Journal of Accountancy
The following tips can help make the process smoother for preparers. The first step in implementation is to gather all the leases, which may not be as simple as it sounds. Under the new standard, lease terms can have significant repercussions for an organization’s financials, so educate all the players — including procurement, real estate, IT, and legal — about the potential for negative impacts of particular lease terms. Implement a lease management system and manage international challenges (like languages and foreign exchange). Finally, when selecting a lease management system, evaluate the process for adding new leases to make sure the chosen system is not cumbersome.