Accountants see leadership, sustainability, and AI as top ethical concerns: ACCA, ETCFO
Ethical leadership, organisational culture, sustainability, and the impact of artificial intelligence (AI) are emerging as critical areas of focus for accounting professionals, according to a report by the Association of Chartered Certified Accountants (ACCA).
The survey indicates that over 40% of accounting professionals prioritise ethical leadership and organisational culture as top concerns.
Sustainability emerged as a top ethical concern for over 30% of respondents. Accountants highlighted the difficulties of operating sustainably while balancing profitability. Key challenges include honest reporting on sustainability practices, reducing environmental impact, and addressing the increasing demand for sustainability considerations in accounting.
The survey showed that accountants face pressure to operate sustainably amid economic challenges. A clear demand exists for training on sustainable practices integrated into CPD courses and Regulatory frameworks must support ethical behavior in sustainability reporting.
The rise of AI and data analytics also present challenges for accountants with 32% of those voting the same as their top concern. While auditors expressed concern about the ethical implications of AI in financial reporting, non-auditors highlighted broader issues, including data privacy and cybersecurity, as per the report.
It is well established that ethical implications of AI in auditing require urgent attention, ACCA stated that continuous updates and training on technology ethics are necessary across all sectors. The accounting profession must adapt to navigate the complexities posed by technological advancements.
What do auditors and non auditors suggest?
Auditors advocate for tailored continuing professional development (CPD) that focuses on audit scenarios and scenario-based training, alongside stronger enforcement mechanisms and whistleblower protections. They emphasize the importance of leadership that sets an ethical tone throughout the organisation and call for clear guidelines on the ethical use of AI and data analytics.
Non-Auditors suggest accessible ethics education integrated into CPD for practical application across various business functions, along with regulatory frameworks to support ethical behavior and internal governance. They stress a collective responsibility to embed ethics in corporate practices and highlight the need for continuous updates on technology ethics across sectors.
