Summary

During the CAAP meeting held March 4, 2014, the President of CAAP requested the General
Secretariat to resent a rogress reort on the adotion of !PSAS at the "AS# $his document is
resented in resonse to this request#
$he document has %een di&ided in four arts as follo's(
a# !PSAS e)lained * An o&er&ie' of !PSAS
%# !PSAS Adotion rogress( 200+ * 2010
c# !PSAS adotion rogress( 2011 * resent
d# Going for'ard
P,-MA.,.$ C"/.C!0 "1 $2, ",A3Ser#G
"-GA.!4A$!". "1 AM,-!CA. S$A$,S CP3CAAP56277314 re&# 1
18 March 2014
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NOTE FOR THE INFORMATION OF THE CAAP
!.$,-.A$!".A0 P/:0!C S,C$"- ACC"/.$!.G S$A.DA-DS <!PSAS=
5 2 5
GENERAL SECRETARIAT OF THE ORGANIZATION OF AMERICAN STATES
SECRETARIAT FOR ADMINISTRATION AND FINANCE
ADOPTION OF INTERNATIONAL PUBLIC SECTOR ACCOUNTING STANDARDS
(IPSAS)
SECOND PROGRESS REPORT
1. IPSAS EXPLAINED
WHAT IS IPSAS
!nternational Pu%lic Sector Accounting Standards <!PSAS= are a set of indeendently
roduced financial reorting standards %ased on !nternational 1inancial -eorting Standards
<!1-S=# !1-S are the acceted glo%al standard for ri&ate sector financial reorting %y
u%licly traded comanies and other economically significant entities, including go&ernment5
o'ned %usiness enterrises# !PSAS ha&e modified certain of !1-S for rele&ance to u%lic
sector entities, and ha&e added standards for oerations and situations unique to u%lic sector
entities# !PSAS are issued %y the !nternational Pu%lic Sector Accounting Standards :oard of
the !nternational 1ederation of Accountants <!1AC=#
BENEFITS FOR OAS AND STAKEHOLDERS
OAS Member S!e"#
> More comrehensi&e information a%out costs#
> 2igher le&el of accounta%ility and go&ernance through more comlete financial
reorting#
> !ncreased transarency 'ith resect to assets and lia%ilities#
> !mro&ed consistency, comara%ility and relia%ility of financial statements#
> "ortunity for enhanced o&ersight and internal control#
> Mo&e the organi?ation to %est ractices#
D$%$r"# 2igher confidence in the financial reorts, increased a'areness of "AS@s
infrastructure a%ilities and needs, and increased assurance of efficient resource utili?ation#
Be%e&'('!r'e"# !mro&ed efficiencies in resource management and effecti&eness of
oerational deli&ery#
M!%!)eme%# :etter insight in terms of resources needs and uses as 'ell as
lia%ilities, leading to a %asis for imro&ed financial and oerational decision maAing#
Pr$)r!m M!%!)er"# ,nhanced Ano'ledge of e)isting resources#
BASIS OF ACCOUNTING
!PSAS are financial reorting standards for the resentation of financial statements
reared on !((r*!+ b!"'" of accounting# Most u%lic sector organi?ations historically ha&e
maintained their accounting records on the (!", b!"'" of accounting# .o', more u%lic
sector organi?ations are imlementing accrual %asis accounting and !PSAS5%ased financial
statement reorting in order to generate and reort more useful financial and oerational
information allo'ing meaningful comarisons and analyses
5 6 5
/nder the !((r*!+ b!"'" of accounting, the erformance and osition of an entity is
measured %y recording <recogni?ing= economic e&ents 'hen they occur regardless of 'hen
cash changes hands# "&erall, economic e&ents are recogni?ed %y matching re&enues to
e)enses at the time in 'hich the transaction occurs rather than 'hen ayment is made or
recei&ed#
/nder the (!", b!"'" of accounting, re&enues and e)enses are recogni?ed at the
time hysical cash is actually recei&ed or aid out#
A m$-'&'e- (!", b!"'" of accounting com%ines elements of the t'o maBor
accounting methods re&iously descri%ed# Short term transactions are recorded under the
cash method, %ut some long5term %alance sheet elements are recorded under the accrual
method, 'hile disclosing in the notes items that should %e reflected in the financial
statements#
$he GS3"AS follo's a m$-'&'e- (!", b!"'" of accounting# Cash %asis accounting
systems sho' a &ery limited icture of an "rgani?ation@s financial resources and
erformance#
IPSAS OUTPUT# GENERAL PURPOSE FINANCIAL STATEMENTS
!PSAS alies to resentation of transactions and e&ents reorted in Ge%er!+
