Mazars Denge - Sustainability Report 2018

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S U S TA IN A B IL I T Y R EP O R T 2 018


TIME TO AC T F O R S U S TA I N A B I L I T Y

ALEXANDRINE PARAKEET / PSITTACULA EUPATRIA


The primary goal of our 2016 report was to raise awareness on the issue of sustainability. For that purpose, we created a concept using the Nautilus, one of the oldest existant species on earth, alongside the golden ratio hidden in the Fibonacci sequence. For our 2017 report, we selected bioluminescent organisms as our main concept to remind that awareness levies a responsibility of to enlighten those around us. In our 2018 report, we wanted to draw attention to the necessity that the responsibility of awareness must drive all organizations into action through an integrated

Mazars Denge is fully aware of the tremendous

approach and without delay. And while doing so, we

impact of environmental disasters caused by global

wanted to display the rich diversity of colors in nature

climate change on social issues targeted in Sustainable

by showcasing a collection of bird species native and

Development Goals, such as poverty, hunger, health,

migrating to Turkey.

sanitation, inequality, peace, and justice. According to World Meteorological Organization (WMO) data,

Accordingly, one of the key actions of the year

average global temperature in 2018 was the fourth

2018 for Mazars Denge was the implementation of

highest on record. In its 2018 report, UN Food and

the Balanced Scorecard methodology, which has led

Agriculture Organization (FAO) urged nations to take

all offices to adopt a four-faceted performance card

action for protecting forests and forest wildlife, based

that focuses on responsible revenues, processes,

on the fact that the world’s forests, which absorb

customer relations, and employee development

around 2 billion tonnes of carbon dioxide every year,

& learning organization. Based on the principle of

are disappearing with each passing day. According

balancing the organization’s revenues with its social

to World Wildlife Foundation (WWF), as of 2018, 18

and environmental impact, this approach has made it

animal species are classified as critically endangered,

possible to take into account parameters other than

and a further 29 are endangered.

simple financials. Mazars Denge chose birds as the main theme of its 2018 report to stress the need to act now on behalf of all silent stakeholders residing in our world that bear the brunt of humanity’s harmful patterns of behavior such as short-term thinking, growth-oriented action, maximizing self-interest, using money as the sole means of measurement, and an economic model that is based on extreme competition and consumption.


CONTENTS

8

About the Report

10

Message from the Chairman

12

Message from the CEO / Sustainability Ambassador

14

About Mazars Denge

15

Corporate Values

16

Mazars Denge by Numbers

18

Corporate Profile

22

Services

28

National and International Memberships / Partnerships

30

Sustainable Value Creation for Mazars Denge

30

Stakeholder Analysis

32

Material Issues

34

Sustainable Development Goals

36

Value Creation Model

38

Sustainability Approach

42

Corporate Governance

43

Corporate Governance Structure

46

Risk Management Strategy and Priorities

47

Ethical Principles

47

Quality Assurance System

48

Financial Capital

48

Generating Responsible and Sustainable Revenue

50

Sustainable Service Approach


52

Human Capital

56

Sustainable Employee Development

58

Employee Commitment and Satisfaction

59

Equal Opportunity and Diversity

60

Social and Relational Capital

61

Client Focus

63

Supporting Societal Development

67

Collaborations with Academic and Educational Institutions

68

Disseminating the Sustainability Approach

70

Intellectual Capital

70

71 Intrapreneurship

72

Natural Capital

73

75

Annexes

76

Innovation In Services and Digital Transformation

Reducing Environmental Impact

ANNEX 1: UN Global Compact: Principles and Mazars Denge

77

ANNEX 2: Mazars Denge Supplier Criteria

78

ANNEX 3: Mazars Denge Human Resources

Key Performance Indicators and 2019 Targets

80

ANNEX 4: GRI Standards Content Index

86

Sustainable Development Goals


ABOUT THIS REPORT

Mazars Denge places its values and employee

sustainability issues as identified by stakeholder surveys.

development, or in other words, the human aspect,

The report has been prepared in accordance with the

at the focus of its operations as it strives to generate

GRI Standards:

responsible revenue while creating sustainable value

Comprehensive option, and in line with the Professional

for all stakeholders, including customers and the

& Commercial Services guideline published by the

environment. The main purpose of this report is to share

Sustainability Accounting Standards Board (SASB).

Mazars Denge’s approach and practices with respect

The report also includes progress reports on the

to sustainability, which forms an integral aspect of the

implementation of UN Global Contact principles, UN

company’s philosophy, and display the progress it has

Sustainable Development Goals, and UN Women’s

achieved in this area. Mazars Denge also hopes to raise

Empowerment Principles, to which Mazars Denge is a

awareness on the concept of sustainability in general,

signatory.

and foster closer contact with all its stakeholders. This third sustainability report discloses Mazars Denge's

All efforts into sustainability at Mazars Denge,

sustainability performance based on integrated thinking

including sustainability reporting, are carried out

approach. The report covers the 12-month period

by the Sustainability Committee. Mazars Denge

from January 1 to December 31, 2018, and explores

2018 Sustainability Report was prepared under the

the company’s performance with respect to material

supervision of Prof. Dr. Güler Aras.


EUROPEAN GOLDFINCH / CARDUELIS CARDUELIS

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MESSAGE FROM THE CHAIRMAN No line of business, profession, or enterprise can be expected to survive today without the support of new technologies.

Dear Stakeholders, An old Greek proverb says, “What is impossible today, may be possible tomorrow.� In fact, can we expect anything to remain impossible in the days to come? Are not the things we consider utopian today the actualities of tomorrow? Throughout history, many brilliant minds, science-fiction authors, astrophysicists and scientists were ridiculed, and at times punished, for what they dared to claim. Yet, are not the inventions of today the utopias of yesterday? If anyone was to assert 40 or 50 years ago that robotics would become one of the key fields of technological advancement, and even go as far to express concern that robots may surpass humanity one day, the society would surely question the sanity of that person. Yet, no line of business, profession, or enterprise can be expected to survive today without the support of new technologies. I am convinced that adapting to this change is essential,

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and that in the near future, humanity will utilize these

Yet, I prefer to be optimistic, and hope that our society

technologies to immensely augment our abilities and

will overcome these challenges, as it has done many

open up new horizons.

times in the past.

In the last year’s sustainability report, I shared my view

In the hope of a more beautiful, better and more livable

that artificial intelligence, despite the risks and concerns

world, I would like to express my heartfelt gratitude to

associated with technology, might have a positive impact

everyone who contributed in the creation of this year’s

on environmental issues, and that it might change

report, especially our consultant Prof. Dr. Güler Aras for

our world in a few short years. I believe that, in time,

her diligence, and our CEO Dr. İzel Levi Coşkun.

these new technologies will be vital in the struggle against hunger, poverty and in the efforts to stop wars and injustice, and may even completely eliminate such tragedies in the future. That being said, I do not deny the risks they pose and concerns they raise, as I mentioned above. In fact, I think that one of the most important risks involved is the possibility that information and technology come to be

LEON ASLAN COŞKUN, CPA

the exclusive domain of the technological elite, leading

Chairman

to the birth of a new upper class in the society.

Mazars Denge

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MESSAGE FROM THE CEO / S U S TA I N A B I L I T Y A M B A S S A D O R As technological advances begin to control all aspects of our lives and even the relative flow of time, I cannot help but wonder if what faces us is an opportunity or a threat.

Dear Stakeholders, 2018 was a year of grave economic, social, and environmental problems. At the same time, these issues served as a wake-up call to understand how important integrated thinking is in order to fulfill our responsibilities towards future generations. The speech delivered by climate activist Greta Thunberg on behalf of her generation at the COP24 conference in Katowice was an important lesson to older generations who now hold the economic power. Greta called students across the globe for climate action on Fridays instead of going to school. We will see together what impact her activism will have in the near future. Meanwhile, as technological advances such as blockchain, IoT, artificial intelligence, machine learning, Big Data and virtual reality begin to control all aspects of our lives and even the relative flow of time, I cannot help but wonder if what faces us is an opportunity or a threat. If they do present a threat, I think the most important risk here is despite the breathtaking pace of digital transformation, persisting in our deep-rooted patterns of behavior, where we believe we can control the entire world without an integrated way of thinking.

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In this new era, where we will have to redefine many

management and employee development & learning

familiar concepts and revise our way of doing business,

organization, was finalized and implemented in 2018.

it would spell disaster for all of us if companies deem

We aim to expand this measurement model across our

digital transformation as irrelevant, independent, or

entire performance system in 2019.

conflicting with regards to the Sustainable Development Goals.

As the 2018 report’s “call to action” evokes feelings of freedom, we have chosen birds as our main theme this

Accordingly, I believe that Mazars Denge, as an

year, to spread awareness of endangered species while

organization guided by integrated way of thinking, plays

underlining our commitment of inclusivity and diversity.

a crucial role in this process. After focusing on the

As we proudly present our GRI, SASB Professional

concepts of “awareness” and “responsibility” in our last

& Commercial Services and AA1000SE Stakeholder

two reports, our 2018 report focuses on the aspect of

Engagement standards-compliant and SDG-compatible

“action”, where we took many significant steps that align

report to you, I sincerely hope that Goal 17, “Partnership

with our past goals and concern digital transformation.

for the Goals” becomes a key item of our agenda now

In addition to Internal Services that commenced

more than ever.

during the year, such as Corporate Governance and IT Compliance, Intrapreneurship and Coding, I believe that the value we create for our employees and other stakeholders, as well as our SDG-compatible efforts have brought us one step closer to our goal of integrated reporting with this year’s report. Meanwhile, the measurement model we launched in 2017, which follows the Balanced Scorecard model to take into account

DR. İZEL LEVİ COŞKUN

parameters other than monetary indicators, such as

CEO / Sustainability Ambassador

responsible revenue, processes, customer relations

Mazars Denge

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ABOUT MAZARS DENGE VISION

MISSION

To be the most reputable

While generating income

company in our sector through

responsibly, creating sustainable

an unshakable commitment to

value for all stakeholders.

offering reliable, high-quality boutique services.

HOOPOES / UPUPA EPOPS

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MAZARS DENGE'S CORPORATE VALUES RESPEC T FOR LIFE , NATURE , AND CULTURE For Mazars Denge, respect for people and nature is the central point of its relationship with all stakeholders. This point of view also allows the company’s staff to express themselves as they are.

ETHICS Mazars Denge employs an ethical approach that can be described as a combination of utilitarian ethics, which

TECHNICAL EXCELLENCE

seeks the overall benefit of stakeholders including the society and the environment, and care ethics, which

At Mazars Denge, technical excellence begins with

focuses on the importance of emotional relationship of

recruitment and is supported with on-the-job training,

empathy. Mazars Denge implements this approach in its

general technical training and competence-based

daily operations through a professional ethics guideline.

training. Technical excellence is one of the key pillars of Mazars Denge’s principles of quality service and

BOUTIQUE SERVICES

independence.

Mazars Denge’s boutique service approach is shaped by

INDEPENDENCE

the four principles of: 1. Senior level attention

Mazars Denge enjoys a reputation of an “honest and

2. Quick access, and quick result

objective” solution partner among all of its stakeholders

3. Creative and tailored solution

thanks to its uncompromising independence and

4. Proactivity

impartiality. The principle of independence requires full conformity with the international norms as mandated by Mazars’ head office.

Mazars Denge focuses on a single objective in all of its activities: “Creating sustainable value for the society and all stakeholders”

CONTINUOUS DEVELOPMENT For Mazars Denge, • curiosity, • an inquisitive mindset, • the ability to benefit from past experiences, • the capacity to learn from one another, • and being open to innovation

Mehmet Utkan Oflaz – AOS – Manager

are key parts of cultural dynamics. As an innovative

I have spent the majority of my professional life within the Mazars Denge family, and developed myself in line with the organization’s sustainability philosophy. I am certain that this philosophy will allow Mazars Denge to make a positive difference for all stakeholders in the years to come.

organization, Mazars Denge strives to share with its stakeholders the know-how it has obtained through these dynamics.

Assoc. Dr. Burcu Adiloğlu – Istanbul University Institute of Accountancy – Assistant Director In a time when public sensitivity and awareness on sustainability-related issues are maybe at their highest, an audit and consulting firm’s devoted commitment to this issue is nothing short of commendable. Your efforts raise our hopes for the future.

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Flamingos, Lake Manyas , BalÄąkesir

MAZARS DENGE BY NUMBERS Offices

7

Partners

Employees*

Clients

369 34 1.475

*The figure does not include the employees of the corporate consulting company Prokon, a member of Marcalliance. 16


2018 REVENUE DISTRIBUTION

%

44

%

17

%

5

34

TAX Services

Audit Services

Consulting Services

Accounting Services

17

%


CORPORATE PROFILE

ABOUT MAZARS A fully-integrated global firm, Mazars offers professional Audit, Accounting, Tax and Consulting Services. As of January 1, 2019, Mazars operates in 104 countries and regions with 89 international integrated partnership locations and 15 Mazars liaison offices. Through Praxity Alliance’s professional teams, Mazars’s global reach is further increased with an additional 19 countries. Mazars leverages the expertise of 23,000 employees across the globe in 310 offices of 1,040 partners. Mazars serves clients of all sizes and in all stages of development from medium-scale enterprises to global corporations and from startups to public agencies.

İstanbul Bursa Ankara İzmir Denizli Gaziantep

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ABOUT MAZARS DENGE Clients of Mazars Denge receive the same level of quality in Tax, Audit, Accounting and Consulting services in the company’s Istanbul, Ankara, Bursa, Izmir, Denizli and Gaziantep offices, and enjoy the privilege of the senior attention by 34 partners, including 15 certified public accountants, and 16 directors, all of whom directly address the needs of clients.

EURASIAN BULLFINCH / PYRRHULA PYRRHULA

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MILESTONES

1977 Establishment as an accounting and tax firm

1988 Audit services are launched

2001 Accounting Outsource Services are restructured

1989 Tax services are organized under a separate department

2008 Transfer pricing services are launched

2008

2011

Mazars Denge is named Turkey’s Top Tax Firm by International Tax Review

Mazars Denge is named Turkey’s Top Tax Firm by International Tax Review

2012 Corporate Finance, Internal Audit and Strategic Consulting services are launched

2012 Gaziantep Office opens

2013 Izmir Office opens

2016

2017

Sustainability Committee is formed, marking the beginning of systematic efforts on sustainability

40 anniversary th

2017 French and Italy Desks are established

2017 Mazars Denge receives Sustainability Report of the Year (SME) Award by the Sustainability Academy

Flamingos, Lake Manyas, Balıkesir

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1998 1995

Partnership with Mazars

Management consulting services are launched

1994

2009

2009

Ankara Office opens

Mazars Denge is named Turkey’s Top Transfer Pricing Firm by International Tax Review

Mazars Denge begins to provide training services with Denge Academy

2009 Bursa Office opens

2015 2013 Denizli Office opens

World Tax 2015 recognizes Mazars Denge as one of Turkey’s Top Tax Consulting Firms

2015 China Desk is established

2017 The restructured Consulting Services department begins to provide • Strategic Management Consulting, • Internal Audit, • Corporate Finance, • Financial Due Diligence, • Information Technologies Audit, Security and Consulting services PCI DSS certification is obtained

2018 Management & Organization and Human Resources Consulting Services Unit is formed

2018 Greece Desk is established

2018

2018

Governace and IT Compliance Department is formed

Intrapreneurship Department is formed

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SERVICES Mazars Denge provides auditing, accounting, tax and consulting services to clients from various industries. Sharing its expertise and experience with clients through its boutique service approach, Mazars Denge combines technical excellence with the personal skills of its teams, delivering tailored solutions to a variety of clients from large enterprises to public firms, and SMEs to sole proprietorships.

TAX SERVICES Full Certification Tax Consulting Tax Review Transfer Pricing VAT Return Tax Due Diligence Tax Litigation AUDIT SERVICES Independent and Special Purpose Audit ACCOUNTING AND OUTSOURCING SERVICES General Accounting Payroll Services Management Reporting Account Review CONSULTING SERVICES Corporate Finance Strategic Management Consulting Information Technologies Audit, Security,

and Consulting Services

Financial Due Diligence Corporate Governance, Risk, Control, Internal Audit

and Forensic Services

Management & Organization and Human Resources

Consulting Services

CIRCULARS Amendments to Tax Legislation DENGE ACADEMY Training COUNTRY DESKS China, Italy, France, and Greece Desks

BLUE-CHEEKED BEE-EATER / MEROPS PERSICUS

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TA X SERVICES

THE DIFFERENCE OF MA Z ARS DENGE’S SERVICES: ✦ As part of its boutique service approach, Mazars

Mazars Denge offers tax consulting, full certification, review, transfer pricing, VAT return and tax due diligence services.

