Future Plans of FASB Outlined by its Chairman Russel Golden
Chairman FASB Russel Golden outlined the future plans in his public speech delivered on the 40th anniversary of FASB. During this speech he described his top four priorities for the future of FASB.
1. Improvements in Efficiency and Effectiveness:
Golden believes that the operation of FASB need improvements in its operations. He wants the FASB to evaluate its agenda decision process so that it considers the priorities of the board, identifies the problems that should be solved, and identifies cost-effective, implementable solutions.
He noticed the need to make improvements in the FASB Accounting Standards Codification and stated that the FASB will be conducting an analysis in the coming years to see where the codification can be improved.
2. Reductions in costs and complexity of the Standards:
In the coming weeks, FASB and the Private Company Council (PCC) are expected to issue a Framework that will help in the identification of opportunities to reduce the complexity and cost of implementation of the US GAAP.
The PCC was established in 2012 to maintain and improve relevance of information provided in the financial statements of private companies, while reducing the complexity and cost of implementation.
3. Improvements in the communications:
Golden outlined how the FASB will improve the way it communicates with the stakeholders. He cited that the FASB will be unveiling a new website and a refreshed visual brand identity earlier this year in its efforts to improve the way it communicates with its stakeholders and nontechnical audience. FASB will be putting in place plans to spend time and efforts to address education and implementation issues as new standards will be issued.
4. Increase collaboration and cooperation with the GASB and FAF:
Golden believes that FASB can increase its cooperation and collaboration with the FAF and the GASB to build a collective organization that better serves the needs of all stakeholders.
He concluded his speech by stating the FASB will be working with the US securities and exchange commission and the FAF to better meet the needs of users of US GAAP financial statements.