AI and Finance: An Excellent Fit

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Finance has the reputation of being one of the most conservative fields. Finance professionals are stereotypically slow to embrace change. You wouldn’t think of finance as a space that would be ready to implement something as cutting-edge as AI.

However, the field of finance offers amazing use cases for AI. Read on to learn how today’s finance departments are applying this technology to become more efficient and to make better decisions.

What Are Companies Doing with AI in Finance Today?

How are companies using AI in finance today? There are a few ways which are noteworthy.

One way is through AI-enabled invoice management solutions. These are already on the market. This software streamlines processing invoices because it learns accounting codes and applies them accordingly.

Another way is chatbots that can answer questions customers have about their invoices, such as when they’re due or account balances. Chatbots are already in use. They save time for finance teams because, when a chatbot answers a customer question, the finance team can concentrate on doing something else (such as finding cost savings for the company).

How Will AI Shape the Future of Finance?

It’s clear that AI has an impact on finance today. How will it continue to affect this field in the future?

One area is procurement. In the future, procurement will become a paperless process. Machines will be able to process the unstructured data largely in use in procurement. Instead of a human constantly having to track fluctuating prices from a number of suppliers, a machine could do so, and faster than a person.

Audits are another area in which AI can play a bigger role in the future. Machines can analyze contracts much faster than humans. Moreover, they can review more of them at once. In an AI-assisted audit, auditors could get more done and faster, making the process more efficient.

AI can help with supplier onboarding, too. Instead of humans checking credit scores or finding tax information (which are time-consuming processes), a machine could do that in less time. Additionally, a computer could add the supplier in the system without any human involvement whatsoever.

The monthly and quarterly close processes are also ripe for the changes AI can bring. Machines have the capability to post data from a number of sources. In addition, they can consolidate it and reconcile it. Because there’s less human involvement in the close process, the numbers won’t be questionable or erroneous. As a result, the process will go faster and be more accurate.

Expense management could be revolutionized with the help of AI. Machines can do the work that humans do – reviewing receipts and ensuring they’re in line with your policies. They can also alert you when someone has violated policies.

While finance professionals are conservative, they are also forward-thinking. They understand that AI can help them be more productive, efficient, and cost-effective. That’s why we can expect to see AI play a greater role in this field in coming years.

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