Denge maintains a uniform quality of service for all clients by conducting frequent senior-level visits, preparing mid-term reports, and developing creative

Mazars Denge employs specialized tax audit (due

solutions for technical matters.

diligence) teams who have been trained under the company’s experience of 42 years. These expert certified teams diligently review client documents and records

✦ Continuously improved CAP audit software increases tax audit team efficiency and reduces workload for clients’ accounting departments.

under the Law No. 3568 on Independent Accountancy,

✦ Tax services in all Mazars Denge offices are rated

Independent Public Accountancy and Certified Public

by quality controls developed by the company’s

Accountancy, reporting their findings to the client’s

tax partner in charge of quality assurance, thereby

management. Through these reports, Mazars Denge aims to notify the client of any transactions or errors that may present a tax risk to inform corrective measures,

further enhancing Mazars Denge’s service quality. ✦ Each month, CPAs and directors in all Mazars Denge offices convene for a technical meeting led by

and ultimately protect the client from any negative

the Chairman, during which changes in legislation,

consequences of a tax audit.

newly published articles, communiques, and special

At the same time, Mazars Denge benefits from the

instructions are discussed.

global competence and deep technical insight of its specialist team to provide the following Transfer Pricing services aimed at identifying and minimizing financials risks to its clients: ✦ Annual Transfer Pricing Reporting and report evaluation ✦ “Risk Analysis Report” ✦ Transfer Pricing Planning Study (Master File) ✦ Consulting on the filing of Corporate Tax Statement annex “Transfer Pricing, Controlled Foreign Corporation and Discretionary Capital Form” ✦ Intra-group service contract evaluation, control, and risk assessment ✦ Defense services ✦ Advance Pricing Agreement Mazars Denge’s Tax Department provides VAT return services for firms that are eligible to receive Value Added Tax return either directly or on account. These services include preparing Certified Public Accountant reports by creating VAT lists, calculating return amounts, performing affiliate audits, cross audits, and analytics, as well as responding to control reports and providing counsel for the process.

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INDEPENDENT AUDIT SERVICES

CONSULTING SERVICES Mazars Denge supports clients in achieving their

Mazars Denge offers clients independent and special-

targeted level of development in managerial, digital and

purpose audit services with international standards.

financial aspects of their business through its Consulting

The company holds all significant professional

Services department, which was restructured in 2017.

authorizations granted by national and international

MAIN AREAS OF BUSINESS

organizations. Mazars Denge is licensed in Turkey by the PCAOB (Public Company Accounting Oversight

✦ Corporate Finance Services (Valuation, Merger, and Acquisition Consulting & Other Corporate Finance Services)

Board), the organization that authorizes external audit companies to carry out audits of public companies in the United States under the Sarbanes-Oxley Act. All audits

Drawing from its extensive experience in corporate

meet International Auditing Criteria and include all

finance, the department offers valuation, merger and

procedures deemed necessary for verifying the accuracy

acquisition consulting, pre-IPO consulting, financial

of accounting records.

modeling, project finance and capital markets regulation consulting services.

THE DIFFERENCE OF MA Z ARS DENGE’S SERVICES:

✦ Strategic Management Consulting Services

✦ Mazars Denge’s audit team is among Turkey’s

The Strategic Management Consulting Department

best in terms of insurance experience. Employees

delivers high-quality systematic solutions for

who join the Mazars Denge team after serving as

managerial problems faced by businesses. Mazars

independent auditors followed by a career in the

Denge’s Management Consulting team benefits from

insurance industry have brought with them a unique

a deep-rooted experience and know-how on sectoral

and valuable customer insight.

developments, as well as strategic and operational needs

✦ Expert teams carry out internal controls as well as

and issues.

information technology analyses for identifying the main risks within the scope of the audit, enabling the preparation of management letters that create added

✦ Corporate Governance, Risk, Control, Internal Audit, and Fraud Audit Services

value for the client while enhancing audit quality.

Mazars Denge provides Corporate Governance, Risk, Control, Internal Audit and Fraud Audit Services to

ACCOUNTING SERVICES

improve risk management in client businesses. Today, the importance of risk management for businesses is greater than ever due to the competitive environment,

Mazars Denge offers its clients the option to outsource

legislative and regulatory obligations, changing

their accounting departments either partially or

management needs and growing use of technology.

completely. This option provides a sustainable

Mazars Denge supports businesses of all sizes from a

alternative to in-house accounting departments and

variety of industries, enhancing their risk management

costly investments in computer hardware, personnel,

capability, and in turn, contributing to their development.

and accounting software. Accounting services include bookkeeping, tax statements, accounting revisions, payment transactions, international reporting, and payroll services. THE DIFFERENCE OF MA Z ARS DENGE’S SERVICES: ✦ Mazars Denge partners in senior management of the accounting department are experts in the fields of accounting and international tax, bringing the company’s accounting teams a new vision and allowing them to create greater added value for clients.

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DENGE ACADEMY

✦ Information Technologies Audit, Security, and Consulting Services In today’s world where commerce, industry and society

Denge Academy offers boutique training courses in a

are dominated by the effects of digital transformation,

wide range of professional topics, delivered by expert

safeguarding information is as important as acquiring it in the first place. Information security, cyber security, and IT audit services provided by Mazars Denge’s competent and solution-oriented team support clients in developing business processes in line with their targeted strategical approaches in three key areas:

instructors.

FR ANCE DESK Mazars Denge France Desk was established in 2017 to better serve France-based businesses that operate in

1. Compliance and Governance

Turkey, as well as Turkey-based businesses looking to

2. IT Competences

enter the French market.

3. Technical Infrastructure Mazars Denge holds all required certificates for Cobit

✦ FinTech

4.1, Cobit 5, PCI DSS 3.2, ISO 27001:2013, NIST Cyber

Mazars Denge joined Business France’s FinTech

Security, PDPL compliance processes, BRSA’s IT regulations and standards, and ICTA’s IT regulations and standards.

event on April 25, 2018 as a knowledge partner. Mazars FinTech specialist Alexandra Kritchmar, Mazars Denge IT Audit, Security and Consulting

✦ Financial Due Diligence Services

Services Partner Ateş Sünbül, and Senior Manager

Mazars Denge Financial Due Diligence Services

Merve Efe delivered speeches that discussed

Department provides assurance for sellers and

developments in financial technologies.

buyers in business acquisitions through objective

Mazars Denge prepared digital content as well as

and comprehensive analyses of the organization’s

a conference booklet featuring articles by experts

performance and current situation. Financial Due

from various Mazars countries in preparation for the

Diligence Services team evaluate the reliability of

international conference, which was attended by 170

accounting practices as well as the financial statements

people.

of the business subject to due diligence, and assess the acquisition investment in terms of risks and advantages, thus supporting investors in making accurate decisions. The department offers the following services: • Financial Due Diligence • Dataroom Management and Consulting

Mazars Denge at French-Turkish FinTech Industry Summit

Alexandra Kritchmar’s Speech

• Financial Consulting • Financial Analysis and Interpretation

✦ Invest in France

• Training

Mazars Denge was the sole sponsor of the “Invest in France 2018” seminar and dinner event, which was organized by Business France on November 12, 2018.

✦ Management & Organization and Human Resources Consulting Services

The event was hosted by French Ambassador Charles Fries, and attended by France’s Consul General in

Mazars Denge offers design, development and

Istanbul, Bertrand Buchwalter.

implementation consulting services aiming to develop

During the seminar, Mazars speaker Frédéric

all systems of companies and organizations from culture

Barat delivered a presentation on “R&D Incentives

to strategy, organization to process, and technology to

of France” to the senior managers of 15 Turkish

human management. The Management & Organization

companies with the potential to make R&D

& HR Consulting Unit collaborates with customers not

investments in France.

only in the design phase of the project, but also during

Mazars Denge Chairman Leon Coşkun and Mazars

its implementation and follow-up.

Denge Transfer Pricing Partner Gökçe Gücüyener

The unit plays a key role in ensuring a successful

also participated in the seminar, answering inquiries

project roll out, particularly through the implementation

about Turkish tax system with respect to investment

consulting approach it employs during the

processes.

implementation phase. 25


CHINA DESK Mazars Denge’s China Desk offers company formation, tax, audit, corporate finance, financial valuation, information security and training consulting services to Turkey-based businesses that aim to invest in China as well as China-based businesses planning to invest in Turkey. China Desk is a member of Mazars Global China Services team, and partners with Mazars offices in China for its projects.

Ş. Korkut Durgun Huafon Dış Ticaret A.Ş. – Finance Director In 2017, Mazars Denge became part of our journey of commerce with China and our Chinese peers, which began four years ago. Since that day, Mazars Denge has always been with us, sometimes as guides and sometimes as colleagues, helping us build relations with these people, whose language, culture and customs are entirely unknown to us. We hope to walk together with Mazars Denge on this journey for many long years.

✦ BRICA Istanbul Summit Mazars Denge participated as a knowledge partner in TUSIAD’s “BRICA Istanbul Summit”, which took place on October 18-19, 2018. With 750 visitors from 27 countries, BRICA Istanbul Summit welcomed representatives of energy, banking, logistics, telecoms, construction and consulting companies from Europe, People’s Republic of China and Turkey, as well as Turkish Trade Minister Ruhsar Pekcan. Mazars China Office Managing Partner and Mazars Global Group Governance Council Member Madam Zhang was also a speaker at the summit, to which Mazars Denge attended with a 34-person team to conduct B2B meetings with Chinese and Turkish

Training on Chinese business culture and working with the Chinese

companies.

BRICA İstanbul Summit

Need more information on the BRICA Istanbul Summit? Following the restructuring in 2017, the China Desk has begun to complement its mission of handling communications between departments and clients, by

ITALY DESK

sharing its practical know-how on Chinese business culture and points of consideration when working with

Mazars Denge Italy Desk was established in 2017 to

the Chinese.

better serve Italy-based businesses that operate in Turkey, as well as Turkey-based businesses looking to

GREECE DESK

enter the Italian market. On November 20, 2018, the Italy Desk held a tax seminar

Mazars Denge’s Greece Desk offers company formation,

on “Upcoming Developments in Transfer Pricing in 2019

tax, audit, training, and corporate finance consulting

and Tax Obligations on Overseas Payments” aimed at

services to Turkey-based businesses looking to invest in

the members of the Italian Chamber of Commerce.

Greece, as well as Greece-based businesses planning to Italian Chamber of Commerce

invest in Turkey.

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张立文 Zhang Liwen Mazars Global Group Governance Council Member

Cana Ataç Sait Halim Paşa Yalısı – Managing Director

Our Chinese clients are very impressed to see a Chinesespeaking staff member at Mazars Denge. Thanks to Halil İbrahim’s presentation in Chinese, they are able to easily share their needs and requests in Turkey, which allows us to build successful and sincere connections with clients. Mazars Denge’s idea of establishing and developing an exclusive China Desk in Turkey is very surprising for our clients in China. I believe that steps such as these will deepen the relationships between our offices, and enable us to support each other like members of a family. May we always walk together...

The “Chinese Business Culture” training with Mazars Denge was extremely beneficial. We have learned some important information that will allow us to better cater for Chinese visitors and make a difference. Since the training, we have been surprising Chinese visitors by welcoming them with Chinese tea. Xie Xie! Thank you...

BLACK-CROWNED NIGHT HERON / NYCTICORAX NYCTICORAX

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NATIONAL AND INTERNATIONAL MEMBERSHIPS / PARTNERSHIPS Driven by a sense of professional and social responsibility, Mazars Denge has participated –and will continue to participate– in a variety of organizations to which it can make a meaningful contribution. To this end, employees and executives of Mazars Denge share their time and resources efficiently in areas where they can make a tangible impact.

EUROPEAN ROLLER / CORACIAS GARRULUS

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✦ AHK - German-Turkish Chamber of Commerce

✦ TIDE - Institute of Internal Auditing of Turkey

✦ Turkish-French Chamber of Commerce

and Industry

✦ AYMMO - Chamber of Certified Public Accountants

of Ankara

✦ TMUD - Expert Accountants’ Association of Turkey

Mazars Denge is represented at the director level.

Mazars Denge Chairman Leon Aslan Coşkun provided

✦ BDD - Independent Audit Association

support to the organization in various fields. Mazars

✦ BCCT - British Chamber of Commerce Turkey

Denge Tax Partner Ahmet Kartal attended TMUD’s

✦ Belgian Chamber of Commerce

congress as speaker.

✦ DEIK - Foreign Economic Relations Board

✦ TUSIAD - Turkish Industry and Business Association

(CCI France Turquie)

‣ Insurance and Private Pension Working Group

✦ Endeavor Mazars Denge is represented at the CEO level

‣ “These Young People Have the Potential!” Working

✦ GKD - Revenue Inspectors’ Association

Group

(China Business Council Membership)

✦ GIMDER - Association of Revenue Administration

Mazars Denge is an active member of TUSIAD, and is

represented at the CEO level. Mazars Denge has been

Directors and Assistant Directors

✦ GYIAD - Young Executives’ and Businesspeople’s

the gold sponsor of TUSIAD’s “These Young People Have

Association

the Potential!” project since the 2016-2017 period.

✦ HUZV - Tax Inspectors’ Foundation

Mazars Denge CEO, partners and directors provide

✦ IYMMO - Chamber of Sworn-in Certified

support for the project. Mazars Denge CEO Dr. İzel Levi

Public Accountants of Istanbul

Coşkun, who maintains his position as a member of the

Mazars Denge plays an active role in various projects of

TUSIAD Board, has also taken over the role of Working

the organization.

Group President of the “These Young People Have the

✦ Swedish Chamber of Commerce

Potential!” Project.

✦ Italian Chamber of Commerce

✦ TURMOB - Union of Chambers of Certified

Mazars Denge organized tax seminar for the organization’s

members.

✦ UFE - International Financial Management Institute

✦ Italian Chamber of Commerce in Izmir

✦ YASED - International Investors’ Association

Mazars Denge is represented by the Izmir Partner.

Mazars Denge Board Member Taylan Baykut serves as

✦ TAIDER – Family Enterprises Association

an Audit Board Member at YASED.

Public Accountants of Turkey

Mazars Denge supported sustainability efforts of SUS TAINABILIT Y INITIATIVES

the organization.

✦ UN Global Compact ✦ WEPs - Women’s Empowerment Principles ✦ ERTA - Integrated Reporting Turkey Network

Mazars Denge participated regularly at ERTA meetings

and organizations, and has begun to support ERTA’s

social media communication efforts.

Ayfer Evkuran Octopus Volunteers Association for Social Solidarity and Sport Activities – General Coordinator The primary mission of our association is the sustainability of our projects. Our collaboration with Mazars Denge and your sensitivity towards this issue have been our guides on this journey.

29


S U S TA I N A B L E V A L U E C R E AT I O N FOR MAZARS DENGE STAKEHOLDER ANALYSIS

Stakeholders, situated at the heart of the company’s approach to sustainability, use several different channels to convene as and when necessary, and Mazars Denge

Guided by its mission to create sustainable value for all stakeholders, Mazars Denge defines and periodically revisits all corporate priorities in accordance with stakeholder expectations, and employs these priorities as the basis of its corporate strategies.

strives to continuously improve its sustainability performance in line with stakeholder feedback. In addition to maintaining open communications with stakeholders, which represent the main focus of its sustainability approach, Mazars Denge utilizes the AA1000SE Stakeholder Engagement Standard methodology in the process of identifying priority sustainability issues to ensure a more strategic and holistic stakeholder engagement.

