Innovation is essential in this fast-paced business world in which information is the currency. Accounting is undergoing an era of change in the ways audits and other processes are carried out. Emerging technologies such as Blockchain and artificial intelligence (AI) Data Analytics and robotic procedure automation are changing processes, enabling more efficient outcomes for customers.
Auditors are now able to provide more insightful insights due to the capability to process and organize large quantities of data that are complex at a rate previously impossible. The use of advanced analytical tools enables auditors to spot unusual transactions, patterns of latent activity or other issues they would otherwise overlook and tailor their risk assessment procedures according. These tools are also helping to identify possible future issues and make predictions about the performance of a company.
Automation and specialized software can also reduce the amount of manual processing and reviewing work. Argus is one example. It is an AI-enabled software that makes use of machine learning https://data-audit.net/2022/01/04/3-reasons-to-invest-in-document-compliance and natural language processing to quickly search electronic files. Deloitte audits use it to accelerate electronic document reviews and allow them to concentrate more on the high-value tasks such as reviewing risk and verifying results.
Despite these benefits, a number of barriers have been identified that prevent the full use of technology in the audit process. Specifically, research has highlighted that a confluence of person tasks, environmental and other factors affect the use of technology in audit. This includes the perceived effect on independence as well as a lack of clarity about the regulatory response to the use of technology which can impact the enthusiasm to implement it in practice.