The AI Committee at the Institute of Chartered Accountants of India (ICAI) has successfully conducted a survey to understand the adoption and usage of AI in Chartered Accountant offices across the country. We extend our heartfelt thanks to all the Chartered Accountants who have participated and shared their insights. The result of this survey, which is based on the responses from about 1100 members, is published for reference of CA’s . The AI Committee in ICAI will use these results to further analyze the current landscape of AI usage. This analysis will help in increasing awareness about AI tools and assist in the development and adoption of the ICAI Custom GPT for Chartered Accountants. Our goal is to ensure that our community is at the forefront of technological advancements, benefiting from tailored AI solutions that enhance professional growth and efficiency. We look forward to your active engagement with us as we continue to explore the realm of Artificial Intelligence and build an ecosystem to realise the potential of these exciting developments for professional development.

Frequency of AI Use for Routine Tasks - Nearly half of the respondents have rarely or never used AI. It indicates that AI is still in the early stages of adoption stage amongst the members and shows substantial potential for growth in AI adoption

AI Applications Currently Used - The response indicates that AI is gaining traction with automation(A) showing promise, as members are exploring various types of AI applications. However the overall response indicates a large untapped potential for AI applications.

Integration into Audit Processes - As indicated in the earlier question, the AI adoption is in its early stages. Consecutively, members have started to explore AI for Auditing (indicated by minimal to moderate usage). It suggests that the integration of AI in Audit processes has long way ahead due to varying levels of AI adoption. These differences may reflect varying levels of technological engagement and capability across firms.

Effectiveness of AI in Tax Preparation - The responses indicate wide-ranging effectiveness of AI in Tax preparation. It also indicates diverse experiences with AI in tax processes, which is possibly due to variability in tool implementation and the specific technologies employed.

Investment in AI Technologies - As the AI is still in early adoption stage, firms are predominantly cautious about making investments in AI, primarily due to lack of compelling success cases or budgetary constraints.

Preparedness for Future AI Adoption - More than half of the respondents feel prepared to some extent to adopt more AI solutions in the next 5 years, indicating an encouraging openness to further AI integration.

Barriers to AI Adoption - Lack of Knowledge or Skills is emerging as most significant barrier, indicating a crucial need for educational initiatives. The other barriers like cost constraints and benefit uncertainties could be addressed by demonstrating AI’s practical value through various initiatives like workshops, seminars etc.

Impact on Client Satisfaction - A substantial number of respondents indicated positive/improved impact (”Somewhat” and “Significantly”), suggesting AI’s potential to enhance client relations with proper utilization.

Training on AI Tools - About 19.6% respondents have indicated of providing comprehensive training to staff on AI tools and 23.6% getting basic training which shows rising awareness amongst the firms on AI and its potential. However, the overall response indicates a pervasive need for enhanced and more comprehensive AI training across the sector to realise the true potential of AI.

Future Role of AI in the CA Profession - A strong majority (Transformative and Essential-82.8%) believes AI will play a crucial and revolutionary role, reflecting high expectations for AI in reshaping the profession.

Conclusion

The survey depicts a scenario where optimism about AI’s transformative potential is mixed with inclination to adopt AI, which faces significant adoption barriers. Based on the learnings from the survey, the ICAI will be moving towards building a cohesive ecosystem to improve adoption of AI to fully realize its transformation potential for finance and accounting, Through targeted training efforts, facilitating access to AI tools in collaboration with the industry, and demonstrating effective AI use cases, we aim to encourage members to explore and utilize AI, paving the way for more widespread and effective AI integration.