but the reality is that firms of all sizes should proactively consider using ai.<\/p><\/blockquote>\n

the greatest values of ai come with the ability to digest and understand enormous amounts of information much faster than any traditional technology and that all transactions are subject to an analysis that goes beyond rules-based or statistical methods. ai reduces the time and costs associated with data analysis and provides new ways of reporting on completeness, thoroughness and the risk of material misstatements.<\/p>\n

ai-based solutions eliminate the need for sampling as they can provide 100 percent transaction coverage. ai also identifies risks based on learning and adapting to the dataset, far exceeding the results of traditional rules and statistics. to evaluate the cost performance assessment of different tools, firms must compare the engagement costs and the degree of risk associated with providing opinions to clients with ai, and without.<\/p>\n

ai helps firms of all sizes<\/strong><\/p>\n

should only large accounting firms use ai?<\/p>\n

the answer is no. the decision depends on the firm\u2019s engagement costs, core competitive advantages, and how ai improves them moving forward.<\/p>\n

in the past, the challenge for smaller firms was the cost and learning curve required of leading-edge technologies. today, we are seeing the \u201cdemocratization\u201d (uberization) of ai that enables all firms to leverage the technology with cost-effective solutions and human-centric user experiences.<\/p>\n

as with any new technology deployment, firms should consider how people are trained and supported by the ai solution provider. there are costs associated with this, and onboarding time needs to be allocated for both users and business leaders. it\u2019s important to know if the ai solution provider has a robust adoption program and support services that fit the organization\u2019s needs.<\/p>\n

critical change areas for firms to consider are ingesting data from client systems, mapping product workflows to audit processes, and reporting to the client. the time spent on rolling out new technology is also important, as that can take resources away from working on the firm\u2019s business. the software must be really user-friendly, and the solution provider must be willing to transfer knowledge across the firm, training auditors and partners \u201chow to fish\u201d so they can cut the umbilical cord of dependency. it is a classic business case. the new value provided by the solution should be worth the investment and the solution provider should have a clear plan to get you to the benefits fast.<\/p>\n

after bringing ai into her small firm, samantha bowling \u2013 cpa, cgma, and partner at garbelman winslow \u2013 said, \u201cit gives me a comfort level that i\u2019m looking in the right place.\u201d bowling also uses ai to decide whether to take on a new client or not by examining their general ledger using the technology and charges clients more for its use.<\/p>\n

researching the ai solution provider is critical<\/strong><\/p>\n

investing in new technologies is a journey and firms must pack the right items to ensure success. a major source of information, perhaps the most important, is the provider of the ai\u00a0solution. as ai for accounting is a comparatively new technology and causing some confusion in the landscape, firms need to consider items beyond cost, training, and support. they must also determine whether artificial intelligence exists within the tool and how it will improve the way they perform audits over current methods.<\/p>\n

how do firms know they are getting real ai?<\/p>\n

anyone can say that they have ai-based solutions or that ai is \u201cbuilt into\u201d their tool but how does someone not familiar with the technology know?<\/p>\n

there are several areas to examine. for example:<\/p>\n