Efficient auditing of taxpayers' money by using data analysis

Date: 2024.10.08

We use data analysis and artificial intelligence to examine the use of taxpayers' money even more efficiently.

Imagine you have a huge amount of data, such as invoices, that you need to check. Analysing each data set individually, checking each invoice individually, would take weeks – but how can you efficiently ensure that everything is correct? This is the kind of question that the data laboratory at the German SAI is looking into: how can we check even more effectively whether taxpayers' money has been used properly? With the help of data analysis, it is possible to check more precisely and efficiently than before.

Data analysis – sounds complicated, but in essence it's about extracting meaningful information from large amounts of data using modern technology. Data analysis is an important tool for the German SAI to effectively examine as to whether taxpayers' money is being used efficiently and in line with applicable rules. This is why we – like federal ministries and other supreme federal bodies – have set up our own data laboratory.

In practice, we already utilise various technologies to make our work more efficient. Another focus of the data laboratory is to continuously expand our knowledge of data analysis. This includes strengthening the data expertise of the entire workforce in the long term – from the secure handling of data to the application of advanced analytical methods. At the same time, we wish to specifically promote expertise in artificial intelligence – also to be able to effectively audit the use of such technologies.

We also expand and update our expertise in this area through intensive exchange at an international level. This is because SAIs around the world face similar challenges when it comes to analysing data. In order to utilise synergies and learn from each other, the SAIs from Germany, Finland, the Netherlands, Norway, the UK and Brazil have signed a memorandum of understanding to cooperate in the field of data analysis.

The German SAI uses its expertise not only to audit more efficiently. We also use our expertise to scrutinise data management and the use of artificial intelligence in the Federal Government.