Unlock Finance Efficiency with Generative AI
▼ Summary
– Generative AI is being used in treasury functions for forecasting, contract automation, and investment analysis, though it faces mathematical limitations in forecasting.
– 19% of finance organizations have already adopted generative AI in their finance functions, according to a Deloitte survey.
– Despite returns on generative AI investments being 8 points below expectations, 46% of CFOs expect spending on it to increase in the next year.
– Generative AI is seen as beneficial for cost control through automation and freeing up employees for higher-level tasks.
– CFOs are advised to actively engage with AI to avoid falling behind competitors and to rethink the role of finance professionals in collaboration with AI.
Generative AI is rapidly transforming finance functions, offering powerful tools for cash flow forecasting, liquidity management, and contract automation. While challenges remain, particularly around the mathematical precision required for certain predictive tasks, nearly one-fifth of finance organizations have already integrated generative AI into their operations, according to a recent Deloitte survey.
Although current returns on generative AI investments in finance are trailing expectations by eight percentage points, a significant number of finance leaders are pushing forward. Deloitte’s Q4 2024 North American CFO Signals survey reveals that 46% of CFOs anticipate increased spending or deployment of generative AI in finance over the next year. Many see the technology as a way to reduce costs through automation, enable self-service capabilities, and allow employees to focus on more strategic, high-value work.
Robyn Peters, a principal in finance transformation at Deloitte Consulting LLP, observes that while AI has long been used in customer-facing roles, finance departments have been slower to adopt. “Employees are still manually creating documents, presentations, and emailing them around,” she notes. “The seamless, human-centered experience that customers enjoy in retail or hospitality hasn’t fully reached finance, but it can. AI makes that transition not only possible but practical.”
CFOs who delay exploring generative AI may find themselves outpaced by more agile competitors already testing and implementing these tools. As the next generation of finance professionals becomes accustomed to using AI in their workflows, finance leaders must reconsider what skills and roles will define success in an AI-augmented environment.
(Source: Technology Review)
