Japanese Auditors’ AI Use Spurs Call for Guidelines, Consistency

Japanese auditing firms are joining the generative artificial intelligence craze by testing the technology in vetting corporate financial statements.

Top auditing firms in Japan like Deloitte Touche Tohmatsu and Ernst & Young ShinNihon are starting to use AI to collect past data from companies’ financial statements and compare it to current data. AI could help flag potential accounting issues in such data, though so far it’s unlikely to replace teams of Certified Public Accountants (CPAs) in the near future, according to auditors and industry observers.

“It may find some irregularities or errors in the ...