As a business owner, an investor, a director or a top management level personnel in your company, what would be your reaction if your audit reports and financial statements reports were prepared solely using AI tools? How safe is your data when it is populated into an AI system? Imagine getting a generic report that is not tailor-made to your business yet you have invested huge funds in the audit process to get results. As an accountant, will your job be satisfying if a huge part of the reports you submit to your clients are generated by Artificial intelligence tools or applications? Will you find it fulfilling?
Leveraging AI for Strategic Advisory in Auditing
In a world where we are striving to keep up with technology, the powerful place of human insights, professional experience, and expert advice cannot be overlooked. Why are companies really interested in both external and internal audits? While some organizations conduct audits because it is a statutory requirement, other companies are interested in so much more. After multiple conversations in meetings with CEOs, CFOs, COOs, general managers, finance managers, Directors and owners of businesses, there are several shared concerns that these important individuals have raised regarding both external and internal audits. The following are the most significant issues they are looking for after investing so much money in the audit procedure and audit processes;
Significant issues C-Suite Executives look for in an audit
- Can the audit process identify gaps and areas of improvement for the company? Are there perfect recommendations by the auditors for these identified gaps?
- Can the overall audit process ensure continuous sustainable growth of the company in all its aspects? After reading the audit reports shared, can the human resource department of the company, for instance, be revolutionized because of the audit recommendations? Are there conversations about the company’s pricing strategies, profit maximization, cost reductions and the very core interests of business owners?
- How is the audit report driving the business towards sustainability?
- What are some of the conversations geared towards improving the internal processes of the company?
- What are some of the strategic insights that will lead the company toward Growth, Professionalism and Sustainability?
How Auditors can position themselves in the age of AI
The audit profession is shifting beyond the independent examination of the company’s financial statements to provide an opinion, to a rather advisory exercise; looking way beyond the numbers. If accountants and auditors can get ready for this particular approach, then the big debate about whether the accountant will be replaced by Artificial intelligence is over and done with. The accountant who is willing to go over and above and answer the above five questions has gone ahead of AI and safeguarded themselves from being an ordinary accountant. With this perspective shift, it is a win-win situation! The accountant goes home a fulfilled professional, the client is satisfied, grows and moves towards sustainability.
In order for accountants to attain this fulfillment, these are a few action plans and strategic moves to take:
- Conduct intensive research on the client: knowing all aspects of the client is a key step in understanding the client. This can be achieved through evaluation of the industry the client operates in and reviewing the trends, reviewing the regulatory environment, the historical data, the future challenges and opportunities…
- Comprehensively plan for the audit. Allocate timelines, budgets, and efficient teams, agree on procedures and collaborate.
- Adopt a strategic thinking culture, this helps to address issues with all factors considered ensuring growth and sustainability in all fronts.
While the significance of technology and Artificial Intelligence cannot be understated, and their benefits are indeed vast, there remains a substantial percentage where accountants can amplify their impact to truly distinguish themselves.
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