When it comes to AI success in finance functions, there are three characteristics that the function needs to have and CFOs must understand.
According to Gartner, only 39% of 133 finance leaders it surveyed in May use AI/machine learning (ML) and 29% of respondents said AI/ML is planned.
In addition, 68% of finance organisations are using AI or plan to use the technology, the advisory firm. noted.
“The most successful AI-forward finance organisations embrace and evangelise AI at the C-suite level and embed data science teams directly within finance departments while avoiding reliance on third parties,” said Mark D. McDonald, senior director analyst in the Gartner Finance Practice. “It’s only when employees embrace AI as a co-worker rather than a threat to their jobs that organisations see the highest likelihood and magnitude of success.”
According to Gartner, the following three characteristics would help drive AI success in finance functions.
Shorter-term results are possible, but transformative results take time. Although short-term benefits from AI are possible through simple or purchased solutions, the transformative value of AI in finance requires a level of maturity that takes time to build.
Data science emerges are a new role in finance. A majority of finance teams report using data scientists. Once seen as a risky and frivolous headcount, modern finance teams commonly use data scientists whether they leverage AI or not.
Acceptance plays a role in AI’s success. Organizations with a high level of AI acceptance report a high level of success. Without the buy-in from knowledgeable process owners, building AI-driven processes that emulate their decisions and actions proves difficult.
“These three quite simple factors have an impact on the chance of AI success in finance functions,” said McDonald. “Put the data scientists close to the processes and people that will train AI, make sure those people understand that AI can make their jobs easier and give them the time needed to produce transformative results.”
