Artificial Intelligence in Accounting: What Will Happen to Accounting Jobs?

Underscoring this point, the most recent CPA.com and AICPA PCPS CAS Benchmark Survey found that 24 percent of top performing CAS practices are leveraging AI. All in all, learning about the use of AI in accounting and its impact on your role as an accountant can only serve you well, as the future of accounting continues to intertwine with AI and computer-driven processes. Upskilling in this area will be beneficial to your accounting career both immediately and in the long term. New, evolving accounting roles incorporate the use of AI tools, allowing accountants the opportunity to upskill their roles and provide a broader portfolio of services.

It's like having a crystal ball for financial decision making, and it's in the hands of professionals and their clients. Despite having an historical reputation as a relatively conservative profession, accounting has been steadily shifting to embrace technological advancements, the most relevant of which is artificial intelligence (AI). It is also very likely that these changes will transform your processes and habits at work.

The Future of Accounting With ChatGPT

Advanced technologies like AI can assist and improve the work of accountants, but they cannot entirely replace them because of their inability to perform essential human skills such as judgment, communication, and critical thinking. Risk stratification is a methodical approach to categorizing patients based on their health status. While assessing medical images has always fallen under the purview of trained physicians, AI can be used as a tool within the clinical workflow. Leveraging AI in this way provides more accurate and reproducible radiological assessments. This means that diseases such as cancer, heart disease, and arthritis can be identified more swiftly and accurately, leading to potential earlier interventions and improved patient outcomes. This predictive approach allows hospitals to prepare and respond more effectively to patient needs, ensuring that the right resources are available at the right time.

While AI is developing and spreading its tentacles at a magical pace, it is not void of potential issues. According to researchers, it is possible for AI to get to a point that humans will find it difficult to control. However, certain pressing issues are already evident which make AI seem like a threat. Because of these benefits, accounting is a science developed and surviving for several centuries. Sign up for industry-leading insights, updates, and all things AI @ Thomson Reuters. For more information on other problems in the accounting industry, read “Top accounting issues in 2023”.

Student support and benefits

Wesch was intrigued by the ideas uncovered in the AI Technology showcase, with takeaways to consider for the firm. One of the most significant relates to creating better experiences for clients and staff. Acknowledging that skilled employees want to spend more time on important, client-facing work, this presents a win-win situation for firms. One such innovation that will significantly impact accountants’ job market is ‘Blockchains’.

However, the adoption of AI in finance and accounting also presents several challenges, including issues related to data quality, bias, lack of transparency, privacy, regulatory compliance, ethics, and expertise. The integration with legacy systems, reliance on third-party vendors, cost, scalability, and workforce impact are also significant challenges that must be addressed. To fully leverage the benefits of AI in finance and accounting, businesses must address these challenges and implement AI solutions responsibly and ethically. By doing so, they can gain a competitive advantage, improve operational efficiency, and deliver better value to customers. However, several factors, including trust in AI, regulatory environment, availability of data, and cost, could impact the adoption of AI in finance and accounting.

Member Insights Survey

Even with all the hubris around the “transformative impact” of AI, what’s telling to me is that these new AI "features" really aren't featured very much in these companies products. Because there really aren’t any, at least none that would make a difference to the accountants using these products. The accountant’s role will evolve as AI becomes more integrated into our workdays.

AI systems only help to provide and analyze data that human accountants use to achieve these objectives. The world of finance and law is evolving, and AI is at the forefront of this transformation. It's a journey involving professionals and clients; together, we can unlock the full potential of AI. With its power to enhance efficiency, mitigate risk, empower informed decision making and foster collaboration, AI is a game-changer for accounting firms and their clients. AI is a broad field, so it's essential to identify specific use cases where AI can bring the most value to your practice.

Services

By leveraging AI algorithms, accountants can proactively detect and mitigate risks, protecting businesses from financial losses and reputational damage. In recent years, artificial intelligence (AI) has emerged as a transformative force across various industries, including accounting. The integration of AI in accounting processes has led to significant advancements and opened new opportunities for professionals in the field.

For auditors, all of this means a smooth, resource-light, and highly compliant audit process. After a while, the company decides to reduce the amount of space taken and signs an amendment to the original contract. The annual audit is coming up, and the CFO is nervous about the accounting around these transactions, especially given recent changes to the lease accounting standards. For example, with Test of Details, AI can run in-depth analytical procedures, or seamlessly verify the occurrence, completeness, and accuracy of transactions with reference to the appropriate documentation and a full audit trail. That said, it would be naïve to dismiss the sheer scale of changes that AI will cause in higher education; doing so would be a disservice to our students, our institutions, and the faculty community at large.

It features the industry’s most sophisticated AI-powered algorithm built with larger sources of human-curated data and more diverse sets of features within its machine learning. This helps accountants find the best possible answers in the least amount of time based on natural language questions. Prescriptive analytics, in contrast, provides raw data to weigh one financial decision against another.

The adoption of Artificial Intelligence in accounting necessitates ongoing professional development to stay abreast of emerging technologies. Accountants can enhance their skills by acquiring knowledge in data analysis, AI implementation, and advanced software usage. According to a report by the World Economic Forum, by 2025, over 85 million jobs may be displaced by AI, but 97 million new roles may emerge, requiring reskilling and upskilling (World Economic Forum. 2020). By embracing AI, accountants can adapt to the changing landscape and position themselves as valuable contributors in an AI-driven accounting industry. Furthermore, AI is proving to be invaluable in fraud detection and risk management. Machine learning algorithms can analyze vast datasets to identify unusual patterns or anomalies that may indicate fraudulent activities.

Artificial Intelligence and the Future of Accounting Profession: Implications and Challenges

Clients can immediately access answers and assistance through AI-powered chatbots and automated communication channels, enhancing their overall experience. This strengthens client relationships and streamlines administrative tasks, making services more accessible and efficient. Clients may no longer need to rely solely on hindsight to shape their financial strategies. AI can help them anticipate market shifts, allocate resources effectively and optimize their financial planning.

Read more about Role of AI in Accounting here.

• Since its inception in the 1950s, artificial intelligence (AI) has moved from a futuristic concept to a daily tool in the lives of millions.
• We’ll take a closer look at some of these shifts later, but let’s first explore some ways AI is currently used in accounting.
• There are just some things that a human can do better — like getting to know clients’ needs and plans for the future and crafting personalized financial analysis to help them get there.
• This not only reduces the burden on human accountants but also minimizes the risk of errors that often accompany manual data handling.
• As AI algorithms are exposed to more data, they become more accurate and effective, enabling accounting professionals to perform their tasks more efficiently and effectively.