Innovative Technologies for Audit Firms

As the whirlwind of technological progress continues, auditing firms face the challenging task of finding ways to harness and utilize these technologies for their clients and their own benefit. Many of these new technologies aren’t just an option they’re essential for a successful future in auditing.

Machine-learning, data analytics, and robotic process automation are among the most advanced technology tools that make an enormous impact for auditors. These tools help auditors gain a greater understanding of the client’s processes, inventory and system controls that they can share with management and boards.

Another emerging tool is blockchain, which could reduce the time to clear financial transactions from months to just a few hours. This may allow continuous risk assessments throughout the period of audit instead of just a single assessment at year-end.

Argus is an example of a software that makes use artificial intelligence to decrease the amount of manual review and processing required during an audit. It uses machine learning and natural language processing to rapidly scan electronic documents which allows auditors to concentrate on more important tasks, such as reviewing risk and confirming the results.

There are still a few challenges that can prevent the adoption of new technologies. Particularly, in companies where compensation is based on billable hours, it can innovative technologies for audit be difficult to find the time to try out the latest technology tools. The initial expenditure, as well as the ongoing costs associated with tech support and maintenance, can be substantial. However, with a constant collaboration between audit firms regulators, standard setters and audit firms These challenges can be overcome.