As the use of artificial intelligence (AI) in accounting becomes more prevalent, the question on many accountants’ minds is ‘can artificial intelligence replace accountants?’
There’s no easy answer to this question. But the general consensus is that while AI will certainly change how accountants do their jobs, it will not replace accountants. Simply put, AI is designed to enhance human capability, not replace it.
What exactly is artificial intelligence?
Artificial intelligence, or AI, is the simulation of human thinking and learning by computer systems or machines that improves every time new data is introduced. Machine learning often powers AI by analyzing patterns in data through algorithms. The more data collected and analyzed, the better it performs.
AI and Human Interaction
As incredible as artificial intelligence may seem, AI-powered accounting software cannot perform without human interaction. For example, accountants will need to teach it how to properly categorize expenses and match receipts to credit card transactions from a digital feed before the software will be able to automate the process. Over time, AI learns how to manage these tasks, saving accountants valuable time and minimizing costly errors.
How has AI changed accounting?
Artificial intelligence, while still in its infancy, is changing the accounting profession in a number of productive ways. By automating tedious manual tasks, AI has been able to streamline bookkeeping processes allowing accountants to focus on higher-value activities. Some of these tasks include:
- Categorizing transactions
- Reconciling bank transactions to receipts
- Identifying data entry errors and potential fraudulent activity
- Updating the ledger
Is AI accounting software right for my business?
While using AI-powered software can be advantageous, the results you’ll achieve depend on the application you use. Many accounting software applications bill themselves as automated accounting software, but it’s important to note that automation does not equal AI.
If you want to truly automate your business processes, from managing expense receipts to paying bills, you’ll need an application that not only performs automated tasks such as importing bank feeds but one that can also digitize and extract data from paper bills and receipts, identify the data extracted and then organize that data into workflows. There are plenty of accounting applications on the market today that do some of those things. But only Docyt does all of them.
AI may not be poised to replace accountants, but accountants can leverage accounting automation software, Docyt, to work more efficiently. Spend less time on tedious data entry and manual tasks and more time honing your financial and strategic expertise.
The future of accounting is AI-powered accounting software. Don’t settle for automating only a portion of your business. To see how Docyt can help you manage your business, set up a free consultation today.