With infinite storage, we can house all user files, including: emails, web history, pictures, bookmarks, etc and make it accessible from anywhere (any device, any platform, etc). We already have efforts in this direction in terms of GDrive, GDS, Lighthouse, but all of them face bandwidth and storage constraints today.
The thing about accounting is that minor changes have trickle down effects in many related accounts and indeed many different periods. A discovery of an error in an estimate for prior years’ revenues (estimates would be required if multi-year contracted sales arrangements are used, which they most certainly would be for Nortel) would have an effect on every set of financial statements from that year forward. Because Nortel is so large, public, and has operations in many countries (and is listed on both the NYSE and the Toronto Stock Exchange), it takes the auditors a long time and a lot of work to sort through the changes and restatements and their many side effects. And it’s busy season too.
Having seen the accounting inside many businesses up close and personal, I think the average observer would be very surprised at the amount of errors and issues auditors have to clean up and/or sort through as part of their job of rendering an opinion on the fair presentation of the statements.
But the office intranet is something else. The color scheme is, in a word, hideous, and it makes liberal use of the marquee tag, and probably has looked the same for many years. It certainly looks very Web 1.0, as in Netscape Navigator 1.0. I’ve been toying with the idea of throwing the office intranet into something standards-compliant, use some CSS for the layout perhaps perform radical surgery on the information architecture. I think the standards argument would resonate with accountants.
Their chief executive maintains that the revenue was just recognized in incorrect periods, from 2002 through 2005.
Revenue recognition is definitely a touchy subject these days, I know we certainly spend more time nowadays on it than we used to. We have checklists to ensure we’ve considered every different aspect of sales arrangements and there is a note to the financial statements concerning how and when revenues are recognized.
Since Nortel is large (complicated) and public (risky), the audit could take quite long and I wouldn’t be surprised if there are a handful of public accountants who are there each year more often than they are at their own office.