ADVANTAGES AND DISADVANTAGES OF USING ARTIFICIAL INTELLIGENCE IN AUDITING

Abstract

Artificial intelligence stands for intelligent technology capable of processing tasks typically associated with human intelligence. During the last few years, in the digital era, after periods of growth and stagnation, artificial intelligence (AI) started expanding rapidly and being widely applied. This paper investigates advantages and disadvantages of implementing AI in auditing, with the emphasis on challenges and opportunities arising from this technological innovation. It explains how AI remodels an auditing process which results in tasks automation and overall efficiency improvement. We have learnt that investing in AI implies quality advancement and cost reduction. Nonetheless, although audit firms expect positive impacts of implementing AI in auditing, a part of audit staff tend to oppose AI application, particularly in relation to reliability of AI-generated conclusions.