P*r.$"e F'%!%('!+ Re.$r" (GPFR)/ 0,$"e &$rm! !%- ($%e% !re ".e('&'e- '% IPSAS#
GP1- are reared and audited once a year and are characteri?ed %y the fact that they are
issued rimarily for users e)ternal to the organi?ation 'ho are una%le to demand financial
information to meet their secific information needs <i#e#, general u%lic=, %ut also ro&ide
information needed %y internal users, in a format and content that allo's meaningful
comarison and analysis# !n other 'ords, GP1- are not required for internal management
reorts such as "AS Cuarterly Management and Performance -eorts#
GP1- must include and consolidate all those entities under the control of the rimary
entity <"AS=# $his means that the financial statements of the &arious entities that form art
and are under the control of the "AS, 'hich re&iously 'ere resented on an indi&idual
%asis, may also need to %e consolidated into one set of financial statements under the rimary
entity, "AS, in order to %etter understand its o&erall on5going financial and economic
condition#
1inancial statements of the "AS that may require consolidation into one set of
financial statements under !PSAS may include( the -egular, 1,MC!D!, Secific and Ser&ice
funds, , the $rust for the Americas, the !nter American Defense :oard, the 0eo S# -o'e Pan
American 1und, -o'e Memorial :enefit 1und, the Medical :enefits $rust, and the
-etirement and Pension Plan# A test analysis must %e conducted for each entity to determine
if each of these entities is under the control of the "AS for !PSAS5comliant General
Purose 1inancial -eorting# $his means that the ne' financial statements 'ill incororate a
fuller icture of the finances of the organi?ation, rather than a fragmented icture sho'ing
the indi&idual funds it manages#
5 4 5
!PSAS is not required for indi&idual financial statements issued to donors of Secific
1unds# 1inancial statements to donors 'ill continue to %e in the format required %y them in
their corresonding agreements 'ith the GS3"AS <i#e#, %udget &s e)enses= or the current
%asic format sho'ing cash receits and ayments#
!PSAS does not ro&ide guidance for %udget e)ecution# !PSAS is silent as to ho'
%udget should %e formulated, e)ecuted or reorted# $his area of %udgeting 'ill continue as
mem%er states consider to %e necessary# As the "AS maAes its aro&ed %udget u%licly
a&aila%le, !PSAS requires an annual comarison of %udget and actual e)ense amounts either
as searate financial statements <as it is currently resented= or as a %udget column in the
financial statements#
Adotion of !PSAS 'ill change the num%er of annual financial statements, their
structure and content# :elo' is a comarison of current "AS requirements as comared to
!PSAS requirements, 'hich comrise D maBor comonents#
GS1OAS IPSAS
Assets, lia%ilities and fund
%alances
Statement of financial osition
Changes in fund %alance Statement of financial erformance
Statement of changes in net assets
0iquidity -isA Assessment
Presented for funds under GAAP
Cash flo' statement
:udget e)ecution reort Statement of comarison of %udget and actual amounts
.otes to the financial statements More detail and additional disclosures in the notes to the
financial statements
5 E 5
IMPACT ON OAS FINANCIAL STATEMENTS AFTER IPSAS
C*rre% .re"e%!'$% Pre"e%!'$% *%-er IPSAS
$ransactions are recorded on cash or
modified cash %asis, i#e# 'hen cash is
recei&ed or aid for goods and ser&ices#
$ransactions are recorded on accrual %asis, i#e#
'hen goods and ser&ices are recei&ed or rendered#
,)enditures are recorded as
dis%ursements and unliquidated
o%ligations#
,)enses are recogni?ed on the %asis of receit of
goods and ser&ices under the deli&ery rincile of
!PSAS#
Contri%utions recorded as income only
on %asis of cash recei&ed#
Contri%utions are recorded on the %asis of 'hen
they are earned <less an allo'ance for dou%tful
collections=#
Proerty, lant and equiment are
e)ensed 'hen urchased and no
ro&ision is made for dereciation
0ong5li&ed roerty, lant and equiment is not
charged as e)ense 'hen urchased %ut rather
accounted for as a caital asset 'hose &alue is
