Preface

MUCH OF OUR WORKING LIFE puts each of us in a unique position to see evolving IFRS policies in broad forum discussion, professional development and global delivery, with this followed by international deployment in countries that understood the benefits of international financial standards. Thereafter came the onset of XBRL, which is the most exciting addition to the world of finance and accounting, and one that is worthy of focus, and, although for different reasons, also worthy of as much praise as IFRS has received. Without a doubt, IFRS and XBRL are two significant initiatives that have shaped the world of business reporting in an encouraging way that will yield increasing benefits.

When engaged in the thick of international business, however, it is easy to overlook the many people who are far from the point of focus and any related action. The same can be said in relation to the development and delivery of international financial reporting standards that, usually, involve senior finance and accounting professionals, leading public accounting firms, senior ministers of governments, as well as prominent academics.

Yet it is through the universal application of standards at the grass-roots level of business and government, and the use of relevant technological tools, that facilitates the expected successes of the general acceptance and proper implementation of accounting standards. As a direct result, there is the greater degree of confidence in business reporting that, of itself, improves community opinion of businesses, as well as of the government sector.

It is noteworthy that, with greater financial clarity and sensible delivery, there comes increased comfort in the conclusions drawn from business report and related analysis. In turn, this supports and spawns economic activity. Thus, foreign direct investment and international trade stand upon reliable reports that capture actual risks of business, rather than adding any muddiness that comes from improper accounting and reporting practices, whether accidental or purposeful.

The more people who know about IFRS and XBRL, the better it is for the global economy, as well as for related countries and their various economic sectors and societies. With such a belief in mind, we saw potential benefit in producing an introduction, if not something of a primer, which captures the attention of readers who, then, can feed the process by which international financial reporting standards are crafted initially and ultimately embraced as an essential part of business. The same can be said for XBRL as the platform that adds credibility and impetus to business reporting. Fundamentally, all of that supports our ideas for a better business reporting paradigm, being one that requires greater attention to the development of new standards, and to technological tools, too.

We have, in our past and present roles, travelled the world and engaged with many people in the public and private sectors as a means of facilitating the acceptance and implementation of IFRS and XBRL. Such experience was very valuable at a personal and a professional level, especially when we saw how we could play a more productive part in promoting IFRS and XBRL through our collaboration in shaping this particular book.

In recognition of the growing acceptance and adoption of IFRS and XBRL in numerous countries, we have crafted a simple yet effective summary for anyone who is interested in gaining a preliminary appreciation of the two supports of modern business reporting. The end result is a guide to key components of both pillars, such as who is involved in designing and delivering these, as well as what each contains, in addition to why both are important. All of this led us to see how more can be done to improve business reporting in addressing the increasing need for timeliness and integrity.

Essentially, we see this book as a beacon that attracts the attention of various people who might only have a little bit of an interest in IFRS and XBRL. Then, it points the way to additional avenues that allow access to more detailed information, as well as seeing what improvements can be made. We hope, thereby, that our united effort encourages greater public and professional interest in IFRS and XBRL, and how that perfect partnership lays a firm foundation for further advancements. Consequently, we believe that the world will improve significantly.

Kurt P. Ramin
Dubai, London and New York
Cornelis A. Reiman
Bangkok and Australia
November 2012