RECENTLY ADOPTED AND RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS (Details) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | |||
|---|---|---|---|---|---|
Jan. 01, 2018 |
Apr. 01, 2018 |
Jul. 02, 2017 |
Apr. 02, 2017 |
Jul. 01, 2018 |
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| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 30 | ||||
| ASU 2014-09 Revenue Recognition | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Description | In May 2014, the Financial Accounting Standards Board (FASB) amended its standards related to revenue recognition to replace all existing revenue recognition guidance and provide a single, comprehensive model for all contracts with customers. The revised standard contains principles to determine the measurement of revenue and timing of when it is recognized. The underlying principle is that we recognize revenue to depict the transfer of goods or services to customers at an amount that we expect to be entitled to in exchange for those goods or services. The guidance provides a five-step analysis of transactions to determine when and how revenue is recognized. Other major provisions include capitalization of certain contract costs, consideration of the time value of money in the transaction price and allowing estimation of variable consideration to be recognized before contingencies are resolved in certain circumstances. The amendment also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in those judgments as well as assets recognized from costs incurred to fulfill these contracts.The standard allows either full or modified retrospective adoption effective for annual and interim periods beginning January 1, 2018. We adopted the standard using the modified retrospective approach. We elected to apply this guidance retrospectively only to contracts that were not completed at January 1, 2018.We identified a change in the manner in which we account for certain license income. We license certain technology to our unconsolidated joint ventures that meets the definition of functional under the standard, which requires that revenue be recognized at a point in time rather than the previous requirement of recognizing it over the license term. Using the modified retrospective adoption method, we recorded an adjustment to our opening equity balance at January 1, 2018, to account for the differences between existing license income recorded and what would have been recorded under the new standard for contracts for which we started recognizing revenue prior to the adoption date. There was not a material impact on any individual year from this change.We also identified transactions where revenue recognition was historically limited to the amount of billings not contingent on our future performance. With the allocation provisions of the new model, we accelerated the timing of revenue recognition for amounts related to satisfied performance obligations that would be delayed under the historical guidance. The impact of this change was not material.On an ongoing basis, this amendment is not expected to have a material impact on our Condensed Consolidated Financial Statements, including our internal controls over financial reporting, but will result in expanded disclosures in the Notes to our Condensed Consolidated Financial Statements.We recorded a net increase to opening retained earnings of $28 million, net of tax, as of January 1, 2018, due to the cumulative impact of adopting the new revenue standard, with the impact primarily related to our technology licenses that now qualify for point in time recognition rather than over time. The impact to any individual financial statement line item as a result of applying the new standard, as compared to the old standard, was not material for the six months ended July 1, 2018.On January 1, 2018, we adopted the new revenue recognition standard in accordance with GAAP. See NOTE 3, "REVENUE RECOGNITION," for detailed information about the adoption of this standard. | ||||
| New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 28 | ||||
| ASU 2017-07 Presentation of Net Periodic Pension and Post-retirement Benefit Costs | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Description | In March 2017, the FASB amended its standards related to the presentation of pension and other postretirement benefit costs in the financial statements beginning January 1, 2018. Under the new standard, we are required to separate service costs from all other elements of pension costs and reflect the other elements of pension costs outside of operating income in our Condensed Consolidated Statements of Income. In addition, the standard limits the amount eligible for capitalization (into inventory or self-constructed assets) to the amount of service cost. This portion of the standard was applied on a prospective basis. The remainder of the new standard was applied on a retrospective basis using a practical expedient as the estimation basis for the reclassification of prior period non-service cost components of net periodic benefit cost from operating income to non-operating income. As a result, we revised our Condensed Consolidated Statements of Income by the following amounts: Favorable / (Unfavorable) 2017 In millionsQ1 Q2 Cost of sales$4 $2 Selling, general and administrative expenses(10) (10) Research, development and engineering expenses— (1) Total change in operating income(6) (9) Other non operating income, net6 9 Total change in income before income taxes$— $— | ||||
| ASU 2016-15 Classification of Cash Receipts and Cash Payments | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Description | In August 2016, the FASB amended its standards related to the classification of certain cash receipts and cash payments which became effective for us beginning January 1, 2018. The new standard made eight targeted changes to how cash receipts and cash payments are presented and classified in the statement of cash flows. Adoption of this standard did not have a material impact on our Condensed Consolidated Financial Statements | ||||
