Artificial intelligence (AI) is here. It’s not some futuristic technology that’s just over the horizon. You likely used AI today. If you talked to Siri or Alexa, searched Google or browsed social media, you officially have experience with artificial intelligence. Feel free to update your resume accordingly.
2. “Hi, I’m Penny, the Prophix AI Digital
Assistant. I’ll be providing extra information
and expert advice throughout this guide.
Look for me on the bottom of the page!”
Meet Your Guide
PENNY
3. Ben Murray
Vice President and CFO, Cartegraph
Introduction: Adaptation & Innovation
Artificial intelligence (AI) is here. It’s not
some futuristic technology that’s just over
the horizon. You likely used AI today. If you
talked to Siri or Alexa, searched Google or
browsed social media, you officially have
experience with artificial intelligence. Feel
free to update your resume accordingly.
AI has helped make our private lives
simpler and better organized. It’s helped
us save time, given quick answers to our
questions, helped organize the wealth of
knowledge available via the Internet.
So why are we so afraid of AI in the finance
department? Yes, AI and machine learning
(ML) are here to take some of our work.
But it’s the mindless, repetitive, operational
work we should be eager to let go of.
CFOs are challenged to expand their role in
the organization - to participate in strategic
planning and help steer the business to new
heights of profitability. New technology will
only make it easier to fulfill these new duties
- both by automating operational tasks and
surfacing data insights for strategic planning.
This brief guide will help you and your team
get started with AI and ML.
Okay, here’s what I found on AI and machine
learning in finance:
Accounting and finance technology are no longer just systems to handle
debits and credits. As accounting standards change and the demand
for better financial insight increases, you must incorporate technology to
maintain and improve your relevancy and efficiency.
PENNY
5. 1. The Steward is responsible for base
operational finance functions, like closing
the books and ensuring compliance.
AI and ML can help reduce time spent
on these tasks and reduce human error.
Automated reporting can save hours of
human effort which can be focused on the
other roles.
2. The Operator is tasked with increasing
efficiency and effectiveness in the finance
department and in business operations
at large.
Technology can help with this role in two
ways: First, by increasing efficiency through
automation, and second by surfacing
data to help identify waste and increase
efficiency throughout the organization.
3. The Catalyst is charged with identifying
opportunities for positive change and
helping lead the charge.
A major component of finding
opportunities for change is being able to
see the big picture. AI can consolidate
multiple data streams from across the
organization and analyze it to find
potential for positive change.
4. The Strategist provides data-based
insight to act as an adviser to the rest of
the C-suite.
As with the Catalyst role, AI and ML make
it easier to collect and analyze data in
real-time. The technology can also help
create intelligent reports to persuade other
stakeholders.
Here’s how AI and Machine Learning can help with each of the modern
CFOs four roles.
How AI Complements
the New CFO Role
6. Daniel Newman
Principal Analyst & Founding Partner, Futurum Research + Analysis
OK, here’s what I found on business benefits of AI:
Companies simply are overrun by the volume of data, but companies that use
data well are seeing stronger business performance. So, the key is balance,
and using analytics, machine learning and AI as part of your business strategy
is going to be the first step for many in terms of benefitting from AI by growing
revenue and delivering better customer experience.
Do you rejoice when you have to add
another line item to your budget? It’s safe
to say most CFOs don’t enjoy handing
out capital. The joy comes from making a
strategic investment and seeing it pay off.
Investing in AI and machine learning
has a high probability of positive ROI. And
that’s not to say “it could pay off sometime
in the future.” Companies are already seeing
a return on their investment. A Deloitte
survey found that 83% of the most aggressive
adopters of AI said their companies achieved
moderate to substantial business benefits1
.
A Harvard Business Review study found that
a third of early AI adopters had already
Overcoming AI Obstacles: Budget
achieved increases in revenue. These early
AI adopters were also 3.5 times more likely
to forecast a growth in profit margin up to
five points more than their industry peers2
.
It’s not just about the benefits, though — it’s
also about the potential for lost opportunity.
