- CFOs are open to the potential of generative AI tools for earnings preparation
- JPMorgan Chase & Co. and Verizon Communications Inc. have already restricted the use of ChatGPT, a generative AI tool powered by OpenAI, to ensure compliance
- Generative AI is a hot topic in the finance industry, and experts at the recent CFO Network event discussed how it could have a transformative impact on sales and pricing strategies
The rise of generative AI has yet to prove its worth in corporate finance, but according to experts at a recent Wall Street Journal CFO Network event, that could soon change. While the technology has already found a home in marketing, IT, and HR, finance executives are now exploring its potential use cases. Generative AI can create text, images or other media based on user text prompts, and HP Inc. finance chief Marie Myers believes it could streamline current practices, highlighting investor relations and earnings preparation as areas of interest. Despite being seen as risk-averse, the finance industry may soon be embracing cutting-edge technology.
Recent research suggests that CFOs are open to the potential of generative AI tools for earnings preparation, but only with strict data security and privacy assurances in place. JPMorgan Chase & Co. and Verizon Communications Inc. have already restricted the use of ChatGPT, a generative AI tool powered by OpenAI, to ensure compliance. While CFOs are seen as cautious by nature, AI firm Cohere's COO Martin Kon predicts that public tools like ChatGPT will continue to be used by consumers, while enterprises will develop more bespoke, private generative AI applications. This could result in two very distinct types of applications: one for general productivity, which will be well-suited to mass-market use, and another for enterprise-specific, strategic, and proprietary capabilities that will require bespoke development. As the governance roadmap for generative AI continues to evolve, CFOs will need to balance the potential benefits with the risks involved.
Generative AI is a hot topic in the finance industry, and experts at the recent CFO Network event discussed how it could have a transformative impact on sales and pricing strategies. Darryl Bond, CFO at Yext Inc., shared how he and the company's CEO are exploring the potential of generative AI to gain better insights into sales productivity, including sales performance and customer behaviour. However, as companies adopt more automation, CFOs may need to forecast the impact on headcounts and manage costs carefully. HP Inc. CFO Marie Myers sees the potential for generative AI to drive productivity across the whole company, calling it the "most agile moment in productivity" that she's seen in her career. But she also acknowledges that the speed of change will require more agility and a different structure to enable productivity gains at speed. As generative AI continues to evolve, CFOs will need to balance the potential benefits with the challenges of managing change.
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