By Dr. Mihir A. Parikh, Futurist and Strategic Thought Leader
Applications of Artificial Intelligence (AI) have been around for over five decades. Even my doctoral dissertation some 27 years ago was about the use of AI in helping individuals make asset allocation decisions. My AI model assisted the user by evaluating the complexity of the task (e.g., the cognitive demands of collecting information, framing the problem and generating alternatives), the context (e.g. financial condition of the user and multiplicity of financial objectives) and the user’s background (e.g., the level of experience and expertise of the user in various asset classes). Current incarnations of which are the robo-advisors offered by many financial services companies.
However, the inflection point for AI really happened about a year and a half ago when OpenAI introduced ChatGPT. Since then, AI has proliferated into every aspect of our life. Just as mechanical automation and electric power created the Industrial Revolution and changed many jobs in the last century, this AI revolution is likely to change the nature of jobs in professional services. Accounting will not be spared.
On one side, the integration of AI into accounting services offers many opportunities for increasing the efficiency and effectiveness of services and bringing innovations. AI tools can undertake repetitive tasks with high productivity, so accountants can elevate themselves to strategi