dereciated o&er its useful lifes#
Staff5related %enefits, e#g#, searation
ayments including annual lea&e,
reatriation %enefits, etc#, are charged as
e)enditure as and 'hen incurred#
Staff5related %enefits, e#g#, searation ayments
including annual lea&e, reatriation %enefits, etc#,
are recogni?ed at the actuarial &alue, 'hich are
current costs aya%le at a otential future date#
Staff medical insurance lia%ilities are
not reflected in the financial statements
and only disclosed in the notes of the
financial statements
Staff health insurance lia%ilities are fully
recogni?ed in the financial statements imacting
the net deficit or surlus#
Anne)es A and : sho' the -egular 1und Statement of Assets, 0ia%ilities and 1und
:alance, and the Statement of Changes in 1und :alance, resecti&ely, currently reared %y
the General Secretariat# $hese Anne)es illustrate a small samle of the changes that the
rimary set of financial statements 'ill undergo# !PSAS, ho'e&er, 'ill require a set of
consolidated financial statements for all controlled entities of the "AS and not indi&idual
financial statements of the -egular 1und#
Anne)es C and D sho' the -egular 1und Statement of Assets, 0ia%ilities and 1und
:alance, and the Statement of Changes in 1und :alance, resecti&ely, currently reared %y
the General Secretariat, and a reliminary samle of ho' information is required under
!PSAS# !t is imortant to note that !PSAS requires financial statements to %e resented at the
entity le&el and not the 1und le&el# $he samle financial statements are resented to illustrate
the effect on the categories#
MEMBER STATE COUNTRIES THAT HA2E ADOPTED IPSAS
5 D 5
According to the !PSAS :oard <!PSAS:= only 6 "AS mem%er states ha&e adoted
!PSAS or are in the rocess of adoting !PSAS in its entirety( :ra?il, Costa -ica and Peru#
!n addition, and %ased on a Deloitte reort on !PSAS dated March 2016, the
follo'ing is the status of !PSAS adotion <or similar adotion= for other "AS mem%er states(
> Argentina( Process in lace to de&elo u%lic sector accounting standards
that are harmoni?ed 'ith accrual accounting !PSAS
> :ar%ados( Process in lace to adot accrual5%asis !PSAS#
> Canada( Alies accounting standards that are %roadly consistent 'ith
!PSAS#
> Chile( 1or se&eral years, the Chilean Pu%lic Sector has used accrual
accounting, and FContralorGa General de la -eH%licaI is leading a rocess
to con&erge to !PSAS#
> Colom%ia( $he go&ernment of Colom%ia has made a commitment to !PSAS
and is 'orAing on the con&ergence of its national accounting standards 'ith
international standards#
> ,l Sal&ador( Jorld :anA roBect has !PSAS adotion as one o%Becti&e#
> Guatemala( Process in lace to adot accrual5%asis !PSAS#
> 2onduras( Process in lace to adot accrual5%asis !PSAS#
> Kamaica( Commitment to adot accrual5%asis !PSAS and change is in
rocess#
> .icaragua( Adoted cash5%asis !PSAS#
> /nited States of America( Alies accounting standards %roadly consistent
'ith !PSAS#
> /ruguay( $he go&ernment has mandated !PSAS for the national accounting
entity#
3. IPSAS ADOPTION PROGRESS# 3445 6 3411 (UP TO FIRST STATUS REPORT TO
CAAP)
PRO7ECT ANAL8SIS
During the e)loratory hase of understanding !PSAS requirements, the General
Secretariat drafted an initial roBect analysis for imlementation that included(
i# stes required for !PSAS adotion <this reort no' requires udate=
ii# status of stes comleted and ending <these need to %e &alidated=
iii# roosed %udget to %egin imlementation <%udget needs re&ision and
&alidation=
5 + 5
GAP ANAL8SIS
!n 200+ the GS3"AS contracted an e)ternal firm to conduct a general ga analysis
%et'een !PSAS and the :udgetary and 1inancial -ules# At that time, the study identified 1D
!PSASs that 'ere alica%le to the "AS# Since then, ho'e&er, additional !PSASs ha&e %een
added or amended# A more detailed and udated ga analysis is required#
TRAINING
!n 2007, a grou of "AS staff articiated in a three5day !PSAS 'orAsho deli&ered
at PA2"# $his 'as an initial aroach to %ecome familiari?ed 'ith the ne' standards#
During 2010, the GS3"AS recei&ed 11 comuter5%ased and 17 instructor5led !PSAS training
