Enhanced information sharing between companies and financial-market participants is crucial. Investors and financial analysts are looking for more efficient access to company financial data so that faster, more accurate and more robust analysis is possible for better, more informed decisions. By offering reports to the markets via XBRL web services, companies make currently reported information readily accessible and re-usable, and therefore more relevant, to these stakeholders.
XBRL enables company managers to tell their own story to investors and other market stakeholders, precisely and clearly, without concerns that their messages will only be read through third-party filters, such as information distributors or aggregators. Time constraints and huge information volumes have caused market participants to become increasingly reliant on vendors who provide company information in a more easily re-usable format for analytical software. This means that stock prices may be determined with key influencers never having incorporated information directly from the company into an analysis.
Communicating through the XBRL Web services format enables information consumers in the marketplace to receive the full picture, every piece of information as company managers have tagged it. Once tagged, the information also becomes more re-usable as it can be directly placed into XBRL Web services enabled analytical software. Companies can also tie information in XBRL Web services enabled reports to other useful resources, such as a press release for external users, and company policy or accounting guidance for internal users.
Benefits of XBRL web services deployment