Today’s chief financial officers (CFO) or finance heads in a company have access to reams of data at their fingertips, compiled in minutes by artificial intelligence (AI) and laid out in a structured, easy-to-understand pattern by Gen AI. Complex financial planning and predictions can be made based on the suggestions of AI, allowing for a leaner, agile, efficient company. Yet, there are challenges that exist.
In an Oracle survey, 51% of respondents indicated that disconnected systems pose a barrier to connected planning, while 94% are not tapping the full potential of algorithmic forecasting. But the opportunities are greater – 50% of organisations reported being able to complete forecasts in under two weeks, and only about 30% of the surveyed companies still use spreadsheets.
At a recent Finance Leadership Dialogue organised by Financialexpress.com and Oracle, some of India’s top decision-makers pointed out how they are leveraging AI for business growth.
Pankaj Madan, Group Chief Financial Officer, Interglobe Enterprises said: “Technology and accuracy go hand in hand. Earlier, CFOs only had one version of the truth. With technology coming in, it has become egalitarian, it has become democratic, everyone has the same access to the data. It is no longer the forte of finance to be the custodian of data and analytics. These analytics will help solve problems. That’s where human intelligence comes in on top of AI.”
Finance heads and others in an organisation are increasingly looking at the quick results that AI can deliver to make faster and better business decisions. The quality of the data on which AI works matters when it comes to financial planning.
As Shekhar Sood, Group Chief Financial Officer, Bajaj Capital said: “AI is based on data. We need to ensure that whatever data we are feeding AI is accurate. One of the problems we often face is that whenever we bring in a new system, how do we integrate it with our legacy system? That is critical. We have over 4 million customers at Bajaj Capital. AI helps us to be more productive.”
Content retrieved from: https://www.financialexpress.com/business/digital-transformation-how-ai-can-help-in-better-financial-planning-3768915/.