LITTLE RINGED PLOVER / CHARADRIUS DUBIUS

30


Stakeholder Group

Communication Channels Client visits and meetings; industry-specific meetings; seminars and conferences; client satisfaction surveys; corporate website (http://

CLIENTS

eng.mazars.com.tr/); social media accounts; offices; e-mail; media; communication campaigns; client communication form; sustainability report; annual report; mobile applications Departmental meetings; management meetings; intranet; focus group meetings; talent management meetings; goal-sharing meetings; employee

EMPLOYEES

commitment and satisfaction surveys; Move & Mobility programs; CSR projects; employee events; internal announcements; training activities; mobile applications Annual shareholders meeting; board meetings; periodical reports; corporate

SHAREHOLDERS

website (http://eng.mazars.com.tr/); social media; teleconference and e-mail correspondence; mobile applications Corporate meetings; face-to-face meetings; tenders; corporate website

SUPPLIERS

(http://eng.mazars.com.tr/); periodic audits; e-mail; mail; phone; fax; mobile applications

AUDIT, TA X , ACCOUNTING AND CONSULTING INDUS TRY

COMPETITORS

PUBLIC INS TITUTIONS & REGUL ATORY AUTHORITIES

Industry union membership meetings; corporate collaborations

Professional meetings with other firms operating in the same industry; media monitoring; social media Regular follow-up of reporting obligations and other forms of data flow as set out in the law and regulations; periodic reviews; meetings, forums and conferences Joint CSR projects; project meetings; sponsorships; sustainability report;

NGOS

corporate website (http://eng.mazars.com.tr/); memberships; mobile applications

UNIVERSITIES

Conferences; sponsorship; career days; ace-to-face meetings; scholarships; mobile applications Corporate website (http://eng.mazars.com.tr/); press releases; press

MEDIA

conferences; social media; announcements; special reports and interviews; content collaborations mobile applications CSR projects; sponsorships; press releases; sustainability report; events;

PUBLIC

corporate website (http://eng.mazars.com.tr/); social media; mobile applications

31


MATERIAL TOPICS

Identifying topics of material importance for Mazars Denge and its stakeholders, the materiality analysis forms the core of the company’s sustainability strategy.

Mazars Denge revises its materiality analysis each year to determine the direction of its operations in line with the expectations of stakeholders, which represent the main focus of its sustainability approach, and continuously monitor the priority of identified material issues. The process of identifying material issues of Mazars Denge begins by creating a list of topics, taking into account global and sectoral trends, sector reports, and GRI and SASB Professional & Commercial Services Standards. This was followed by a comprehensive stakeholder analysis, involving online surveys and face-to-face and over-the-phone interviews with all stakeholder groups. After the analysis, the Sustainability Committee, Board of Directors and Partners convened in a series of workshops to identify the core material issues for Mazars Denge.

Selin Estroti İpeker Selin Estroti Design Studio – Graphic Designer For the last three years, we have been working with Mazars Denge to design their Sustainability Report. This process has inspired and guided me to implement the concept of sustainability in my personal life and in my industry. I believe that any arrangement that avoids focusing on money as the sole definition of profits and instead invests in people will be very beneficial for creating a culture of environment and life at the long term.

In 2018, these efforts revealed the following six material issues, prioritized by both Mazars Denge and its stakeholders: 1. Generating Sustainable and Responsible Revenue 2. Sustainable Service Approach (Value-Oriented Service Approach) 3. Sustainable Employee Development and Employee Satisfaction 4. Innovation In Services and Digital Transformation 5. Customer Satisfaction / Experience 6. Sustainable Development

32


IMPORTANCE AND PRIORIT Y

Relevance for stakeholders

OTHER

OTHER FOLLOW UP MATERIAL

MATERIAL Supporting Sustainable Employee Development

Work-Life Balance Collaborations with Academic and Educational Institutions

Gender Equality and Women’s Empowerment

Employee Volunteerism

Reducing Environmental Impact

Generating Responsible and Sustainable Revenue

Innovation in Services and Digital Transformation

Adherence to Values

Client Focus

Cultural Sustainability

Sustainable Performance Measurement

Internal Entrepreneurism

Disseminating the Sustainability

Integrated Reporting

Global Concerns

Impact on the organization and its operations DIFFERENTIATION BY INTERNAL AND E X TERNAL S TAKEHOLDERS Integrated reporting

Adherence to values (Mazars Denge values of reliable, ethical, boutique and quality service offering)

Collaborations with academic and educational institutions

Disseminating the sustainability approach

Employee volunteerism

Intrapreneurship

Work-life balance

Client focus (commitment to customers, independent approach, and technical excellence)

Equal opportunity and diversity

Sustainable performance monitoring

Compliance with principles of corporate governance

Innovation in services and digital transformation

Supporting sustainable employee development and employee satisfaction

External Stakeholders Internal Stakeholders

Supporting societal development (Collaboration with NGOs on societal, cultural, and environmental issues) 33

Reducing adverse environmental impact


SUSTAINABLE DEVELOPMENT GOALS SUS TAINABLE DEVELOPMENT GOAL S - ALL S TAKEHOLDERS Peace, Justice and Strong Institutions

%44,97

Decent Work and Economic Growth

%42,53

Quality Education

%40,49

Reduced Inequalities

%39,47

Responsible Consumption and Production %27,08 Climate Action

%27,73

Gender Equality

%17,41

Sustainable Cities and Communities

%16,14

No Poverty

%14,35

Good Health and Well-Being

%8,25

Partnership for the Goals

%7,23

Zero Hunger

%6,97

Affordable and Clean Energy

%6,21

Life Below Water

%5,70

Industry, Innovation and Infrastructure

%3,57

Clean Water and Sanitation

%1,02

Life On Land

%0,00

CAPITAL

MATERIAL ISSUE

FINANCIAL CAPITAL

Generating Sustainable and Responsible Revenue

HUMAN CAPITAL

INTELLECTUAL CAPITAL SOCIAL AND RELATIONAL CAPITAL

NATURAL CAPITAL

MATERIALITY RANK

PRIORITY TOPICS

RELEVANT SDGs

5

Compliance with principles of corporate governance

9

Sustainable performance monitoring

8

15

Integrated reporting

17

Sustainable Service Approach

2

Adherence to values (Mazars Denge values of reliable, ethical, boutique and quality service offering)

Supporting Sustainable Employee Development and Employee Satisfaction

1

Supporting sustainable employee development and employee satisfaction

6

Equal opportunity and diversity

3

Work-life balance

12

Employee volunteerism

4

Innovation in services and digital transformation

14

Intrapreneurship

Customer Satisfaction / Experience

7

Client focus (commitment to customers, independent approach, and technical excellence)

Sustainable Development

8

Disseminating the sustainability approach

Digital Transformation

Sustainable Development

10

Supporting societal development (Collaboration with NGOs on societal, cultural, and environmental issues)

11

Collaborations with academic and educational institutions

13

Reducing environmental impact

34

10 12 16

5

8

10 16

8

9

10

4

8

10 12

14 16 17

12 13 14 15


GREAT SPOTTED WOODPECKER DENDROCOPOS MAJOR

Mazars Denge takes into account the expectations of all

society and entrepreneurship play a major role in

stakeholders in the process of selecting the sustainable

transitioning from a consumption economy to a

development goals it will prioritize. For this reason, 2018

sustainable economy. For this reason, the company

stakeholder survey included sustainable development

works to spread awareness activities in this field both

goals alongside material issues in order to identify the

within and outside the company, collaborating with

areas prioritized by stakeholders.

educational institutions and NGOs in the process.

The feedback received was evaluated by Mazars Denge

Echoing TUSIAD’s competition “These Young People

Sustainability Committee, which subsequently identified

Have the Potential”, Mazars Denge helps entrepreneurs

“Reduced Inequalities”, “Responsible Consumption

acquire a perspective of sustainable development as

and Production,” and “Peace and Justice” as the priority

early as at the idea stage, introduces them to concepts

Sustainable Development Goals.

such as taking responsibility for production and consumption styles of goods and resources, calculating

REDUCED INEQUALITIES

ecological footprints at every step, developing an

To serve the goal of reducing

awareness of local production and consumption, and

inequalities within and between

efficient management of shared natural resources.

countries, Mazars Denge helps PEACE, JUSTICE AND STRONG INSTITUTIONS

ensure the implementation of

Mazars Denge is aware that

the highest level of international accounting and audit standards in Turkey, while striving

sustainable development goals can

to provide services to clients at the head office and the

only be achieved in an environment

regions at the same level of quality.

of trust where peace, stability,

Expert teams at Mazars Denge share their know-how

human rights, and rule of law exist.

and knowledge to contribute to the goal of reducing

For this reason, the company strives

inequalities as they take part in professional technical

to establish a fair and effective management model that

committees, speak at national and international panels

ensures maximum freedom of expression within the

and seminars, write columns in major media outlets,

company as well as employee engagement in managerial

carry out practical case studies in universities and other

decisions, while making sure that potential conflicts of

educational institutions, and produce video content on

opinion and practice are solved with mutual agreement.

their area of expertise.

Mazars Denge believes that the model will create impact on a micro level, set an example for other companies,

RESPONSIBLE

and play a role in societal transformation, while directly

CONSUMPTION AND

contributing to the creation of Intrapreneurship and

PRODUC TION

innovation ecosystem in an environment of trust.

Mazars Denge is aware that education of individuals in the

35


VALUE CREATION MODEL The inputs that form the backbone of Mazars Denge’s business model, namely integrated thinking, sustainable learning, intellectual capital, accumulated experience, values and responsible revenues are combined with Mazars Denge’s core values of reliable, ethical, quality, and boutique services, contributing to the goal of creating sustainable added value for all stakeholders.

Customer Relations Management

INPUTS

36

Integrated Thinking

Sustainable Learning

Intellectual Capital

Responsible Revenues

Experience

Responsible Services


O

Responsible Revenues

TH

ER

S

K TA

EHO

IE CL

EM

LDERS

NTS

PL

OYEES

Processes

VALUES

Sustainable Value created Employee Development & Learning Organization

TECHNOLOGY AND INNOVATION ECOSYS TEM

CORPOR ATE GOVERNANCE PRINCIPLES 37


MAZARS DENGE’S SUSTAINABILIT Y APPROACH In 2018, a year that Mazars Denge called for action with respect to sustainability, the company formulated a convenient table for all stakeholders, particularly to its employees, to facilitate the comprehension of the concept as a whole.

GENERALLY ACCEPTED

CORPORATE CONTINUITY SUSTAINABILITY Short-term Thinking

Long-term Thinking

Profit Pressure

Social / Environmental / Economic Balance Pressure

Growth

Development / Improvement

Fiscal Measurement

Fiscal + Other Parameters

Competitors as Opponents

Competitors as Stakeholders

Interests of the Organization Alone

Interests of the System as a whole

Consumption

Saving

Global

Local

Destructive Discourse

Peaceful Discourse

Horizontal Thinking

Integrated Thinking

On the left column, the usually expected, conventional way of doing business is listed whereas on the right column, what these correspond with regards to form a corporate sustainability perspective is mentioned.

CORPORATE

Furthermore, in parallel with its sustainability approach,

✦ Develop innovative projects that will create

Mazars Denge plans to carry out the following projects

value for all stakeholders, with support from the

and initiatives during the 2017-2020 period:

Intrapreneurship Unit that was established in 2018.

✦ Create action plans based on the results of the

✦ Transition from the use of KPIs (Key Performance

“Employee Satisfaction Survey” of 2018.

Indicators) to SPIs (Sustainable Performance

(2019 – 2020)

Indicators) in performance measuring in a joint effort

✦ Review all internal processes that have been

between Internal Control and Risk Management Unit

delayed due to the turnover of HR Department

and the HR department. (2019 – 2020)

directors, and

✦ Publish the first integrated report (2019 – 2020)

implement an integrated approach that combines the economic, social, environmental aspects within the framework of corporate governance principles. Mazars Denge's aim is to transform all current operational processes into more efficient, practical, dynamic, and corporate sustainability-compliant form. (2019) ✦ With the establishment of the Internal Control and Risk Management Unit, bring a more systematic quality control system in order to integrate economic, social, environmental factors. (2019)

ANGIT - ANGUT / TADORNA FERRUGINEA

38


SENSE OF RESPONSIBILIT Y: Social performance of businesses in their communities

This interaction endows everyone at Mazars Denge

and environmental performance of business play

with a shared sense of responsibility, engagement, and

a critical role in the effective continuation of their

effective communication, regardless of department,

operations. This makes the coexistence of healthy

rank, or seniority. In parallel with the ISO 26000 Social

ecosystems, social equality and corporate governance a

Responsibility Standard, Mazars Denge strives to

prerequisite for corporate sustainability.

cement the concept of “reliability,” one of the most

The ethical standards of the audit industry broaden the

important components of its reputation, by:

scope of responsibility for individuals within a society. In other words, the smallest error in a tax return, full

✦ Understanding the concept of social

certification report or audit report can mislead the

responsibility,

common person at the extreme end of the chain of

✦ Exploring the relationship between social

responsibility.

responsibility and Mazars Denge’s

This clearly demonstrates the deep sense of social

characteristics,

responsibility the profession calls for.

✦ Volunteering to take social

Similarly, this sense of social responsibility is an

responsibility initiatives,

indicator of the chain of interaction between all

✦ Building confidence about social

stakeholders—clients, competitors, public institutions,

responsibility, ✦ Improving its social responsibility actions and practices, and ✦ Creating an efficient social responsibility communication infrastructure within and outside the company. A basic example of the company’s focus on this topic is the two-day administrative leave

professional and other chambers, the state itself,

offered to all employees who wish to participate in

educational institutions, NGOs, and ultimately,

social responsibility projects.

individuals.

Mazars Denge is well aware of the difference between “responsible income” and “problematic income” and considers it a social and professional duty to leave future generations with the legacy of a profession characterized by a firmly entrenched ethical code.

Suat Eman Ceff Photography – Managing Partner Mazars Denge has proven that an industry operating in such an intense working environment can still find the time and energy for sustainability efforts. Both the employees and executives of Mazars Denge display an exemplary commitment to sustainability efforts, to a degree I have not seen before. 39


ORGANIZATION OF SUSTAINABILIT Y AT MAZARS DENGE MA Z ARS DENGE SUS TAINABILIT Y REPRESENTATIVES

What does sustainability mean for us?

Mazars Denge Sustainability Committee convenes on a weekly basis under the leadership of the CEO / Sustainability Ambassador (SA) to determine sustainability strategies and implement sustainability

The Employee Satisfaction and Development

policies across the company.

Representative is responsible for ensuring employee satisfaction and development through the perspective

The Sustainability Ambassador has full responsibility

of sustainability, integrating a sustainable perspective

and power to define and implement the company’s

into the corporate culture and promoting it across the

sustainability strategy, the core focus of which involves

company, as well as preparing the sustainability report.

fostering and promoting a sustainability culture across the company. The Sustainability Committee,

The Budget and Reporting Representative is responsible

established by the SA in 2016 while publishing regular

for verifying that all company investments and

sustainability reports, has become an essential function

expenses have adopted a sustainable approach, and for

of the company in order to improve and enhance

formulating the budget from a sustainability perspective.

the company’s existing processes with an integrated AOS, Audit, Consulting and Tax Services Representatives

approach.

are responsible for ensuring that the influence of the The Sustainability Communication Representative

company’s sustainability efforts is integrated into the

is responsible for integrating the perspective of

daily operations of their respective departments. They

sustainability perspective into the corporate culture

also play a part in turning departmental experience

and brand communication. The representative ensures

into “best practices” by sharing these during weekly

compliance with the principles of sustainability in

meetings.

all communication efforts and strives to develop solutions for long-term impact in their respective area,

The Sustainability Ambassador and members of the

and is also responsible for preparing, publishing, and

Sustainability Committee collaborate in the development

distributing the sustainability report. The Sustainability

and implementation of policies in the areas of sustainability,

Communication Representative also conducts the

social and environmental impact, occupational health and

company’s promotional activities within sustainability

safety, human rights, sustainable procurement, and anti-

and entrepreneurial ecosystems.

bribery and anti-corruption.

