IDEAS home Printed from https://ideas.repec.org/a/gam/jjrfmx/v18y2025i6p340-d1683189.html
   My bibliography  Save this article

A Review of AI and Its Impact on Management Accounting and Society

Author

Listed:
  • David Kerr

    (Turner School of Accountancy, Belk College of Business, University of North Carolina at Charlotte, Charlotte, NC 28223, USA)

  • Katherine Taken Smith

    (College of Business, Texas A&M University-Corpus Christi, Corpus Christi, TX 78412, USA)

  • Lawrence Murphy Smith

    (College of Business, Texas A&M University-Corpus Christi, Corpus Christi, TX 78412, USA)

  • Tian Xu

    (College of Business, Texas A&M University-Corpus Christi, Corpus Christi, TX 78412, USA)

Abstract

Past and current advances in artificial intelligence (AI) have resulted in a significant impact on business and accounting. Over time, AI has slowly transformed from the 1950s to today, from rule-based systems, also known as expert systems, to the deep learning architectures and sophisticated neural networks of modern generative AI. Early AI accounting applications of expert systems included a GAAP-based expert system to assess the appropriate accounting treatment for business combinations and an expert system to determine the proper type of audit report to issue. Recent accounting expert systems have been developed for document analysis, fraud detection, evaluating credit risk, and corporate default forecasting. The purpose of this study is to examine key events in the history of AI, current applications, and potential future effects pertaining to management accounting and society overall. In addition, the relationship of AI with economic and social factors will be evaluated. The study’s findings will be of interest to management accountants, businesspersons, academic researchers, and others who are concerned with artificial intelligence and its impact on management accounting and society overall.

