Innovation is crucial in the business environment that is fast-paced where information is the primary currency. Accounting is undergoing an era of change in the way audits and other processes are carried out. Emerging technologies such as Blockchain and artificial intelligence (AI), Data Analytics and robotic procedure automation are changing processes, providing more efficient results for clients.
The ability to process and organize huge volumes of complicated data at a speed previously unimaginable is allowing auditors to provide more insightful insights than ever before. The use of enhanced analytical tools allows auditors the ability to identify unusual transactions, latent patterns or other issues they would otherwise overlook and to modify their risk assessment procedures according. These tools also help identify future problems and make predictions about the performance of a business.
Similarly, the use of automation and the use of specialized software is reducing the manual work of reviewing and processing. For example, Argus is an AI-enabled document analysis software that employs natural language processing and machine learning to quickly query electronic documents. It is being used by Deloitte auditors to help speed up electronic document review and allowing more time to focus on important tasks like reviewing risk and verifying findings.
Despite these advantages However, there are a myriad of obstacles that hinder full implementation and use of technology in auditing. Research has proven that a number of factors, including people, task, and environment which can impact the use of technology for audit. This includes the perception of the impact on independence as well as a lack of clarity regarding the regulatory response to the use of technology which can impact the enthusiasm to use it in the real world.
https://data-audit.net/2020/09/15/how-to-audit-transactions-using-data-managment-applications