In a recent Deloitte Center for ControllershipTM poll of more than 3,850 professionals — many working in accounting (53 percent) and finance (21.5 percent) — about lease accounting implementation, just 21.2 percent of finance, accounting and other professionals say their companies are “extremely” or “very” prepared to comply with the Financial Accounting Standards Board’s (FASB) and International Accounting Standards Board’s (IASB) respective new lease accounting standards. https://www2.deloitte.com/us/en/pages/about-deloitte/articles/press-releases/few-highly-prepared-to-implement-lease-accounting-standards-as-deadline-nears.html?id=us:2sm:3ss:leases0318:awa:adv:031918:0118

1. Lease accounting implementation
enters final stretch
Deloitte poll results from Jan. 31, 2018

2. 2Lease accounting implementation enters final stretchCopyright © 2018 Deloitte Development LLC. All rights reserved.
Methodology
3,890+ professionals participated in a Deloitte
Center for ControllershipTM Dbriefs webcast, “Lease
accounting implementation enters final stretch,” on
Jan. 31, 2018 about their current lease accounting
implementation efforts. Similar online polls were
conducted in May 2017, October 2016 and March
2016. Answer rates differed by question.

3. 3Lease accounting implementation enters final stretchCopyright © 2018 Deloitte Development LLC. All rights reserved.
How prepared is your organization to comply with the new lease
accounting standard?
Total findings over time
Votes received: 7,404 (Mar. 2016); 3,081 (Oct. 2016); 6,873 (May 2017); 4,379 (Jan. 2018)
Prepared=those selecting “extremely prepared” or “very prepared” answer options.
Unprepared=those selecting “not too prepared” or “not at all prepared” answer options.
Don’t know/not applicable=20.2% (Mar. 2016); 24.4% (Oct. 2016); 21.4% (May 2017); 19.7% (Jan. 2018)
9.8%
13.8%
14.6%
21.2%
35.7%
28.0%
23.8%
18.2%
March 2016 October 2016 May 2017 January 2018
Prepared Unprepared

4. 4Lease accounting implementation enters final stretchCopyright © 2018 Deloitte Development LLC. All rights reserved.
Votes received: 4,869
Will the amount of time and effort your organization spends on
lease accounting implementation change in the next 12 months,
as a result of the FASB’s November 2017 board meeting
decisions?
Don’t know/NA=32.5%
Yes--Increase
29.7% 27.7% 10.2%
No Change Yes--Decrease

5. 5Lease accounting implementation enters final stretchCopyright © 2018 Deloitte Development LLC. All rights reserved.
Comparing 2016 and 2018 findings
Votes received: 3,175 (Oct. 2016); 4,660 (Jan. 2018)
Which will pose the largest implementation challenge for your
company’s lease accounting standard compliance efforts in the
next 12 months?
32.6%
18.0%
10.4%
9.6%
3.6%
24.7%
16.3%
9.4%
15.0%
5.3%
Collecting necessary data on all organizational
leases in a centralized, electronic inventory
Implementing multiple new accounting standards
(e.g., revenue recognition and/or current
expected credit loss) simultaneously with lease…
Determining whether IT solutions currently in
place for tracking lease data can manage handle
lease accounting implementation and compliance
Figuring out where to start the implementation
process
Overcoming board and executive assumptions
that implementation will have little or no impact
on financial reporting and operations
January 2018 October 2016
Don’t know/NA=29.3% (Oct. 2016); 25.8% (Jan. 2018)

6. 6Lease accounting implementation enters final stretchCopyright © 2018 Deloitte Development LLC. All rights reserved.
2.6%
6.4%
50.6%
1.8% 1.4%
Yes-we plan to buy
more real estate
than we lease
Yes-we plan to buy
more equipment
than we lease
No change
expected
Yes-we plan to
lease more real
estate than we buy
Yes-we plan to
lease more
equipment than we
buy
Votes received: 3,890
Has your organization’s lease versus buy strategy for the next 12
months changed as a result of lease accounting standard
implementation?
Don’t know/NA=37.2%

7. 7Lease accounting implementation enters final stretchCopyright © 2018 Deloitte Development LLC. All rights reserved.
Votes received: 4,822
Which best describes your organization’s approach to lease
accounting standard implementation?
Don’t know/NA=34.8%
Implementing a standalone “point solution”
software specific to lease accounting
Leveraging existing processes and software not
specific to lease accounting
Implementing an enterprise solution within our
ERP system
Implementing fully integrated lease
management or lease accounting software
Developing custom software in-house specific
to lease accounting
27.1%
13.3%
10.9%
10.6%
3.4%

8. 8Lease accounting implementation enters final stretchCopyright © 2018 Deloitte Development LLC. All rights reserved.
Media contact
Shelley Pfaendler
Public Relations
Deloitte Services LP
spfaendler@deloitte.com
Full press release available on Deloitte.com

9. The statements in this report reflect the aggregation of poll responses and are not intended to reflect facts or opinions of
any entities. All data, charts and statistics referenced and presented, as well as the representations made and opinions
expressed, unless specifically described otherwise, pertain only to the participants and their responses to the Deloitte poll.
The information obtained during the poll was taken “as is” and was not validated or confirmed by Deloitte.
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