Many companies have observed and taken advantage of the capability of policyIQ to better organize and keep track of their contracts and agreements. policyIQ is serving organizations as a data room for negotiations and as a place to review and approve various amendments and provisions. policyIQ Reports greatly simplify the monitoring of agreements, milestones and key reporting dates, leading to greater assurance that the organization and contracted parties are in compliance–or at least allowing them to more quickly identify issues and indications that they may be out of compliance. Personnel can be alerted when they are approaching the expiration date of an agreement so that they can begin gathering necessary measurements and prepare to renegotiate the contract. policyIQ is helping companies to gain efficiency and effectiveness in a wide range of areas throughout the contract lifecycle.
Have you established a controlled approach for reviewing your agreements?
With the new Revenue Recognition Standard released in May of this year, we are seeing a surge in interest for a tool to help companies get a handle on all of their arrangements. At the very least, putting all agreements in a database allows companies to separate those that qualify as Contracts (having commercial substance, approval and commitment to perform obligations from both parties, and identification of rights and responsibilities by both parties) from those that do not. Per the Standard, all will need to be tracked and reassessed quarterly. With the customizable nature of policyIQ’s Page Templates, an organization can further capture critical information such as the Performance Obligations in an agreement, the Transactional Price, the periodic review of the Transaction Price, allocation of the Transaction Price, the date that the Performance Obligation is satisfied, and recognition of the revenue.
Easily Monitor Compliance
By tracking critical variables, companies can home in on specific information at any given point and monitor the current status of agreements, obligations, recognized revenue and, perhaps more importantly, those agreements that are falling out of compliance or out of the terms of the contract.
How are you keeping track of your Revenue Recognition project?
We also want to remind you that policyIQ serves as an easy to use central hub for capturing and sharing your project plan, checklists, supporting documentation, and monitoring the status of your project to review your agreements and comply with the new standard.
Need help understanding and implementing the Revenue Recognition Standard?
Our firm, RGP, has been working to help clients better understand the new Revenue Recognition rules. In a recent webcast, Shauna Watson (RGP’s Global Managing Director of the Finance & Accounting Practice) examined the new rules and changes from current GAAP, giving attendees an understanding of the recognition, measurement and reporting requirements of the new standard, likely impacts to their industry and their organization, implementation challenges, and keys to a successful implementation. A follow-up session focused on the impacts to specific industries. We also want to invite you to attend the next installment, presented on September 22, 9am PT/12pm ET: “Revenue Recognition Webcast Series Part 2: How to Begin Implementing the New Standard”.
Let us know how we can help!
If you’re ready to sit down one-on-one with an expert on the rules of the new standard, reach out to us and we will connect you with your local RGP representative. Of course, you can contact support@policyIQ.com anytime to request assistance with configuring your policyIQ site to accommodate any workflow, documentation or reporting initiative—no additional modules to purchase!