Exclusive: KPMG reorgs AI division to create new incubator - with a new executive role reporting directly to the CEO
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KPMG LLP is folding its AI, innovation and ecosystem functions into a single new unit designed to spin up AI-native businesses at start-up speed, installing a vice chair who reports directly to the firm's chief executive to run it - a structural bet that the biggest disruption to the professional-services model in a century can't be managed through the usual committee layers. The U.S. audit, tax and advisory firm's new Client Technology & Innovation (CT&I) group, effective Sept. 22, will be led by Todd Lohr, a 15-year KPMG veteran who told Fortune that he had been "pushing for something like this for several years" - specifically, a structure with "a singular leader that reports directly to the CEO, which I do, because that is how we're going to drive the transformative change that is required at KPMG." CT&I's launch coincides with the departure of Steve Chase, vice chair and global head of AI & Digital Innovation, who is set to retire from the firm on Sept. 30. Chase built KPMG's original AI and Digital Innovation group starting in 2023 and has more recently held a KPMG International mandate as Global Head of AI, a role he moved into in August 2025. That reporting line elevates AI and innovation strategy out of the layer of vice chairs and functional heads and puts it in the same room as CEO Tim Walsh's own agenda, signaling that KPMG views this less as a technology upgrade...
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