Dr. İzel Levi Coşkun

CEO

Sustainability Ambassador

Mehmet Eronat Management Consulting Partner

Employee Satisfaction and Development Representative

Hülya Yavuzcan

Tax Director

Tax Services Representative

Gökçen Müftüoğlu Çapa

Head of Financial Due Diligence

Audit and Consulting Services Representative

Barlas Hünalp

Marketing Director

Sustainable Communication Representative

Rahşan Yasdıman

AOS Director

AOS Representative

Celalettin Günçavdı

Budget and Reporting Manager

Budget and Reporting Representative

Laura Negrisoiu

Governance and IT Compliance Processes Manager

Governance Representative

Doğan Ruben

AOS Manager

AOS Services Representative

Seda Korkut

Human Resources Senior Specialist

Human Resources Representative

Hayriye Ocak

Intrapreneurship Specialist

Intrapreneurship Representative

40


MARKETING & COMMUNICATIONS DIRECTOR

AOS REPRESENTATIVE

INDEPENDENT AUDIT & CONSULTING SERVICES REPRESENTATIVE

DEPARTMENT REPRESENTATIVES

TAX SERVICES REPRESENTATIVE

SUSTAINABLE COMMUNICATIONS

SUSTAINABILITY AMBASSADOR CEO

EMPLOYEE SATISFACTION & DEVELOPMENT

HUMAN RESOURCES PARTNER

FINANCE

BUDGET & PLANNING MANAGER

Nallıhan Bird Sanctuary, Ankara

41


C O R P O R AT E G O V E R N A N C E

Stakeholder Evaluation of Mazars Denge In Terms of the Four Principles of Corporate Governance Corporate Governance Principles

All Stakeholders (Avg. )*

Influence of corporate governance principle “responsibility” on the work 6.10 Influence of corporate governance principle “accountability” on the work 5.95 Influence of corporate governance principle “transparency” on the work 5.85 Influence of corporate governance principle “fair management” on the work 5.68 *Indicates the average score out of 7 given to Mazars Denge by stakeholders as regards the four core principles of corporate governance. WHITE-THROATED KINGFISHER / HALCYON SMYRNENSIS

42


CORPOR ATE GOVERNANCE PRINCIPLES

ACCOUNTABILIT Y Mazars Denge aims to ensure stakeholder participation in the formulation of material strategies that concern sustainable development and may impact organizational

Mazars Denge is driven by a set of corporate governance

performance, and is committed to being an accountable

principles that cover fair management, transparency,

organization that provides reliable information to all

accountability and responsibility as required by the

stakeholders.

responsible business approach it has adopted in line with and as a result of its sustainability strategy.

RESPONSIBILIT Y

Corporate governance principles and practices at

Mazars Denge understands that generating revenue is

Mazars are:

not the sole purpose of the company, and that it should also embody social and environmental responsibility

TR ANSPARENC Y

while creating value for stakeholders.

In line with Mazars’ principles of international transparency, the independent audit company Crowe

FAIR MANAGEMENT

Horwarth has been auditing Mazars Denge since 2009.

Mazars Denge expects the company management to

Results are consolidated and published on the Mazars

embrace the principle of equality for all operations;

global website.

accordingly, all company staff, especially executives must avoid subjective or arbitrary decision-making that puts their personal interests over those of the company.

“Compliance with principles of corporate governance” is the top stakeholder expectation in the industry with regards to sustainable development Complying with principles of corporate governance (For instance, by establishing fair management)

%34,69

Ensuring the sustainability of services (For instance, by taking into account environmental and social impact in customer and supplier selection and communication)

%29,60

Generating sustainable revenue (For instance, by upholding ethics in service provision)

%25,00

Making the operations more sustainable (For instance, %10,71 by reducing the environmental impact of operations)

CORPORATE GOVERNANCE STRUC TURE AT MAZARS DENGE

Mazars Denge implements a two-tier top management system. The Board of Directors consists of 6 members,

The company’s top management consists of partners

with 3 partners from Istanbul, 2 from Ankara, and 1 from

who lead teams, departments, or offices. As a result,

Bursa. The Executive Board has a total of 7 members,

partners have “managerial” and “functional” duties

four from Istanbul each representing a department,

within the company. Partner can be a member of both

and one from each of Bursa, Ankara, and Izmir offices.

the Board of Directors and the Executive Board at the

Currently, there is one female member at the Executive

same time.

Board.

43


ORGANIZATIONAL CHART

QUALITY ASSURANCE

Cahit Yerci Tax-Internal Quality Assurance Partner A. Murat Demirtaş Audit Quality Assurance Partner Eli Babani AOS Quality Assurance Partner

İSTANBUL

HEADQUARTERS & SUPPORT

AOS*

TAX

AUDIT

CONSULTING

Sarah Coşkun CFO

M. Taylan Baykut Head of AOS

Dr. İzel Levi Coşkun CEO & Head of Audit

Neşe Ülkütan Corporate Finance Partner

Mehmet Eronat Human Resources Partner

R. Doğa Özsoy AOS Partner Executive Committee Member

Mustafa Tan Head of Tax Executive Committee Member

Görgün Uçar Information Technologies Director Barlas Hünalp Marketing & Communications Director Erhan Ak Overseas Reporting and Budget Director Celalettin Günçavdı Budget and Planning Manager A. Ulvi Akıllı Administrative Affairs Manager

Eli Babani AOS Partner

Sedat Kurdoğlu Tax Partner Erkan Yetkiner Tax Partner Ahmet Kartal Tax Partner Ferrah Sefer Kurdoğlu Tax Partner Sadiye Gönülkırmaz VAT Return Services Partner Gökçe Gücüyener Transfer Pricing Partner Eli Levi Tax Partner

Laura Negrisoıu Governance & IT Compliance Manager Hayriye Ocak Intrapreneurship Specialist

*Accounting Outsource Services 44

Onat Erdoğan Audit Partner A.Murat Demirtaş Audit Partner Nesli Erdem Audit Partner Emre Amir Dişpençe Audit Partner Tuğba Şimşek Özadalı Audit Partner

Pınar Derkazez Consulting Partner Kerim Can Ertuğ Consulting Partner Mehmet Eronat Consulting Partner Ateş Sünbül IT Audit, Security and Consulting Partner Gökçen Müftüoğlu Çapa Head of Financial Due Diligence Fatma Feyza Külekçi Head of Internal Audit


Flamingos, Izmir Bird Sanctuary

BOARD OF DIRECTORS Leon Aslan Coşkun Chairman

Dr. İzel Levi Coşkun CEO & Sustainability Ambassador

ANKARA

BURSA

R. Uğur Kaylan Tax Partner

Şevki Boran Tax Partner

A. Şahin Savcı Tax Partner

Nazan Boran Tax Partner Executive Committee Member

Taner Altan Tax Partner Executive Committee Member Emre Yayla Tax Partner

R. Uğur Kaylan Tax Partner

DENİZLİ Mehmet Erdoğan AOS Partner

Emre A. Dişpençe Audit Partner Osman Bacanlı Tax Partner

45

Şevki Boran Tax Partner

M. Taylan Baykut AOS Partner

GAZİANTEP Mehmet Kalkınoğlu Tax Partner

A. Şahin Savcı Tax Partner

İZMİR Anıl Taşkoyan AOS Partner Executive Committee Member


RISK MANAGEMENT STRATEGY AND PRIORITIES: Mazars Denge Corporate Governance and IT

Having structured its control environment around

Compliance function was established in 2018 with the

these principles, Mazars Denge is committed to the

following core objectives:

highest standards of ethics and quality. Accordingly,

✦ Preparing for potential internal and external risks

the company prepared new risk maps and redefined

✦ Ensuring the efficiency and effectiveness of

processes for all departments. Employing an innovative

operations

approach in creating action plans for risk management,

✦ Enabling the reliability of the reporting

Mazars Denge continuously reviews its risk mitigation

infrastructure

strategies to improve and enhance them as necessary.

✦ Aligning company procedures with laws and regulations such as such as Data Protection Laws

GREY HERON / ARDEA CINEREA

Anita de Casparis Mazars Netherlands Tax Partner & Mazars Global Head of Tax During my country visit to Turkey I was pleasantly surprised to learn that Mazars Turkey and Mazars Netherlands have common priorities around sustainability. Mazars employees in the two countries are contributing to the society by committing themselves to relevant projects of not-for-profit organizations. This is highly encouraged by the executives, the employees are allowed to spend hours to these projects during regular work time. We are Mazars and we make the difference.

46


ETHICAL PRINCIPLES

QUALITY ASSURANCE SYSTEM

Mazars Denge has created policies and procedures

Quality Assurance Standard I (QAS I) on Quality

providing reasonable assurance that the company and

Assurance for Independent Audit Companies and

its employees will follow relevant ethical rules. Mazars

Independent Auditors for the Audit of Financial

Denge’s fundamental principles of ethics as set out in

Statements and Other Assurance Engagements,

those policies and procedures include the following:

published by the Turkish Public Oversight and

✦ Integrity

Accounting and Auditing Standards Authority, regulates

✦ Impartiality

the ethical standards and all related responsibilities of

✦ Professional competence and diligence

audit companies.

✦ Confidentiality

The purposes set out by the QAS 1 are to: ✦ Ensure the company and its employees meet

✦ Professional conduct

professional standards and comply with legal and Mazars Denge’s other professional ethics policies

other regulatory provisions in force,

and procedures can be found in “MQAM – 2.1

✦ To set up and maintain a quality assurance

Independence and Objectivity” and “Mazars Risk

system that offers reasonable assurance that the

Management & Quality Manual – Ethics”, as well as

reports prepared by the company are an accurate

the Tax Services Quality Handbook and Code of Ethics

representation of the existing circumstances.

sections of “Mazars Code of Conduct for Objectivity and Independence” (CCOI), prepared in line with IFAC-

Mazars Denge’s quality assurance system contains

IESBA’s “Code of Ethics for Independent Auditors”.

policies and procedures prepared in consideration of the following: ✦ Responsibilities of the leadership within the audit company ✦ Relevant provisions on ethical matters ✦ Acceptance and maintenance of customer relations and inspection contracts ✦ Human resources

Bahar Sarı Independent Audit – Senior Assistant

✦ Conduct of audits ✦ Monitoring

Mazars Denge has set out on a journey of sustainable knowledge, driven by our experience and know-how of over 40 years. As a woman, I find our company’s commitment to a sustainable future truly eye-opening.

As a member of Mazars Group, the company is obliged to comply with the “Mazars Quality Assurance Manual” (“MQAM”), which is also compatible with QAS I.

47


EURASIAN GOLDEN ORIOLE / ORIOLUS ORIOLUS

GENER ATING RESPONSIBLE AND SUSTAINABLE REVENUE DEVELOPMENT INSTEAD OF GROW TH Mazars Denge is well aware that it is impossible to achieve limitless growth in a limited world. For this reason, the company focuses on development rather than on growth. Growth is a quantitative concept. Development, on the other hand, is qualitative concept that is related to the investment in the society and the environment. It includes a variety of different aspects, such as investment in women, institutionalization, education, added value, quality, innovation, and entrepreneurship Mazars Denge’s definition of sustainability is geared towards transforming the consumption-based economic growth model that “concentrates” interest into one that “generalizes” sustainable benefit, benefiting stakeholders, the environment, and the society. This directly depends upon the ability of balancing economic benefit with social and environmental impact in an institutional organization. Mazars Denge conducted a variety of activities in 2017 that may be categorized under responsible revenues. These include raising the number of female managers, increasing the frequency of professional and competence training programs, introducing quality scoring, accepting only the optimum amount of jobs in busy periods, and revising its customer selection criteria.

ETHICS In his book ‘Transient Caretakers: Making Life on Earth Sustainable,’ Mervyn King, IIRC Chairman, says, “Ethics is about how you make money.” Mazars Denge employs an

FINANCIAL C A P I TA L There are five main components of Mazars Denge’s goal to Generate Sustainable and Responsible Income.

ethics approach that is a combination of utilitarian ethics, which seeks the benefit of all stakeholders, and care ethics. Utilitarianism is a consequentialist theory which focuses on the results of actions. According to this theory, the most correct action is the one that creates maximum benefit. There are four dimensions of this theory, namely, the action’s the sphere of influence, duration, impact, and probability of effect. Sustainability perspective and utilitarian ethics call for actions that seek the benefit of not only the party that took action, but of the entire system. The theory of utilitarianism is based on the argument that the consequences of an action have a moral impact and therefore needs to create maximum benefit. Today, the influence of the theory can 48


be seen in especially health and social politics. Meanwhile, “care ethics”, which was founded by Carol Gilligan in early 1980s, contrasts with other ethical models by pointing out to a feminine dimension rooted in care-based relationships between humans. The most important difference between the two theories lies in the fact that widely accepted, universal moral principles apply in utilitarianism while

TR ANSITIONING FROM FISCAL- ONLY TO SUSTAINABILIT Y-BASED MEASUREMENT MODEL

moral particularism applies in care ethics Therefore, there is no room for emotions in utilitarian theory as morals are

Aside from their assets, which are valuated in monetary

based on reason. In care ethics, meanwhile, rather than

terms, businesses have crucial social and environmental

individual autonomy, the emphasis is on bonds between

impacts. Social and environmental impacts, which were

individuals and emotional communication of these bonds.

considered economic externalities until today, have been

This approach is what lies behind Mazars Denge’s ethics,

made scalable thanks to sustainability reports.

which is reflected in the company’s actions such as its

Accordingly, Mazars Denge specifies key performance

consideration of competitors as stakeholders and the

indicators for responsible income based not only on

resulting due attention in client and employee transfers,

financial factors such as revenue, profitability, and

avoidance of pricing policy actions that could harm the

accounts receivable turnover rate, but on other data

sector, sharing with the sector the company’s technical

including the ratio of pro-bono service hours to total

advances in CAP software, and its commitment to refrain

working hours, per capita time devoted to social

from bidding on projects that are believed to prove

responsibility efforts, and per capita carbon emissions.

environmentally detrimental despite the promise of

In 2017, the groundwork was laid for a new performance

significant economic gain.

evaluation system infrastructure, which was revised in 2018 in an integrated manner to reflect the company’s

RESPECT FOR THE LOCAL

objectives. By scaling social and environmental factors alongside financial indicators in terms of both company

Mazars Denge is aware that “respect for the local” is

objectives and performance evaluations, the system

another element that dovetails with the definition of

will form the backbone of a sustainable measurement

sustainability. Contemporary consumption habits reduce

system, and consequently, an integrated reporting

costs thanks to a global scale economy, while the society

system.

and the nature bear certain amount of costs defined as external economic factors, which are supposedly unscalable. Consequently, this leads to the false belief that

EMPLOYEE RIGHTS

standardization is beneficial in its own right, leading to the degradation of the local. Similarity and standardization of

Mazars Denge’s “people first” policy reflects a

habits in different regions make it easier for businesses

commitment and responsibility above and beyond

to create a uniform target audience to shape and manage

those specified in the Global Compact’s principles on

the demand for their products and services accordingly,

labor, as well as relevant legislation in effect. This is

reducing the expenses of their businesses as a result.

a multi-faceted responsibility that involves increasing

Mazars Denge rejects the notion that the desire to grow

the number of female managers, establishing work-

spurred by globalization is far more important than the

life balance, contributing to cultural as well as

protection of local values. The company’s geographical

professional development of employees, respect for

development policy subscribes to that perspective;

diversity and difference in all of its forms within the

accordingly, the company respects cultural differences

company including LGBTI individuals, engaging lower

of local offices and avoids interfering with their daily

level personnel in certain managerial decision-making

operations, granted that the core values of putting people

processes, and creating an environment that encourages

first, quality, integrity, client focus, and technical excellence

freedom of expression. Furthermore, the company

are in place. The goal is not to set up a centralized

conducts satisfaction surveys every two years, the

management, but to promote the creation of a corporate

latest of which took place in 2018 and encompassed all

order on a local level by sharing knowledge. To serve that

offices. The results of the survey are carefully analyzed

end, rather than transferring services from the head office

by each department, while making preparations for the

to local offices, due attention is given to developing services

necessary improvements. All employees of the company

from scratch in each local office.

are able to voice their grievances directly to the CEO. 49


SUSTAINABLE SERVICE APPROACH LONG-TERM RELATIONS WITH CLIENTS To be able to establish long-term corporate relationships, Mazars Denge prioritizes clients that have embraced similar corporate values to its own. The environmental and social impact of the operations of clients both during and beyond the client evaluation phase plays an important role in the continuity of business relationships with clients. It is also important for Mazars Denge that clients support the company’s social responsibility activities and carry out sustainability efforts.

SUPPLY CHAIN MANAGEMENT Mazars Denge is committed to ensure that its suppliers act in accordance with the company’s fundamental principles. Mazars Denge’s Supplier Principles are: ✦ Respect for human rights and avoidance of human rights violations, ✦ Support for their employees’ right to unionize and collective bargaining, ✦ No forced labor, ✦ No child labor, ✦ No discrimination in recruitment and placement, ✦ Environmental sensitivity and commitment to environmental protection with regard to goods and products, ✦ Fighting corruption in all forms, including bribery Ozan Savaş DSM – Managing Partner

and extortion, ✦ Availability of decent work environment and

Mazars Denge’s guidance was essential in helping us understand the actual meaning of such a common word, sustainability, and how it can be implemented in one’s own enterprise. In our joint activities, they explained how this concept may be embraced and promoted step by step to feature in new projects. It was inspiring to see how it can be shaped to accommodate a variety of areas.

facilities. Mazars Denge also strives to ensure that its suppliers meet the “environmental”, “social”, and “legal” criteria set out in Annex 1, which are also included as clauses in contracts made with suppliers. It is also important for Mazars Denge that suppliers support the company’s social responsibility activities and carry out sustainability efforts.

