Adoption of the new revenue standard may seem overwhelming and time consuming for many companies. It is important to have an adoption plan in place that allows for efficient implementation timing, incorporates the highest use of company resources, and provides management with a clear understanding of the changes. Steps to consider as your company begins to evaluate the new changes include the following:
- Establish an implementation team to plan and effectively manage the process.
- Evaluate key contracts and revenue streams to begin identifying areas that will have the most impact.
- Elect the best method of adoption, whether the full retrospective method or the modified retrospective method.
- Educate and communicate with key stakeholders (including owners, lenders, boards, and others) the significant changes that will impact your company.