THE EFFECT OF ARTIFICIAL INTELLIGENCE ADOPTION ON AUDIT QUALITY IN AUDIT FIRMS

Artificial Intelligence (AI) technology stands out as one of the latest game changers in the field of accounting and auditing profession (Kokina & Davenport, 2017; Sutton et al., 2016). with continued generation of large amounts of financial as well as non-financial data, the audit process faces challenges in delivering efficient and comprehensive audit results (Issa et al., 2016; International Auditing and Assurance Standards Board [IAASB], 2020). In response, firms in the audit industries are now incorporating Artificial Intelligence based technologies such as machine learning, natural language processing, robotic process automation, predictive analytics, and big data analytics in order to deliver Higher efficiencies, strengthen fraud detection, risk assessment, and effective decision-making Process (Davenport & Ronanki, 2018; Deloitte, 2023; PwC, 2023).This study seeks to analyse the impact of Artificial Intelligence on audit quality within the audit firms using a qualitative research approach to review of existing literature and professional reports on the subject matter . from the analysis, it emerges that, Artificial Intelligence technologies improves audit quality in terms of increasing efficiency, accuracy, risk assessment and fraud detection, despite challenges related to high cost of adoption AI, cybersecurity risks, data privacy issues, algorithmic bias, and technical expertise (KPMG, 2023; EY, 2023; ICAEW, 2022). conclusion arrived at in Analysis that AI technology must work hand in hand with not in replacement of professional judgments, as the experience, ethical deliberations, and skepticism of auditors are essential for delivering high-quality audit results (IAASB, 2020; Sutton et al., 2016) (IAASB, 2020; Sutton et al., 2016).