24% of organisations are implementing advanced AI in finance, according to the KPMG Global AI in Finance Report. Of the 2900 CFOs from key markets worldwide surveyed, a whopping 71% have implemented AI solutions in their company’s financial processes, with a quarter employing AI across most of them. Furthermore, 57% of organisations leading in AI adoption report that the return on investment (ROI) on this technology exceeds their expectations.
KPMG’s report reveals that accounting teams and those involved in financial planning are pioneers in AI implementation. Already, 10% of organisations are using AI across these areas, making them the most advanced in adopting this technology. Simultaneously, nearly half of the companies are integrating artificial intelligence into finance and risk management, enabling better cash flow forecasting, more effective fraud detection, and more accurate credit risk assessment.
AI is transforming finance departments’ operations, positively influencing both the quality and efficiency of their work. AI automates repetitive tasks and reduces error rates, allowing companies to cut costs. It also simplifies regulatory changes implementation, despite their complexity and frequent modifications. Consequently, organisations can focus on strategic actions. However, AI’s effectiveness depends on data quality – the better organized and more trustworthy the data, the more accurate the analyses and recommendations the system provides. Without appropriate data, AI can produce incorrect analyses and lead to incorrect conclusions.
Andrzej Gałkowski, Partner, Banking Advisory Leader, Head of AI at KPMG in Poland and Eastern Europe, highlights the importance of responsible AI management, encompassing transparency, ethics, and algorithm quality control. He notes that companies combining modern technologies with good supervision and a culture of responsibility not only optimise financial processes but also build lasting trust and gain a competitive market edge.
The report also illustrates that progress in tax management is considerably slower, with only about a third of firms testing or actively using AI in this area. This is mainly due to regulatory challenges and the necessity to combine technology with the tax expertise of specialists.
KPMG Director and AI and Data Science Leader in Poland, Leszek Ortyński, comments that AI is revolutionising finance, but its effectiveness relies on integration with the organisation’s knowledge and data, its driving fuel. He points out that companies achieving success with AI are those that view it not as an end in itself but as part of a broader system of improvements. Essential elements include combining technology with human knowledge and experience and solid business processes. By doing this, AI can effectively support decision-making while minimising the risk of errors.
Despite the many benefits, companies are still encountering significant difficulties implementing AI. The most commonly identified challenges include data security and privacy issues (57%), lack of appropriate skills within organisations (53%), and difficulties obtaining consistent data (48%). Additionally, 45% of companies point to the high implementation costs, while 40% highlight the issue of AI process transparency.
Interestingly, organisations leading in AI implementation are more proactive in overcoming these challenges. Nearly 75% of them have implemented rules for responsible AI use. This approach minimises risk and maximises the potential of AI in finance.
The full report, “KPMG Global AI in Finance Report”, is available via the KPMG Poland website.
About the report:
KPMG carried out a study on progress in using artificial intelligence in financial reporting in April 2024. The study covered 1800 CFOs from the 10 main global markets in North America, Europe, and the Asia-Pacific region. The dynamic development of AI led to an expanded study in September 2024, additionally covering Latin America, Asia and the Pacific, the Middle East, and Africa. The respondent group was increased to 2900, and in addition to financial reporting, aspects concerning accounting, risk, tax operations, and finance management were analysed. The report results from the analysis of both survey studies.
Source: https://ceo.com.pl/kpmg-roi-z-inwestycji-w-ai-w-finansach-przekracza-oczekiwania-57-firm-91271
