XBRL Canada Annual Conference “Efficient and Effective Government Reporting”
17 October 2012Ottawa, Canada
A Roadmap to XBRL Adoption in Canada
Gord Beal, CICAGeoff Zakaib, XBRL Canada
XBRL Canada and the CICA XBRL Canada is the jurisdictional
organization that is responsible for the coordination of XBRL activity in Canada
Geoff Zakaib is Chairman of XBRL Canada The Canadian Institute of Chartered
Accountants (CICA) has encouraged and supported XBRL Canada from the beginning
Gord Beal is Director, Guidance and Support at the CICA and provides liaison between XBRL Canada and the CICA
CICA and XBRL Canada have worked together on a variety of projects◦ Submission to the Red Tape Commission of the
Canadian Government◦ Preparation of the strategy document – Roadmap
to Adoption of XBRL in Canada
CICA and XBRL Canada – a team
Arose out of a desire of the government to cut costs of unnecessary processes
It’s clear that SBR-XBRL could cut costs for both the government and for those who file information with the government
We recommended SBR be adopted Cited the experience in Netherlands and
Australia in particular
Red Tape Commission - An Opportunity for SBR in Canada?
The Roadmap document follows up on the Red Tape Submission
With a detailed summary of how to implement SBR in Canada
It also is consistent with other government programs and policies, such as:
The Open Data Project The “Tell us Once” Policy The new Data Center Consolidation Project
The Roadmap Document
Focus efforts in three areas: refocusing government and cutting costs; modernizing operations; and making it easier for Canadians to do business with government
Government will tap into technology to transform its “back office” and modernize and automate the “nuts and bolts” of business processes
Tony Clement – Oct 2, 2012
Will be a “huge effort” that will affect all corporate services and operations across government
Departments will use more electronic documents and reduce their reliance on paper. The government will overhaul its web presence to save money
Tony Clement – Oct 2, 2012
The federal government must cut the administrative burden that businesses have to deal with by:
Cutting the burden of regulatory requirements on businesses;
Cutting the information demands on businesses; and
Enhancing the use of electronic services to reduce compliance costs.
Red Tape Reduction
The federal government must cut the hidden burden created when individual businesses have to contend with the demands of many different federal regulators by:
Getting the federal regulatory house in order;
Adopting “Tell Us Once” initiatives within departments that, with consent and appropriate protection of privacy, will allow the recycling and reuse of information already provided; and
Increasing the use of electronic “single windows” for information on regulatory requirements.
Red Tape Reduction
Open Data - offers government data in more useful formats to enable citizens, the private sector and non-government organizations to leverage it in innovative and value-added ways.
Open Information - is about proactively releasing information to Canadians on an ongoing basis and making government information easier to find and more accessible.
Open Government
Pro’s and Con’s of existing Canadian environment
•Opportunity to create a strategic vision for e-government
•Insufficient data quality and analytics•Lack of comparability of Canadian to international financial data
•Administrative burden on business filers•Costly individual "sea of redundant data" in different institutions
Steps for introduction of XBRL in Canada
1. create supportive environment
2. develop and maintain technical infrastructure
3. implement projects
Pillars for successful XBRL implementation
LEGAL
• Analysis of legal state-of-the-art reporting obligations
• Proposal of legal changes
• Analysis of legal impact
• Continuous revision of results
• Users and adopters feedback
ORGANIZATIONAL
• Analysis of the structure of the reporting organisations
• Requirements for organisational structure
• Roles and responsibilities
• Involvement of Canadian institutions and organisations
• Communication
DATA
• Analysis of the scope of data reported by / to various entities
• Proposal of data sets and redundancy elimination
• Proposal of taxonomies
• Continous data update
• Update and maintenance of taxonomies
TECHNOLOGICAL
• Analysis of reporting technical solutions
• Proposal of technical solutions
• Analysis of technological impact
• Technical solutions introduction
• Technical monitoring and changes control
Fact Finding / Study Potential Changes
Proposals and Impact Analysis
Review and Market Feedback
XBRL Implementation Process
• Define and tag all data items and forms subject to filing• Define all data owners and receivers• Define all information filing frequencies
Identification
Key Stakeholders
Affected entities by sector
Banking
Banks
Credit Unions
Business
Regulated Companies with special reporting
obligations
Companies listed on the Stock Exchanges
Taxpayers
Capital markets
Stock Exchanges
Securities Commissions
Securities brokerage companies
Investment funds management
companies
Financial services
Money transfer service providers
Currency exchange offices
Audit firms
Leasing companies
Pension funds management
companies
Insurance
Insurance companies
Insurance brokers
OSFI
Insurance agents
Public sector
Municipalities
Government Owned Entities
Public companies
CRA
Federal and Provincial
Governments
Not-for-Profits
Political parties
Foundations
Civil Associations
Religious groups and associations
Foreign associations
Foreign NFP's
Charitable organizations and
associations
Organizational Concept for SBR Implementation
Standard Business Reporting Roles
Management
Create and update legal framework
Coordinate project
activities
Implementation
Establish and maintain technical
framework
Meta data definition
Development
Development of
taxonomies
Define and promote
standards and legislation
Where Information Will be filed
various business and financial regulatory data
Information filers
How the XBRL information will be disseminated
XBRL metadata repository
CRM: Register of annual accounts
SEC: Register of companies with
special reporting obligations
StatscanStock
Exchanges and Securities
Commissions
Other relevant agencies
Regulator X: System
X
Market Analyst X: Analytics systems
Timeframe
Establish an official
Standard Business Reporting
Office
3 months
Establish a Metadata
Repository and National
XBRL Taxonomy
12 months
Implementation of specific
XBRL taxonomy extensions
and projects
18 months
As a practical solution in a number of key government initiatives obtain support for a comprehensive SBR program using XBRL across as many departments and agencies as possible
Establish a core group to manage the project from inception to implementation (Standard Business Reporting Office)
Call to Action
Encourage and engage the departments and agencies to collaborate in the development of the SBR program
Initiate discussion with market intermediaries and suppliers, including software developers, to build the SBR filing requirements seamlessly into their products
Call to Action
Deliver the Roadmap Document to key decision makers in government and regulators
Create an Ottawa-based Working Group that will serve as a catalyst to support and participate in the SBR initiative within the Canadian Government
Formulate an Action Plan that defines roles, responsibilities, tasks and schedules
Next Steps