** Chief Digital Officer.
Text |Yang Tongpeng Edited |Zhang Qiqi.
In the context of data assets being included in the table, enterprises will be forced to pay attention to data governance, and data governance needs to adhere to long-termism. This article is based on the speech of Yang Tongpeng, Director of PwC China's Digital Consulting Practice, at the "2023 China Digital Annual Conference".
1. Look up at the sky: 20 pieces of data and enterprise data assets are included in the table for interpretation
The digital era in which data is like water and air has arrived, and the development of the data element industry must not only "step on the brakes" but also "step on the accelerator", and pay equal attention to security and development. Among a series of top-level guidance policies intensively issued by the state, the Cybersecurity Law and the Measures for the Security Assessment of Cross-border Data Transfer ensure the bottom line of securityAt the same time, it has also continuously issued relevant plans and policies such as the "Overall Layout Plan for the Construction of Digital China", the "20 Data Articles", and the Interim Provisions on the Accounting Treatment of Enterprise Data Resources.
On October 25, 2023, the National Data Bureau was officially established, marking the beginning of a new stage in the development of China's digital economy. We can gain insight into the general trend of the development of data elements through the recent speeches of the leaders of the National Data Bureau.
On November 10, 2023, Liu Liehong, Secretary of the Party Leadership Group and Director of the National Data Administration, attended the kick-off meeting of the Beijing Data Basic System Pilot Zone and made an important speech, proposing to "let data be assured to be 'supplied', so that more data can be 'lived', and data security can be 'moved'." ”
On November 23, 2023, when Liu Liehong attended the 2nd Global Digital ** Expo Data Element Governance and Marketization Forum, he made an important discussion on data infrastructure for the first time, proposing to build four major infrastructures such as network facilities and computing power facilities, and proposing six major capabilities such as data aggregation, data processing, and data circulation.
At the 2023 Global Digital Business Conference, Liu Liehong specifically pointed out that the National Data Bureau will focus on giving full play to the "multiplier effect" of data elements and work with relevant departments to study and implement the "data elements" action. On December 15, the state issued an announcement on soliciting opinions from the public on the "Data Elements" Three-Year Action Plan (2024-2026) (Draft for Comments). The opinions put forward that by the end of 2026, the breadth and depth of data element application scenarios will be greatly expanded, the multiplier effect of data elements in the field of economic development will be revealed, and more than 300 typical application scenarios with strong demonstration, high visibility and wide driving force will be created, the quality and efficiency of products and services will be significantly improved, and a number of data element application demonstration areas with obvious results will emerge. So, how can enterprises participate in the "data element" action and participate in the "table" of data assets?The country has sounded the clarion call for the "data element" action, and we need our business friends to think more about how to actively participate in it and obtain new corporate business opportunities or personal career development opportunities.
2. Look down at the road: Five-step path analysis of data assets into the table
In order to standardize the accounting treatment related to enterprise data resources and strengthen the disclosure of relevant accounting information, in August this year, the Ministry of Finance formulated and issued the "Interim Provisions on the Accounting Treatment of Enterprise Data Resources" (hereinafter referred to as the "Interim Provisions"), and in November, the Accounting Department of the Ministry of Finance held a special online training on the "Interim Provisions on the Accounting Treatment of Enterprise Data Resources" to interpret the policy. Based on the current hot spots, difficulties and the main contents of the interim regulations on data resource accounting, PwC sorted out five key points in the accounting process of enterprise data resource accounting, and provided professional observation and analysis of the "five-step method" of data resources into the table.
There are five key points to pay attention to when data assets are added to the table:
1) The interim provisions do not change the conditions for asset recognition and measurement basis, and there will be no large-scale increase in assets on the balance sheet in the short term
2) The Interim Provisions apply to all enterprises and entities that implement the Accounting Standards for Business Enterprises, and simple expense is not a "free choice".
3) The Interim Provisions adopt the future applicable method, and clearly state that the expenses related to data resources that have been expensed into profit or loss before the implementation of the Interim Provisions will not be adjusted, and the expenses incurred in the previous period shall not be recapitalized;
4) Regarding the scope of application of the intangible assets and inventory standards, enterprises should determine whether to apply the intangible assets or inventory standards according to the purpose of holding data resources, the way in which they are formed, and the business model
5) Data resource assessment and disclosure requirements with significant impact.
The issuance of the interim provisions is conducive to promoting enterprises to attach importance to and build a comprehensive and effective and realistic data resource governance and management system, thereby providing a good foundation for the confirmation and measurement of data resources, and the capitalization of data will further promote the circulation of data elements and accelerate the marketization and value maximization of data elements. However, the entry of enterprise data resources into the table is not a one-time project, and PwC proposes that a reasonable and prudent entry path should cover five key steps: compliance and rights confirmation, effective governance and management, economic benefit analysis, reasonable cost aggregation and allocation, and presentation and disclosure, referred to as the "five-step approach". PwC has launched a "five-step method" to help enterprises manifest the value of data resources, improve data security management, and promote data circulation and use.
The premise of the "five-step method" for the path of data assets to the table is compliance and right confirmation。For data compliance, we can look at it from five dimensions:
InData**In terms of the acquisition of data, the acquisition of data by enterprises does not violate any laws and regulations, national policies and social public morality, and does not infringe on the legitimate rights of any third party.
