INTHEBLACK September 2024 special edition - Flipbook - Page 37
“If you’ve got an expert system like AI producing
findings that are supposed to describe the world –
well, a good accountant would go into the world and
say, ‘Does it look right? Is there any evidence beyond
what the system has produced to validate that?’
“These are ‘bread and butter’ things to do for a
profession that is oriented towards things being true,”
Longstaff says. “That’s a core skill to bring to bear.”
Kuperholz says companies should ensure that AI
systems have an appropriate level of explainability,
transparency and replicability.
“Will these models break when they are presented
with new data that they haven’t seen before? Are
they secure? Is there the ability for a nefarious actor
to capture sensitive intellectual or, even worse,
customer information?” Kuperholz asks.
“There is another set of performance monitoring
around safety and control,” he adds. “These
are challenging things to monitor, but not at all
impossible.”
De Alwis adds that accountants should
consider the broader technology ecosystem
when they use generative AI tools.
“Who is feeding the data into these systems,
and can we trust the data?” she asks.
“Management accounting is all about insights
for the future, and that is where AI will get really
interesting, but we need to constantly think of the
veracity of the data.
“We don’t have
‘explainable AI’ at
the moment. People
are trying to work
Lea Yearsley
discusses AI
out how to
interrogate what’s
happening, or to
create systems that
can be explained, but it means we
are currently using things that we
don’t fully understand in terms of
their internal operations.”
DR SIMON LONGSTAFF AO FCPA,
THE ETHICS CENTRE
LISTEN
to a podcast episode
about generative AI
UPSKILL NOW
Mastering work
productivity with AI
IESBA CODE UPDATES
In 2023, the International Ethics Standards Board for Accountants (IESBA) released technology
related revisions to the IESBA Code to better accord with technological developments.
These revisions, which will take effect on 15 December 2024, aim to guide the ethical mindset and
behaviour of professional accountants in both business and public practice as they adapt to new
technology. They include:
• strengthening the IESBA Code in guiding the mindset and behaviour of professional accountants
when they use technology
• providing enhanced guidance fit for the digital age in relation to the fundamental principles of
confidentiality, professional competence and due care, as well as in dealing with circumstances of
complexity
• strengthening and clarifying the International Independence Standards (IIS) by addressing the
circumstances in which firms and network firms may or may not provide a technology related non
assurance service to an audit or assurance client.
ETHICS ESSENTIALS intheblack.cpaaustralia.com.au 37
