Executives Initially Hesitant Towards AI Capital Allocation, Yet Their Attitudes Shifted Upon Introduction of Agent-Based Technologies
In the ever-evolving business landscape, Chief Financial Officers (CFOs) are increasingly viewing Artificial Intelligence (AI) agents as vital tools for long-term revenue growth and broader business outcomes. This shift, from a cautious to a strategic approach, is transforming the CFO function and reshaping the entire scope of the role.
According to recent studies, nearly three-quarters (74%) of CFOs believe AI agents will cut costs and increase revenue by up to 20%. This optimistic outlook stems from the expectation that AI agents will improve productivity, optimize operations, enhance financial forecasting, risk assessment, and expense management.
This strategic investment in AI agents is reflected in the fact that CFOs are dedicating 25% of their total AI budgets on these technologies. The shift is so significant that where 70% of CFOs had conservative AI strategies in 2020, only 4% do now.
The role of AI agents, often referred to as "digital labor" by Salesforce, is seen as crucial in navigating challenging conditions and remaining competitive. About 61% of CFOs report that autonomous AI agents, which can perform specific tasks without human intervention, are changing how they evaluate Return on Investment (ROI). These CFOs are now measuring success based on productivity and efficiency, rather than simple financial rewards.
Risk assessments (74%), financial forecasting (58%), and expense management (54%) are leading functions handled by AI agents, showing confidence in their ability to manage critical financial operations autonomously.
However, the adoption of AI agents is not without concerns. Privacy risks associated with AI agents are a leading concern, cited by 66% of respondents. Security and privacy threats, and longer times to ROI remain CFO concerns, demanding careful governance and ethical management of AI.
Enterprises facing challenging macroeconomic conditions find the long time to ROI a notable worry, cited by 56% of respondents. This concern is particularly pronounced in 2023 and 2024, with nearly two-thirds (65%) of CFOs facing huge pressure to deliver a return on tech investments during these years.
In the Asia Pacific region, 75% of CFOs believe AI agents will drive both cost savings and revenue growth. They are changing their ROI evaluation approach to focus more on productivity, risk management, and financial control.
The introduction of AI agents has prompted a decisive and strategic shift for CFOs, according to Robin Washington, president and chief operational and financial officer at Salesforce. With AI agents, the CFO function is not merely transforming business models; it is fundamentally reshaping the entire scope of the CFO function.
Despite the widespread adoption of AI agents, IT leaders have expressed doubts about the trustworthiness of these agents. However, the reasons for these doubts are not detailed in the studies.
In conclusion, CFOs are evolving their role from financial stewards towards architects of "agentic enterprise value," embracing AI agents as integral to shaping strategic business outcomes across finance functions. This shift is a testament to the transformative potential of AI and its role in driving business growth and success in the 21st century.
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- As AI agents play a significant role in diverse finance functions such as risk assessments, financial forecasting, and expense management, it's crucial for CFOs to establish robust cybersecurity measures to protect sensitive data.
- With the increasing reliance on AI agents for cost savings, revenue growth, and enhanced business outcomes, integrating advanced cybersecurity technology and artificial-intelligence-powered solutions could provide a competitive edge in managing evolving security threats.