InData contentThe content of the data stored by the enterprise shall be true, legal and compliant, and shall not store illegal data that is not allowed to be collected or stored by laws and regulations.
InData ProcessingIn terms of the processing of data, the processing of data by enterprises does not violate the relevant provisions of the law and complies with the principles of legality, legitimacy and necessity.
InData managementIn accordance with the requirements of laws, regulations, rules, and national standards, enterprises need to establish data compliance-related management systems, carry out management activities including compliance management system construction, risk identification, risk assessment and disposal, and establish corresponding full-chain supervision and management mechanisms in areas such as data classification and hierarchical management, data cross-border, and personal information privacy protection.
InData managementIn terms of law, enterprises need to carry out data business in accordance with the law, obtain corresponding qualifications, administrative licenses and full authorization, establish a sound internal control system, and ensure that data business does not endanger the public interest and infringe on the legitimate rights and interests of individuals and organizations.
Effective data governance is the foundation for transforming data resources into data assets and data capitalThe path to realize the value of enterprise data is the path of three modernizations, that is, the process from data resourceization to data assetization and then to data capitalization, the data scattered in various systems is gathered, through data governance into resources, based on scenario applications to mine the value it contains, into data assets, to form the best value of data products and services, which can be traded in the trading market, based on data to empower financial business, and gradually realize data capitalization. At present, most enterprises are still in the stage of data resource utilization, and need to actively carry out the construction of data resource management system and do a solid job in data governance.
For enterprises, we must first clarify our current situation and take corresponding actions according to the actual basis. In the short term, strengthening the construction of data resource management system is the basic work of enterprise data asset entry. It is indispensable to build data management functional departments and supplement data management personnel such as the chief data officer and CDO, actively do a good job in data resource inventory, improve data management process specifications, and pragmatically promote the construction of data governance system.
For data resource management, we put forward the "three-stage and sixteen-step" working method in the practice of serving customers, and involve the expert resources of the business department and the data IT department from the current situation combing, scheme design, and solution implementation, so as to promote the data resource management work in a multi-party collaboration. In the process of practice, PwC has found that enterprises generally encounter three pain points in the process of data assetization at this stage: First, the investment in the process of digital transformation cannot be explicit;Second, it is difficult to continuously track the value of different classified data productsThird, there is a certain degree of disconnect between technical achievements and financial statements in digital transformation, and it is necessary to strengthen the collaboration between the digital department and the financial department.
In response to these difficulties,PwC proposed the construction of a "1+2+6+N" data element assetization systemPackage solution. From the perspective of enterprises, it is necessary to grasp the basic value line from data resourceization, to data assetization, and then to data capitalization. Enterprises need to do a good job in data-driven digital transformationIt is recommended to focus on data supply, data circulation, and data use value stream, and do a good job of data dual circulation from the inside outFirst, do a good job in the management of enterprise data resources and data assets, use data to empower the high-quality development of enterprises, support enterprises to improve efficiency and reduce costs, prevent risks, digital operations and other scenario applications, realize the orderly circulation of data within the enterprise (internal circulation), and actively integrate the best value of data products and services into the external data trading market to form business opportunities for data monetization (external circulation). In addition, enterprises need to build data strategy and governance, data ecology and transactions, data assets and operations, data security and compliance, data valuation and accounting, and data middle platform and architectureSix core competencies。FinallyThe key is to promote construction with use and be scenario-driven, so that data empowers business, such as enabling scenarios such as smart operation, smart chain, smart compliance, and smart marketing.
3. Insight into opportunities: CXO development opportunities and countermeasures for corporate executives
In the future, with the continuous development of the data element X action promoted by the National Data Bureau, it will promote the emergence of new industries, new business formats, new models, new applications, and new governance, and enterprise CXOs, especially the chief data officer CDOs, will usher in various development opportunities. Enterprises can strive to be service-oriented, application-oriented, and technology-based digital merchants according to their own resource endowments, actively participate in the market-oriented exploration of data elements, drive data empowerment business through application scenarios, and realize the multiplier effect of data elements.
Finally, Yang Tongpeng summarized three action suggestions for long-termism, two-way running, and joint exploration:
For enterprise data governance, it is necessary to combine internal and external data to realize the multiplication of data value。The market-oriented allocation of data elements will bring new opportunities and challenges to enterprises, and data resource utilization is the first step, enterprises need to do a solid job in data management through internal and external integration, and promote data resources into data assets through internal and external dual circulation, so that data can become a factor of production and realize value multiplication
For CDOs, it is necessary to go both ways and jointly explore a better digital future。The chief data officer (CDO) should seize the opportunities of the times, face difficulties, strengthen the cultivation of key data capabilities, and actively participate in the digital intelligence empowerment business
3.For data trading institutions, they are an important platform engine and engine to promote the development of the data element industry and the development of the digital economy. With the development of the data element X action, data trading institutions are promoting the circulation of data elements, improving the efficiency of data element allocation, helping the development of the digital economy, strengthening the supervision of the data element market, enhancing international data cooperation, and promoting the safe cross-border flow of data.