What the democratisation of AI means for the transformation of Finance

The landscape of Generative Artificial Intelligence (GenAI) is evolving at an unprecedented pace, offering companies a unique opportunity to drive innovation and secure competitive advantages. Among the various departments poised to benefit from this technological revolution, Finance Departments stand out as ideal candidates for early adoption.

GenAI has the potential to revolutionise the way finance departments operate, enabling them to automate routine tasks, enhance decision-making processes, and uncover valuable insights from vast datasets. From your virtual assistant, which allows you to ‘Chat- with your-data and documents’ over automated document processing to automating financial reporting, the applications of GenAI are vast and varied. By implementing a structured and systematic approach, finance departments can not only improve efficiency but also drive strategic growth.

For organisations eager to start their GenAI journey, adopting a streamlined target operating model, or 'TOM Light,' is an excellent first step. This approach allows organisations to quickly realise the benefits of GenAI without the need for extensive initial investments or complex restructuring. By focusing on a few high-impact use cases, supported with a preliminary reduced governance and technology set-up, finance teams can demonstrate the value of GenAI and build momentum for broader adoption.

The GenAI revolution requires companies to actively support their employees during the transition, convincing them of the benefit and initiating a cultural shift. New skill sets are in demand and employees need to learn to use new GenAI systems effectively in a corporate context. 

To expand the pipeline with additional use cases and support the successful rollout of the previously mentioned high-impact use cases, it proves to be successful to start investing in an initial training of a first group of employees and extend stepwise. A role-based upskilling initiative typically includes foundational and technical AI knowledge complemented by practical use case ideation sessions - from day-to-day small benefits to large-scale GenAI use cases. For example, knowing to effectively create prompts and recognisze potential applications of GenAI can create efficiencies in an Accountant’s or Controller’s daily tasks.

While 'TOM Light' offers a quick and effective entry point, long-term success with GenAI requires a more comprehensive target operating model. This model should be designed to handle GenAI effectively and responsibly, ensuring that the technology is integrated seamlessly into the organisation's processes and culture.

Key components of a comprehensive target operating model include for example:

1. Governance Framework: Establish clear guidelines for the responsible use of GenAI, including data privacy and security measures.
2. Talent and Skills Development: Invest in larger scale enablement building on the experience with the initial group to equip finance teams with the skills needed to leverage GenAI effectively.
3. Technology Infrastructure: Build a robust and scalable technology infrastructure that can support the deployment and ongoing maintenance of GenAI solutions.

With a target operating model in place, organisations can develop a detailed roadmap outlining the steps needed to implement GenAI across the finance department. 

The transformative potential of GenAI is undeniable, and finance departments are uniquely positioned to lead the way. By taking immediate action and adopting a structured approach, finance teams can drive innovation, enhance efficiency, and create sustainable competitive advantages. The time to embrace GenAI is now – don’t just observe the revolution, be a part of it.

Embrace the future of finance with GenAI and pave the way for a new era of AI-driven digitalisation.