XBRL Webinar. September 13 th at BusinessWire.com. XBRL: Improving Visibility in Today s Equity Markets and Why it Matters

Transcription

1 XBRL Webinar September 13 th at Wire.com XBRL: Improving Visibility in Today s Equity Markets Why it Matters

2 Better : Cost, Control Process benefits Mike Willis Founding Chairman, XBRL International Partner, PricewaterhouseCoopers mike.willis@us.pwc.com

3 Discussion Topics It s a Supply Chain Current implications of manual interfaces Impacts of stardization XBRL: More than definitions Benefits for Consolidation/Aggregation processes Benefits for processes 3

4 Publish Collect Processes Analyze Validate 4

5 The business reporting supply chain Processes Operations Internal External Investment, Lending, Regulation Economic Policymaking Participants Companies Financial Publishers Data Aggregators Investors Central Banks Trading Partners Management Accountants Auditors Regulators Software Vendors 5

6 The business reporting supply chain ACORD XBRL Ledger XBRL External Processes Operations Internal External Investment, Lending, Regulation Economic Policymaking Participants Companies Financial Publishers Data Aggregators Investors Central Banks Trading Partners Management Accountants Auditors Regulators Software Vendors 6

7 The business reporting supply chain Processes Operations Internal External Investment, Lending, Regulation Economic Policymaking 7

8 Implications of manual interfaces Costs impacts scope of analysis Access is manual Validation is a user problem Analysis adversely impacted by manual access Reuse is impacted by Timeliness (not timely in a manual process) Comparability (? no idea) Zero Context adversely impacts processes Regulatory stards IP creation, management & reuse 8

9 Impacts of stardization Lower costs Higher precision Increasing volumes Accelerated frequencies Enhanced resource allocations More efficient processes New markets Examples: Telecom (RJ11, TCP/IP) Retail (UPC, RFID) Energy (120v/50amp) Shipping (40 x 8.5 x 8 ) Railroads (4 8.5 ) Networking (RJ 45) Information (XBRL) 9

10 XBRL More Than Just Stardization Label cashcashequivalentsan dshortterminvestments Validation Calculation Cash = Currency + Deposits Presentation Cash & Cash Equivalents XBRL XML Item Contexts US $ FY2004 Budgeted Cash 0 References GAAP I.2.(a) Instructions Ad Hoc disclosures 10

11 XBRL More Than Just Stardization Label cashcashequivalentsan dshortterminvestments Validation Calculation Cash = Currency + Deposits Presentation Kas Presentation en Geldmiddelen Presentation Cash & Cash Equivalents Comptant et Comptant Presentation Equivalents 现金与现金等价物 Presentation Geld & Geld nahe Mittel XBRL XML Item Contexts US $ FY2004 Budgeted Cash 0 References GAAP I.2.(a) Instructions Ad Hoc disclosures 11

12 XBRL Taxonomy for Consolidation Embedded within the Excel template(s) Region 1 Prepare Validate Organization 1 Corporate Region 2 Prepare Validate Reports Consumption Analysis 12

13 Country Data Sources XBRL Taxonomy for Consolidation Applied to lower level sources of data Country Wacoal Country Spreadsheets Spreadsheets Country Country Spreadsheets Spreadsheets Region Region 1 1 Prepare Prepare Validate Validate Region Region 2 2 Prepare Prepare Validate Validate Reports Reports Organization Organization 1 1 Corporate Corporate Consumption Consumption Analysis Analysis 13

14 The business reporting supply chain Enables timely, accurate complete data to flow back up the supply chain Process Steps Various Country Sources Country Sources Regional Sources Consolidation Design push back the reporting concepts business rules throughout the supply chain 14

15 Current Manual Processes segments Consolidation Supplemental information aggregation Manual Review 15

16 Current Manual Processes segments XBRL Consolidation Supplemental information aggregation Manual Review 16

17 Current Manual Processes segments XBRL Regulators Banks Consolidation Tax Agencies Partners Bonding Agencies Gov Agencies Auditors Supplemental information aggregation 17

18 More automated reporting processes segments XBRL Consolidation Supplemental information aggregation XBRL 18

19 More automated reporting processes segments XBRL Consolidation Supplemental information aggregation Collaborative & Automated Review XBRL 19

20 More automated reporting processes segments XBRL Investors Banks Consolidation XBRL Reports Tax Agencies Partners Bonding Agencies Regulators Govmt Agencies Supplemental information aggregation XBRL 20

21 Key Messages!! XBRL enables transformation of pervasive manual to more automated processes Automated processes = less manual processes Automated processes = less manual controls More automated controls = less process time Automated processes = less costs XBRL early in the processes = less cost, more controls, more information time. 21

22 Process Improvements Disparate data aggregated in a more automated manner Controls are effective consistently applied Supplemental disclosure information is aggregated in a more automated controlled manner Review is more collaborative, timely automated Explicit connectivity of content with policies & stards XBRL Taxonomy Tags are automated earlier in the process removing the redundant review processes Distribution to stakeholders is automated Decreased effort for a variety of presentations 22

23 Better : Cost, Control Process benefits Mike Willis Founding Chairman, XBRL International Partner, PricewaterhouseCoopers mike.willis@us.pwc.com