82% of Finance, Accounting, and Tax Professionals Say "AI Technology in External Audits Will Improve Audit Quality"

'2024 EY Hanyoung AI and the Future of Finance' Survey
Professional Judgment and Decision-Making by Auditors Still Needed Despite AI Adoption

According to a survey conducted by the global accounting and consulting firm EY Hanyoung, the majority of domestic professionals in finance, accounting, and taxation expect that the introduction of artificial intelligence (AI) will improve audit quality. In the future, "expertise and experience in AI technology and data" are expected to become core competencies for auditors.

On the 9th, EY Hanyoung reported that in the "2024 EY Hanyoung AI and the Future of Finance" survey conducted last month with 616 employees from finance, accounting, and taxation departments of domestic companies, 82% of respondents anticipated that "external audits utilizing AI technology could enhance audit quality."

Regarding improvements expected from AI adoption in external audits, respondents cited ▲reduction in audit time and shortened schedules (74%) ▲reduced corporate efforts in responding to external audits (45%) ▲providing insights for corporate process improvements (44%), among others.

64% predicted that if AI is introduced in external audits, there would be little change or that the role of accountants would become even more important. Only 36% believed that the role of accountants would diminish.

Finance, accounting, and taxation professionals also anticipated that the competencies required of auditors would change in a future environment where AI is introduced. The most necessary competency was expertise and experience in AI and data (69%). This was followed by communication skills with key stakeholders (49%), expertise in accounting and auditing (48%), and information security and high ethical standards (30%).

Lee Kwang-yeol, Head of the Audit Division at EY Hanyoung, stated, "Finance, accounting, and taxation professionals believe that even with the introduction of AI, professional judgment and decision-making by auditors remain essential. Auditors will need to actively utilize AI and develop expertise and experience in data analysis and interpretation going forward."

Meanwhile, EY Hanyoung is enhancing the efficiency, accuracy, and quality of audit work by utilizing various AI tools for internal and external data analysis, risk assessment, automation and standardization of financial statement consolidation, data structuring, and summarization of supporting documents.