In the fast-paced world of business where information is the primary currency innovation is vital. The accounting industry is experiencing a major shift in the methods of conducting audits, using new technologies like blockchain and artificial intelligence (AI) and data analytics and robotic procedure automation changing processes and enabling more efficient and effective results for clients.
Auditors can now provide more insightful information due to the ability to process and organize large volumes of complex data quickly at a pace previously unimaginable. The use of advanced analytical tools allows auditors to detect irregular transactions, latent patterns or other problems they would otherwise overlook and adapt their risk assessment procedures accordingly. These tools can also assist to identify potential future issues and predict a company’s performance.
Similar to that, the use automation and specialized software reduces manual processing and review work. For instance, Argus is an AI-enabled document analysis software that employs natural machine learning and language processing to quickly analyze electronic documents. It is utilized by Deloitte auditors to accelerate the review of electronic documents and allowing more time to focus on important tasks like reviewing risk and verifying findings.
Despite these advantages However, a variety of obstacles have been identified to hinder the full utilization of technology in the audit process. Specifically, research has highlighted the fact that a variety of individual tasks, environmental and other factors affect the use of technology for audit. This includes the perception of the impact on independence and lack of clarity around the regulatory response to the use of technology which may affect the appetite to use it in the real world.
