AI represents ‘seismic shift’ for accounting profession
Advancements in artificial intelligence and technology is putting pressure on the tax, accounting and legal professions to adapt, according to a prominent tax lawyer.
Accounting professionals must continue to develop their skills and adapt to the changing technology landscape with the labour market likely to face significant disruption over coming years, warns Victoria Lanyon, senior associate at King & Wood Mallesons.
Ahead of an upcoming panel discussion, Ms Lanyon said research estimates that emerging technologies like AI and automation could replace a significant portion of jobs in various industries including 50,000 accountants in Australia in the next decade alone.
Ms Lanyon said while leadership in the new world means embracing technology or risking left behind, this also needs to be complemented by critical thinking and fact checking.
A recent incident involving lawyer based in New York who relied on ChatGPT for case law without fact checking serves as a stark reminder of the need for caution, she said.
“The lawyers [involved] ended up submitting bogus information, leading to viral embarrassment and fines,” said Ms Lanyon.
“This incident serves as a clear example that while technology can be a valuable ally, it cannot replace human intellect.”
Ms Lanyon said there are some key considerations for leading effectively in the area of AI.
She recommends that leaders invest time in new technology to see how you can best use it going forward.
“Lead with curiosity, and emphasise continuous learning. By encouraging a culture of growth within your organisation, your workforce will be empowered to adapt to the changing demands of the digital age,” she said.
“With an investment in upskilling, you can future-proof your leadership while ensuring your team remains at the forefront of innovation, harnessing the full benefits of AI while avoiding potential pitfalls.”
It is also important that professionals understand that that technology should be used to help them perform their job not replace their brain, according to Ms Lanyon.
“Technology isn’t a shortcut to doing the work. It functions more like the flippers worn in the pool to enhance swimming abilities,” she said.
“However, just like flippers alone won't propel you forward unless you also kick your legs and move your arms, technology's true potential relies on our active involvement and effort.”
Ms Lanyon said AI can also help professionals to discover their niche.
“AI and other emerging technologies are rapidly changing the landscape, including the world of law. This unlocks a realm of potential, allowing emerging tax lawyers to find their niche,” she said.
“They could be the expert on cryptocurrencies tax or on AI and its effect on transactions.”
Ms Lanyon will be speaking further on the essential skills and knowledge needed by tax and accounting professionals in the new age of AI in a panel discussion at The Tax Summit 2023, hosted by the The Tax Institute.
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