50


EURASIAN GOLDEN ORIOLE / ORIOLUS ORIOLUS

51


H U M A N C A P I TA L SUSTAINABLE HUMAN RESOURCES STR ATEGY AND POLICIES Mazars Denge’s human resources strategy is aligned with

Based on this strategy, Mazars Denge develops its HR

the company’s employee development-focused sustainability

policies with the following goals in order to achieve its

strategy, and aims to:

vision to become “the most reputable company”:

✦ Attract the most competent talent who show the

✦ Develop practices that will encourage all

highest promise of developing and fitting in with the

employees to embrace and internalize the company’s

company’s values and culture,

sustainability strategy, and promote these practices

✦ Create a learning environment that supports

across the company and stakeholders,

professional, technical, and personal development of

✦ Design processes that will encourage a culture

employees;

of sustainability as a lifestyle for all Mazars Denge

✦ Establish an ecosystem and provide career

employees both during and after their time in the

opportunities that unlock the potential of employee

company,

innovation and creativity and is supported with an

✦ Develop policies towards women’s employment,

inclusive management,

higher representation of women in management,

✦ Create an atmosphere where employees will see

and women’s development,

themselves as an essential part of Mazars Denge, and

✦ Ensure that the company’s future is shaped by

develop both themselves and the company with an

teams that consist of highly dynamic, loyal, and

entrepreneurial perspective.

competent team members and leaders who are committed to sustainable improvement and serve as an example with their expertise and values.

Ömer Çakallı Tam Otomatik – Head of Agency Mazars Denge clearly stands apart with its determined stance on sustainability, as well as its projects in this field. The company is also a pioneer in embracing the advancements in communications, and utilizes new and innovative methods in its relations with customers. It communicates social activities, important conferences and sponsorship deals exclusively through digital channels, and in doing so, establishes a sustainability perspective into its communication activities. Seeing how Mazars Denge places digitalization at the core of its communications and inspires its sector with informative and enlightening content, I believe the company should be an example to other sectors as well.

BARN SWALLOW / HIRUNDO RUSTICA

52


HUMAN RESOURCES INDICATORS

44.5

55.5

%

%

International Women’s Day message

How it feels to work at Mazars Denge

BRE AKDOWN OF EMPLOYEES BY AGE AND GENDER Gender / Age

Female Employees: 164 (44.5%) Male Employees: 205 (55.5%) Total Employees: 369

18 - 30

31 - 50

50 +

Total

Female

90

66

8

164

Male

113

80

12

205

Total (Number)

203

146

20

369

Total (%)

55%

40%

5%

100%

BREAKDOWN OF EMPLOYEES BY EDUCATION AND GENDER

Mazars Denge aims to increase the number of women in senior management to 30-35%, and female managers to 45-50% by 2020.

Education / Gender

Female

Male

Total

PhD

0

3

3

Master’s Degree

15

40

55

129

141

270

3

3

6

12

16

28

5

2

7

164

205

369

Bachelor’s Degree Associate Degree High School Primary / Middle School Total

BRE AKDOWN OF EMPLOYEES BY POSITION AND GENDER Female

Position-Title / Gender

Number

Male Ratio

Number

Ratio

Total

Manager (Director and above) & Department Head

13

25%

39

75%

52

Senior Manager, Manager, Assistant Manager

21

38%

34

62%

55

Supervisor, Specialist, Assistant Specialist

37

50%

37

50%

74

Assistant, Senior Assistant

75

47%

86

53%

161

Operational Support Personnel

18

67%

9

33%

27

164

44%

205

56%

369

Total

53


HUMAN RESOURCES INDICATORS

BRE AKDOWN OF EMPLOYEES BY REGION AND GENDER Female

Region / Gender

Number

Male Ratio

Number

Total Ratio

Number

Ratio

İstanbul

118

44%

150

56%

268

72,5%

Ankara

32

44%

40

56%

72

19,5%

Bursa

8

57%

6

43%

14

4%

Gaziantep

1

33%

2

67%

3

1%

Denizli

1

20%

4

80%

5

1%

İzmir

4

57%

3

43%

7

2%

Total

164

44%

205

56%

369

100%

AVER AGE E XPERIENCE (YE ARS) BY REGION AND GENDER Female Region / Gender

Number

Male

Total Avg. Experience Experience (years) (years)

Number

Total

Total Avg. Experience Experience (years) (years)

Number

Total Avg. Experience Experience (years) (years)

İstanbul

118

1.414

11,98

150

2.105

14,03

268

3.519

13,13

Ankara

32

362

11,31

40

497

12,43

72

859

11,93

Bursa

8

106

13,25

6

112

18,67

14

218

15,57

Gaziantep

1

0

0,41

2

39

19,50

3

39

13,14

Denizli

1

1

0,84

4

22

5.50

5

23

4.57

İzmir

4

27

6,70

3

56

18,67

7

83

11,83

Total

164

1.910

11,65

205

2.831

13,81

369

4.741

12,84

54


Nallıhan Bird Sanctuary, Ankara

EMPLOYMENT AND CONTR AC T T YPE BY GENDER (2018) Employment Type Type

Contract Type

Female

Male

Total

Sum Total

Full-time

164

199

363

Part-time

0

6

6

Permanent

164

205

369

Temporary

0

0

0

369

369

EMPLOYEES WHO TOOK MATERNIT Y-PATERNIT Y LE AVE (2018) Employees who took maternity leave

5

Employees who took paternity leave

2

EMPLOYEES WHO RETURNED TO WORK AF TER MATERNIT Y LE AVE Female employees who took maternity leave and returned to work during this reporting period

3

Female employees who took maternity leave in the previous reporting period and returned to work in this reporting period

2

Female employees currently on maternity leave

2

Employees who resigned in the 12 months after returning from maternity leave

1

RECRUITMENTS AND TERMINATIONS BY GENDER (2018)

BRE AKDOWN OF VOLUNTARY AND INVOLUNTARY TERMINATIONS

Female

Male

Total

Recruited

65

71

136

Terminated

56

55

111

55

Female

Male

Total

Voluntary termination

46

50

96

Involuntary termination

10

5

15


GREAT SPOTTED WOODPECKER / DENDROCOPOS MAJOR

Audit 2018 Training

SUSTAINABLE EMPLOYEE DEVELOPMENT position-based competence models that will be Technical excellence is one of the key customer

developed in the years ahead, will both help identify

offerings of Mazars Denge. For Mazars Denge,

the development needs of today while also revealing

technical excellence is not limited to professional and

candidates for Mazars Denge’s future management as

technical knowledge, skills and expertise; it is a broader

well as inform the design of professional development

concept that also includes functional and managerial

programs tailored for the needs of these employees.

competences. Accordingly, alongside professional and

Furthermore, professional and technical knowledge and

technical training for sustainable employee development,

skills of employees as well as their development needs

Mazars Denge also offers training programs that aim

in these areas are monitored by their managers, who

to develop in employees the managerial competence

accompany them during fieldwork.

they will require to manage themselves, their teams, and

Needs revealed through these observations are used

certain positions at the company.

to design employee development programs, which are offered through a variety of channels including internal

At the core of Mazars Denge’s development approach

and external training, e-learning, international training

are models for basic, functional and managerial

events, and seminars. These efforts are accompanied

competences for each function and position.

by other training activities that aim to promote an

Competence assessment and potential identification

awareness of social responsibility among employees as

efforts, which will take into account function- and

well as contribute to their personal development.

56


RECOGNITION & AWARDS

Success Stories (Award)

EMPLOYEE BENEFITS

Market Conditions

VARIABLE PAY

Performance / Premium

BASE PAY

Position’s Base Salary

✦ Career and Wage Management

and technical skills and the required qualifications as

Mazars Denge’s career and wage management policy,

required for their new position and supervisors, without

in addition to its focus on transparency, fairness and

any other condition. The existing career system will

reliability, is also based on ensuring high performance,

be restructured in 2019. The new system will feature

professional, technical and personal development of

360-degree competence evaluation and potential

employees, as well as recognizing the value they add to

identification, which will enable required qualifications

the company.

on a position basis and help measure to what extend

The rules and principles of the company’s career and

candidates meet these requirements.

wage management system apply to all employees,

The results will also identify internal development needs

with equal wages for equal work and no discrimination

and employees showing high potential, informing the

whatsoever based on religion, language, ethnicity,

design of custom programs for individual positions and

gender, or any other characteristics. Thanks to career

employees. According to Mazars Denge remuneration

ladders developed for each function, employees

policy, wages are based on positions, rather than

are given a clear picture of their future career path

individuals. Wages are determined in a manner that will

as soon as they join Mazars Denge. In addition,

not disrupt the balance among employees or positions,

promotion criteria for each position enable transparent

yet enable factoring in high performance.

communication of qualities required to move up on

With the upcoming revision, the remuneration system

the career ladder. Employees are guided and trained by

will be improved to become more transparent and

their supervisors in a master-apprentice relationship

comprehensible. The overview of new wage model is

starting with their recruitment, and they are eligible

given in the figure above.

for promotion as soon as they have the professional

AVER AGE TR AINING HOURS PER EMPLOYEE BY YE ARS

2016

2017

2018

36,80 41,69

29,13

25

38,50

41,36

31,29

30

33,92

35

39,35

39,77

40,08 39,93

40 hours

4,09

10,63

10,27

2,47 7,89

5

13,85

10

10,46

15

12,97

22,06 22,37

20

0 Average training Average Average Average Average Average training Average hours per hours per training hours training hours training hours training hours training hours employee per employee per employee per employee per employee per employee employee (Female) (Male) (Manager) (Non-manager) (Head office) (Other offices) 359 employees were given a minimum of 1 hour of training in 2018. 57


✦ International Career Opportunities International career opportunities are one of Mazars Denge’s key value propositions for novices and experienced professionals alike. Mazars Denge offers a variety of career opportunities, particularly for employees who wish to gain experience while working in different countries and cultures early on in their career. As a member of the Global Mazars Group, Mazars Denge believes in the importance of and supports employees in gaining international work experience for career progression. Accordingly, job openings in other countries and positions, published in Mazars Global’s periodical “International Mobility Letters”, are shared with all employees in a transparent manner. Employees who wish to pursue these opportunities are guided and supported by the senior

EMPLOYEE COMMITMENT AND SATISFAC TION

management, human resources, and partners of their respective department. In 2018, as part of Mazars

In 2018, Mazars Denge conducted an “Employee

Global’s “Move & Mobility” program open to all Mazars

Commitment and Satisfaction Survey” to reveal

countries, a senior assistant from Mazars Germany

the opinions, priorities, and areas of improvement

Audit Department was assigned to the Audit Department

of employees, who represent the core focus of the

of Mazars Denge for a period of three months. Internal

company’s sustainability strategy. The survey was

communication of the Move & Mobility program will be

administered as an online questionnaire open to all

improved in 2019 with a view to increasing participation.

Mazars Denge employees across Turkey, who were given the ability to voice their opinion freely and anonymously.

✦ CEO Attention to Teams

Data gathered from the survey was analyzed in detail

Dr. İzel Levi Coşkun, Mazars Denge CEO, has devoted

and presented to the company’s senior management

a significant portion of his personal time to increasing

and department partners. Based on the feedback from

the efficiency of the Independent Audit Department in

the survey, the company devised a comprehensive action

terms of work schedule and employee relations. During

plan that covers a wide range of aspects from basic

this period, the department's collaboration with HR Department has been improved, a mid- and longterm planning approach have been implemented, and employees’ ability to freely express themselves has been supported with an open dialogue environment. Six “CEO breakfast" events were held in 2018 for spreading awareness among employees about the company's core values, vision, and sustainability approach and practices, bringing together Dr. İzel Levi Coşkun, Mazars Denge CEO, with 35 new recruits to create an environment where the organization's employees can share their opinions freely and comfortably.

Meral Gökalp Mazars Germany – Audit Department I wanted to explore the working environment in Turkey to better understand the audit standards and business culture of the country. For me, improving my Turkish language skills was very important. Thanks to the exchange program, I had an amazing three months at the Mazars Denge’s Istanbul Office. Being welcomed into the team from day one, positive attitudes of my colleagues and the exciting work we had made these three months an unforgettable experience for me.

58


LONG-EARED OWL / ASIO OTUS

EQUAL OPPORTUNIT Y AND DIVERSIT Y

needs to corrective actions. The plan also represents one of Mazars Denge’s 2019 objectives. The company’s efforts and progress towards these objectives will also serve as an indicator of Mazars Denge’s human

Mazars Denge upholds the principle of equality in all

resources performance in 2019.

human resources processes including recruitment, promotion, training, and career management. Mazars

COMPANY EVENTS

Denge expects its employees to respect human rights, ethical values and individual differences and to have

✦"The Grass Awaits!" Picnic Organization

an awareness of social responsibility and sustainable

After an intense period at work, during which we

development, and manages its recruitment practices

achieved great things together once again, we organized

accordingly. For Mazars Denge, providing employment

a picnic on Sunday, May 6 to celebrate the start of

opportunities for individuals with disabilities is more

summer.

than fulfilling an obligation mandated by Turkish law; it is an indispensable part of the company’s equal

✦ Aikido Training

opportunity and diversity policy. Disabled employees

On occasion of the March 8 International Women’s Day,

are employed for all positions across the company,

we offered our female colleagues at Mazars Denge one

especially in technical functions, and offered career

month of free Aikido training.

progression in line with their professional and technical competence. Mazars Denge’s inclusive and unifying

✦ French Language Course

corporate culture is the result of the company’s ability

Fifteen Mazars Denge employees took part in the French

to bring together different perspectives and cultures in

language courses offered in collaboration with Mazars

harmony. The company’s attention to individuality is

Denge France Desk and French Culture Center. All levels

also reflected in its recruitment process. Mazars Denge

of employees from assistants to partners attended the

employees hold bachelor’s and master’s degrees from 52

courses, which took place at the French Culture Center

universities across Europe, America and Asia, and serve

and Mazars Denge office. Our partnership with French

in 12 languages.

Culture Center is ongoing and the course program for the upcoming year has already been shared with Mazars Denge employees.

59

Mazars Move & Mobility program

Grass Awaits


BLUE-CHEEKED BEE-EATER / MEROPS PERSICUS

SOCIAL AND R E L AT I O N A L C A P I TA L

60


İnanç Gökyürek BIC – Finance Manager The business culture and values of Mazars Denge and BIC are very similar. As such, it was a real pleasure to work with Mazars Denge.

BALANCED DISTRIBUTION OF SENIOR ATTENTION ACROSS ALL CLIENTS

Cem K. Yücel Groupe CAT Turkey – Country Manager Mazars Denge’s local yet international position makes it a pleasure to work with them.

From day one, Mazars Denge has always responded to every client need at top management level. Mazars

Ercan Yıldırım Certifer – General Manager

Denge partners and directors specially address client needs through all stages of projects from conception to

While receiving services from Mazars Denge, it was delightful to see their teams offer training to us and guide us as veritable supporters along the way. We hope to continue our business partnership with Mazars Denge for many years to come.

completion.

BALANCE BET WEEN REAL NEEDS AND REAL SOLUTIONS Mazars Denge’s principle of responsible revenues sits at the heart of client relations. Mazars Denge offers to its clients only the services that they actually need, and which it believes will make a real contribution to their business.

BALANCE BETWEEN TECHNICAL EXCELLENCE AND ETHICS Mazars Denge is aware that technical excellence is not

CLIENT FOCUS

enough in and of itself to meet client needs and that an unwavering commitment to ethical principles is also a must, which guides Mazars Denge and its employees in

With over 40 years of experience, Mazars Denge

providing the best service possible.

serves all sectors of the economy, although its clients predominantly operate in the automotive, insurance,

BALANCE BET WEEN CLIENT SATISFAC TION AND LONG-TERM RELATIONS

information, energy, textile, and food industries. The majority of the company’s 1,475 clients in 2018 were either multinationals or foreign companies based outside of Turkey. As such, Mazars Denge enjoys an

Mazars Denge’s commitment to clients, independent

international recognition not only due to the company’s

approach and sense of technical excellence are aimed at

position as part of the Mazars network, but also by virtue

continuously improving client satisfaction. By attaching

of its global clientele.

utmost importance to client satisfaction, Mazars Denge strives to build long-term business relations with clients

Mazars Denge’s relations with clients rest on four

and contribute to the development of all industries it

fundamental principles. By placing equal importance on

serves, including its own. Accordingly, the company

these four principles, Mazars Denge has maintained a

conducts client satisfaction surveys on an annual basis

balanced approach in client relations for 40 years.

to evaluate the quality of its services.

