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SEGMENT INFORMATION
 12 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
The Company determines its business segments and reports segment information in accordance with how the Company’s chief operating decision maker (“CODM”) organizes the segments to evaluate performance, allocate resources and make business decisions. Segment results are based on the segment’s revenues and operating profit, where segment operating profit is defined as income from operations before unallocated costs. Expenses included in segment operating profit consist principally of direct selling and delivery costs as well as an allocation of certain shared services expenses. Certain corporate expenses are not allocated to specific segments as these expenses are not controllable at the segment level. Such expenses include certain types of professional fees, certain taxes included in operating expenses, compensation to non-employee directors and certain other general and administrative expenses, including compensation of specific groups of non-production employees. In addition, the Company does not allocate amortization of intangible assets acquired through business combinations, goodwill and other asset impairment charges, stock-based compensation expenses, acquisition-related costs and certain other one-time charges. These unallocated amounts are combined with total segment operating profit to arrive at consolidated income from operations as reported below in the reconciliation of segment operating profit to consolidated income before provision for income taxes. Additionally, management has determined that it is not practical to allocate identifiable assets by segment since such assets are used interchangeably among the segments.
The Company manages its business primarily based on the managerial responsibility for its client base and market. As managerial responsibility for a particular customer relationship generally correlates with the customer’s geographic location, there is a high degree of similarity between customer locations and the geographic boundaries of the Company’s reportable segments. In some cases, managerial responsibility for a particular customer is assigned to a management team in another region and is usually based on the strength of the relationship between customer executives and particular members of EPAM’s senior management team. In such cases, the customer’s activity would be reported through the respective management team member’s reportable segment.
Revenues from external customers and operating profit, before unallocated expenses, by reportable segments were as follows:
 For the years ended December 31,
 202120202019
Segment revenues:
North America$2,242,248 $1,601,820 $1,380,944 
Europe1,350,484 947,305 820,717 
Russia165,412 110,353 92,137 
Total revenues$3,758,144 $2,659,478 $2,293,798 
Segment operating profit:
North America$462,798 $345,196 $293,757 
Europe233,727 152,902 114,863 
Russia32,547 5,811 17,347 
Total segment operating profit$729,072 $503,909 $425,967 
Intersegment transactions were excluded from the above on the basis that they are neither included in the measure of a segment’s profit and loss results, nor considered by the CODM during the review of segment results.
There were no customers individually exceeding 10% of our total segment revenues for the years ended December 31, 2021, 2020 and 2019.
Reconciliation of segment operating profit to consolidated income before provision for income taxes is presented below:
For the Years Ended December 31,
202120202019
Total segment operating profit:$729,072 $503,909 $425,967 
Unallocated costs:
Stock-based compensation expense(111,655)(75,238)(72,036)
Amortization of purchased intangibles(17,646)(12,340)(9,914)
Other acquisition-related expenses(6,397)(1,868)(3,774)
Other unallocated costs
(51,058)(35,139)(37,393)
Income from operations542,316 379,324 302,850 
Interest and other (loss)/income, net(1,727)3,822 8,725 
Foreign exchange loss(7,197)(4,667)(12,049)
Income before provision for income taxes$533,392 $378,479 $299,526 
Geographic Area Information
Long-lived assets include property and equipment, net of accumulated depreciation and amortization, and management has determined that it is not practical to allocate these assets by segment since such assets are used interchangeably among the segments. Physical locations and values of the Company’s long-lived assets are presented below:
As of December 31, 2021As of December 31, 2020As of December 31, 2019
Ukraine$78,289 $30,980 $24,652 
Belarus75,422 73,988 75,984 
Russia16,611 15,036 17,980 
United States14,843 15,718 15,637 
India9,459 7,079 7,443 
Poland8,240 5,434 5,029 
Hungary5,339 5,365 5,201 
Other 28,011 15,933 13,333 
Total$236,214 $169,533 $165,259 
The table below presents the Company’s revenues by customer location for the years ended December 31, 2021, 2020 and 2019:
For the Years Ended December 31,
202120202019
United States$2,125,301 $1,523,731 $1,321,662 
United Kingdom474,941 331,217 290,039 
Switzerland271,208 203,391 152,710 
Russia155,186 104,846 89,941 
Netherlands154,816 114,678 88,488 
Germany113,727 84,902 82,441 
Canada96,646 68,416 68,304 
Other locations366,319 228,297 200,213 
Revenues$3,758,144 $2,659,478 $2,293,798