Making the change

It is tempting for organizations to view the adoption of IFRS as simply an accounting exercise but this assumption is dangerous. Converting to IFRS is a change in primary GAAP. That means everyone in the organization must learn a new basis of reporting to the capital markets. For many, this will mean fundamental changes in business operations that can affect the viability of some products and even the reported profitability of the organization itself. It is likely to take considerable time to plan and make the necessary changes and to integrate them fully across the organization while continuing normal business operations. Making the Change to International Financial Reporting Standards, a publication by PricewaterhouseCoopers, provides useful insight on managing the change.