Continuous%20Reporting%20

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Continuous Reporting Auditing Software Products

• Charles Hoffman, CPA
• XBRL Solutions, Inc.

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My Background

• Business school, accounting degree
• Previously auditor with Price Waterhouse
• Financial officer for 15 years
• Accounting software consultant
• Dreamed up this XBRL thing and started the process

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Perspective
In times of change learners inherit the earth,
while the learned find themselves beautifully
equipped to work in a world that no longer
exists.Eric Hoffer
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Objectives

• Communicate some concepts
• Provide information relating to tools XBRL
  Solutions, Inc. is building

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Concepts

• Everyone connected, high bandwidth
• XML/XBRL everywhere
• Intelligent Agents authority and autonomy
• World Class Manufacturing

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Everyone connected, high bandwidth

• Done deal
• Five years or less
• Intense competition driving this

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XBRL/XBRL Everywhere

• Cisco already has the daily close
• FDIC wants to have real time bank examinations
• Company wants to have electronic reporting of 300
  mutual funds, rather than paper-based to save
  money
• NCCS wants to stop keying in data for 250,000
  organizations at a cost of 5,000,000 per year
• Company wants to consolidate 300 different
  subsidiaries on 100 different accounting systems
• What do you want to do better, cheaper or faster?

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Intelligent Agents
Bars represent component cost, total bar length
represents total costs
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World Class Manufacturing

• JIT (Just in time) problem diagnosis and
  problem solving as a way of life
• TQC (Total quality control) do it right the
  first time
• TPM (Total preventative maintenance)
  preventative maintenance done daily
• Reduced setup time, preferably zero
• Reduced lead time, preferably none
• Reduced batch sizes, preferably one
• Pull-based manufacturing, rather than push-based

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Tools
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Operational Data Stores
External (Investors, creditors, regulators, etc)
Internal to entity
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Overview of Process
Electronic audit working papers, electronic
audit wizards, electronic analysis wizards
Financial Statement Creation expert system
Electronic, scriptable closing book
Data extraction software
Operational Data Stores
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Data Extraction

• ODBC
• Data Junction
• ACL (Audit Control Language)

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Audit Wizard
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Closing Book
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Financial Reporting Expert System
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Questions?