As the technological revolution continues to advance, audit firms face the challenge of harnessing and utilizing these technologies to their clients’ advantage. Many of these innovative technologies aren’t just an option they’re essential for an audit’s future that is successful.
The most technologically advanced tools that are making an impressive impact on the auditor are data analytics, machine learning and robotic process automation. These tools allow auditors to gain a deeper perspective of the client’s processes, inventory and system controls that they can share with management and boards.
Blockchain is yet another emerging technology that could cut down the time required for clearing financial transactions to only one or two hours. This could enable continuous risk assessments to be carried out during the audit period, rather than a single year-end assessment.
Argus, an artificial intelligence (AI)-enabled software, is one example of a technology dramatically reducing the amount of manual processing and reviewing that is required during an audit. It uses machine learning and natural language processing to speedily search for electronic documents and allows auditors to concentrate on more valuable tasks such as the assessment of risk and verifying results.
There are still a few challenges that hinder the use of new technologies. Particularly, at companies where compensation is based on billable hours, it can be difficult to find time to play around with new tech tools. The initial expenditure, as well as the ongoing costs associated with maintenance and support can be significant. These issues can be solved by the continual collaboration of audit firms, standard-setting organizations and regulators.
https://data-audit.net/2022/01/04/software-that-automates-the-process-of-managing-documents