|
|
| |
| Coronavirus Pandemic and Business Disruption: The Consideration of Accounting Roles in Business Revival |
Bashir Babatunde Alao (ACA, CFE & CAMS), Oladejo Lukman G (PhD)
|
Abstract:
The coronavirus pandemic has brought major disruptions worldwide, with many businesses operations are curtailed or dramatically shifted, and supply chains are disrupted. The adverse financial effect of this ongoing crisis on businesses is huge. The aim of this paper is to formulate frameworks for the revival of business during and post crises times such as the COVID-19 pandemic and other major disasters. The paper also highlights practical procedures that will enable businesses to effectively respond to unexpected disruptions during a major outbreak from accounting and business management perspectives. The research is based on theoretical methodology through the analysis of several articles and survey results from different research, Big Four Accounting and Consulting companies' publications. Findings revealed that sound business continuity management, efficient liquidity management and prioritization of people safety and continuous engagement of relevant stakeholders during crisis times is key to build business resilience in preparation for the new normal and sustainability. Therefore, management should carefully consider the impact of the coronavirus on accounting, reporting and internal controls on business operations. Timely and meaningful disclosures about the potential effect on the financial position, performance and viability of the company, as well as measures taken to manage the risks, are important to regain trust.
|
|
|
| | |