The 2018 Retail Accounting Policy Survey produced by Ernst & Young LLP (EY) in collaboration with the Retail Industry Leaders Association (RILA) is a comprehensive survey that provides an illuminating look at the current state of the retail sector accounting practices and financial reporting.
The retail industry is experiencing a period of significant transformation. Nimble disrupters are entering the marketplace, online sales are growing rapidly, and new digital technologies are empowering consumers, giving them unprecedented transparency, choice and convenience. As companies compete in this new retail landscape, enhancing and improving consumer engagement, in-store and online experience, sourcing, delivery and product expectations are a top focus for America's retailers. Companies are expanding e-commerce and international operations, adding distribution centers and investing in new systems, technology and store upgrades.
One goal of this survey was to gain an understanding of whether retail finance leaders are changing or modifying their financial reporting in response to these operational and systems changes. We also wanted to learn more about the ways finance leaders are incorporating new technologies into their organizations.
Finance executives from across the retail industry answered more than 100 questions, focused on the most commonly applied accounting practices related to inventory, accounts payable, sales incentives and more. With participation from 40 retailers from a wide variety of categories, including mass merchants, department stores, grocers and specialty retailers, the 2018 Retail Accounting Policy Survey provides a deeper understanding of how retailers are applying specific accounting principles in their financial reporting.
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