On December 18, 2008, the United States Securities and Exchange Commission (SEC) made a final decision to mandate public companies to file financial statements via the eXtensible Business Reporting Language (eXtensible Business Reporting Language (XBRL)). The mandates phase in as follows:
- Public companies that file using US GAAP accounting rules and who have a $5 billion or larger public float are required to file via XBRL starting with their first quarterly report for fiscal periods ending on or after June 15, 2009.
- The mandate for smaller public companies that file using US GAAP phases in over the subsequent two years.
- Companies that file using IFRS must file with XBRL starting June 15, 2011.
On February 18, SAP announced availability of the SAP® BusinessObjects™ XBRL Publishing Application by UBmatrix . Read the announcement for details about this application, which is integrated with the SAP® BusinessObjects™ Planning and Consolidation application, the SAP® BusinessObjects™ Financial Consolidation application, and SAP® Business Suite software.
The implications of these developments is an emerging reality in which regulatory authorities, public companies, and enterprise software vendors comprise a specialized business network that is being transformed by digitization via XBRL. In previous Business Networks: Powered by Business Suite 7 and Standards and whitepapers, I have explained the macro-economic and technical forces making standards-based digital business networks increasingly crucial to modern commerce. SAP’s release of the new XBRL publishing software is an important milestone in the development of this business network.