals set out in the strategic plan.

Compensation Committee - Composed of three members of the Executive Committee (not including members of the operations committee), the Compensation Committee addresses the compensation rules applying to partners.