| ASU 2016-01 Recognition and Measurement of Financial Assets and Liabilities | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Description | In January 2016, the FASB amended its standards related to the accounting for certain financial instruments which became effective for us beginning January 1, 2018. This amendment addresses certain aspects of recognition, measurement, presentation and disclosure. The standard resulted in a cumulative effect increase to opening retained earnings of $2 million in our Condensed Consolidated Financial Statements. | ||||
| New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 2 | $ 2 | |||
| ASU 2017-12 Derivatives and Hedging | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Description | In August 2017, the FASB amended its standards related to accounting for derivatives and hedging. These amendments allow the initial hedge effectiveness assessment to be performed by the end of the first quarter in which the hedge is designated rather than concurrently with entering into the hedge transaction. The changes also expand the use of a periodic qualitative hedge effectiveness assessment in lieu of an ongoing quantitative assessment performed throughout the life of the hedge. The revision removes the requirement to record ineffectiveness on cash flow hedges through the income statement when a hedge is considered highly effective, instead deferring all related hedge gains and losses in other comprehensive income until the hedged item impacts earnings. The modifications permit hedging the contractually-specified price of a component of a commodity purchase and revises certain disclosure requirements. The amendments are effective January 1, 2019 and early adoption is permitted in any interim period or fiscal year prior to the effective date. The revised standard is required to be adopted on a modified retrospective basis for any cash flow or net investment hedge relationships that exist on the date of adoption and prospectively for disclosures. We do not expect the amendments to have a material effect on our Consolidated Financial Statements and are still evaluating early adoption. | ||||
| ASU 2016-13 Measurement of Credit Losses on Financial Instruments | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Description | In June 2016, the FASB amended its standards related to accounting for credit losses on financial instruments. This amendment introduces new guidance for accounting for credit losses on instruments including trade receivables and held-to-maturity debt securities. The new rules are effective for annual and interim periods beginning after December 15, 2019. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. We do not expect adoption of this standard to have a material impact on our Consolidated Financial Statements. | ||||
| ASU 2016-02 Leases | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Description | In February 2016, the FASB amended its standards related to the accounting for leases. Under the new standard, lessees will now be required to recognize substantially all leases on the balance sheet as both a right-of-use asset and a liability. The standard will continue to have two types of leases for income statement recognition purposes: operating leases and finance leases. Operating leases will result in the recognition of a single lease expense on a straight-line basis over the lease term similar to the treatment for operating leases under today's standards. Finance leases will result in an accelerated expense similar to the accounting for capital leases under today's standards. The determination of a lease classification as operating or finance will occur in a manner similar to today's standard. The new standard also contains amended guidance regarding the identification of embedded leases in service contracts and the identification of lease and non-lease components of an arrangement. The new standard is effective on January 1, 2019, with early adoption permitted. The standard currently requires adoption on a full retrospective basis; however, the FASB has recently approved an amendment to allow adoption on a modified retrospective basis. While the amendment is not yet published, we would expect to adopt on a modified retrospective basis assuming the amendment is published as approved. We are still evaluating the impact the standard could have on our Consolidated Financial Statements, including our internal controls over financial reporting. While we have not yet quantified the amount, we do expect the standard will have a material impact on our Consolidated Balance Sheets due to the recognition of additional assets and liabilities for operating leases. | ||||
| Cost of Sales | ASU 2017-07 Presentation of Net Periodic Pension and Post-retirement Benefit Costs | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 2 | $ 4 | |||
| Selling, General and Administrative Expenses | ASU 2017-07 Presentation of Net Periodic Pension and Post-retirement Benefit Costs | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | (10) | (10) | |||
| Research and Development Expense | ASU 2017-07 Presentation of Net Periodic Pension and Post-retirement Benefit Costs | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | (1) | 0 | |||
| Operating Income (Loss) | ASU 2017-07 Presentation of Net Periodic Pension and Post-retirement Benefit Costs | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | (9) | (6) | |||
| Other Nonoperating Income, net | ASU 2017-07 Presentation of Net Periodic Pension and Post-retirement Benefit Costs | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 9 | 6 | |||
| Income Before Income Tax | ASU 2017-07 Presentation of Net Periodic Pension and Post-retirement Benefit Costs | |||||
| New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
| New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 0 | $ 0 | |||