The shift towards digital reporting for companies in the country of Malaysia is underway. Up until now, public and private companies used to submit their filings to the Suruhanjaya Syarikat Malaysia (SSM) via print or over the counter. All companies incorporated in Malaysia (other than Banking, Financing, and Insurance companies regulated by Bank Negara Malaysia) that are required to submit their annual statutory Financial Statements to SSM, will now be required to digitally submit these Financial Statements in XBRL format. Starting in November 2018, the SSM has introduced an XBRL submission platform for qualifying companies filing with it. cloud-based
Similar to the SEC mandate in the US, ESMA mandate in Europe, and the CIPC mandate in South Africa, the SSM requires all public and private entities listed with it to file their reports in the XBRL standard.
Companies filing to regulators around the world; are increasingly adopting cloud solutions compliance applications that facilitate collaborative working, and enable process, time, and cost efficiencies. Usually, companies hesitate to adopt cloud solutions. And the reason could be the several myths that continue to surround the cloud and its ability to support the business. And while we may dismiss these myths as harmless, for organizations it could mean a lost opportunity for true innovation. Let’s discuss the advantages of opting for a cloud-based solution: –
SAAS solutions offer better Data Security for your reports
Unpublished financial data has the highest risk of data security. Emails are the most insecure way to send across financial reports, especially if they contain highly sensitive unpublished data. Emails are prone to virus attacks and other cyber security risks. Apart from this, humans could also be a point of data misuse. While evaluating SaaS solutions, make sure the platform is hosted on a reliable cloud hosting provider such as Microsoft Azure, Amazon, or Google. There are tight data security measures for data such as data encryption, and user access controls that ensure that data is accessible only to authorized users.
Cloud Solutions are more economical in the long term
Some CXOs consider the move to the cloud itself as a limiting factor, both in terms of the hassle and the costs involved. To many of them, upgrading existing systems seems like a better option than migrating to a new environment altogether. And while this might be true on the cost side in specific situations, there is something to be said about scalability and the reduction in the total cost of ownership that the cloud provides over the years. Plus partnering with an experienced services provider can ensure a quick migration with minimum downtime.
Efficient Streamlined process
The overall preparation process of compliance reports is highly iterative with tight deadlines. The need to deal with a lot of numbers and text with even more edits and iterations could be daunting if you do not have an efficient way of working. SaaS solutions offer a centralized way of working where all changes done in the document reflect instantaneously in all output formats which include XBRL, Word, and PDF. Working on a SaaS solution gives you the confidence that you are always working on the most updated version of your documents, you can track and review not just your document but your XBRL as well.
Greater Visibility and Control
Times have changed and with advanced technology; companies are adopting the use of SaaS solutions for compliance requirements. One of the biggest benefits of using a SaaS solution is that you NEVER lose sight of your compliance documents. You get a greater level of control and visibility of your documents, XBRL tagging including any last-minute changes.
Cloud-based compliance applications are changing the way businesses report internally and to regulators. These applications make teams more productive, and enable collaboration, while saving costs and crunching timelines. Whoever said every cloud has a silver lining actually knew what they were talking about. The cloud can pack quite a punch when it comes to collaborative authoring, especially in the context of something as critical as your compliance reporting!