The introduction of ASC 606 revenue recognition standards have brought complexity and ambiguity into the SaaS revenue accounting process. This necessitates airtight internal controls and documentation of all judgement calls made by accountants for potentially unclear terms. Maintaining compliance is essential to a company, as failing to do so can result in damage to both a company's financials and a company's brand.
Finance leaders are striving to integrate technology into the finance department's operations to achieve strategic objectives. One such objective is the continuous improvement of internal reporting, such as including more non-financial key performance indicators and gathering insights throughout each accounting period. This is made especially difficult due to the lack of transparency into the revenue accounting process.
Finance leaders are faced with the challenge of maximizing the efficiency of their department as other business stakeholders continue to expect more for less from the department. The introduction of innovative technology solutions is one such method towards growing operating efficiency.
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