61


Volkan Narcı ADYSK – Chairman For the last three years, we have had the opportunity to work closely with Mazars Denge in a busy and coordinated manner. During this time, they were a devoted supporter of our Turkish Sea Coral Transplantation Project “Adamer”, an initiative that was met with doubt by the scientific circles for its success & feasibility. Today, we are also collaborating with Mazars Denge in two other projects, one involving the removal of “ghost nets” from seas, which represent an international challenge, and the establishment of Istanbul’s first marine nature reserve. We appreciate the fact that a tax, accounting and consulting firm is focusing on environmental issues as well and making efforts for a sustainable business and future. In today world, where companies focus almost exclusively on financial concerns, it is encouraging to see such a visionary approach.

CLIENT SATISFAC TION SURVEY 2018

2018

9,15 How successful were we in following the service schedule?

9,06 9,05 9,19 9,08

Would you recommend our firm to others?

8,95 9,11 Were we quick enough in responding to the problems you faced?

9,12 8,97 9,21

Did we communicate adequately with you and your team during the provision of our services?

9,25 9,03 9,12

Would you consider working with us again in the future?

9,00 8,77 9,11

How successful were we in avoiding the disruption of your daily work flow during the performance of our services?

9,20 8,94 8,90

Did our services meet your expectations?

8,96 8,91 8,97

Did our team demonstrate a comprehensive technical expertise of your business and industry?

8,83 8,70 8,95

Overall, how satisfied are you with the quality of the services provided?

9,13 8,94 8,32

How would you rate our prices with regard to the quality of our services?

8,11 7,93 62

2017

2016


SUPPORTING SOCIETAL DEVELOPMENT

CULTURE ✦ The Quincentennial Foundation ✦ Aktüel Archaeology Magazine: The company

As a signatory to the UN Global Compact, Mazars Denge is aware of its responsibility towards stakeholders in all of its operations. Mazars Denge regards society as a stakeholder alongside its employees and clients, and as such, strives not only to do its work right but also to add value to the society by providing support to NGOs operating in a wide variety of areas. Some of the NGOs and projects supported by Mazars Denge are listed below.

has been providing sponsorship and consulting support for the Aktüel Archeology Magazine since its founding. ✦ Hasköy Turkish Karaite Judaism Foundation ✦ Cultural Awareness Foundation (KBGV): The company provides pro bono accounting services to the association. KBGV organized an exclusive Istanbul tour for Mazars Denge employees in 2018. ✦ Turkish National Youth Philharmonic Orchestra: The company sponsors the Turkish National Youth Philharmonic Orchestra to support the education of young individuals talented in music.

ENVIRONMENT ✦ ADYSK (Princes' Islands Life with Sea and Sports Club Association): Mazars Denge provided

COMMUNIT Y

organization and production support for ADYSK’s ✦ Association of Peace and Solidarity Ambassadors

exhibition at the Maritime Museum. The company

✦ Çocuklar Gülsün Diye Foundation

also assisted the association in securing financing

✦ Endeavor Association

for its projects in 2018, and opened a permanent

✦ Hrant Dink Foundation

exhibition at the Mazars Denge Istanbul Office.

✦ Good Cotton Practices Association

✦ Buğday Association

✦ KALDER (Quality Association of Turkey)

✦ TEMA Foundation

✦ Mor Çatı Women’s Shelters Foundation

✦ Çekül Foundation: In cooperation with the Çekül

✦ Community Volunteers Foundation - We Run For A

Foundation, Mazars Denge donates saplings for

Reason Project

new recruit and newborn children of its employees.

✦ Amnesty International

Since 1994, Mazars Denge has planted over 14,300

✦ Young Guru Academy (YGA) – Dream Partners

saplings in various Çekül and TEMA sites.

In addition to the above, the company provides

✦ EKO IQ Magazine: Mazars Denge supports the

accounting and independent audit services at a reduced

EKO IQ Magazine by providing sponsorship and pro

rate for various associations and foundations.

bono consulting.

İstem D. Akalp Ashoka Turkey – Social Entrepreneurship Program Director

On this journey that we set out with a vision to create a world where everyone can make a difference, we regard Mazars Denge as a key stakeholders and a trend setter in social transformation, not only due to their pro bono support for social entrepreneurs, but also for their bold and dedicated efforts. We are looking forward to this year’s Mazars Denge Sustainability Report, which we hope will set an example for stakeholders in other industries.

Ashoka Turkey endeavors to find social entrepreneurs who develop innovative solutions for social issues and brings them together on a global network to provide them with the support they may need, while also supporting children and youth in developing skills that will make a difference in their home, school, and larger community. 63


GREY HERON / ARDEA CINEREA

CULTUR AL SUSTAINABILIT Y In line with its sustainability strategy, Mazars Denge believes that employees should attain awareness and knowledge on social, cultural and historical topics in addition to matters concerning their respective profession, and in doing so, broaden their horizon and become part of a learning organization. Mazars Denge values communication of cultural and artistic values in the workplace as a means of sharing its perspective of cultural sustainability with employees, clients, and other stakeholders vising its premises. All meeting rooms at Mazars Denge Head Office are named after and use themes from ancient Anatolian cities. Works of contemporary art are exhibited at various locations in the company’s offices. Mazars Denge offers pro bono or low-cost accounting and consulting services to NGOs and foundations both to support these organizations and to enable its employees to attend trips and seminars. Mazars Denge organizes regular history and culture trips and meetings to facilitate a multidimensional understanding of the cultures and histories of the regions we inhabit. Accordingly, Mazars Denge country desks carry out activities and offer training courses on Chinese, French, and Greek cultures.

64


“TO SEE AND NOTICE” CULTUR AL TRIP In collaboration with the Cultural Awareness Foundation, ADAMER Maritime Museum Exhibition

and under the guidance of Art Historian Hayri Fehmi Yılmaz, Mazars Denge organized a cultural trip on September 8, 2018, visiting the Süleymaniye Mosque and complex including the mausoleums of Suleiman

ADAMER-For the Corals Exhibition at Mazars Denge Istanbul Office

Dr. İzel Levi Coşkun explains the ADAMER project

the Magnificent and Hurrem Sultan; remains of the Church of St. Polyeuctus; Şehzade Mosque, which was commissioned by Suleiman the Magnificent for his beloved son Mehmet as well as mausoleum and public

ADAMER E XHIBITION

kitchen of the mosque complex, Damat Ibrahim Pasa Mosque, Direklerarası, Kalenderhane Mosque (formerly the Church of Kyriotissa), Bab-ı Meşhihat / Shaykh Al-

On July 27, 2018, Mazars Denge Istanbul Office opened

Islam building, Botanical Garden, Mausoleum of Sinan

its doors to the ADAMER Exhibition, which details

the Architect, and public fountain, and Vefa Ayın Biri

the transplantation of the Sivriada coral reef, the last

Church.

surviving coral reef of the Princes’ Islands, to Tavşan Adası (Neandros).

TUGFO ZORLU PSM CONCERT

SUS TAINABLE LIFE FILM SCREENING

As in previous years, Mazars Denge was a sponsor of

Mazars Denge employees attended a film event on

the Turkish National Youth Philharmonic Orchestra

Wednesday, February 28, titled “Sustainability on the Rise”.

(TUGFO) concert, which took place on September 4, 2018 at Zorlu Performing Arts Center. Established in 2007 by Cem Mansur and the first of its kind in Turkey, the orchestra has 100 young musicians (ages 16-22) selected from conservatories across the country. Each summer, after a three-week preparation period led by the best trainers in their respective discipline, TUGFO sets off on a concert tour of Turkey and Europe. SIBEL HOR ADA – “AN INDOOR GARDEN" E XHIBITION On November 16, 2018, Mazars Denge employees visited Sibel Horada’s solo exhibition titled “An Indoor Garden”, joining a brief journey into the world of plants, and the life and future itself, guided by the artist’s commentary. Focusing on soil and the cycles of nature such as foliation and decomposition, the exhibition and its accompanying workshop took Mazars Denge into a journey into the lifecycle of plants. 65


SOCIAL RESPONSIBILIT Y PROJEC TS Mazars Denge’s Second NGO Fair

Social responsibility is an important area for bringing Mazars Denge’s concept of sustainability to life. Volunteerism and support for NGOs are part of the company’s social responsibility awareness,

NGO FAIR

which underpins its sustainability strategy. Mazars

On June 1, 2018, 72 Mazars Denge employees

Denge encourages employees to take part in social

attended the Second NGO Fair, which saw 10 NGOs

responsibility projects by offering them social

introduce themselves and their volunteer work.

responsibility leave each year. In 2018, Mazars Denge

Employees conducted one-on-one meetings with NGO

CEO Dr. İzel Levi Coşkun devoted over 485 hours to

representatives, receiving information on how to make

social responsibility projects while Mazars Denge

the best use of the social responsibility leaves offered by

dedicated over 1,300 hours to pro bono work and

Mazars Denge. The Hrant Dink Foundation, Octopus

1.46 hours of personal time per employee to social

Volunteers, TOG, TIDER, ADYSK, Amnesty International,

responsibility efforts.

Ashoka, TEV, Yuva Foundation, and KBGV took part in the NGO Fair.

40 TH IS TANBUL MAR ATHON Forty-eight Mazars Denge employees took part in the project, raising TRY 19,676 in funds for TOG and Octopus Volunteers.

Mazars Denge Employees at the 40th Istanbul Marathon

OC TOPUS VOLUNTEERS A SSOCIATION MATERIAL RECL AMATION CENTER Volunteer Mazars Denge employees spent one day at the Octopus Volunteers Association’s material reclamation center in Kadıköy, assisting with the separating,

TALKING HANDS WORKSHOP

categorizing, cleaning, ironing, packaging and preparing

Talking Hands, a social initiative that aims to develop

for delivery the material aid (books, clothes, toys, etc.)

solutions for equal education opportunities for

collected for sending to people in need. Participating

individuals with speech and hearing-impediment who

employees also made donations of their own for the

communicate solely through the Turkish sign language,

effort.

organized a workshop for Mazars Denge employees on October 21, 2018. The workshop introduced the initiative and the reasons behind it as well as the Deaf culture, and trained participants on basic sign alphabet and greeting signs for communicating with people with speech or hearing impediments.

66


COLLABOR ATIONS WITH ACADEMIC AND EDUCATIONAL INSTITUTIONS

Some of Mazars Denge’s activities in this direction are

In line with Mazars Denge’s Human Resources

Mazars Denge Independent Audit Partners Nesli Erdem

policy, collaborations with academic and educational

and Tuğba Şimşek Özadalı delivered an interactive

institutions are equally important as internally provided

presentation on independent audits to students,

professional and technical training for sustainable

after which many students contacted the company’s

employee development. For this purpose, Mazars

Human Resources team for information on career and

Denge has partnered with various academic and

scholarship opportunities.

given below. As in the previous year, Mazars Denge’s Human Resources Team attended the Istanbul University Career Days event, which took place on April 18, 2018.

educational institutions in 2018 on different training platforms based on the company’s needs. As part of its

On March 28, 2018, Mazars Denge Human Resources

employer brand efforts, the company collaborated with

team attended the Yıldız Technical University’s

many universities, chambers, associations and similar

Career Fair event, accompanied by a colleague from the

organizations to introduce Mazars Denge to potential

Independent Audit Department who graduated from the

recruits.

university. The team introduced Mazars Denge’s services and career opportunities to graduates and students attending the fair. The team also received applications from interested participants. Mazars Denge Intrapreneurship specialist as well as one representative each from the Tax, AOS and Independent Audit departments attended a seminar on December 11, 2018. During the seminar, the team informed the student audience on what awaits them in their career ahead, introduced the services provided by Mazars Denge, as well as the “These Young People Have the Potential!” project of TUSIAD. Management Consulting Partners Pınar Derkazez and Kerim Can Ertuğ attended Careers in Consulting 2018 event, organized by Koç University Career Development Center on October 25, 2018, to provide information on the Management Consulting sector and career opportunities, and share case analyses with students.

NORTHERN WHEATEAR / OENANTHE OENANTHE

67


DISSEMINATING THE SUSTAINABILIT Y APPROACH For Mazars Denge, promoting and spreading its sustainability perspective is a priority.

✦ Kale Talks ✦ Istanbul University ✦ Koç University

For Mazars Denge, promoting and spreading

✦ Istanbul University Avcılar Campus

its sustainability perspective is a priority. As the

✦ Doğuş University

Sustainability Ambassador of Mazars Denge,

✦ Toyota

CEO Dr. İzel Levi Coşkun appears on TV shows,

✦ Istanbul University Faculty of Science

writes articles and delivers speeches, explaining to

✦ Kuzey Yıldızı - TAIDER

stakeholders how sustainability can be implemented

✦ Ashoka

in our daily lives.

✦ TAIDER

In 2018, panels on sustainability were held in:

✦ KalDer ✦ Institute du Bosphore

HORNED GREBE / PODICEPS AURITUS

68


TUSIAD - THESE YOUNG PEOPLE HAVE THE POTENTIAL! Designed to develop entrepreneurial skills with an innovative perspective of university students, TUSIAD’s These Young People Have the Potential! project has been offering a wide range of support including training, networking and mentorship since 2011. From the 2018-2019 academic year onwards, Turkey’s biggest entrepreneurship contest TUSIAD’s These Young People Have the Potential!, which Mazars Denge has been supporting for the last three years as gold sponsor, will be managed by a working group led by Mazars Denge CEO Dr. İzel Levi Coşkun, who is also a Board Member of TUSIAD. Mazars Denge partners, directors and department heads from three regional offices provide mentorship and training support for the project, which included Board Member Taylan Baykut and Tax Partner Ferrah Sefer as panelists in 2018 and 2019, respectively. Under the guidance of Dr. İzel Levi Coşkun, the project transformed into a full-scale development program during the year with the addition of the Aegean Region into the project’s scope. One of the 2018 contestants, Hayriye Ocak ranked 35 among 1200 entries to earn a place in the project camp. She also led the development of Mazars Denge Intrapreneurship Department in June of the same year.

Mazars Denge sustainability training

Hayriye Ocak Intrapreneurship Specialist I am but one of the entrepreneurs who won the chance to participate in the 2018 edition of TUSIAD’s “These Young People Have the Potential!” program. Since the day our paths crossed, I have been managing the Intrapreneurship activities of Mazars Denge with great pride and happiness. We are part of an organization that embraces entrepreneurship, innovation and productivity as a culture, and shares its accumulated knowledge with its members. Being able to act with freedom in an environment where people always come first sparks and drives our creativity. In short, Mazars Denge is an organization that supports and nurtures its employees, and accepts them for who they are. 69


INTELLEC TUAL C A P I TA L

INNOVATION IN SERVICES AND DIGITAL TR ANSFORMATION The rapid pace of the development in IT technologies, coupled with the ever-growing volume of accounting data from audited organizations, has made digital transformation inevitable for auditing, as with various other sectors. Mazars Denge keeps abreast technological advances and integrates these into its service offering to make a difference and offer high quality services to its clients. Accordingly, Mazars Denge conducts its tax and audits using the "CAP” (Computerized Audit Program) software, which features a technical infrastructure by Futurecom and content that has been shaped by the 42year experience of Mazars Denge. “CAP” software has the following advantages; ✦ Enables Mazars Denge to maintain service quality throughout the audit, reflecting its corporate culture. ✦ Enhances the capacity of auditors. Performing all audit tasks on CAP also ensures that all auditors complete the same analysis at comparable times and quality. ✦ Minimizes audit risk in risk-based audits. ✦ Employs a computer-based audit system that enables the analysis of all client data. ✦ Ensures that all audit results are comparable, traceable and subject to approval, preventing unauthorized access by parties outside the audit company. ✦ Enables audits that are based on systems, rather than individuals. ✦ Facilitates access to information and documents as all audit results are archived, reducing archive costs in terms of space and access time.

COMMON LOON / GAVIA IMMER

70


David Doğan Ruben AOS – Manager

INFORMATION SECURIT Y

It takes courage and vision to take the first step and transform entrepreneurship into an integral value rather than a simple concept. As technology and digitalization take our world to uncharted waters, our businesses are guided by dreams of happiness. And it is exciting to be working in a company that helps us reach those dreams, supports us along the journey, and gives us the courage and vision to take that first step, or in other words, has the vision to “transform entrepreneurship into the culture, and integrate it into the DNA of the company".

