INTHEBLACK December 2023/January 2024 Special Edition - Flipbook - Page 20
“You have to behave in a manner that
is consistent with the standard that you
have declared. You cannot selectively
apply your core values and principles
to tactical advantage. You must do it
right across the board, otherwise you will
not secure the dividends that come from
high-trust environments,” Longstaff says.
According to Professor Mandy Cheng FCPA,
from the business school of accounting at the
University of New South Wales, the credibility of
information, financial or not, is easily undermined
in the current post-truth environment. This is
where accountants play an important role.
“The prevalence of misinformation presents
a significant challenge for businesses, unless
accountants can ensure the accuracy and reliability
of information going into both internal and external
reporting,” Cheng says.
To achieve this, she says, it is critical for accountants
to build trusting relationships within their organisations.
“Without trust and these relationships, accountants
cannot effectively perform their roles and provide
valuable advice to their clients or stakeholders.
It comes down to being able to show you have
interrogated information and that it is accurate –
that will build trust.”
2. CRITICAL THINKING
Emerging technologies, such as artificial intelligence
(AI), can make it easier to manipulate financial data
and create misleading or fraudulent reports.
Misinformation and “fake news” present a significant
challenge for businesses, unless accountants can
ensure the accuracy and reliability of information.
Accountants need to be aware of the risks and
implement robust control mechanisms to detect and
prevent financial data manipulation, says Brendan
O’Connell FCPA, chair of the CPA Australia Ethics
and Professional Standards Centre of Excellence.
“Verifying the accuracy of financial data and
information becomes more challenging in the face
of AI,” adds O’Connell, who is also an honorary
professor with RMIT University.
“Accountants must be vigilant in ensuring the
sources and integrity of the information they use – and
that is by using critical thinking and asking questions.”
Cheng adds that, while the advancements in
technology present some risks, there are also many
opportunities that could benefit accountants. The
key is being able to understand how to use the
technology and what questions to ask.
20 INTHEBLACK Dec 2023/Jan 2024 SPECIAL EDITION
“The prevalence of misinformation presents
a significant challenge for businesses, unless
accountants can ensure the accuracy and
reliability of information going into both
internal and external reporting.”
PROFESSOR MANDY CHENG FCPA,
UNIVERSITY OF NEW SOUTH WALES
“Critical thinking is not only about being ‘critical’,
but also about finding the business story,” Cheng
explains. “Being able to interpret the data in the
unique context of the organisation – and make
business decisions based on that data – is a skill
accountants can use in the current environment.”
3. ETHICAL FRAMEWORK
Technological leaps, such as recent advances in
generative AI, call for increased awareness of
potential breaches of professional codes of conduct,
says O’Connell.
“This includes accountants being fully aware of a
particular piece of technology’s limitations and inherent
biases, not only its potential for productivity gains.
“If they are not, or if they ignore them and provide
advice based on those biases, then they’re potentially
breaching their professional ethics obligations,”
O’Connell explains.
This includes the obligation to carry out their role
with due diligence and care.
Integrating ethical considerations into the design,
implementation and monitoring of AI systems is
vital for accountants to navigate ethical challenges
effectively, adds Longstaff.
“Ethics requires that
you stop and think about
what you’re doing and
why you’re doing it.
“Fundamentally,
LISTEN
to an audio recording
accountants aim for
of this story
truth. There’s no room
for an attitude of ‘near
enough is good enough’.
It has got to be true,
and the way you can
UPSKILL NOW
determine that is by being
Ethical Dilemmas
curious about it and by
in Accounting: A
consistently questioning
Practical Perspective
things,” says Longstaff. ●
