Artificial Intelligence is poised to be a game changer for a lot of industries. By deploying the right AI technology, businesses are improving their operational efficiency, reducing costs and making the decision making process smooth. Audit industry is also not behind in integrating AI technology. It is creating a massive impact on the industry practices with the fusion of new AI tools.
Artificial Intelligence (AI) technologies have capabilities to work on complex tasks in a short amount of time. It is a great opportunity for auditors to leverage these tools into their auditing practices to make their work more efficient and accurate. AI technology will help auditors work smartly by optimising their time, analysing deeper sets of data in a shorter time frame. In traditional set up, data mining of hundreds of millions of data is impossible. Using AI technologies, auditors can carry out data mining more accurately by processing large volumes of data. Also, AI technologies work with high level precision which a normal human may not be capable of doing.
Another benefit of using AI technologies in auditing practices is that it eliminates fraud and irregularities in the auditing process. WIth AI the auditing process has become automated with less human involvement. Using AI, auditors can examine audit analytics and financial statements to identify any potential misstatements by comparing the source data to financial statements. Moreover, AI can help auditors identify the level of compliance and control audit risk by comparing the source data to the client’s policies and procedures.
Audit industry is still in an evolving phase with new AI tools. Some naysayers predict that these technologies will ultimately replace the auditors. However, many auditing professionals see that AI technologies will not replace auditors but will evolve their role, practices and skillset. Ultimately, It will improve the overall operational process, audit quality and give a competitive edge.
