It is often our experience that C level executives consider IFRS 16 solely a compliance exercise and as such approach the new standard with a certain reluctance to invest in new systems. Additionally, the complexities associated with IFRS 16 are often overlooked until departments are in the depths of rolling out new business as usual (BAU) practices covering the new standard.
This leads to an inevitable adoption of Excel by organisations and their accounting teams tasked with transitioning and maintaining IFRS 16 accounting.
Whilst IFRS 16 accounting using Excel may appear to be the way forward for many CFOs, there are significant pitfalls associated with this approach, depending on the complexity of the business.
This whitepaper explores the pros and cons of using spreadsheet applications such as Excel maintaining ongoing IFRS 16 compliance.