Forrester predicts that by 2020, business driven
by AI insights will take $1.2 trillion per year from
their peers3
. It’s not hard to choose which side
of that equation you’d rather be on.
If budget is still a sticking point for your
organization, start small with automation
and machine learning for repetitive tasks.
These types of investments tend to show
results quickly and dramatically.
1. https://www2.deloitte.com/us/en/pages/deloitte-analytics/articles/cognitive-technology-adoption-survey.html
2. https://hbr.org/2017/08/a-survey-of-3000-executives-reveals-how-businesses-succeed-with-ai
3. https://www.forrester.com/report/Predictions+2017+Artificial+Intelligence+Will+Drive+The+Insights+Revolution/-/E-RES133325
7. Oliver Christie
Artificial Intelligence Consultant & Speaker
OK, here’s what I found on Is this the right
time to invest in AI?:
“Companies who adopt AI early will have an unfair advantage over the
competition. Catching up later will become increasingly difficult as the
business learnings (of using the technology) are applied and company
thinking evolves.”
From a budget standpoint, it’s easy to
persuade people on the benefits of AI
investment. The trickier part is the human
element. It’s only natural for your team to
feel uncertain about, even threatened by,
technology that can do part of the work
they do.
It’s important to frame the technology as an
enhancement rather than a replacement.
AI and machine learning can take over the
repetitive, mindless, and time-consuming
functions that keep your finance office from
the real work.
For example, who would choose to spend
hours searching a spreadsheet line-by-line
Overcoming AI Obstacles: Buy-In
for errors or fraud? It comes down to a
choice: Fill your day with work a machine
could do, or pursue meaningful work that
requires human intellect and intuition.
When you frame it that way, it’s easy to see
how AI and machine learning can improve
quality of life as well as
the bottom line.
And let’s not forget the business imperative:
Your office of finance has the opportunity
to be a leader in AI — or to play catch-up
later. Being ahead of the pack definitely feels
better than trailing behind.
8. James Meyers
Global Finance Executive and Finance Transformation
Consultant, FP&A Strategy Consulting
Okay, here’s what I found on skills needed for
the next evolution of finance:
“The majority of internal data is touched by the Finance organization –
therefore my one tip for Finance teams are to make data analytics; data
science and insight generation part of their core DNA.”
It’s clear that AI and ML are changing the
role of the CFO, and the entire office of
finance. That means forward-looking CFOs
should be looking to develop new skills in
their teams.
That doesn’t mean every CFO needs a
PhD in data science. The end goal of AI
deployment is a frictionless user interface,
as easy to operate as Siri or Alexa. But CFOs
should seek to develop the following skills in
their team, through training and hiring:
Overcoming AI Obstacles:
Skillset Refinement
Data analysis
Data mining
Insight generation
In addition to learning the hard skills, one
soft skill is of paramount importance: A
willingness to embrace change, new ideas
and processes. Your team’s attitude about
adopting AI will have significant impact on
your success.
9. John Colthart
VP of Growth, MindBridge Ai
OK, here’s what I found on Is this the right
time to invest in AI?:
“Look for a partner that can integrate their solution into your workflow quickly
and with minimal effort. Try it out: Big progress can be made in under a
quarter. AI should not be a future project for financial leaders, but something
they should be taking advantage of now.”
Your choice of vendor partner can make
or break your modernization initiative. AI
and ML is a relatively young industry, and
there are plenty of startups with a lot of
ideas but little field experience. Choose a
partner with these traits:
Well-Established: Look for companies with
a track record of demonstrable success
and plenty of happy customers. You’ll get
better results if you’re not part of someone
else’s learning process.
Overcoming AI Obstacles:
Choosing Partners
Purpose-Specific: Finance is a unique
part of an organization, and it needs
specialized solutions. Look for a vendor
that knows finance inside and out.
Unified Solution: You don’t want to cobble
together a solution piecemeal from
multiple vendors. A single solution is more
efficient and easier to manage.
Easy and Powerful: You shouldn’t have to
trade off capability for ease-of-use. Look
for a partner that can offer both.