IFRS - Getting Started
This site is a resource that provides information for businesses that are implementing the International Financial Reporting Standard (IFRS), especially using SAP solutions. To find out more detail on what this part of BPX contains read International Financial Reporting (IFRS) Community Overview.
Many legal authorities around the world, for example in Europe, have already required businesses to report their financial results using IFRS. Yet more, such as the SEC in the US, are requiring businesses transition to IFRS over the next few years.
Many businesses that have transitioned to IFRS have found it provides an opportunity to streamline the accounting function so that, for example, financial close can be much quicker and accurate. They have also found that using SAP solutions makes the transition easier. However, transitioning to IFRS from a local accounting standard in a way that maximizes the business benefit is typically a multi-year project that sometimes requires software upgrades, changes to business processes and training and education.
On the pages on this site, you will find a variety of articles, webcasts, blogs etc. that should help you understand what's involved. If you can't find the information you want, ask a question on the International Financial Reporting Standards (IFRS). On the other hand, if you want to start with some reading, a good place to go is with the papers provided below by some of SAP's leading partners.
As this article by PriceWaterhouseCoopers shows, switching to IFRS will be a bigger change for some companies than for others. With mandatory transition beginning in 2014 (and voluntary adoption permitted for some companies as early as 2009), it makes sense for management to start sizing up the volume and variety of financial, business, tax, and operational changesâ€”the objective being to avoid a resource-intensive effort at the eleventh hour. Perhaps just as important, sufficient lead time will allow companies to see where the transition to IFRS can deliver substantial benefits, as some Fortune 50 companies are already doing.
Buckle Up (On the Road to IFRS) helps executives understand the implications of IFRS and their role in addressing the associated changes. This publication by Deloitte also offers practical suggestions to help companies navigate through pressing issues such as differences between GAAP and IFRS, tax implications, systems issues, and developing your own conversion road map.