27% of Finance Departments To Utilise Artificial Intelligence by 2020
More than a quarter of organisations expect their finance departments to employ some form of Artificial Intelligence by 2020, according to a worldwide survey of more than 400 firms by Gartner, Inc.
Christopher Iervolino, senior director analyst at Gartner, explains
“More than a quarter of organizations surveyed expect to deploy some form of artificial intelligence (AI) or machine learning in their finance department by 2020. Moreover, half the respondents expect to deploy predictive analytics in the same period.”
Other technologies expected to be deployed by the turn of the decade include: machine learning, robotic process automation (RPA), integration of external data, and mobile support for financial processes.
Iervolino noted that finance leaders, particularly CFOs, are interested in finding new methods which reduce costs and provide any kind of new insight which may lead to potential competitive advantages. The survey highlighted the rising use of emerging technologies to achieve these aims.
Gartner proposes a three-step plan to engage with Artificial Intelligence in financial services and processes:
#1 — Examine Financial Service Tools and Processes
Focus on existing shortcomings that could be improved with a more data-intensive approach, using more operational data and more direct participation from lines of business (LOBs). Then prototype proven vendor capabilities against these shortcomings.
#2 — Expand Financial Analytical Capabilities
Look for underutilized capabilities the organization already has, such as data discovery, forecasting probability, correlation and exception detection functions. If needed, invest in analytics specialists or training to properly prototype these capabilities against known FP&A pain points.
#3 — Strongly Pursue AI Opportunities
Once the finance organization has properly evaluated its existing tools, and built the expertise to use them, it will be in a strong position to build a business case to invest in an AI initiative, if the potential is identified. Moreover, it may demonstrate the need for the finance department’s involvement in existing AI initiatives.
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