Case Study 1: Professional Accountant in Business – AI-Generated Strategy and Planning

6 May, 2026

SCENARIO

You are the CFO of a medium-sized manufacturing company that has recently begun exploring AI technologies to improve efficiency. The CEO asks you to prepare the draft three-year strategy and one-year business plan for consideration at the next board meeting, which is scheduled in just two weeks.

As time is short, you decide to use the free version of a widely available AI tool to assist with the task. You prompt the AI system to “produce a company three-year strategy and one-year business plan for a manufacturing business in our sector.” You ask your finance team to input previous company reports, financial data, market analyses, and all relevant company material into the system.

The AI produces an impressive-looking document with sophisticated charts, metrics, and strategic recommendations. The CEO is initially delighted with the professional presentation and comprehensive nature of the plan.

However, on re-reading the document the night before your presentation to the board, you notice several concerning elements:

The AI has recommended significant staff reductions and outsourcing manufacturing operations to a country with an authoritarian regime, citing potential cost savings of 40%.
The recommended country is designated by the Financial Action Task Force and your national Treasury as a High-Risk AML jurisdiction and has a poor record on human rights.
Some of the financial projections appear overly optimistic when compared to your industry knowledge and experience.
The AI has made specific recommendations about competitors that appear to be based on non-public information, though you’re unsure how the AI would have accessed this information.
The document contains several references to internal company data that are commercially sensitive.

Ethical Considerations

Integrity

Would presenting the AI-generated plan without full transparency about its origins and limitations be misleading to the board, thereby breaching the principle of integrity?
Are the AI’s recommendations (e.g., outsourcing to a high-risk jurisdiction) aligned with the company’s stated values and ethical policies, and would endorsing them compromise your integrity?

Objectivity

Has the AI potentially introduced bias by focusing narrowly on financial metrics (cost savings) without adequately considering broader ethical, social, or reputational implications?
Could uncritical acceptance of the AI’s sophisticated output compromise your professional judgement and objectivity, especially regarding the overly optimistic projections or questionable competitor insights?

Professional Competence and Due Care

Do you possess sufficient understanding of how the Generative AI tool produced its recommendations to evaluate their validity and appropriateness, thereby exercising due care?
Was it diligent to use the AI for such a critical task without providing more specific ethical parameters or constraints, particularly concerning sensitive data and strategic direction? Have you taken steps to verify the AI’s outputs?

Confidentiality

Were the implications for data privacy and security adequately considered before uploading sensitive company reports, financial data, and market analyses to an external AI platform?
Could using the AI system have potentially exposed confidential company information or trade secrets, breaching the duty of confidentiality owed to the company and potentially third parties (if competitor data was inappropriately accessed/used)?

Professional Behaviour

What are the potential legal and regulatory implications (e.g., AML, human rights, sanctions) of implementing the AI’s recommendation to move operations to a high-risk jurisdiction?
Could implementing the AI-generated strategy without rigorous human oversight and ethical scrutiny damage the company’s reputation and potentially discredit you and the profession?

Possible Course of Action

Disclose the use of AI: Be transparent with the CEO and the board about how the draft strategy was developed, including the use of AI and the limitations of the technology.
Address data privacy concerns: Consult with the company’s data protection officer or legal counsel regarding the implications of uploading company data to the AI platform, and ensure compliance with relevant data protection legislation.
Apply professional judgement: Critically evaluate the AI-generated recommendations based on your professional knowledge and experience, particularly those related to staff reductions and outsourcing to high-risk jurisdictions.
Conduct a comprehensive risk assessment: Evaluate the ethical, legal, reputational, and operational risks associated with the AI recommendations, particularly regarding the suggested outsourcing to a high-risk jurisdiction.
Revise the strategy document: Modify the draft to ensure it aligns with the company’s values, ethical standards, and legal obligations. Remove any recommendations that could potentially violate sanctions or ethical business practices.
Implement proper AI governance: Work with relevant stakeholders to develop protocols for the future use of AI in strategic decision-making, including clear guidelines on data usage, human oversight, and ethical considerations.
Document your decision-making process: Maintain records of your assessment, the concerns identified, and the actions taken to address them, to demonstrate your diligence and professional judgement.

Recommendation

When presenting to the board:

Acknowledge the use of AI as a tool to assist in drafting the strategy, but emphasise that the final recommendations have been subject to professional review and judgement.
Highlight specific areas where you modified the AI outputs based on ethical considerations (linked to the fundamental principles) and your professional expertise.
Recommend that the company develop a formal AI governance framework to guide the ethical use of AI technologies throughout the organisation, ensuring that future AI applications align with the company’s values and ethical standards.