PriyaPatelTLDR:
- AI in finance will increase productivity and reduce costs, but a deliberate strategy is needed.
- Finance leaders need to define criteria for success, establish governance and security measures, and consider the implications on the workforce.
In the article “Artificial Intelligence and the Future of Finance” by Hari Sankar, the focus is on how AI is transforming the way work is done, especially in the realm of finance. Finance leaders are looking at how AI, both traditional and generative, can deliver value embedded in existing workflows. These technologies have the potential to increase productivity, improve decisions, and reduce costs, but there are important considerations before fully incorporating them into current processes.
One key aspect highlighted in the article is the need for finance leaders to define criteria for success when implementing AI. This includes setting measurable key performance indicators that align with business goals, as well as tracking soft metrics like employee comfort and confidence in using AI technologies.
Another important issue raised in the article is the establishment of governance and security measures when using AI in finance. Finance leaders are advised to prevent employees from taking AI matters into their own hands and instead enable access to AI technologies within ERP or EPM applications to safeguard against data privacy and security risks.
Additionally, the article emphasizes the importance of considering the implications AI will have on the workforce. It is crucial for finance leaders to address real concerns from employees about how these technologies will impact their roles and to provide education programs for employees to enhance data and AI literacy.
Looking forward, the article predicts that more finance teams will integrate generative AI capabilities to optimize and automate workflows within the finance function. Leaders who embrace AI now and align their initiatives to broader business operations and strategies are expected to reap greater benefits than those who do not.
In conclusion, the article stresses the importance of a deliberate and cautious approach to incorporating AI in finance, focusing on defining success criteria, establishing governance and security measures, and addressing the impact on the workforce to fully leverage the potential of these transformative technologies.