courses that 'ere de&eloed for /. agencies# 1i&e of these courses 'ere deli&ered to Aey
financial and administrati&e ersonnel in the second quarter of 2010 %y the su%Bect matter
e)erts that de&eloed these training modules for the /.#
BUSINESS PROCESSES
!n 2007, the GS3"AS contracted an e)ternal firm to document e)isting financial
%usiness rocesses to %egin assessing required changes for transitioning from cash %asis to
accrual accounting# Se&eral of these rocesses 'ill require fine5tuning or a comlete
reengineering to reflect %est ractices and cature the information required for !PSAS
resentation#
FIRST PROGRESS REPORT TO CAAP
$he acti&ities referenced a%o&e, 'ere resented %y the General Secretariat to CAAP
on March 2E, 2011 through a rogress reort document .o# CP3CAAP56100311# !n addition
to the acti&ities a%o&e, the document included(
:acAground on the mandates requiring adotion of !PSAS
Critical !mlementation Stes
Preliminary imlementation timeline
,stimated imlementation costs sho'ing a need of funds of L1#6+8
million
A re&ised imlementation date for year 201E
5 7 5
!t is imortant to note that follo'ing the resentation of the first rogress reort on
!PSAS adotion(
1unds 'ere not allocated to the roBect#
$here 'as no follo'5u mechanism to monitor or aro&e the !PSAS adotion
$here 'ere no internal resources a&aila%le to allocate to the imlementation
9. IPSAS ADOPTION PROGRESS# 3413 6 PRESENT
CREATION OF THE IPSAS STEERING COMMITTEE
$he General Secretariat imlemented the !PSAS Steering Committee# $he
esta%lishment of a Steering Committee for !PSAS imlementation is required so that it 'ill
aro&e the goals, o%Becti&es and action lan for the adotion of !PSAS# $his committee is
currently led %y the Secretary of Administration and 1inance and comosed of the directors
of the Secretary of Administration and 1inance, the Director of 0egal Ser&ices, ad&isors to
the Secretary General and the !nsector General <o%ser&er=# Going for'ard, the comosition
of the Steering Committee 'ill %e fle)i%le to shrinA or e)and to accommodate the needs that
'ill arise throughout !PSAS adotion rocess#
IMPLEMENTATION OF NEW SUBS8STEMS
$he General Secretariat has also %egun changing some of its %usiness rocesses
through the imlementation of modules or su%systems that interface 'ith "AS,S <"AS
,nterrise System=, 'hich 'ill allo' caturing some of the required information required %y
!PSAS# Some of these su%systems include(
0MS * 0ea&e Management System# 1rom the !PSAS ersecti&e,
the system to allo' accounting for all tyes of lea&e that are due and o'ed to
the emloyees#
$,Cs * $ra&el ,)ense Claim System# As art of %est ractices and
transarency, the $,C system is allo'ing the General Secretariat to ensure
that all emloyees tra&eling 'ith funds of the "AS su%mit a rendition of
accounts, certifying that ayments in ad&ance 'ere sent as originally
requested#
-:CS * -esults :ased Contract System# 1rom the !PSAS
ersecti&e, this module 'ill assist the General Secretariat to account for the
amounts o'ed to indi&idual contractors, %ased on 'hen the General
Secretariat recei&es the ser&ice# !PSAS requires that e)enses %e recogni?ed
'hen the ser&ices are recei&ed and rendered, rather than 'hen the ser&ices
ha&e %een aid#
5 8 5
CHANGES IN POLIC8 DURING 3419 AND ONWARD
$he General secretariat udated its fi)ed asset olicy to %etter align it 'ith !PSAS
requirements# $he ne' olicy udated the minimum threshold amount for caitali?ation of
fi)ed assets and included the caitali?ation of 1inancing 0eases# $ransactions under this ne'
olicy 'ere alied and are %eing audited in the 2016 financial statements#
MEETING WITH PAN AMERICAN HEALTH ORGANIZATION
0ate in 2016, reresentati&es from the Secretariat for Administration and 1inance
met officials from the Accounting Deartment of the Pan American 2ealth "rgani?ation
<PA2"=# PA2" %egan resenting !PSAS comliant financial statements for the year ending
2010# $he urose of the meeting 'as to request from them lessons learned during and after
the adotion of !PSAS# !n summary, the reresentati&es from PA2" offered the follo'ing
e)eriences and ad&ice(
