Tales from the Revenue Recognition Front
With the clock ticking closer to the witching hour,
companies are still all over the map when it comes
to implementing the new revenue recognition standard.
A poor implementation risks significant consequences
to financial results, stakeholder confidence and reputation.
Lessons are emerging that can help point companies
toward new best practices and outcomes.
In meetings and discussions, our BlytheTeamSM revenue recognition experts are hearing exactly what the accounting media are reporting – that a lot of companies aren’t prepared to implement the new worldwide revenue rules.
Because we at Blythe Global Advisors are in the midst of helping several companies implement the new standard, I thought I’d use this newsletter to summarize some of our early observations from the revenue recognition front – real-life examples of why some companies are having difficulty getting out of the starting gate and progressing to reporting compliance. I’ll also offer suggestions for how to remediate each situation.
Here are three scenarios that are impeding companies.
- Lower-Level Delegation of a Strategic Imperative
Although the directive for a single worldwide standard represents one of the biggest accounting changes in years, both clients and auditors are underestimating the amount of work and level of commitment a compliant implementation will require.
The Blythe Global Advisors Interviews: What You Told Us – Part One.
Sharing perspectives can promote
better understanding and communication
among all of us.
Our interviews showed that
many of us are seeking solutions
to the same challenges.
Over the past few months, Blythe Global Advisors has engaged the services of an external firm to interview some of you – both companies and accounting firms. We had two objectives with the interviews. First, we wanted to find out what you consider your most urgent needs to ensure Blythe Global is focusing on the right services and offering the greatest value. Second, we wanted to use the findings to foster greater understanding and better communication among all of us – clients, accounting firms and audit partners – on the premise that it always helps to know that our problems are not unique and that we’re not alone in searching for solutions. We’ve synthesized the responses into top-level findings that I’ll share in two newsletters starting with this one.
Before I launch into the details, let me thank all of you who generously took time from your busy schedules to talk with our representatives.…Read More