ROLE OF AI IN BUSINESS
GROWTH AND HUMAN
EMPOWERMENT(ACCOUNTING)
CO-AUTHORS:
R U PA S R I B AVAT H A R I N I S I VA K U M A R
D H A N YA A
P S G R K R I S H N A M M A L C O L L E G E F O R W O M E N , C B E , T. N
INTRODUCTION
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Artificial Intelligence (AI) revolutionizes accounting by automating tedious tasks such as data entry,
invoice processing, and financial reporting, thereby enhancing accuracy, reducing human error, and
saving a significant amount of time - up to 70 hours per month.
Additionally, AI supports strategic planning, analysis, and informed decision-making through its
advanced capabilities. By leveraging machine learning, natural language processing, and predictive
analytics, AI streamlines operations, enhances client services, and improves audit processes. Ultimately,
AI increases transparency, provides valuable insights, and adds significant value to stakeholders,
transforming the accounting landscape.
OBJECTIVES
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PRIMARY OBJECTIVES STRATEGIC OBJECTIVES
Automation: Streamline routine tasks, reducing Enhanced Decision-Making: Support
manual effort and increasing efficiency data-driven decisions with AI-driven
analytics
Accuracy: Minimize errors and enhance
precision in financial reporting and compliance Risk Management: Identify and mitigate
financial risks through AI-powered
Insight: Provide real-time analytics and monitoring
predictive insights for informed decision-
making Customer Service: Improve client
experience through personalized services
and real-time support
LITERATURE REVIEW
Automation:
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• Streamlines slide
repetitive2tasks: data entry, invoice processing, bank reconciliations (Borthwick &
Pennington, 2017
• Improves operational efficiency, freeing accountants for strategic tasks (Vasarhelyi et al., 2018)
• Reduces error rates, increases productivity.
Predictive Analytics:
• Machine learning algorithms analyse financial data, uncover trends, forecast outcomes (Kokina &
Davenport, 2017)
• Models various financial scenarios, supporting informed decisions.
• Enhances budgeting, financial planning, investment decisions.
Auditing:
• AI improves accuracy, efficiency, detecting anomalies, suspicious patterns (Jans et al., 2010)
• Enhances thoroughness, timeliness, reducing human oversight, fraud risk (Brown-Liburd et al.,
2015)
• Supports continuous auditing, real-time monitoring
Category Key Points Insights/Interpretation
Majority involved in traditional
Accountants: 38.5%
accounting roles, with input from those
1. Current Role in the Financial Analysts: 33.33%
in tech roles highlighting the shift
Accounting Industry Auditors: 27%
towards technology integration in the
Software Developers: 21.8%
industry.
Significant knowledge gap exists; lack
2. Familiarity with AI Not familiar: 57.8% of familiarity may hinder AI adoption,
Technologies Very familiar: 23.9% suggesting need for targeted training
and educational programs.
Extremely low AI implementation rate
indicates barriers due to unfamiliarity
3. Implementation of AI in Not implemented: 97.9%
and awareness of AI tools;
Accounting Processes Implemented: 2.1%
organizations should consider pilot or
phased implementations.
Key challenges include
Lack of skilled personnel: 40.6%
technical and security concerns;
Data security and privacy: 37.5%
4. Major Challenges in cultural resistance is low,
Integration with existing systems:
Adopting AI suggesting that clear
16.6%
communication of AI benefits
Resistance: 5.2%
may further ease hesitations.
Recognition of operational
benefits (cost, accuracy,
Cost savings: 40.6%
efficiency) is strong, but limited
5. Key Advantages of Improved accuracy: 32.2%
perception of strategic
Using AI in Accounting Increased efficiency: 25%
advantages; this may evolve
Better decision-making: 2.08%
with more sophisticated AI
tools.
AI TOOLS USED IN ACCOUNTING
[Link]
Docyt
[Link]
Zeni
Indy
QuickBooks
Gridlex
METHODOLOGY ANANLYSIS
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Key methodologies used in the existing literature on AI in accounting:
Empirical Studies
Case Studies and Practical Implementations
Simulations and Machine Learning Models
Theoretical Frameworks
Mixed-Methods Approaches
CHALLENGES AND LIMITATIONS OF AI IN ACCOUNTING
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CHALLENGESslide
FACED 5
BY USING AI IN ACCOUNTING
Skilled workforce requirement
Compatibility with legacy systems
Data privacy & security concerns
High implementation & maintenance costs
Resistance to change
LIMITATIONS OF AI IN ACCOUNTING
Technical (data quality, algorithmic biases)
Interpretation & Judgment (lacking human intuition)3
Data Security & Privacy (breach risks)
Cost & Resource Constraints (high implementation costs)
Regulatory & Compliance Issues (evolving landscape)
Human Resistance & Adoption (fear of job displacement)
SUGGESTION
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Expert suggestion, Professor Robert Plant, University of Miami
• AI automates routine tasks, enhances decision-making, and improves financial reporting.
• Accountants must develop AI, machine learning, and data analytics skills.
Organization suggestion, Institute of Chartered Accountants of England and Wales (ICAEW)
• AI takes over tasks like data entry, invoicing, and reconciliations
• Accountants must develop AI skills to remain relevant.
CONCLUSION
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Artificial Intelligence (AI) is revolutionizing accounting by automating routine tasks, enhancing
accuracy, and providing powerful data analysis and decision-making tools.
This technology boosts efficiency in bookkeeping, financial reporting, and auditing, freeing
accountants to focus on strategic roles, client interactions, and complex problem-solving.
According to Deloitte, 58% of accounting professionals believe AI will enhance their roles.
AI's ability to process vast data in real-time provides deeper insights, aids predictive analytics, and
improves fraud detection.
However, its adoption also raises challenges, including the need for new skills, ethical
considerations, and potential job disruptions.
Embracing AI is crucial for accounting's future, driving innovation and growth in a data-driven
world.
THANK
YOU
