XBRL-based Digital Financial Reporting

While the universal technology of accountability is based on medieval traditions, like everything else it is subject to change. Modern accountancy is inevitable. In my view it is also imminent. I have put together a mind map to help me think about and explain what I mean by "modern accountancy".  By "accountancy" I mean accounting, reporting, auditing, and analysis; external compliance reporting, tax accounting, internal management and cost accounting.  All of it. Here is that mind map . (Start at the blue hexagon.) Maybe you would agree that accountancy will undergo change.  Keep in mind that real space and cyberspace (i.e. the internet) do not operate in the same manner.  The territory has changed.  Because the territory has changed, a new map of the world is necessary.  Using old mental maps to understand the future will not work effectively. Imagine it.  Freedom from drudgery. Freedom from the toil of tedious, repetitive, mundane, monotonous task...

In a prior blog post I explained what an algorithm is . In a different blog post I talked about the process , project, and workflow in a digital environment . In yet another blog  post I talked about work . Let me summarize a few definitions: Algorithm : An algorithm is a finite sequence of well-defined instructions, typically to solve a class of problems or to perform a computation.  Algorithms are always unambiguous and are used as specifications for performing a task or process . Process : A process is a set of steps or actions that when consistently followed leads from some starting point to the completion of some objective.  A process can involve multiple tasks or multiple workflows.  A process tends to repeat.   Project : A project is a type of process that does not repeat.  All projects are processes; but not all processes are projects.  The difference between a project and a process is how often you perform some set of steps or actions....

Valueflows  (VF) describes itself as "a vocabulary for the distributed economic networks of the next economy, to coordinate the creation, distribution, and exchange of economic resources." That vocabulary is described in the form of an ontology.  You can get to that vocabulary made available in many different forms including: Human readable (generated from the Turtle) Machine readable RDF, Turtle format UML diagram Specification overview Introduction hREA is an implementation of the Valueflows specification. REA is an ISO standard description of business events . REA is imbedded within hREA and Valueflows. Data Centric Accounting  (DCA) was build using ideas from REA. Additional Information: Rethinking Financial Reporting: the Model-driven Financial Statement Universal Semantic Backbone Reporting 3.0 Input-Process-Output (IPO) Model