$o le&el aro&al and senior management in&ol&ement is required
for change management * As re&iously stated, !PSAS adotion in&ol&es
more than Bust financeM it in&ol&es more than the administrationM it in&ol&es
all areas managing resources in the General Secretariat# Jhether the changes
arising from !PSAS in&ol&e ne' rocesses, training, systems, Bo% roles or
ne' organi?ation structures, or all of the a%o&e, mem%er states and senior
management must acti&ely articiate to demonstrate their commitment to
these changes#
Authoritati&e !PSAS e)ertise is instrumental on managing conflicts
arising from interretation issues, %oth internally and 'ith the e)ternal
auditors# !PSAS ro&ides guidance on ho' information should %e resented,
and it is general enough that 'ill require rofessional Budgment from the
staff in the organi?ation# Many discussions and disagreements on
interretation 'ill arise %et'een internal staff and e)ternal auditors 'hich
'ill require outside e)ertise to clarify disagreements#
Accounta%ility must %e esta%lished for staff 'ith decision maAing
authority across the organi?ation * not all accounta%ility 'ill rely in the
administration# $echnical areas, for e)amle, must %e accounta%le 'hen they
certify that the ser&ices of a consultant ha&e %een recei&ed at a certain date#
/nder !PSAS, it is essential to recogni?e the date of 'hen the ser&ices are
recei&ed, regardless of ayment made#
Proer allocation of resources to suort !PSAS is required * PA2"
designated si) staff mem%ers from their 1inance Deartment to 'orA
e)clusi&ely in the !PSAS imlementation# Jithout dedicated ersonnel
designated to the adotion of !PSAS, imlementation 'ill taAe significantly
longer# PA2" also assigned an aroriation to co&er startu costs required
for !PSAS imlementation of at least /SD 600 thousand, and similar
amounts on an annual %asis#
5 10 5
Determine 'hich !PSASs do not aly *the General Secretariat did
an initial ga analysis to identify 'hich !PSAS 'ill ossi%ly not aly to the
"AS, although this analysis must %e udated#
Preare mocA financial statements * "ne of PA2"@s initial stes 'as
to reare samle financial statements as required %y !PSAS and comare
them to their old financial statements to get a %etter icture as to 'hat
information is missing and ho' it 'ould %e o%tained#
:egin 'ith the re&enue analysis * PA2" %egan their analysis %y
looAing at their re&enue, and ho' this 'ould %e catured under the accrual
%asis#
:egin required actuarial studies and roerty &aluations <%uildings=
* !PSAS requires that on a regular %asis, sometimes on an annual %asis,
&aluations %e conducted# $hese &aluations aly to different areas( &aluation
of in&estments, of ost5retirement medical %enefits, roerty such as land,
and others# !n many of these cases, there is a &aluation cost 'hich needs to
%e incororated in the organi?ation@s %udget#
UPDATED IPSAS ON:LINE TRAINING FOR SAF PERSONNEL
$he /nited .ations, as art of their !PSAS a'areness rogram to all of its
emloyees, reared a se&en5module on5line training rogram# $his is a simle, %ut comlete
training that e)lains 'hat !PSAS is all a%out# During the last quarter of 2016, aro)imately
E0 SA1 ersonnel tooA these self5guided courses, recei&ing a certificate of comletion %y the
end of the year# $he training is found in the follo'ing address(
/-0( htt(33isastraining#un#org3
/sername( !PSAS
Pass'ord( /.SAS
<%oth username and ass'ord in caital letters=
$he on5line training includes the follo'ing + on5line modules(
IPSAS C$m.*er B!"e-
Tr!'%'%) C$*r"e
D*r!'$%
(!..r$;'m!e)
C:$51( "rientation to !PSAS 2#0 hours
C:$52( Accrual Accounting under
!PSAS * $he :asics
6#0 hours
C:$56( Accounting for Proerty, Plant
and ,quiment
6#0 hours
5 11 5
C:$54( Accounting for !n&entories 2#0 hours
C:$5E( Accounting for ,mloyee
:enefits * $he :asics
2#0 hours
C:$5D( Accounting for 0eases 2#0 hours
C:$5+( Accounting for Pro&isions,
Contingent 0ia%ilities and
Assets
2#E hours
UPDATED IPSAS DOCUMENT TRAINING FOR SAF PERSONNEL
!n addition to the on5line training taAen %y most SA1 ersonnel, there are additional
trainings taAen %y &arious staff 'ithin SA1# $hese are additional training documents reared