Mazars Denge regards “information” as one of the key resources of all stakeholders, and conducts its operations in accordance with the highest standards of security. Accordingly, the company has integrated all systems, processes and internal control procedures with a view to ensuring data security, confidentiality, and feasibility. Mazars Denge exercises utmost care in managing its information security risks as well as ensuring responsible use of its corporate information sources. The company’s focus on information security is not

Intrapreneurship

only based on protecting its IT infrastructure, but also on managing IT risks, an important aspect of IT governance at the organization level, and establishing

INTR APRENEURSHIP

an information security program. Mazars Denge’s information security operations are coordinated by

The main objective of Mazars Denge Intrapreneurship

the Information Security Committee, which is also

Department is to encourage employees who want to

responsible for monitoring systems operations, and

lead a new idea, create value by generating solutions

evaluating and approving improvement proposals.

for everyday problems, and contribute to sustainability and profitable growth by increasing efficiency. With great focus on digital transformation, the Intrapreneurship

The committee is formed by representatives from each department, and delegates its responsibilities to the Information Security Manager and department

Department offers coding training to employees in

representatives.

order to improve their skills and capacities with regard to digital transformation and technology, enabling

In 2018, Mazars Denge achieved one of its key goals

them to have a better understanding of all service

with respect to information security: spreading

processes while encouraging them to create innovative

awareness among employees of all levels about

ideas and solutions towards service improvement and

information security risks. In the year ahead, the

development.

company will continue to invest in innovative

Established in 2018, the Intrapreneurship Department

solutions and establish the most advanced security

managed to automatize three company systems in

solutions across the organization with a view to

its first year. The department is currently preparing to

continuous improvement and enhancement of its

establish a robust tech infrastructure in the company,

information security process. Accordingly, Mazars

with plans to integrate artificial intelligence, machine

Denge will focus on:

learning and deep learning into the company’s service

✦ Asset Management

processes for the automation of routine tasks.

✦ Risk Management ✦ Access Control

IDEATHON

✦ Awareness ✦ Data Security

Mazars Denge will launch an Ideathon event in 2019

✦ Information Security Event Management

to establish an environment that is conducive to the

✦ Business Continuity Management

development of novel ideas. The company’s goal is to

✦ Compliance with Laws and Regulations

enhance its systems with new features developed in

Mazars Denge is committed to ensuring prudent,

line with the proposed ideas. The 2019 Ideathon project

strategic and proactive data security by utilizing

will also include idea contests as well as speeches by

appropriate managerial, technical and physical

influential speakers.

security.

71


N AT U R A L C A P I TA L

17%

33%

MA Z ARS DENGE GREENHOUSE GA S EMISSIONS - HE AD OFFICE

50%

Scope 1: Fuel & Natural Gas Scope 2: Electricity Consumption Scope 3: Business Travels (Flights)

16%

39 %

MA Z ARS DENGE GREENHOUSE GA S EMISSIONS ALL OFFICES

45

%

EURASIAN GOLDEN ORIOLE / ORIOLUS ORIOLUS

72


REDUCING ENVIRONMENTAL IMPAC T Mazars Denge takes into consideration the environmental impact of its operations as well as the operations of its client and suppliers throughout its entire service cycle. GREENHOUSE GAS EMISSIONS (TCO2 EQUIVALENT)

Head Office

All Offices

2017

2018

2017

2018

Scope 1 (Fuel & Natural Gas)

116.70

128.76

174.25

144.76

Scope 2 (Electricity Consumption)

237.00

252.09

335.14

347.85

Scope 3 (Business Travels - Flights)

200.12

375.48

232.65

396.00

Total tCO2

553.82

756.33

742.04

888.61

Total Scope 1 & Scope 2 Greenhouse Gas Emissions per Employee (tCO2e per capita)

1.44

1.42

1.60

1.40

Total Scope 1 Greenhouse Gas Emissions per Employee (tCO2e per capita)

0.48

0.48

0.55

0.41

Total Scope 2 Greenhouse Gas Emissions per Employee (tCO2e per capita)

0.97

0.94

1.05

0.99

Note: 2017 and 2018 columns show greenhouse gas emissions for Mazars Denge Istanbul (Head Office). 2017* and 2018* columns show Mazars Denge Istanbul (Head Office), Ankara, Izmir and Denizli offices.

ENVIRONMENTAL INDICATORS

Head Office

All Offices

2017

2018

Change

2017*

2018*

Change

238,005.00

253,139.37

0.06

323,101.55

349,298.37

0.08

971.45

944.55

-0.03

1,012.86

995.15

-0.02

88,930.00

90,344.00

0.02

93,666.00

95,696.00

0.02

363.00

337.10

-0.07

293.62

272.64

-0.07

Hybrid fuel consumption (kWh)

-

27,469.00

-

27,469.00

Hybrid fuel consumption per vehicle (kWh)

-

5,493.80

-

5,493.80

311,309.00

333,787.00

0.07

7,982.28

6,544.84

-0.18

10,304.38

6,817.23

-0.34

90,790.00

68,925.00

-0.24

112,907.00

69,827.00

-0.38

8,253.64

6,892.50

-0.16

8,685.15

5,818.92

-0.33

729,034.00

773,664.37

0.06

1,065,502.55

951,324.37

-0.11

2,975.60

2,886.81

-0.03

3,340.13

2,710.33

-0.19

8.33

7.40

-0.11

12.54

12.40

-0.01

0.034

0.028

-0.19

0.040

0.035

-0.12

Waste (tonnes)

15.20

14.00

-0,08

15.20

14.00

-0.08

Recycled waste (tonnes)

8.70

7.75

-0,11

8.70

7.75

-0.11

Water consumption (m3)

1,379.10

1,305.70

-0.05

2,726.97

2,828.77

0.04

Tap water (m3)

1,345.00

1,268.00

-0.06

2,689.27

2,787.00

0.04

5.49

4.73

-0.14

8.43

7.94

-0.06

34.10

37.70

0.11

37.70

41.77

0.11

0.14

0.14

0.00

0.12

0.12

0.00

Electricity Consumption (kWh) Electricity Consumption per capita (kWh) Natural gas consumption (kWh) Natural gas consumption per capita (kWh)

Diesel consumption (kWh) Diesel consumption per diesel vehicle (kWh) Gasoline consumption (kWh) Gasoline consumption per gasoline vehicle (kWh)

Total Energy Consumption (kWh)* Total Energy Consumption per capita (kWh) Paper consumption (tonnes) Paper consumption per employee (tonnes)

535,828.00 409,034.00

-0.24

Waste Management

Tap water per capita (m ) 3

Drinking water (m ) 3

Drinking water per capita (m3)

73


2018 FORECASTS AND PROGRESS ON TARGETS: The decrease in per capita consumption in all environmental indicators shows the increase in awareness among Mazars Denge employees.

As a result of the diversifying vehicle market, the number of hybrid cars in Mazars Denge’s fleet is expected to increase, which will decrease carbon emissions per vehicle.

IMPLEMENTED

Potential carbon emissions, alongside other factors such as costs, will be taken into account at the planning phase of events. Furthermore, Mazars Denge plans to offset the carbon footprint of these

IN PROGRESS

events by donating saplings. In addition to sapling donations on behalf of new recruits and newborn children of employees, Mazars Denge plans donate saplings on behalf of employees on special occasions as well. Mazars Denge aims to reduce per capita energy consumption through more intense communication efforts towards spreading awareness among employees.

EXPENSE MANAGEMENT SYSTEM

IN PROGRESS

IN PROGRESS

2018 FORECASTS AND TARGETS:

In 2018, Mazars Denge developed a new software, the

✦As monitoring travel expenses is now trivial with

Expense Management System (MYS) to improve upon

MYS, the system will contribute greatly to vehicle

data collection for carbon calculations as well as to

selection and route planning for carbon calculations

raise employee awareness. The new system has made

in the years ahead. When it is implemented

it possible to factor in intracity and intercity trips into

and supervised, the program is expected to

calculations, which was not possible before.

make a significant contribution to reducing the environmental impact of Mazars Denge by paving the way for a more austere approach in vehicle selection, as well as offering savings of time and expenses. ✦Intrapreneurship Department will continue to

Anıl Taşkoyan Mazars Denge İzmir – Partner

digitalize the company’s systems using artificial

Our tech-based entrepreneurship journey at the Izmir Office began with the realization of how much time we spent for accounting tasks. As accounting involves a high amount of repetitive tasks and processes, we wanted to save some time for our stakeholders as well as all of our colleagues. Thanks to the entrepreneurship in our genes, we formed a software development team, and began working on a variety of artificial intelligence applications that utilize deep learning.

savings in terms of paper usage and time.

intelligence, which in turn will provide significant ✦In terms of vehicle selection, Mazars Denge will continue to gravitate towards gasoline-powered vehicles with low CO2 emissions due to the problems with diesel engines and comparable, if not higher fuel efficiency of gasoline engines. With that being said, Mazars Denge plans to increase the number of hybrid vehicles in its fleet. These are expected to reduce carbon emissions per vehicle.

74


ANNEXES

75


A N N E X 1: U N G L O B A L C O M P A C T: PRINCIPLES AND MAZARS DENGE

1 2 3 4 5 6 7 8 9 10

As a signatory to the UN Global Compact, Mazars Denge prioritizes the principles of “elimination of discrimination in respect of employment and occupation”, “precautionary approach towards environmental challenges”, “initiatives to promote greater environmental responsibility”, and “working against corruption in all its forms, including extortion and bribery” in its operations as well as all external activities to which it provides support as part of its efforts towards the Sustainable Development Goals.

Principle

Businesses should support and respect the protection of internationally proclaimed human rights.

Principle

Businesses should make sure that they are not complicit in human rights abuses.

Principle

Principle

Principle

Principle

Businesses should uphold the elimination of forced or compulsory labor.

Businesses should uphold the effective abolition of child labor.

Businesses should uphold the elimination of discrimination in respect of employment and occupation.

Principle

Businesses should support a precautionary approach to environmental challenges.

Principle

Businesses should undertake initiatives to promote greater environmental responsibility.

Principle

Principle

76

Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining.

Businesses should encourage the development and diffusion of environmentally friendly technologies.

Businesses should work against corruption in all its forms, including extortion and bribery.


ANNEX 2: MAZARS DENGE SUPPLIER CRITERIA ENVIRONMENTAL ✦ Water and energy consumption ✦ Carbon footprint ✦ Waste (paper, plastic, glass, technological waste separation) management ✦ Environment impact of products and services ✦ Prudent use of materials

SOCIAL ✦ Adherence to Mazars Denge’s principles on discrimination ✦ Ethics in business relations ✦ Support for employee development and competence ✦ Support for campaigns and projects with public benefit ✦ Healthy and safe working environment for supplier personnel ✦ Presence of an OHS expert in the premises ✦ Presence of an occupational physician in the premises ✦ Adequate risk analysis and relevant action ✦ Presence of an OHS board attended by employee representatives ✦ Incidence of work-related accidents and diseases

LEGAL ✦ Regular salary payments, payroll checks ✦ No employees working under minimum wage ✦ Annual leaves ✦ Timely notification of recruitment and termination to relevant authorities ✦ Severance and notice pays ✦ Organized employment contracts ✦ Maternity leaves and breastfeeding breaks ✦ No child or forced labor ✦ Freedom of association and right to collective bargaining

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ANNEX 3 : MAZARS DENGE HUMAN RESOURCES KEY PERFORMANCE I N D I C AT O R S A N D 2 0 19 TA R G E T S

HR FUNCTIONS / PRIORITY AREAS

KEY PERFORMANCE INDICATORS

2016 RESULT

2017 RESULT

2018 RESULT

2019 TARGET

Increase total training hours per capita ✦ Increase technical/ professional, on-thejob training hours per capita ✦ Increase competence/personal development hours

Average per capita training of 10.46 hours

Average per capita training of 31.29 hours ✦Technical/professional training: 25.73 hours per capita ✦Competence/personal development: 5.56 hours per capita

Average per capita training of 39.78 hours (2018 Target: 40 hours per capita) ✦25.23 hours of technical/ professional training per capita (2018 Target: 25 hours) ✦14.55 hours of competence/personal development per capita (2018 Target: 15 hours)

Increase average per capita training to 40 hours ✦25 hours of technical/ professional training per capita ✦15 hours of competence/ personal development per capita

Overall employee satisfaction with regard to training

2017 Target

Overall satisfaction of 81.2% (2017 Target: 80%)

Overall satisfaction of 60% (2018 Target: 80%)

Minimum overall satisfaction of 80% for all employees

Increased awareness of corporate sustainability

Manager- level efforts for increased awareness, no employee training on sustainability

1.25 hours of corporate sustainability training per capita (2017 Target: 1 hours per capita)

1.9 hours of corporate sustainability training per capita (2018 Target: 1.3 hours per capita)

Minimum of 2 hours of corporate sustainability training per capita

Attendance to seminars, trips and film screenings on culture, human rights, diversity, etc. for increased awareness and knowledge

3 seminars, 1 film screening, 2 cultural trips

Sustainability film screening 3 cultural trips 2 trips (FenerBalat + Fatih), seminar on the Constitution, sustainability seminars, NGO meeting, Tunceli Surface Research Archeology Seminar, TOG School Painting Event(2017 Target: At least 10 seminar, trip, and film screening events)

Sustainability film screening 1 cultural trip 1 trip (To See and Notice), Ashoka TR Meeting, TUGFO Zorlu PSM Concert, NGO Fair, Peaceful Discourse Workshop, Talking Hands, Sustainability Seminar, Aikido Training, Mazars Denge Picnic Event “The Grass Awaits!”, Backgammon Tournament, Tennis - Chess - Table Tennis Tournament, ADAMER Exhibition, Global Warming Awareness Contest, Entrepreneurship and Innovation Seminar, Mazars Denge Idea Club An Indoor Garden - Sibel Horada Exhibition

At least 20 seminar, trip, and film screening events

In-house trainer development

2018 Target

2018 Target

Per capita internal and external competence training of 4.74 hours for in-house trainers (2018 Target: 5 hours)

Per capita internal and external competence training of 5 hours for in-house trainers

Broader use of MazarsU e-learning platform

2018 Target

2018 Target

40 employees given training via MazarsU (2018 Target: 30 employees)

At least 60 employees given training via MazarsU

Higher participation to ACCA training

2019 Target

2019 Target

2019 Target

At least 20 employees given ACCA training

More time dedicated to social responsibility efforts

2018 Target

Mazars Denge CEO allocated 300 hours to social responsibility efforts in 2017. With middle- and top-level executives are also taken into account, this increased to over 1,250 hours. Mazars Denge provided 1,800 hours of pro bono services

1.46 hours of social responsibility work per capita. A different calculation method was used compared to the previous year.

At least 3 hours of social responsibility work per capita

ORGANIZATIONAL TRAINING AND DEVELOPMENT

78


PERFORMANCE MANAGEMENT

HR SYSTEMS

INTERNAL COMMUNICATIONS

Improvement of the company’s performance management with the addition of measurement models relevant to the sustainability model

2018 Target

2018 Target

Efforts to improve the Performance Management System are still underway

Rollout of the improvements, continuous improvement of the system using feedback obtained from employee satisfaction surveys, exit interviews, and stakeholder surveys.

Revision of the HR infrastructure to enable better responsiveness to department processes.

2018 Target

2018 Target

Efforts to improve the Human Resources Management System are still underway.

Evaluation of HR processes from an operational, tactical and strategic perspective for subsequent improvement in accordance with the evolving business dynamics and digitalization.

Continuity of the “We Hear You” practice, follow-up of the action plans.

2017 Target

✦ 75 one-on-one interviews were conducted with employees during AOS and Tax Performance Evaluation to receive feedback on factors improving motivation and performance. ✦ Monthly Audit Department Meeting was conducted in late September. ✦ “We Hear You” feedback and suggestion box was reactivated.

Plans for an Ethics Box was prepared for 2019.

The Ethics Box will be implemented, accompanied by communication channels for employees to report ethics issues.

Kickoff meetings for Audit, Tax, and other departments

Kickoff meeting was held for the Audit Department.

✦ Tax Kickoff meeting took place in March ✦ Audit Technical Training took place in the second week of October

2019 kickoff meetings were planned

Kickoff meetings for Audit, Tax, AOS, and other departments

HR - Department meetings

2018 Target

2018 Target

Development of university collaborations

Collaboration with various universities for career days, internships, and master’s degree education for employees.

