In this episode of CFO Weekly, Monica Proothi, Partner and Global Finance Transformation Lead for IBM, joins Megan Weis to explore the latest trends and challenges facing finance leaders, particularly around generative AI. Monica discusses how generative AI is reshaping finance, the need for CFOs to collaborate with CTOs early in IT planning, must-know skills, and the ethical considerations of AI for business professionals.
Monica brings over 20 years of experience in finance transformation across both consulting and industry roles. Known for driving hyper-growth and productivity, she specializes in reshaping finance operating models through people-centered transformations, ERP modernization, intelligent operations, and data-driven technology solutions. Before IBM, Monica held various finance roles at Accenture, Morgan Stanley, and UBS.
In this episode, we discuss:
- How to leverage generative AI for finance transformation
- Upskilling finance professionals for an AI-driven future
- The role of DEI in building stronger finance teams
- Why CFOs must partner with CTOs
- The ethical landscape of AI in finance
Key Takeaways:
Lift While You Climb
Monica's commitment to diversity, equity, and inclusion is rooted in the "lift while you climb" philosophy. As she advances in her career, Monica actively brings others along. In a typically male-dominated finance sector, Monica has built a diverse team, over 60% women and 70% from varied backgrounds, and is proud to see diverse talent promoted. Additionally, Monica highlights the importance of having sponsors, not just mentors, who champion your career growth.
"As you're moving up, you're bringing others along with you. As you're climbing up the ladder, you're lifting folks along." According to Proothi. - 03:15 - 06:19
CFOs in the Driver's Seat
IBM's 2024 CFO survey reveals that CFOs today are driving innovation by embracing technology modernization as a key competitive edge for the next three years. While 72% of top CFOs recognize the critical role of partnering with CTOs, only 35% currently engage in early-tech planning, a gap that showcases a major opportunity. To truly lead, CFOs are moving beyond number-crunching, taking a proactive role in ROI accountability, data-driven decision-making, and cross-functional partnerships. Today's CFOs are evolving into influential business advisors and, in some cases, future CEOs.
As Proothi said, "The role of the CFO has completely changed. They're no longer reporting on the news. They're actually business partnering. They're sitting in the driver's seat." - 07:19 - 11:00
How Generative AI Skills Are Revolutionizing Finance
Generative AI is rapidly transforming finance, shifting from an "if" to a "how" in business strategies. In the next few years, it's set to go beyond basic tasks like collections and reconciliation to strategic functions like FP&A. This AI-driven approach allows CFOs to make smarter, faster decisions, enhancing key areas such as forecasting, reporting, and risk management. Early adopters are already seeing significant gains: up to 57% improvement in sales forecast accuracy, a 43% reduction in uncollectible balances, and faster month-end close times by 33%.
"The focus has shifted from whether AI should be part of the business strategy to how we can harness that AI for efficiency and growth." Proothi claims. - 11:00 - 16:02
AI as a Tool, Not a Threat: Empowering Finance Professionals
To integrate generative AI effectively, organizations need to balance tech advancements with human judgment, ensuring that ethical standards guide AI's role in the workplace. AI should complement, not replace, human intelligence, taking over repetitive tasks so that people can focus on strategic, creative, and complex problem-solving. Finance professionals can foster a culture that prioritizes AI ethics, transparency, and responsibility while learning new skills in AI competencies.
"It's not about being replaced by a robot or AI, but how to augment your job so that you can do more strategic work and not get caught up in the repetitive tasks and the details in the spreadsheets." - 16:02 - 21:58
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