Commentary - (2025) Volume 14, Issue 3
Received: 01-May-2025, Manuscript No. jamk-25-177273;
Editor assigned: 03-May-2025, Pre QC No. P-177273;
Reviewed: 17-May-2025, QC No. Q-177273;
Revised: 24-May-2025, Manuscript No. R-177273;
Published:
31-May-2025
, DOI: 10.37421/2168-9601.2025.14.552
Citation: Iyer, Kavya. ”Auditing and Accounting: Technology, Ethics, and Transformation.” J Account Mark 14 (2025):552.
Copyright: © 2025 Iyer K. This is an open-access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution and reproduction in any medium, provided the original author and source are credited.
The evolving audit landscape is undergoing profound transformations driven by advancements in artificial intelligence and blockchain technology. Understanding these shifts is crucial for preparing the accounting profession for its future roles and challenges, necessitating focused research into areas like audit quality and professional skepticism [1].
High-quality sustainability reporting plays a critical role in enhancing corporate reputation and financial performance. Research indicates a strong link between corporate social responsibility initiatives and the integrity of environmental, social, and governance information, which is vital for informed stakeholder decision-making [2].
Digital transformation profoundly impacts the accounting profession, introducing significant technological changes such as automation, big data, and artificial intelligence. These advancements necessitate a re-evaluation of accountants' required skills, evolving roles, and the paramount importance of continuous professional development to remain relevant [3].
The application of big data analytics is increasingly prevalent in both accounting and auditing functions. These powerful tools significantly enhance decision-making processes, improve audit efficiency, and are instrumental in the identification of fraudulent activities, thereby transforming financial operations fundamentally [4].
Integrated reporting is recognized for its potential to contribute substantially to value creation within organizations. This contribution is significantly mediated by the quality of corporate governance, emphasizing that robust governance mechanisms are essential for integrated reports to yield tangible benefits for all stakeholders [5].
The adoption of International Financial Reporting Standards (IFRS) has been a key area of interest, particularly concerning its impact on financial reporting quality in emerging markets. Studies, such as those focusing on Pakistan, provide valuable evidence regarding how IFRS influences transparency and comparability, which are critical for global business environments [6].
Digital transformation is systematically reshaping management accounting practices, leading to the adoption of innovative tools and techniques. These include real-time reporting and predictive analytics, highlighting an urgent need for management accountants to adapt their existing roles and acquire new skill sets to thrive in this new environment [7].
The proliferation of big data and artificial intelligence introduces complex ethical challenges for the accounting profession. Concerns surrounding data privacy, the potential for algorithmic bias, and accountability issues necessitate a proactive and vigilant approach to uphold ethical standards within an increasingly data-rich operational context [8].
Financial technology (Fintech) is poised to significantly influence the future trajectory of financial reporting. Its implications extend to financial statement preparers, auditors, and regulators alike, presenting both novel opportunities and considerable challenges stemming from rapid technological advancements in the finance sector [9].
The integration of cloud computing into accounting information systems offers substantial benefits, including notable cost reductions, enhanced scalability, and improved data accessibility. However, this integration also introduces critical challenges, particularly concerning data security and privacy, which modern businesses must diligently address [10].
Research agendas are increasingly focused on the intersection of artificial intelligence and blockchain with auditing practices. This investigation seeks to understand how these technologies influence audit quality, the maintenance of professional skepticism, and the evolving skill requirements for future auditors, shaping the profession's direction [1]. An exploration into corporate social responsibility reveals its intrinsic link to the integrity of sustainability reporting. This work emphasizes that disclosures of higher quality can significantly enhance a company's reputation and financial outcomes, underscoring the critical importance of reliable ESG information for all stakeholders [2]. A comprehensive systematic review outlines the pervasive impact of digital transformation on the accounting profession. It meticulously details key technological shifts like automation, the rise of big data, and artificial intelligence, and deliberates on their profound implications for accountants' competencies, evolving functions, and the necessity for continuous professional learning [3]. The growing integration of big data analytics within accounting and auditing is systematically analyzed. This review highlights the profound ways in which these analytical tools augment decision-making processes, considerably improve the efficiency of audits, and play a crucial role in the detection of fraud, signifying their transformative power [4]. This study carefully examines how integrated reporting contributes to the overall creation of value, specifically pointing out the vital mediating influence of corporate governance quality. It proposes that strong and effective governance mechanisms are indispensable for integrated reports to successfully translate into concrete benefits for both stakeholders and the organization [5]. The effectiveness of International Financial Reporting Standards (IFRS) adoption in elevating financial reporting quality within emerging markets is a subject of ongoing scrutiny. Evidence from Pakistan, for instance, provides empirical insights into how IFRS contributes to greater transparency and comparability, which are essential attributes for effective global financial communication [6]. A systematic literature review meticulously details how digital transformation is fundamentally altering management accounting practices. It identifies the widespread adoption of new technological tools and techniques, such as real-time reporting and advanced predictive analytics, underscoring the imperative for management accountants to redefine their roles and enhance their skill sets [7]. The accounting profession is currently grappling with a new array of ethical challenges, primarily arising from the widespread adoption of big data and artificial intelligence. This critical discourse focuses on pressing concerns like data privacy breaches, the inherent risks of algorithmic bias, and the complex issues surrounding accountability, advocating for robust ethical frameworks [8]. The profound influence of financial technology (Fintech) on the future trajectory of financial reporting is thoroughly investigated. This paper delineates the far-reaching implications for those responsible for preparing financial statements, independent auditors, and regulatory bodies, emphasizing the emerging opportunities and the complex challenges inherent in financial technological advancements [9]. The integration of cloud computing into accounting information systems is systematically reviewed, revealing numerous advantages. These include substantial cost reductions, enhanced system scalability, and markedly improved access to data. Simultaneously, it acknowledges significant challenges such as robust security protocols and the complexities of data privacy that modern enterprises must manage [10].
The contemporary accounting and auditing professions are experiencing significant upheaval driven by rapid technological advancements. Artificial intelligence, blockchain, big data analytics, and Fintech are reshaping audit practices, enhancing decision-making, and introducing new efficiencies while simultaneously presenting complex ethical dilemmas related to data privacy and algorithmic bias. Digital transformation is not only altering the tools and techniques employed in both financial and management accounting but also fundamentally redefining the skills required of professionals. Concurrently, there is a growing emphasis on integrated reporting and high-quality sustainability disclosures, with their efficacy often mediated by robust corporate governance. The global adoption of standards like IFRS continues to improve financial reporting quality, particularly in emerging markets. Cloud computing further integrates into accounting information systems, offering scalability and improved access but demanding careful attention to security and data privacy. Overall, the literature highlights a profession in dynamic evolution, necessitating continuous adaptation and a forward-looking research agenda.
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