Finance leaders rapidly advancing their AI knowledge
by Pushpendra Mehta, Executive Writer, CTMfile
“This year, the conversation around AI has touched every industry and department. The CFO’s Office is no exception. We’ve gathered hard data about investment in career-defining AI skills and knowledge by CFOs, both for organizational success, and for career advancement, as well as the unsentimental view of CFOs that AI will see a reduction of headcount in the CFO’s Office”, states the 2024 Datarails CFO Sentiments survey: How AI is Changing Finance Departments.
The Datarails survey, conducted by independent research firm Global Surveyz, polled 270 chief financial officers (CFOs) from US companies generating annual revenues ranging from US$50 million to $999 million. The survey report delves into the current state of Finance departments, as well as CFOs’ goals, technology investments, and pressing challenges.
Finance chiefs, as revealed by the survey, harbour ambitions to rise to CEO positions and recognize the importance of AI proficiency in enhancing their marketability. Let’s explore these findings further:
CFOs are accelerating their AI learning
The impact of AI on businesses is expected to be profound, transforming operations and unlocking new opportunities for revenue and profit growth. Recognizing this, finance chiefs understand that developing AI skills is essential not only for their teams and organizations to succeed but also for thriving in their current roles and furthering their careers in a technology-driven world. As outlined in the Datarails survey, this explains the motivation behind 85% of CFOs actively working to enhance their AI knowledge.
Source: The 2024 Datarails CFO Sentiments survey
Beyond that, over half of finance leaders (51%) report that their efforts to strengthen their AI knowledge are significant or extensive.
CFOs with AI skills elevate their market value
CFOs with AI skills augment their professional worth, underscoring the growing importance of AI expertise in career advancement.
Source: The 2024 Datarails CFO Sentiments survey
Note: Question allowed more than one answer and as a result, percentages will add up to more than 100%.
The drive for career progression is evident among finance leaders, with 97% setting their sights on becoming a CEO at some point in their careers and 52% feeling ready to take that leap immediately. According to the Datarails survey, acquiring AI skills is now crucial, with 91% of finance chiefs indicating that AI know-how enhances their “market value.”
Top use cases for AI in the CFO’s office
CFOs rank financial reporting (26%), analytics (22%), and risk assessment and management (21%) as the primary AI use cases in their office.
Source: The 2024 Datarails CFO Sentiments survey
The other areas where AI solutions have the greatest impact in the CFO’s domain are accounts receivable (AR) at 17% and invoicing and billing at 14%.
In conclusion, addressing the question, “How will the growth of AI impact jobs in finance?”, a majority (57%) of finance chiefs surveyed believe there will be a reduction in the number of jobs in the finance department over the next two years. Meanwhile, 16% expect Generative AI to increase roles, creating more opportunities for those with finance expertise, and 27% feel AI will have no impact on the number of finance roles at all.
Despite concerns about AI’s impact on the workforce, finance leaders are forging ahead with the adoption of the technology. Looking at 2025 and beyond, the Datarails survey shows that 70% of CFOs plan to invest in AI for their offices, with this commitment increasing to 91% among finance chiefs at companies with over 1,000 employees, reflecting an accelerating momentum behind Generative AI.
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