GenAI is rapidly shifting from back-office experimentation to the strategic core of finance departments at major U.S. corporations, according to a PYMNTS report, “CFOs Envision Growing Role For GenAI In Finance.”
PYMNTS surveyed 60 chief financial officers (CFOs) from United States firms with at least $1 billion in annual revenue, revealing a significant increase in the strategic application and positive outlook for generative artificial intelligence (AI) within their organizations. The findings indicate that CFOs are increasingly leveraging generative AI (GenAI) for high-impact tasks such as data visualization, financial reporting and capital management, signaling a departure from more routine applications. This growing reliance suggests that finance leaders are betting on GenAI to navigate economic uncertainties and enhance their strategic decision-making processes.
The PYMNTS Intelligence research highlights a notable evolution in how CFOs perceive and utilize GenAI. In June 2024, a greater proportion of middle-market firms were employing the technology for medium-impact activities compared to low-impact ones, a trend that began in March. Specifically, 45% of middle-market firms reported using GenAI for medium-impact tasks in June, up from 35% in March. Furthermore, CFOs expressed increasing confidence in the technology’s importance across various financial functions. The percentage of CFOs who viewed GenAI as important for financial reporting surged from 37% in March to 68% in June, and for capital management, it rose from 30% to 58% over the same period. This growing adoption and heightened expectations underscore the transformative potential of GenAI within corporate finance.
Key data points from the PYMNTS Intelligence report include:
- Over 98% of CFOs surveyed anticipate a positive impact of GenAI on their industry within the next three years, particularly in accelerating decision-making, up from the 77% who held the same view in March.
- The most common reported use of GenAI among CFOs was for data visualizations and reports, with over 60% of respondents indicating its application in this area.
- CFOs’ perception of OpenAI as the leading GenAI company has decreased, with 20% identifying it as the leader in June, down from 27% earlier in the year. Meanwhile, perceptions of Microsoft, Google and Meta as dominant players have increased.
The report also explores CFOs’ perspectives on the shifting landscape of GenAI providers. While OpenAI’s ChatGPT remains a prominent name, the movement of key personnel to competitors like Anthropic and the evolving market shares of companies like Microsoft and Google are capturing the attention of finance leaders. This dynamic environment could potentially offer CFOs more diverse and profitable avenues for their GenAI investments as new modalities and use cases emerge.
Source: https://www.pymnts.com/