The target of 10 university collaborations was met.

Events were held with Istanbul University, Yıldız Technical University, Koç University, Trakya University, Doğuş University, TOBB University. TED University, Yaşar University, and METU.

At least 10 event collaborations with universities

Maintaining diversity

Women account for 48% of all employees

Women account for 45% of all employees

Women account for 44.78% of all employees. (Target: Increase female employee ratio to 50%)

In addition to raising female employee ratio to 50%, female representation in middle and higher levels of the company will also be increased, both quantitatively and qualitatively.

Average length of service

Average length of service of 3.46 years

Average length of service of 3.92 years

Average length of service of 3.65 years (Target: 4 years)

The company will increase average employee length of service to 4 years.

Number of employees sent abroad as part of Mazars Global’s Move & Mobility program No employees were sent abroad with

Move & Mobility.

✦ Independent Audit Manager Servet Kırgız worked at Mazars Netherlands Audit Department for a period of three months. ✦ Independent Audit Assistant Manager Hakan Düzel transferred to Mazars UK.

Meral Gökalp, Independent Audit Senior Assistant from Mazars Germany, worked at Mazars Istanbul Audit Department for three months.

At least one employee participating in Move & Mobility every year.

RECRUITMENT

CAREER PLANNING

79

Selected Independent Audit, Tax and AOS representatives took part in two communication meetings These meetings provided 63 development suggestions, five of which were implemented immediately with support from top management. Suggestions for enhancing working environment in particular have led to improvements in convenience and comfort. These include improved ventilation and lighting, replenishment of office supplies, and expanding the janitorial staff. Other approved suggestions will be implemented in line with the existing plans and company’s resources.

Internal communications meetings in all regional offices in addition to Istanbul, to be held at least annually


ANNE X 4: G R I S TA N D A R D S C O N T E N T I N D E X GRI STANDARD

SUSTAINABLE DEVELOPMENT GOALS

DISCLOSURE

GRI 101: COMPREHENSIVE GRI 102: GENERAL DISCLOSURE ORGANIZATIONAL PROFILE 102-1

Corporate Profile, p:18

102-2

Mazars Denge provides all of its services in accordance with national and international agreements to which it is a signatory. Mazars Denge fully complies with all regulations on marketing communication including advertising, promotions and sponsorships, as well as all voluntary rules. Mazars Denge Services, p:26

102-3

Istanbul, Turkey

102-4

Corporate Profile, p:18

102-5

Corporate Profile, p:18

102-6

Corporate Profile, p:18

102-7

As of the end of the reporting period, Mazars Denge serves with 369 employees in 7 offices in 6 cities. Corporate Profile, p:18; Services, p:22

102-8

Sustainable Employee Development, p:56

102-9

Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

102-10

No changes in scale, structure, ownership status or supply chain took place during the reporting period.

102-11

Mazars Denge embraces the precautionary approach principle as set out in the UN Global Compact, which the company has signed with regard to the Sustainable Development Goals that form part of its sustainability strategy. In line with the same principle, Mazars Denge adopts policies and procedures as laid down in “Mazars Code of Conduct for Objectivity and Independence” (CCOI), which is compatible with IFAC-IESBA’s “Code of Ethics for Independent Auditors”, as well as “MQAM-2.1 Independence and Objectivity”, and “Mazars Risk Management & Quality ManualEthics”.

102-12

National and International Memberships, p:28

102-13

Supporting Societal Development, p:63

8

STRATEGY 102-14

Message from the Chairman, p:10; Message from the CEO, p:12

102-15

Message from the Chairman, p:10; Message from the CEO, p:12

ETHICS AND INTEGRITY 102-16

Ethical Principles, p:47

16

102-17

Ethical Principles, p:47

16

GOVERNANCE 102-18

Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

102-19

Mazars Denge’s Sustainability Approach, p:38

102-20

Mazars Denge’s Sustainability Approach, p:38; Organization of Sustainability at Mazars Denge, p:40

102-21

Mazars Denge’s Sustainability Approach, p:38

16

102-22

Sustainable Employee Development, p:56

5 16

102-23

Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

16

102-26

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

80


GRI STANDARD

DISCLOSURE

SUSTAINABLE DEVELOPMENT GOALS

102-27

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

4

102-28

Organization of Sustainability at Mazars Denge, p:40; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

102-29

Organization of Sustainability at Mazars Denge, p:40; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

102-30

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

102-31

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

102-32

Organization of Sustainability at Mazars Denge, p:40

102-33

Organization of Sustainability at Mazars Denge, p:40

102-34

Mazars Denge’s Sustainability Approach, p:38; Organization of Sustainability at Mazars Denge, p:40

102-35

Mazars Denge employs a competitive remuneration policy for all managers and employees in all levels. Career and Wage Management, p:57

102-36

Career and Wage Management, p:57

102-37

There are no applicable practices in place at Mazars Denge.

102-38

Career and Wage Management, p:57

102-39

Career and Wage Management, p:57

16

16

STAKEHOLDER ENGAGEMENT 102-40

Stakeholder Analysis, p:30

102-41

No collective labor agreements are in place. 8

102-42

Stakeholder Analysis, p:30

102-43

Stakeholder Analysis, p:30; Client Focus, p:61

102-44

Stakeholder Analysis, p:30; Client Focus, p:61

REPORTING PRACTICE 102-45

Corporate Profile, p:18

102-46

Material Issues, p:32

102-47

Material Issues, p:32

102-48

Material Issues, p:32

102-49

Material Issues, p:32

102-50

January 1, 2018 - December 31, 2018

102-51

About the Report, p:8

102-52

About the Report, p:8

102-53

Contact Info, p:90

102-54

About the Report, p:8

102-55

GRI Standards Content Index, p:82

102-56

No external audit took place.

81

8


GRI STANDARD

DISCLOSURE

SDG

ANTI-COMPETITIVE BEHAVIOR

ANTI-CORRUPTION

MARKET PRESENCE

ECONOMIC PERFORMANCE

GRI 201: ECONOMIC STANDARD SERIES 103-1

Corporate Profile, p:18; Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

103-2

Corporate Profile, p:18; Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

103-3

Corporate Profile, p:18; Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

201-1

Mazars Denge contributes greatly to financial literacy due to the nature of its industry, and the company’s employees generate economic added value both through the consulting services they provide to clients and the experience they take with them to their future companies after they leave Mazars. Furthermore, Mazars Denge employees endeavor to teach financial literacy to entrepreneurs, students, and NGO workers, and in doing so, increase the economic added value they generate.

2

5

7

8

2

5

7

8

1

5

8

5

8

103-1

Corporate Profile, p:18; Sustainable Employee Development, p:56

103-2

Corporate Profile, p:18; Sustainable Employee Development, p:56

103-3

Corporate Profile, p:18; Sustainable Employee Development, p:56

202-1

Mazars Denge utilizes a gender-neutral compensation policy and ensures that all wages are higher than the minimum wage determined by the Minimum Wage Determination Commission of the Ministry of Labor and Social Security. Career and Wage Management, p:57

1

202-2

All members of senior management at Mazars Denge are Turkish nationals.

8

103-1

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

103-2

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

103-3

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

205-1

Mazars Denge fully complies with anti-corruption laws and regulations in all of its operations.

16

205-2

Mazars Denge’s Sustainability Approach, p:38; UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

16

205-3

There were no confirmed cases of corruption in the reporting period.

16

103-1

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

103-2

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

103-3

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

206-1

There were no legal actions pending regarding anti-competitive behavior or violations of anti-trust and anti-monopoly legislation in the reporting period.

16

ENERGY

MATERIALS

GRI 301: ENVIRONMENTAL STANDARD SERIES 103-1

Reducing Environmental Impact, p:73

103-2

Reducing Environmental Impact, p:73

103-3

Reducing Environmental Impact, p:73

301-1

Reducing Environmental Impact, p:73

8 12

301-2

Reducing Environmental Impact, p:73

8 12

103-1

Reducing Environmental Impact, p:73

103-2

Reducing Environmental Impact, p:73

103-3

Reducing Environmental Impact, p:73

302-1

Reducing Environmental Impact, p:73

7

8 12 13

302-3

Reducing Environmental Impact, p:73

7

8 12 13

302-4

Reducing Environmental Impact, p:73

7

8 12 13

302-5

Reducing Environmental Impact, p:73

7

8 12 13

82

9


SUPPLIER ENVIRONMENTAL ASSESSMENT

COMPLIANCE

WATER AND EFFLUENTS

EMISSIONS

GRI STANDARD

DISCLOSURE

SDG

103-1

Mazars Denge’s Sustainability Approach, p:38; Reducing Environmental Impact, p:73

103-2

Mazars Denge’s Sustainability Approach, p:38; Reducing Environmental Impact, p:73

103-3

Mazars Denge’s Sustainability Approach, p:38; Reducing Environmental Impact, p:73

305-1

Reducing Environmental Impact, p:73

3 12 13 14 15

305-2

Reducing Environmental Impact, p:73

3 12 13 14 15

305-3

Reducing Environmental Impact, p:73

3 12 13 14 15

305-4

Reducing Environmental Impact, p:73

12 13 14 15

103-1

Mazars Denge’s Sustainability Approach, p:38; Reducing Environmental Impact, p:73

103-2

Mazars Denge’s Sustainability Approach, p:38; Reducing Environmental Impact, p:73

103-3

Mazars Denge’s Sustainability Approach, p:38; Reducing Environmental Impact, p:73

306-2

Reducing Environmental Impact, p:73

103-1

Mazars Denge’s Sustainability Approach, p:38

103-2

Mazars Denge’s Sustainability Approach, p:38

103-3

Mazars Denge’s Sustainability Approach, p:38

307-1

No environmental violations were reported during the reporting period.

103-1

Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-2

Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-3

Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

308-1

Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77; Mazars Denge endeavors to ensure that all suppliers act in accordance with Mazars Denge Supplier Principles and monitors supplier compliance with these principles.

308-2

No existing or potential environmental impact regarding suppliers was identified during the reporting period.

12 13 14 15

12 13 14 15 3

6

12 13 14 15 12 13 14 15 16

OCCUPATIONAL HEALTH AND SAFETY

LABOR/ MANAGEMENT

EMPLOYMENT

GRI 401: SOCIAL STANDARD SERIES 103-1

Sustainable Employee Development, p:56

103-2

Sustainable Employee Development, p:56

103-3

Sustainable Employee Development, p:56

401-1

Sustainable Employee Development, p:56

5

401-2

Sustainable Employee Development, p:56

8

401-3

Sustainable Employee Development, p:56

5

103-1

Sustainable Sustainable Employee Development, p:56

103-2

Sustainable Employee Development, p:56

103-3

Sustainable Employee Development, p:56

402-1

Mazars Denge adheres to the notice periods mandated by Turkish Labor Law. No collective agreements were made by Mazars Denge during the reporting period.

103-1

Sustainable Employee Development, p:56

103-2

Sustainable Employee Development, p:56

103-3

Sustainable Employee Development, p:56

403-1

The Occupational Health and Safety Committee, established according to the company’s internal regulations, includes an occupational health and safety expert, occupational physician, employer’s representative, as well as employee and HR representatives.

8

403-2

No work-related accidents, diseases, lost days or absences were occurred during the reporting period.

3

8

403-3

No work-related accidents, diseases, lost days or absences were occurred during the reporting period.

3

8

83

12 13 14 15

8 8

8


SDG

Sustainable Employee Development, p:56; Employee Commitment and Satisfaction, p:58

103-2

Sustainable Employee Development, p:56; Employee Commitment and Satisfaction, p:58

103-3

Sustainable Employee Development, p:56; Employee Commitment and Satisfaction, p:58

404-1

Employee Commitment and Satisfaction, p:58

5

404-2

Sustainable Employee Development, p:56; Employee Commitment and Satisfaction, p:58

8

404-3

Sustainable Employee Development, p:56; Employee Commitment and Satisfaction, p:58

5

8

103-1

Sustainable Employee Development, p:56

103-2

Sustainable Employee Development, p:56

103-3

Sustainable Employee Development, p:56

405-1

Sustainable Employee Development, p:56

5

8

405-2

Mazars Denge employs a gender-neutral remuneration policy. For detailed information on the remuneration policy, see Continuous Employee Development, p:56

5

8

10

103-1

Sustainable Employee Development, p:56

103-2

Sustainable Employee Development, p:56

103-3

Sustainable Employee Development, p:56

406-1

There was no case of discrimination during the reporting period.

5

8

16

103-1

Sustainable Employee Development, p:56

103-2

Sustainable Employee Development, p:56

103-3

Sustainable Employee Development, p:56

407-1

There was no violation of the freedom of association and collective bargaining in the reporting period. Mazars Denge employees reserve their right to association and collective bargaining as set out by the law.

103-1

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-2

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-3

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

408-1

Mazars Denge engages in no activities that may represent a risk in terms of potential cases of child labor. Supplier compliance in this area is also monitored through various channels.

103-1

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-2

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-3

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

409-1

Mazars Denge engages in no activities that may represent a risk in terms of potential cases of forced or compulsory labor. Supplier compliance in this area is also monitored through various channels.

103-1

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-2

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-3

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

411-1

There was no violation of indigenous rights during the reporting period.

RIGHTS OF INDIGENOUS PEOPLES

FORCED OR COMPULSORY LABOR

CHILD LABOR

DIVERSITY AND EQUAL OPPORTUNITY

TRAINING AND EDUCATION

103-1

NONDISCRIMINATION

DISCLOSURE

FREEDOM OF ASSOCIATION AND COLLECTIVE BARGAINING

GRI STANDARD

84

8

8

8

8

2

16


COMPLIANCE

CUSTOMER PRIVACY

MARKETING AND LABELING

CUSTOMER HEALTH AND SAFETY

SUPPLIER SOCIAL IMPACT ASSESSMENT

LOCAL COMMUNITIES

SUPPLIER HUMAN RIGHTS ASSESSMENT

GRI STANDARD

DISCLOSURE

SDG

103-1

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-2

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-3

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

412-1

UN Global Compact: Principles and Mazars Denge, p:76; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

412-2

Employee Commitment and Satisfaction, p:58; Mazars Denge offered training programs on human rights during the reporting period.

103-1

Supporting Societal Development, p:63

103-2

Supporting Societal Development, p:63

103-3

Supporting Societal Development, p:63

413-1

Mazars Denge support a variety of non-governmental organizations as part of its corporate social responsibility efforts.

413-2

Mazars Denge conducts no operations that may adversely affect local communities.

103-1

Mazars Denge’s Sustainability Approach, p:38; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-2

Mazars Denge’s Sustainability Approach, p:38; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

103-3

Mazars Denge’s Sustainability Approach, p:38; Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77

414-1

1

2

Sustainable Service Approach, p:50; Mazars Denge Supplier Criteria, p:77; Mazars Denge endeavors to ensure that all suppliers act in accordance with Mazars Denge Supplier Principles and monitors supplier compliance with respect to these.

5

8

16

414-2

Mazars Denge monitors all its suppliers on its supply chain in line with its Supplier Principles against existing or potential adverse effects of their labor practices. There were no such effects during the reporting period.

5

8

16

103-1

Services, p:22

103-2

Services, p:22

103-3

Services, p:22

416-1

Services, p:22; Mazars Denge’s Sustainability Approach, p:38

416-2

There were no violations during the reporting period.

103-1

Client Focus, p:61

103-2

Client Focus, p:61

103-3

Client Focus, p:61

417-3

There were no violations during the reporting period.

103-1

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42; Information Security, p:71

103-2

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42; Information Security, p:71

103-3

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42; Information Security, p:71

418-1

There were no complaints of client confidentiality violation or data loss during the reporting period.

103-1

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

103-2

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

103-3

Mazars Denge’s Sustainability Approach, p:38; Generating Sustainable and Responsible Revenue, p:48; Corporate Governance, p:42

419-1

No fines or sanctions were incurred for non-compliance with laws and regulations during the reporting period.

16

419-1

No cases of non-compliance with laws and regulations regarding product and service supply or use during the reporting period.

16

85

16

16


S U S TA I N A B L E DEVELOPMENT GOALS

86



CONTACT Mazars Denge Hürriyet Mah. Dr. Cemil Bengü Caddesi Hak İş Merkezi No:2 Çağlayan Kağıthane 34403 İstanbul, Türkiye www.mazars.com.tr marketing@mazarsdenge.com.tr +90 212 296 51 00 /company/mazarsdenge /MazarsDenge /MazarsDenge /MazarsDenge /MazarsDenge


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