Lease Accounting Trends in Detroit

Lease Accounting Trends in motor cityLease Accounting Trends in Detroit LEASE ACCOUNTING TRENDS IN motor cityHas your company begun the transition to the new lease accounting standard?DetroitU.S.Yes46%44%No55%56%Finance leaders who reported their company has begun the transition also were asked As part of that transition, have you begun the diagnostic work necessary to determine the level of effort which wil be required for you to be ready to adopt the new standard?DetroitU.S.Yes, already completed17%48%Yes, started but notlage completed83%51%No, havent started0%1%Have you completed the following?DetroitU.S.Identified team members and responsibilities for completing the transition to a new standard83%61%Made an inventory of, and prioritized, any systems changes which might be required20%51%Developed a project plan to address all gaps emanating from the diagnostic work27%49%Identified, at a high level, the magnitude and type of the lease inventory (e.g., property, equipment)20%49%Writ ten new accounting policies20%47%Written new accounting procedures18%43%Investigated any lease or property management systems which will facilitate adoption25%42%What is the most challenging aspect of the transition to the new standard?DetroitU.S.1.Diagnosing the needed changes1.Training staff2.Finding professionals with the requisite expertise / Managing change (tie)2.Diagnosing the needed changes3.Identifying, inventorying and categorizing companys leases3.Finding professionals with the requisite expertiseFor your company, which new accounting standard has been more challenging to adopt?DetroitU.S.Revenue recognition90%71%Lease accounting10%29%How much of the processes and learnings from transitioning to the new revenue recognition standard have you been able to apply to adopting the new lease accounting standard?DetroitU.S.Most of them10%29%Some of them67%54%Almost none of them23%17%Source Robert Half and Protiviti survey of more than 2,000 finance leaders in the United States, i ncluding 100 in DetroitTotal may not equal 100 percent due to rounding.