%y an e)ternal consultant that includes the follo'ing training modules(
IPSAS D$(*me%
Tr!'%'%) C$*r"e
D*r!'$%
(!..r$;'m!e)
!0$57( Accounting for !ntangi%le
Assets
4#0 hours
!0$58( Accounting for 1inancial
!nstruments
4#0 hours
!0$510( Ad&anced $oics on
1inancial -eorting
4#0 hours
!0$511( Prearation of Accrual5
:ased 1inancial Statements
4#0 hours
CHALLENGES TO ACHIE2ING FURTHER PROGRESS IN IPSAS ADOPTION
!PSAS adotion and imlementation most usually taAes longer than
E years to achie&e#
!PSAS itself recogni?es the comle)ity of imlementing the
standards and allo's u to fi&e years from initial roduction of other'ise !PSAS5
comliant GP1-s to achie&e full comliance#
!PSAS comliant reorting is the result of imro&ed %usiness
ractices and relia%le information systems# !mro&ed %usiness rocesses and
information systems 'ith the caacity to record and classify transaction data, and to
allo' data to %e e)tracted roerly for !PSAS comliant reorting, 'hile maintaining
data integrity and consistency, are re5requisites for effecti&e and efficient !PSAS
comliant reorting#
/. System organi?ations@ imlementation of !PSAS are nearly
al'ays rogrammed simultaneous 'ith maBor imro&ements in, or relacement of,
legacy information management systems#
5 12 5
!mlementation of !PSAS is resource intensi&e#
<. GOING FORWARD
Although the General Secretariat has engaged in &arious mi)ed acti&ities in rearation of
adoting !PSAS, for the organi?ation to mo&e for'ard, additional funding and time is required,
%eginning 'ith a roadma that 'ill clearly identify these requirements#
IPSAS PRO7ECT PROFILE AND PROPOSAL
$he General Secretariat is rearing a roBect rofile document for the
imlementation of !PSAS, follo'ing the guidelines esta%lished %y the Deartment of ProBect
and ,&aluation, and for final su%mittal to the ProBect ,&aluation Committee <P,C=# $he
roosal is %eing reared 'ith the aid of e)ternal e)erts in !PSAS and 'ill include the
de&eloment of the follo'ing roducts(
> An e)ecuti&e summary#
> 0ogical frame'orA, frame of reference and roBect descrition#
> Calendar of acti&ities <i#e#, a roadma that 'ill allo' a sequential
imlementation=#
> !mlementation timeline identifying required milestone, including fiscal year
'hen !PSAS comliant financial statements 'ill %e roduced %y the General
Secretariat and to %e audited %y the e)ternal auditors#
> An estimated %udget identifying human and financial resources required for
the imlementation of !PSAS#
> ProBect !mlementation, monitoring and e&aluation#
> Sustaina%ility and risA management#
After the roBect rofile document is finali?ed at the end of May, 2014, the General
Secretariat 'ill ha&e a %etter sense of the funding and timeline requirements# $he ultimate
goal of the roBect rofile is to ser&e as the main guiding tool to imlement !PSAS and to
o%tain additional financing through the Secretariat for ,)ternal -elations#
ANTICIPATED CHANGES AND CHALLENGES O2ER THE NEXT THREE TO
FI2E 8EARS
> Per"$%%e+( Staff across the "AS needs to %e trained in ne' %usiness and accounting
rocesses and rocedures# Some changes in organi?ational structure 'ithin SA1 may
%e 'arranted to suort and maintain !PSAS imlementation#
> B*"'%e"" .r$(e""e"# !PSAS adotion directly imacts all financial related rocesses
and se&eral other rocesses to suort the collection of information for !PSAS
resentation# !n many cases, a significant reengineering of %usiness rocess 'ill %e
required such as the current rocess for caturing assets and lia%ilities# !n addition,
one of the first challenges of the imlementation 'ill %e the manual con&ersion of
%eginning %alances currently under "AS %asis of accounting to !PSAS#
> !nformation !%- Te(,%$+$)=# Current ,nterrise -esource Planning <,-P= or
information systems@ caa%ilities and functionality need to %e assessed in order to %e
changed or ugraded to suort !PSAS imlementation# $he current ,-P system
5 16 5
does not suort !PSAS requirements and the %usiness rocesses redesign 'ill
imact directly in the system#
5 14 5
A..,N A
5 1E 5
A..,N :
5 1D 5
A..,N C
5 1+ 5
A..,N D
24+D16E+8#doc