Usage and Impact of Artificial Intelligence on Accounting: 213 Evidence from Malaysian Organisations

Abstract

Purpose: With the embedment of Artificial Intelligence (AI) technology into the accounting software, accounting function entered another phase of evolution in terms of the working method. By integrating the AI-based accounting software into the operational tasks, the functions of account payables and account receivables become easy and efficient. Despite the tremendous advantages of AI, the adoption of AI in Malaysia is still low relatively compare to other countries. Furthermore, there are limited academic research performed to study the impact of AI adoption on the organisations especially from the accounting perspective. Therefore, this study aims to investigate the use and impact of AI-based accounting software in organizations. Methodology: Face-to face in-depth semi structure interviews were conducted among nine organizations that are using AI based accounting software. The representatives who participated in the interviews were from the accounting service division of the respective organisation. Constant comparative method was used to analyse the data collected. Finding: The study found the usage of the AI-based accounting software has proved to have significant impact on the organisations in terms of increased productivity, improved efficiency, improved customer service, flexible working style, process governance and manpower saving. Originality: AI has emerged as a disruption technology in the era of Industry 4.0. This research has studied on the implication of AI adoption in the accounting function. From the result of this study, it has evidenced that adoption of AI-based accounting software in account payable function has yielded positive impact to the organisations. The finding will to spur the confidence of the organisations in Malaysia to invest in the AI technology.