The Research On XBRL Of Hunan Province Light Industry And Salt Industry Group

1998Charles Hoffman who is an AICPA has first proposed XBRL (eXtensibleBusiness Reporting Language). And it has been applied in a number of countries suchas United States, Singapore, Denmark, South Korea, Japan, Australia, the Netherlands,South Africa and so on. XBRL was firstly introduced into China from2000, andthen Shanghai Stock Exchange asked all listed companies to expand Applications in2004. Until2010the Ministry of Finance started to develop national standards ofXBRL. Although XBRL achieved certain results in listed companies mandatory,XBRL applied in non-listed companies still faced significant resistance. With theknowledge capitalized, information cost from not only existed in company but also insociety. With the reform of China’s modern corporate system, the value of XBRLapplied in no-listed companies to gradually highlighted. XBRL not only helpedenterprises to solve the problem of information silos due to different informationsystems not compatible, as well as help to reduce internal information systemsmanagement costs, and enhance the efficiency of communication within theorganization. It also helped external regulators like tax authorities, creditors to shareinformation data, and reduce the cost of government social services. Therefore, thestudy of XBRL applied in non-listed medium-sized enterprise applications has greatpractical significance.Firstly, we have reviewed literature about information systems, XBRL standardconstitutes, the application of XBRL in Europe and China. And we concluded theproblems and indication during the application process. Basing on system economics,agency theory, stakeholder and issues of accounting theory, we analysis the drivingforces about XBRL application. We put forward steps and methods about how XBRLis applied in the companies based on Information integration theory. Then weestablish the transmission model of XBRL application based on XML informationintegration. Lastly, we proposed a classification criteria based on Financialinformation element theory. Secondly, we first apply the XBRL in Hunan ProvinceSalt Industry Group. We summed the resistance during XBRL pilot implementationprocess the status and problems of Hunan light Salt Group information systems. Again,the article summed encountered resistance during the process of the pilotimplementation based on the theory and analysis of chapter2to analysis the objectives and function of XBRL information systems. Based on the function ofsaving transaction costs, in-depth data mining, information sharing and reducingcommunication cost, we designed the steps and methods applying XBRL in Light SaltGroup. We focuses on XBRL taxonomy and how the XBRL information systemsintegrated other traditional information systems. Finally, to ensure the application ofXBRL in Salt Group ’s internal light, according to above study, we put forwardcorresponding measures in two sides. They are application system and motivatingemployees.The innovation of this paper is to analyze the driving forces of XBRL applied inunlisted medium-sized enterprises from a theoretical point. And our study alsoassisted Hunan Light Salt Group XBRL to design the methods and procedures abouthow XBRL was deeply applied in this company.