Using Artificial Intelligence (AI) in accounting is no longer a \u201cnice to have.\u201d It\u2019s essential if you want your accounting firm to compete and thrive. <\/p>\n\n\n\n
But, a sense of unease and fear often comes with change, especially when you\u2019re not sure how new technology will impact your firm\u2019s future.
It poses the question: Does the rise of AI in accounting mean the traditional accountant\u2019s role is at risk of becoming obsolete?<\/p>\n\n\n\n
The answer? It\u2019s complicated.<\/p>\n\n\n\n
\n\u201cAI can process vast amounts of data at a rapid pace, it is not capable of the critical thinking and decision-making that human accountants are trained to do<\/strong>.\u201d <\/p>\nTeresa Gallagher, Finance AI Senior Manager, EY Ireland<\/a><\/cite><\/blockquote>\n\n\n\n
<\/div>\n\n\n\nAI, while disruptive, is also a catalyst for evolution and opportunity in the accounting industry. Advanced technology helps you become more efficient, reduce errors, and open new revenue streams.<\/p>\n\n\n\n
You just need to know how to adapt the way you work and figure out how to use the tools to your competitive advantage rather than fear it.<\/p>\n\n\n\n
\n\u201cAI will look to automate some of the compliance and technical tasks that accountants currently perform. Accountants will need to shift their skill set to analytical, strategic and soft skills rather than pure technical accounting knowledge.\u201d<\/strong><\/p>\nKeith Stafford, IT Audit Partner, KPMG Ireland<\/a><\/cite><\/blockquote>\n\n\n\n
The Benefits of AI in Accounting<\/h2>\n\n\n\n
Do you remember the disruption to the music industry in the early 2000s when technology created new ways to select and listen to music? In the beginning, record labels fought against the change but were forced to embrace new technologies like streaming platforms to keep up with the demands in the market.<\/p>\n\n\n\n
We are seeing the cycle repeat itself with AI – what might initially scare the status quo promises significant mid to long-term benefits for those firms and individuals who can harness the opportunity.<\/p>\n\n\n\n
AI is forcing the accounting sector to revolutionise and redefine the essence of accounting practices. And it\u2019s critical because accounting firms risk being left behind if they’re too slow to react.<\/p>\n\n\n\n
Here are some ways using AI in accounting and finance can have a significant impact on your firm and cashflow:<\/p>\n\n\n\n
Automation of Data Quality Checking<\/h3>\n\n\n\n
What is the most mundane part of an accounting professional’s job?<\/p>\n\n\n\n
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- Data entry on complex spreadsheets.<\/li>\n\n\n\n
- The risk of errors.<\/li>\n\n\n\n
- Endless repetition.<\/li>\n\n\n\n
- Switching between different systems<\/li>\n<\/ul>\n\n\n\n
Yet many AI solutions, including Silverfin\u2019s Assistant<\/a> solution, can help you automate routine tasks in accounting and financial processes to reduce the time you and your teams spend on tedious tasks.<\/p>\n\n\n\n
Let\u2019s look at an example.<\/p>\n\n\n\n