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Navigating the Future with Integrity: The CPA AI Credo
By Garrett Wasny, MA, CMC, CITP/FIBP
The following is an excerpt from the original article published on September 29, 2023.
As Artificial Intelligence (AI) permeates the accounting profession, it brings transformative possibilities along with new ethical challenges. AI promises innovations in efficiency and precision but also necessitates a renewed commitment to the foundational ethical and professional principles of accounting.
This CPA AI Credo is inspired by the esteemed CPA Credo formulated by Eli Mason, known as the “Conscience of the Profession.” Mr. Mason, a Baruch College graduate and a stalwart of accounting ethics, has left an indelible mark on the profession with his writings, teachings, and testimonies before the U.S. Senate. He has long illuminated the path for accountants with his clear and principled delineation of their ethical responsibilities.
Mr. Mason’s credo emphasized service to the public and the profession, maintaining professionalism and ethical conduct, upholding technical competence, and fostering independence, objectivity, and mutual respect.
In response to the paradigm shifts induced by AI, the CPA AI Credo adapts and extends Mr. Mason’s enduring principles to the domain of AI. It offers a holistic framework to guide all stakeholders—accountants, AI developers, and others—in the ethical incorporation of AI into accounting. It is a pledge to maintain integrity, objectivity, professionalism, and public service in this new era, ensuring the symbiosis of technology and accounting serves the public good with uncompromised excellence and ethicality. Here is the CPA AI Credo:
Serve the Public Interest with AI
- Utilize Artificial Intelligence to enhance the service to the public, always prioritizing public welfare, accessibility, and equity.
- Ensure AI applications in accounting uphold the public trust, are transparent, fair, and conform to societal norms and values.
Uphold the Integrity of the Profession while Implementing AI
- Contribute to the advancement of the profession by incorporating AI responsibly, maintaining respect for the values and traditions of accounting.
- Ensure that AI is used to elevate the ethical standards of the profession and is not used to deceive or mislead.
Maintain High Professional and Ethical Standards in AI Practice
- Ensure AI in accounting is developed, deployed, and used with the highest level of professional and ethical integrity.
- Constantly evaluate the moral implications of AI applications, ensuring they do not compromise professional conduct and responsibility.
Ensure Competence and Expertise in AI Technologies
- Continually enhance technical skills and knowledge related to AI, ensuring the highest level of competence in its application.
- Stay informed about the latest developments in AI and ensure its implementation is accurate, reliable, and beneficial to the public.
Preserve Independence and Objectivity in AI Decision-Making
- Maintain independence when utilizing AI, ensuring objective and unbiased decision-making.
- Rigorously assess AI models and algorithms to prevent biases, conflicts of interest, and ensure fair representation in AI-informed decisions.
Foster Collaboration and Mutual Respect with AI Developers and Users
- Work harmoniously with AI developers, practitioners, and other stakeholders, promoting a culture of mutual respect, open dialogue, and shared learning.
- Value diversity of thought and experience in the collaboration between AI and human colleagues, recognizing the complementary strengths of both.
Promote Transparency, Accountability, and Explainability in AI
- Advocate for and implement AI systems that are transparent, understandable, and accountable.
- Ensure AI models and algorithms are interpretable and justifiable, allowing stakeholders to understand and trust AI-driven decisions and actions.
Safeguard Confidentiality and Privacy in AI Applications
- Implement stringent measures to protect the confidentiality and privacy of information processed by AI.
- Ensure AI systems handle, store, and process data securely, ethically, and lawfully, respecting individuals' rights and freedoms.
Continuous Learning and Adaptation in AI
- Engage in ongoing learning and adaptation to stay informed of evolving AI technologies and methodologies.
- Embrace changes brought about by AI and leverage them for continuous professional development and enhancement of the accounting profession.
This CPA AI Credo serves as a comprehensive guideline for accountants working with Artificial Intelligence. It emphasizes the importance of maintaining professional and ethical standards while integrating AI into accounting practices. By adhering to this credo, CPAs can ensure responsible and beneficial use of AI, fostering trust, excellence, and innovation in service to the public and the profession.
GARRETT WASNY, MA, CMC, CITP/FIBP, is an artificial intelligence skills advisor to accountants worldwide. With more than 20 years’ experience in the Internet field, he is a former Price Waterhouse management consultant, and an award-winning accounting-tech author, webinar producer, and app developer.
Learn from Garrett at one of his upcoming seminars this fall on Introduction to Generative AI for CPAs Certificate Program, ChatGPT and Generative Artificial Intelligence for Accountants, AI Ethical Frameworks for Accountants Certificate Program, Accountants, Meet Chatbot: Your Beginner's Guide to Getting the AI ChatGPT Conversation Started, Data Visualization and Mapping Tools for Accountants, Generative AI Strategy, How Technology is Impacting the Accounting Profession, as well as on-demand seminars.
