Innovation is crucial in the fast-paced world of business where information is the currency. The accounting sector is experiencing a paradigm shift in the way audits are conducted, using new technologies like blockchain and artificial intelligence (AI), data analytics and robotic process automation transforming processes, resulting in more efficient and effective outcomes for clients.
The ability to quickly process and organize massive amounts of complex data at a rate previously unimaginable has enabled auditors to present more insightful insights than ever before. The latest analytical tools can aid in identifying unusual transactions, latent patterns or other issues that could otherwise be missed, allowing auditors to tailor risk assessment procedures to suit. These tools can also help identify future problems and make predictions about the performance of a business.
Automated software and specialized programs can also reduce the amount of manual processing and reviewing. For example, Argus is an AI-enabled document analysis software that employs natural machine learning and language processing to rapidly interrogate electronic documents. It is being utilized by Deloitte auditors to accelerate the review of electronic documents, enabling more focus on important tasks like the assessment of risk and confirming findings.
Despite these benefits There are a lot of obstacles that hinder full use and adoption of technology in auditing. Particularly, research has shown the fact that a mix of person working, task and environmental variables influence the use of technology in audit. This includes the perception of the impact on independence as well as a lack of clarity on the regulatory response to the use of technology which could affect the motivation to implement it in practice.