ICAEW Round Tables Highlight Need for Effective Mitigations in AI and Ethics
As the use of artificial intelligence (AI) becomes more prevalent in the field of accountancy, the development of ethical principles and guidance for its use is crucial. A recent series of round tables hosted by the Institute of Chartered Accountants in England and Wales (ICAEW) focused on this topic in preparation for the launch of the AI and Ethics CPD module in November.
The round tables brought together experts from various disciplines including accounting, philosophy, ethics, and AI, as well as representatives from different sized firms, business and industry members, and regulatory bodies such as the International Ethics Standards Board for Accountants and the Information Commissioner’s Office (ICO). Discussions centered around the challenges and opportunities presented by the increasing integration of AI in the profession.
One key theme that emerged from the discussions was the importance of building trust in AI systems. Participants highlighted the risks associated with AI, including lack of user understanding, bias in data and algorithms, cultural dissonance, and the potential for misuse by bad actors. Transparency was also identified as a key concern, with the perceived complexity of AI systems posing challenges for users.
Despite these risks, participants agreed that accountants should not shy away from leveraging AI for various business applications, from enhancing efficiency to improving fraud detection and audit processes. However, they emphasized the need for effective mitigations to ensure the responsible and effective use of AI within a regulated environment.
In addition to training and governance frameworks, participants discussed the importance of developing ethical-use scenarios to guide professionals in navigating ethical dilemmas related to AI. They also highlighted the role of professional accountants in promoting an ethical culture and using their expertise to address the ethical implications of AI.
David Gomez, ICAEW’s Senior Lead, Ethics, expressed gratitude to the participants for their insights and emphasized the potential for AI in the profession. Professor Christopher Cowton, who is leading the development of the AI and Ethics CPD modules, underscored the importance of equipping accountants with the knowledge and skills to navigate the ethical challenges posed by AI.
Overall, the round tables underscored the need for proactive measures to ensure the responsible and ethical use of AI in the field of accountancy. By addressing these challenges head-on and developing guidance and resources, the profession can harness the full potential of AI while upholding ethical standards.