With the rise of new revenue models and revenue recognition standards, many CFOs and finance leaders are reassessing their revenue management procedures to drive growth.
To learn how finance professionals are being affected by these changes and the shift in the market, we partnered with IMA® (Institute of Management Accountants) on a global survey of 6,000 accountants and finance professionals.
CFO Preparedness for the new revenue recognition standards
Interestingly, many companies experienced a lack of awareness and assessment of the new revenue recognition standards – putting them at risk of non-compliance. In fact, only 30% of respondents recognized that the new revenue recognition standards (ASC Topic 606 and IFRS 15) will impact their company. From the survey we also noticed that spreadsheets are losing dominance among accounting tasks to more modern, purpose built revenue management and ERP systems. This is due to the inability of spreadsheets to address complex scenarios and ensure data integrity. Many finance professionals are looking to move to more sophisticated financial management systems that can support new billing models and handle complex revenue management processes.
The new revenue recognition standards aren’t the only way that the world of revenue management is changing. And CFOs need to capitalize on this time to brush up on the new rules and prepare. We created this infographic based on the IMA report, so take a look:
So, are you ready for these changes in the world of revenue management? To get up to speed, Download the full IMA report: “The New World of Revenue Management – How CFOs Are Embracing Today’s Revenue Models to Bring More Value to the Business.”