Why your finance team should be involved in big AI decisions

Artificial intelligence adoption in businesses has been rapid, yet many companies struggle to translate their AI investments into tangible financial returns, highlighting a critical gap between technological understanding and practical value creation.

Current state of AI implementation: A recent survey of 750 executives across industries reveals a notable disconnect between perceived AI knowledge and actual business impact.

• 65% of executives believe they possess advanced understanding of AI and its benefits, while 18% claim cutting-edge knowledge
• Despite high confidence levels, only 6% report having cutting-edge ability to generate meaningful profit and loss impact from AI technologies
• The survey included 150 technology executives and 600 leaders from other industries, providing a broad perspective on AI adoption challenges

Key success factors: Companies achieving the best results with AI aren’t necessarily those with the most sophisticated technology, but rather those that leverage diverse expertise in their decision-making process.

• Successful AI implementation requires cross-functional collaboration rather than relying solely on technical expertise
• The finance team’s analytical capabilities and objective perspective are crucial for evaluating AI investments
• Early involvement of finance professionals helps transform AI initiatives from experimental projects into reliable growth drivers

Finance team’s strategic role: Finance departments bring unique value to AI decision-making through their ability to evaluate investments, maintain accountability, and provide objective analysis.

• Financial expertise helps quantify both potential returns and risks associated with AI investments
• Finance teams can ensure AI projects align with broader business objectives and financial targets
• Their involvement helps bridge the gap between technical capabilities and business value creation

Bridging the value gap: The significant disparity between understanding AI and deriving value from it suggests a need for more structured approaches to AI implementation and evaluation.

The gap between perceived AI expertise and actual business impact underscores the importance of involving finance teams early in AI initiatives. As companies continue to invest in AI technologies, the role of finance in ensuring these investments deliver measurable returns will become increasingly critical for sustainable AI adoption and value creation.