Top 6 Essential Skills Accountants Need to Thrive in Public Practice
In the dynamic world of public accounting, professionals must possess a diverse set of skills to excel and stand out. While technical knowledge forms the bedrock of the profession, success in public practice demands a broader skill set that includes communication, leadership, data analysis, auditing, and adaptability.
Here’s a closer look at the top six essential skills accountants need to thrive.
1. Technical Expertise
At the core of accounting is technical expertise. Accountants must have a deep understanding of accounting principles, financial reporting standards, and regulatory requirements. This includes proficiency in tax laws, financial statement preparation, and compliance with industry-specific regulations. Mastery of accounting software and tools is also crucial, as these facilitate accurate record-keeping and reporting. Continuous education and staying current with changes in accounting standards and technology are vital for maintaining this expertise and ensuring that practices remain relevant and effective.
2. Communication Skills
Effective communication is indispensable for accountants. This skill encompasses both verbal and written communication. Accountants must be adept at explaining complex financial information in a clear and understandable manner to clients, stakeholders, and team members who may not have a financial background. Strong presentation skills are also important, as accountants often need to convey findings and recommendations in meetings or reports. Additionally, listening skills are crucial for understanding client needs and addressing their concerns accurately.
3. Leadership Skills
Leadership skills are increasingly important for accountants, especially those aspiring to advance to managerial or partner positions. Leadership involves not only guiding and mentoring junior staff but also driving strategic initiatives and fostering a positive work environment. Effective leaders in accounting must be able to delegate tasks, manage projects efficiently, and inspire their teams to achieve high performance. This includes setting clear goals, providing constructive feedback, and supporting professional development within the team.
4. Data Analysis
In the age of big data, the ability to analyze and interpret large volumes of financial data is essential. Accountants must be skilled in using data analytics tools to identify trends, patterns, and anomalies that can inform decision-making and strategic planning. Data analysis helps in providing deeper insights into financial performance and operational efficiency. By leveraging data, accountants can offer more valuable recommendations and enhance the quality of their financial advice.
5. Auditing and Assurance
Auditing and assurance are critical areas within public accounting that require specialized skills. Accountants need to be proficient in conducting thorough audits, assessing internal controls, and ensuring compliance with regulatory standards. This involves meticulous attention to detail, strong analytical skills, and the ability to identify potential risks and areas for improvement. Mastery of auditing techniques and an understanding of the assurance process are key to delivering reliable and accurate audit results.
6. Adaptability
The accounting profession is constantly evolving due to technological advancements, regulatory changes, and shifts in client expectations. Therefore, adaptability is a crucial skill for accountants. They must be open to embracing new technologies, adjusting to changes in accounting standards, and adapting their approaches to meet the evolving needs of their clients. Flexibility in problem-solving and the ability to quickly learn and implement new tools or processes can significantly impact an accountant’s effectiveness and career growth.
In summary, while technical expertise remains the foundation of accounting, thriving in public practice requires a blend of essential skills. Effective communication, strong leadership, proficient data analysis, auditing and assurance capabilities, and adaptability are all integral to success. By developing and honing these skills, accountants can enhance their performance, contribute more significantly to their organizations, and advance in their careers.
Bringing 25+ Years of Teaching Excellence to Every Session
Meet Mia Maki, BA, MBA, FCPA, FCMA, Associate Dean with the University of Victoria Gustavson School of Business, with over 25 years of teaching and facilitation experience.
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She has worked in Finance and Accounting since 1986 and has experience in a wide variety of industries, including audio technology, airlines and aviation, not-for-profit, public accounting, marine transportation, fisheries monitoring, gaming and other technology arenas.
She is a Principal of Quimper Inc. which is a consulting firm that provides executive and mid-level support in business and IT in both the Private and Public Sector.
Mia is formerly CFO and COO for IVL Technologies and consults for several local technology and non-tech companies. She has assisted in raising over $50 million in funds and in international initiatives including acquisitions in the US, strategic partnerships in Japan and joint subsidiary creation in Europe.
Learn great insights from Mia at her upcoming in-person Executive Program on Controller’s Operational Skills, and Advanced Strategic Management Certificate Program: Maps. You can also catch her at her live virtual session on Strategic Management Certificate Program: Team Development.
Reminder
The 2024-25 PD Passports are now available for sale and applicable towards seminars that runs from September 1, 2024 to August 31, 2025. Purchase your PD Passport by September 25 to save on our early bird pricing.
If you have remaining 2023-24 PD Passport credits, this is a reminder that your credits will expire on August 31, 2024. Any unused portions of the PD Passport(s) cannot be refunded, credited or carried-forward after this date. To view your outstanding passport credits, login to your member profile in Online Services, click on the “Professional Development tab", and select “View Passport Statement” from the menu on the right.
Did You Know
The Women in Leadership Certificate Program is being offered again this year!
Learn and practice new skills, get to know yourself better, and share stories and experiences with women in the accounting profession. This program begins September 25 with sessions every other Wednesday until February 19.