Proposed IASB Prioritisation Framework (Agenda Paper 8)

The purpose of this paper was to set out a proposed prioritisation framework to help the IASB consistently prioritise technical projects on its work plan to balance capacity demand with supply and enable effective execution of the IASB’s mission.

The proposed framework consists of a base framework, with variations based on the nature of the prioritisation decision to be made and the type of project.

The proposed base framework has the following structure:

• Technical considerations:
  • Pervasiveness
  • Effects (cost-benefit analysis)
  • Feasibility of standard-setting
  • Strategic priority
• Operational considerations:
  • Time sensitivity
  • Synergies with other projects
  • Capacity (internal and external)
  • For paused projects: effort to restart

The application of the base framework will depend on the nature of the prioritisation decision and the type of project.

As a next step, the IASB will consult on the proposed framework, and subsequently finalise and implement the framework. The staff may recommend changes to the Due Process Handbook based on the framework.

IASB discussion

IASB members were generally supportive of the proposed framework, in particular because it still leaves room for judgement. However, many IASB members said that the framework should be treated as a living document and should be tested before it is added to the Due Process Handbook. It was acknowledged that the framework cannot serve all stakeholders equally as they have different priorities. There was some discussion on the term ‘pervasiveness’ as something could be pervasive in a certain jurisdiction or industry but not globally. The Chair clarified that ‘pervasiveness’ should mean that it affects the majority of the IASB’s constituents. He said that it was easier to identify when a matter is not pervasive than the other way around.

Some IASB members emphasised that this is a framework for the time between agenda consultations and is not supposed to replace agenda consultations.

No decision was made.