MICHAEL McNULTY
The State managing partner of Deloitte tells Sean Smith that WA is poised to become the country’s leading economy over the next decade.
Biggest or best career break?
The most defining one is going back to the early 1990s when Perth was a very tough market. Ian Gerrard and I decided to take things into our own hands here and start Arthur Andersen’s consultancy practice focusing on the energy and resources sector in developing countries. As a result, I spent about six years on coal and copper mines in Zambia and Mongolia, well before it was fashionable to do so. It was a fantastic experience because at that time there was no way I could have got that sort of experience in Australia. It gave me a really good head start and industry skill sets and capabilities which I could bring back to Perth.
Describe your leadership or management style.
It seems so clichéd but I do believe I’m a collaborative leader. That being said, I’m focused on outcomes and recognise and reward people who do the right things, even if the direct outcomes take time to get to fruition. It lends itself to more team-based goals without diluting individual accountability. I also believe that if you don’t act to support the values you stand for, the prevailing behaviours become your own by inference.
Most memorable board or executive moment?
Being appointed managing partner of Deloitte in WA earlier this year. Having commenced my career in Perth, I’ve always wanted to take on that challenge. And having responsibility for the growth of an office in what will be Australia’s leading economy over the next decade is hugely exciting. Also, I really value the opportunity that I have been given to play a role in several not-for-profit organisations. I am chairman of Workpower Inc and I’m on the board of the Wirrpanda Foundation.
Is executive remuneration excessive?
You can’t address it as a generality. I’m a believer in free markets, and there is an open market and it’s increasingly global, and companies and boards are sophisticated buyers. Fundamentally, remuneration levels should reflect the complexity and responsibility of the role and I believe they should be heavily weighted towards performance. Also, there is a clear responsibility for executives earning high levels of remuneration to give back to the community with respect to philanthropy and also by contributing visibly as a community leader.
Best way to improve workplace productivity?
Real productivity probably has its foundations in a strong board culture, a culture which includes the freedom to innovate and experiment, a desire to eliminate waste. Anything without those sorts of norms will probably be transactional and short term. Productivity is going to be very high on the agenda in Australia and WA in particular over the next decade.
How do you use social media?
Internally, we have a very strong and active Yammer network where partners and staff share information. I tend to use LinkedIn much more to keep in touch with people and post updates.
What do you do in your spare time?
I have twin 12-year-old daughters so I guess my primary objective in my spare time is to spend as much time as I can with them and my wife, Trin. The weekend really revolves around sport and family. I also try and get in the odd game of golf.
Last book you read?
I read a mixture, including often just easy-to-read books to help me relax before going to bed. But the one I’m reading right now is Lean In: Women, Work and the Will to Lead, by Sheryl Sandberg, the former chief operating officer of Facebook. It’s a fascinating read and an essential read by anyone in a management role, male or female, to actually get a far better appreciation for some of the obstacles facing women and how they feel in the workforce, even when they are someone like Sheryl Sandberg.
What challenges face the accounting profession?
Accounting and advisory are going through a period of change and disruption and there’s a lot of boutique firms coming onto the marketplace. So, that’s the challenge, but I also believe it is a tremendous opportunity. I’d like to think Deloitte is at the forefront of exploring those opportunities ourselves and wanting to be part of the revolution about how we deliver services in a very different way.
