Dear colleagues,

Despite a marginal 8% improvement since 2019, FP&A teams still invest nearly half of their time in low-value activities such as data collection and validation.

In contrast, organisations leveraging Artificial Intelligence/Machine Learning (AI/ML) spend more time on high-value tasks, like driving actions and insight generation. But does the integration of AI/ML in FP&A diminish the importance of the human element, or does it highlight a complementary relationship between technology and human expertise for organisational success?

In this digest, we delve into the evolving role of AI/ML, exploring the transformative power they hold within organisations and the role of human intelligence in this process. You will find the collection of useful resources, such as articles and a video from senior finance practitioners, the FP&A White Paper and a recording of the webinar “How can CFOs prepare for the future of an AI infused finance function?”

We hope this issue will help you find the description of capabilities that finance professionals can reasonably expect from AI technologies.

Kind regards,

Larysa Melnychuk, CEO and Founder
FP&A Trends Group & International FP&A Board

Watch this on-demand webinar with Gary Simon, CEO of FSN and Adrian Wilkinson, Product Strategist at Prophix, as they discuss the latest research and expectations around AI and machine learning technology, and its impact on finance.

Key takeaways:

• Industry experts suggest full finance automation by the end of the decade
• ChatGPT is already integrated in many forecasting applications
• FSN research suggests 72% of CFOs aim to enhance process efficiency with AI and ML

Watch the recording now and discover practical steps for your finance function to thrive in an automated future.

By Matt Poleski

Goldman Sachs predicted in March 2023 that Artificial Intelligence might replace 300 million global jobs, posing a potential threat to white-collar professions like finance. It makes many of us worry – are our FP&A jobs at risk?

In this article, Matt Poleski, Northeast Region CFO at Gallagher, emphasises that AI will still struggle to resolve human conflict over the interpretation of data and describes the importance of the human role in presenting complex data.

By Dr Stylianos Kampakis

The landscape of modern finance is undergoing significant changes, driven by technological advancements and a growing demand for more sophisticated analytics. Among the various technologies making waves in the industry, Artificial Intelligence (AI) stands out as a highly promising force in reshaping the Financial Planning and Analysis (FP&A).

Read this article by Dr. Stylianos Kampakis, CEO at the Tesseract Academy, to learn about two of the most prominent applications of AI in the realm of FP&A: forecasting and digital twins.

By Tanja Schlesinger

Different businesses strive to drive productivity and achieve more. That is why many leaders try to find the keys to thriving in a persistently changing world. Modern technology and Artificial Intelligence can play a crucial role in improving financial performance. However, we cannot rely on AI without credible data.

In this video, Tanja Schlesinger, VP OneSource at Deutsche Bahn Regio AG, explains why good data and AI deployment in finance should not be viewed separately.

Artificial Intelligence (AI)/Machine Learning (ML) has already become a game-changer for many industries, and Financial Planning and Analysis (FP&A) is no exception. However, many people can easily misinterpret its functionality, which is why many companies still struggle with implementing AI/ML.

To benefit from AI/ML, we have to understand that it will not replace our jobs. Instead, it can become our assistant and help us eliminate many routine tasks. But what is the best way to leverage the potential of AI/ML in your organisation?

The answer is to blend our intelligence with the power of AI/ML mechanisms. We welcome you to read our white paper, which offers insights into transforming the role of FP&A using the combined power of Human and Artificial Intelligence.

FP&A Trends Group is launching the 8th Survey to analyse up-to-date issues affecting the performance of FP&A departments and deep dives into the evolving role of Financial Planning & Analysis.

Your contribution will help us understand the most crucial challenges within modern FP&A and define what needs to be overcome. In return, we will share the final report with you in July 2024. Therefore, I cordially invite you to spend 10-12 minutes completing the FP&A Trends Survey 2024. Sharing this questionnaire with your network is highly appreciated.

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