Achievement of XBRL Application in the Aviation Industry in Singapore
By providing industry-specific benchmarking information, businesses can better understand how they are performing compared to their competitors. However, obtaining consistent benchmarking data using older technologies like paper-based filings becomes daunting and nearly impossible. This is where eXtensible Business Reporting Language or XBRL can come in handy. XBRL-formatted information can be easily provided to a regulator and a third party to facilitate benchmarking of various industries in Singapore. Moreover, this information can be easily combined with other XBRL data from multiple sources, like the commercial information providers, resulting in better data analysis possibilities.
One such industry that has reaped benefits from the application of XBRL is the aviation industry in Singapore. In recent years, Singapore’s aviation industry has witnessed significant achievements in the XBRL application, from data extraction to analysis and report generation. Moreover, the taxonomy extension has also resulted in better data extraction in the aviation industry.
Significance of XBRL in the Aviation Industry
The benefits of promoting XBRL in the aviation industry include:-
It Facilitates the Information Exchange Process in the Industry
The widespread application of technology-based XBRL can simplify the input process of data and insert it directly into the information system and help analyse data through formulas and programs.
It Ensures a Unified Data Format Within the Industry
When all the aviation companies store and retrieve their data in the XBRL format, it becomes simpler for companies to analyse and compare the data accurately. For instance, comparing the production capacity, transportation conditions, financial situation, and operation efficiency of various companies in the aviation industry becomes more orderly and streamlined. The application of XBRL will thus help companies better understand their positions in the present and future.
It Helps in a Better Supervision of Companies by Stakeholders
With the promotion of XBRL in the aviation industry, stakeholders like creditors and shareholders can better analyse the listed companies and better understand the need for internal control. An XBRL system can automatically record all the data alterations, preventing unauthorised data in the system. Moreover, XBRL verifies itself and restrains any omissions or errors in the companies’ vast amount of generated data. As a result, the supervision of financial statements becomes more convenient for the companies’ stakeholders.
It Prevents Inconsistencies and Frauds
XBRL ensures that there are no inconsistencies, allowing regulators to take quick action against fraudsters. Through its taxonomies, XBRL automatically flags such irregularities in the data. The best part? It enables a seamless exchange of information between regulators, making the complete process easier and more efficient.
XBRL is the Way Forward
With so much data generated by companies in every industry, the financial reporting process, using older methods like paper-based filing, can seem intimidating to various businesses. Technology offers a simple solution to this problem – adopting XBRL as the reporting standard can help ease the complete financial reporting process.
With a trusted partner like DataTracks, you need not worry about your reporting needs. DataTracks has experience of more than 16 years, 200,000 reports and 19,900 clients. To know more about their XBRL services, get in touch with an XBRL expert @ +65-31-582-850 or email at firstname.lastname@example.org and make a smooth and effortless transition to XBRL.