AI on Accounting and Finance
- The impact of Cognitive Technologies on organizations are expected to grow substantially within next three to five years.
- At the moment Amazon, Google and Microsoft are spearheading in AI applications.
- Google predicts that by 2029 robots will match the intelligence level of humans.
- By 2025, one third of all occupations will be performed by robots, including accounting and finance.
- BOOKKEEPERS will be replaced by BOTKEEPERS.
AI on Client Engagement
- Advances in mobile technology is shaking up traditional methods of communication.
- This is driving the accounting world to embrace mobile apps to connect more directly with their clients in real-time.
- Apps provide 24/7 access to advice, accounting information, calculators and online systems.
- They give the impression that the accountant’s expertise and services are always available.
- They help firms become more effective, productive and profitable.
‘Robo – advisor’
- In coming years, a ‘Robo-advisor’ could potentially dispense advice and suggestions to clients.
- Intelligent apps, which include technologies such as virtual personal assistants, have the potential to transform the workplace by making everyday tasks easier.
- This could take the form of prioritizing emails and highlighting important content and interactions.
- This ‘virtual’ member of staff will help the accountant retain trusted advisor status by appearing to be available at all times.
AI on Detecting Fraud
- Machine learning algorithms can use pattern recognition to spot anomalies, exceptions, and outliers.
- This detects and prevent fraudulent transactions in real time, even for previously unknown types of fraud.
- Banks use historical transaction data to build algorithms that recognize fraudulent behaviour.
- Can discover suspicious patterns of payments and transfers between networks of individuals with overlapping corporate connections.
- This “algorithmic security” is applicable to cybersecurity and tax evasion.
AI in Auditing
- For an auditor it is not humanly possible to go through each expense, contract and receivable.
- AI can help auditors work through these volumes of information as it relates to new regulations.
- AI technology digitizes intelligence to help us analyse contracts and extract information from them using statistical and basic text analysis.
- AI provides tools for auditors to interrogate the data, find anomalies and improve techniques, thereby leading to higher-quality audits.
AI on HR
- Corporate job openings pull in about 250 résumés apiece.
- Shortlisting qualified candidates is the most difficult part of their job.
- AI quickly sifts through thousands of job applications and shortlists candidates who have the right credentials.
- AI can also combat human bias by automatically flagging biased language in job descriptions.
- AI can detect highly qualified candidates who might have been overlooked because they didn’t fit traditional expectations.
Use of AI in Firms
- Predictive analytics automates evidence gathering and the analysis of large populations of data.
- Enables the audit team to focus on actual exceptions rather than sampling a volume of data.
- Use of advanced modelling techniques that incorporates a broad range of data, to analyse assets valuation forecasts.
- Read thousands of pages of contracts and summarise instantaneously based on whatever criteria you set in.
- Continuously learns, gaining value and knowledge overtime from previous interactions and give brilliant insights.