AI and Internal Audit, Reporting Transformation

Abstract

The recent emergence of OpenAI and ChatGPT has brought numerous advantages for the professions of accountants and auditors, but at the same time numerous risks, threats and challenges. GPT's ability to understand, predict and generate human-like text has turned the technology into a clear foundation that redefines and shapes a wide range of activities, including internal auditing. GPT models have rapidly evolved from their initial roles in simple text generation to complex applications. Their ability to understand language and context, generate coherent and relevant text, and learn from vast amounts of data makes them ideal for tasks such as compiling internal audit reports. Internal audit reports summarize key findings and identify risks that need to be remedied for the audit committee, CEOs and senior management. However, writing and presenting such reports takes a lot of time, and using GPT can help significantly with that. The subject of the paper is a comprehensive review of a wide range of AI, internal audit, reporting transformation. The main conclusion points to the growing responsibility of internal auditors with the widespread use of generative artificial intelligence services to support audit reporting. Internal auditors must be aware of the risks and challenges brought by the new technology, based on artificial intelligence, which requires clear training and thematic areas incorporated into the curricula in the process of certification of internal auditors.