In 2018, I embarked on an exploration into the potential impact of Artificial Intelligence (AI) on the accounting and finance industry. The questions were profound—would AI lead to job losses, improve efficiency, enhance decision-making, and perhaps, revolutionise the broader finance and accounting landscape? As we fast forward to the present, it’s time for a follow-up, an examination of how the AI marriage proposal to the industry has been received and whether the promises made in 2018 are evolving into reality.
Back in 2018, Forbes optimistically noted that automating accounting processes through AI would not only free up human resources for other tasks but also improve operations and reduce costs. I advocated for a shift away from manual transaction entries, envisioning finance and accounting professionals as analytical experts capable of offering informed recommendations based on data analysis—a vision where AI played a crucial role.
On the flip side, some skeptics, including Ernst & Young, cautioned against overhyping AI as a short-term fix, emphasising the need for in-depth discussions on how it would truly transform businesses. The fear of job displacement and the unknown impact on individuals’ lives and livelihoods loomed large.
Fast forward to the present, and we find that KPMG and PWC have emerged as pioneers, leading the charge in integrating AI and data analytics into their financial procedures. The results have been promising, showcasing increased effectiveness and efficiency. This real-world application of AI in large firms offers a glimpse into the potential benefits that were once only conceptual.
However, the acceptance of AI within the industry has been a journey. While the benefits seem enchanting, the fear of job insecurity persists. Professionals, not unlike myself on an “internet pilgrimage,” seek clarity on how AI will not only revolutionise their roles but potentially elevate their financial status.
As the industry cautiously embraces the AI marriage proposal, there is a growing need for continued discussions. The wider finance and accounting sector must help professionals understand the future and their role in it, irrespective of their specific roles in auditing or elsewhere. The promise of a prosperous relationship between AI and the finance and accounting industry, leading to more efficient operations and financial insights, hinges on transparency, education, and adaptation.
In response to the AI proposal made in 2018, the industry’s answer is shaping up to be an affirmative “I do.” The journey is ongoing, and as we continue to navigate this AI-marriage in finance and accounting, it is essential to keep the dialogue open, address concerns, and forge a path that not only safeguards jobs but propels the industry toward greater efficiency, effectiveness, and prosperity. The evolution of AI in finance and accounting is not just a technological advancement; it is a partnership that, with careful nurturing, can lead to a future where both humans and AI thrive together.