IFRS Implementation Issues

1. What is the role of SAP during conversion to IFRS reporting?

1. SAP can support the configuration changes and various reporting options
-landscape design and changes
- SAP ERP Financials fully supports the IFRS requirements
-IFRS project will be driven by company size, industry, and country.
(For example, having multiple instances spanning various locations, different enterprise resource planning (ERP) systems or various SAP software releases in place will all add complexity to the Overall project.)
- End of fiscal year is strongly recommended, as noted within IFRS 1 First-Time adoption.

2. What is the high-level overview of the project steps we should follow in an IFRS conversion project?

In 4.7 or 4.6C environment:
– Define customer-specific IFRS requirements
– Upgrade to SAP ERP 6.0
– Migrate to New GL
– Begin IFRS project
In you are on SAP ERP 6.0:
– Define customer-specific IFRS requirements
– Migrate to New GL
– Begin IFRS project
Once the upgrade or migration is complete, the IFRS project could start immediately.
Phase 1
System redesigns (6–12 months)
• Upgrade to SAP ERP 6.0
• General ledger (GL) migration
• Install central process scheduling as required
Phase 2
Ensure system is stable after upgrades or migration as required
Complete validation period after GL migration project
Phase 3 – Begin IFRS implementation project
• IFRS reporting must begin at start of a new fiscal year
• Configure/design SAP General Ledger and sub ledgers as required
• Configure/design reporting and consolidation tools as required
Phase 4
Various system landscape optimization projects as required.