The influence of artificial intelligence as a tool for future economies on accounting procedures: empirical evidence from Saudi Arabia

Abstract

This study investigates the transformative influence of artificial intelligence (AI) on accounting procedures in Saudi Arabia by examining accounting professionals’ attitudes, understanding, and practices regarding AI implementation. Using a questionnaire-based survey distributed among accounting professionals in Saudi Arabia, data analysis was conducted using the partial least squares (PLS) technique. We find significant direct relationships between AI awareness and usage, AI engagement and accountants, and the impact of AI and accounting procedures. This finding suggests that accountants who are knowledgeable about and utilize AI are more likely to be engaged in AI, leading to positive changes in accounting procedures. Moreover, the robust positive relationship between AI’s impact on accounting procedures and accounting efficiency indicates a significant positive influence. The outcomes revealed that AI engagement and impact played significant mediating roles in these relationships. These findings suggest that, while AI awareness and usage alone can lead to improved accounting outcomes, the effect is mediated by the level of engagement with AI and its impact. We provide compelling evidence that AI positively affects the accounting profession. Accountants who are aware of and use AI are more likely to engage in and experience positive changes in their accounting procedures. We provide theoretical insights into the influence of AI on accounting procedures, offer valuable resources to academics, and suggest areas for future research. It equips practitioners with effective strategies for incorporating AI into their practices, highlighting the harnessing of AI’s transformative potential of AI while addressing potential challenges.