Suggested Citation

  • David Kerr & Katherine Taken Smith & Lawrence Murphy Smith & Tian Xu, 2025. "A Review of AI and Its Impact on Management Accounting and Society," JRFM, MDPI, vol. 18(6), pages 1-22, June.
    • Handle: RePEc:gam:jjrfmx:v:18:y:2025:i:6:p:340-:d:1683189
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1911-8074/18/6/340/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/1911-8074/18/6/340/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Donald L. Ariail & Katherine Taken Smith & Lawrence Murphy Smith, 2024. "Human Trafficking and Gender Inequality: How Businesses Can Lower Risks and Costs," JRFM, MDPI, vol. 17(9), pages 1-21, September.
    2. Todd Broker & David Durr & Lawrence Murphy Smith, 2019. "Analysis of the global energy industry, climate change and financial matters: the need for effective corporate governance," International Journal of Corporate Governance, Inderscience Enterprises Ltd, vol. 10(3/4), pages 185-208.
    3. John Simon & Sharon Wardrop, 2002. "Australian Use of Information Technology and its Contribution to Growth," RBA Research Discussion Papers rdp2002-02, Reserve Bank of Australia.
    4. Erik Brynjolfsson, 1996. "The Contribution of Information Technology to Consumer Welfare," Information Systems Research, INFORMS, vol. 7(3), pages 281-300, September.
    5. Ilkka Tuomi, 2018. "The Impact of Artificial Intelligence on Learning, Teaching, and Education," JRC Research Reports JRC113226, Joint Research Centre.
    6. Sandra E. Black & Lisa M. Lynch, 2001. "How To Compete: The Impact Of Workplace Practices And Information Technology On Productivity," The Review of Economics and Statistics, MIT Press, vol. 83(3), pages 434-445, August.
    7. Bresnahan, Timothy F, 1999. "Computerisation and Wage Dispersion: An Analytical Reinterpretation," Economic Journal, Royal Economic Society, vol. 109(456), pages 390-415, June.
    8. R. Steve McDuffie & L. Murphy Smith, 2006. "Impact of an audit reporting expert system on learning performance: A teaching note," Accounting Education, Taylor & Francis Journals, vol. 15(1), pages 89-102.
    9. Daron Acemoglu & Pascual Restrepo, 2020. "Robots and Jobs: Evidence from US Labor Markets," Journal of Political Economy, University of Chicago Press, vol. 128(6), pages 2188-2244.
    10. Hai Lan & Xiaofei Tang & Yong Ye & Huiqin Zhang, 2024. "Abstract or concrete? The effects of language style and service context on continuous usage intention for AI voice assistants," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-13, December.
    11. Martin Hilbert, 2016. "Big Data for Development: A Review of Promises and Challenges," Development Policy Review, Overseas Development Institute, vol. 34(1), pages 135-174, January.
    12. John A. DeLeon & Lawrence Murphy Smith & Rabih Zeidan, 2024. "Relationship of Internet Activity to Income Inequality and Life Satisfaction," World Economics, World Economics, 1 Ivory Square, Plantation Wharf, London, United Kingdom, SW11 3UE, vol. 25(1), pages 45-72, January.
    13. Hannigan, Timothy R. & McCarthy, Ian P. & Spicer, André, 2024. "Beware of botshit: How to manage the epistemic risks of generative chatbots," Business Horizons, Elsevier, vol. 67(5), pages 471-486.
    14. Alexander Kopka & Dirk Fornahl, 2024. "Artificial intelligence and firm growth — catch-up processes of SMEs through integrating AI into their knowledge bases," Small Business Economics, Springer, vol. 62(1), pages 63-85, January.
    15. Giacomo Damioli & Vincent Van Roy & Daniel Vertesy, 2021. "The impact of artificial intelligence on labor productivity," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 11(1), pages 1-25, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Flavio Calvino & Luca Fontanelli, 2025. "Decoding AI: Nine facts about how firms use artificial intelligence in France," LEM Papers Series 2025/13, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    2. Tao Chen & Shuwen Pi & Qing Sophie Wang, 2025. "Artificial Intelligence and Corporate Investment Efficiency: Evidence from Chinese Listed Companies," Working Papers in Economics 25/05, University of Canterbury, Department of Economics and Finance.
    3. Czarnitzki, Dirk & Fernández, Gastón P. & Rammer, Christian, 2023. "Artificial intelligence and firm-level productivity," Journal of Economic Behavior & Organization, Elsevier, vol. 211(C), pages 188-205.
    4. Maha Kalai & Hamdi Becha & Kamel Helali, 2024. "Effect of artificial intelligence on economic growth in European countries: a symmetric and asymmetric cointegration based on linear and non-linear ARDL approach," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 13(1), pages 1-37, December.
    5. Young Lee & Jeong Hun Oh & Hwan-Joo Seo, 2002. "Digital Divide and Growth Gap: A Cumulative Relationship," WIDER Working Paper Series DP2002-88, World Institute for Development Economic Research (UNU-WIDER).
    6. Piva, Mariacristina & Santarelli, Enrico & Vivarelli, Marco, 2005. "The skill bias effect of technological and organisational change: Evidence and policy implications," Research Policy, Elsevier, vol. 34(2), pages 141-157, March.
    7. Damioli, G. & Van Roy, V. & Vertesy, D. & Vivarelli, M., 2021. "May AI revolution be labour-friendly? Some micro evidence from the supply side," GLO Discussion Paper Series 823, Global Labor Organization (GLO).
    8. Harry Moroz & Mariana Viollaz, 2024. "The Future of Work in Central America and the Dominican Republic," World Bank Publications - Reports 42043, The World Bank Group.
    9. Tan, Joanne, 2024. "Multidimensional heterogeneity and matching in a frictional labor market — An application to polarization," Labour Economics, Elsevier, vol. 90(C).
    10. Yang, Siying & Liu, Fengshuo, 2024. "Impact of industrial intelligence on green total factor productivity: The indispensability of the environmental system," Ecological Economics, Elsevier, vol. 216(C).
    11. Lorenz, Hanno & Stephany, Fabian, 2018. "Back to the future: Changing job profiles in the digital age," Working Papers 13, Agenda Austria.
    12. Francesco D. Sandulli & Paul M.A. Baker & José I. López-Sánchez, 2014. "Jobs mismatch and productivity impact of information technology," The Service Industries Journal, Taylor & Francis Journals, vol. 34(13), pages 1060-1074, September.
    13. Lex Borghans & Bas Weel, 2006. "The Division of Labour, Worker Organisation, and Technological Change," Economic Journal, Royal Economic Society, vol. 116(509), pages 45-72, February.
    14. Shuai Wang & Xin Huang & Mengyue Xia & Xing Shi, 2024. "Does Artificial Intelligence Promote Firms’ Innovation Efficiency: Evidence from the Robot Application," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(4), pages 16373-16394, December.
    15. Jing Li & Zidong An & Yan Wang, 2023. "On the Substitution and Complementarity between Robots and Labor: Evidence from Advanced and Emerging Economies," Sustainability, MDPI, vol. 15(12), pages 1-18, June.
    16. Wang, Linhui & Chen, Qi & Dong, Zhiqing & Cheng, Lu, 2024. "The role of industrial intelligence in peaking carbon emissions in China," Technological Forecasting and Social Change, Elsevier, vol. 199(C).
    17. Gustavo Crespi & Chiara Criscuolo & Jonathan Haskel, 2006. "Information Technology, Organisational Change and Productivity Growth: Evidence from UK Firms," Working Papers 558, Queen Mary University of London, School of Economics and Finance.
    18. Irene Bertschek & Ulrich Kaiser, 2004. "Productivity Effects of Organizational Change: Microeconometric Evidence," Management Science, INFORMS, vol. 50(3), pages 394-404, March.
    19. Lex Borghans & Bas Weel, 2006. "The Division of Labour, Worker Organisation, and Technological Change," Economic Journal, Royal Economic Society, vol. 116(509), pages 45-72, February.
    20. Haskel, Jonathan & Criscuolo, Chiara & ,, 2007. "Information Technology, Organisational Change and Productivity," CEPR Discussion Papers 6105, C.E.P.R. Discussion Papers.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jjrfmx:v:18:y:2025:i:6:p:340-:d:1683189. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.