Indonesian Firms getting ready to implement IFRS 15

The core principle of IFRS 15 on Revenue from Contracts with Customers is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. 

IFRS 15 introduces completely a new approach to recognize revenue and associate costs. The existing accounting standard on Revenue (PSAK 23) does not have the 5-step approach to assess revenue recognition. Therefore, it will be necessary to reassess contracts with customers based on this methodology in order to understand the impact of new standard. It will also be important to ensure systems, processes, controls are able to take account of this new methodology.
The degree of impact will depend on the nature and complexity of the transaction, the industry in which the entity operates, and other factors. In some cases, there might be no change to the amount and timing of revenue recognition. In other cases, there will be changes, and those changes could be significant. 
IFRS 15 will be effective for annual period beginning on or after 1 January 2018 in the United States. While in Indonesia, the target effective date on Implementation of IFRS 15 in Indonesia is January 1, 2019. 
Crowe Horwath Indonesia has been appointed by one of Indonesia's major telecommunication players, to assist in reviewing all its contracts with customers (Multimedia Interactive and Data Internet/MIDI contracts) using 5-step approach under IFRS 15 and to estimate its full impact on revenue recognition in 2017. The resulting revenue recognition will be used for consolidation purposes to its listed foreign holding entity and utilized as a basis for 2018 business planning and budgeting purposes.