CFOs key in crafting GenAI game plan — Gartner survey

SYDNEY, AUSTRALIA — A recent survey by research and advisory company Gartner Inc. found that chief financial officers (CFOs) are actively involved in developing enterprise strategies around generative artificial intelligence (GenAI).

The November 2023 survey of 822 functional leaders showed 34% identifying their CFOs as participating in crafting GenAI approaches at their organizations. This places CFOs behind chief technology officers (55%) and chief information officers (48%).

“GenAI spend is expected to be five to eight times higher than last year at most organizations, and many CFOs are playing the role of copilot to ensure these investments drive measurable benefits and profitable growth without unduly increasing risk,” said Alexander Bant, chief of research in the Gartner Finance practice. 

“CFOs know that GenAI strategies must be cross-functional… They must foster discussions that are going to ensure cost-effective and responsible deployment of GenAI.”

Gartner believes businesses will go through three stages of GenAI deployment: Defend, Extend, and Upend. 

The Defend phase entails picking low-hanging automation fruit and governing responsible use. The Extend stage involves more customized GenAI tailored to a company’s specific value proposition. Finally, Upend involves profound GenAI-driven shifts that create new products, services and markets.

“This is the game-changing stuff that can get very expensive, very fast. But it also comes with much higher potential rewards,” said Bant.

This strategic insight was shared during the Gartner CFO & Finance Executive Conference on February 26-27 in Sydney, aiming to equip finance leaders with the knowledge to navigate the complexities of GenAI amidst challenges like inflation, talent scarcity, and supply constraints.