AI Transforms CFOs into Strategic Players

AI Redefines Financial Professions: A Revolution in Progress

Artificial intelligence (AI) is profoundly disrupting the finance sector, particularly the role of Chief Financial Officer (CFO). Traditionally focused on the production and consolidation of numerical data, the CFO's role is evolving towards more strategic missions involving management and decision-making. This transformation is the result of the gradual integration of AI into financial processes, promising automation that goes well beyond the mere execution of repetitive tasks.

The Impact of AI on Financial Practices

AI has significantly altered the landscape of financial professions. CFOs, in particular, must now navigate an environment where security, reliability of results, and data confidentiality are paramount. To understand this evolution, Maddyness consulted two experts: Mickaël Mina, AI Director for France and Southern Europe at Sage, and Romain Maltrud, CFO and AI trainer for 15 years.

A Transformation in Three Phases

Historically, the daily routine of CFOs relied on the production and verification of figures, a process that was largely manual despite available tools. Automation had already promised to simplify these tasks, but without truly revolutionizing the sector. With the advent of AI, this change has become tangible, unfolding in three distinct phases:

• The first wave of AI enabled the automation of certain tasks and the detection of anomalies in financial flows.
• The second phase, marked by the rise of generative AI, facilitated access to accounting data through the use of natural language.
• The third phase, that of agentic AI, is currently redefining the contours of the profession by allowing AI to produce complete and structured deliverables.

Mickaël Mina illustrates this evolution by explaining that AI has progressed from simply answering questions like "what is my revenue" to more complex analyses such as "why is it decreasing," and finally to requests like "create a P&L for me." This ability to produce financial models in a matter of minutes, directly in tools like Excel, transforms the role of the CFO, who no longer has to worry about repetitive tasks like invoice entry or bank reconciliations.

The Challenges of Training AI Models

Despite its advancements, AI presents notable limitations. Generalist models, while effective for content generation and statistical analysis, struggle to integrate the specificities of financial professions, regulatory constraints, and unique organizational contexts. Mickaël Mina emphasizes that these models cannot anticipate changes such as those in VAT or the tax differences between countries.

The risks associated with using AI include hallucinations, a lack of reliability, and an absence of determinism, where different results can be obtained for the same prompt. These issues are incompatible with the precision and reliability requirements of financial functions, potentially leading to costly errors such as tax adjustments.

To address these limitations, specialized solutions like Sage Copilot have been developed. These tools, trained on specific use cases, offer greater reliability and security, operating in a closed loop to protect sensitive company data.

The Appeal and Reluctance Towards AI

Although AI is generating increasing interest, its adoption remains cautious among CFOs. Mickaël Mina attributes this hesitation to a cultural barrier and a lack of trust, rather than technological or financial obstacles. With entry costs having significantly decreased, the real challenge lies in understanding and activating the potential of AI.

Romain Maltrud notes that AI remains an abstract concept for many CFOs, who perceive its potential without knowing how to leverage it concretely. Despite the promises of AI, experts do not believe in a total replacement of CFOs. Mickaël Mina is convinced that AI will enable CFOs to do more and better, rather than replace them, highlighting a shift towards more strategic roles.

Towards an Increased Strategic Role for CFOs

The role of a CFO involves leadership that goes beyond the production of figures. AI, while effective for certain tasks, lacks the human intuition necessary for strategic decision-making. CFOs will continue to play a crucial role in monitoring and providing strategic guidance for companies.

According to the AI Director at Sage, the CFO will become a conductor, responsible for strategic direction, scenario simulation, and hypothesis validation. Ultimately, their role could resemble that of a "Head of AI," arbitrating between different technological solutions, securing data, and optimizing its use. Mickaël Mina compares AI to a junior management controller, to whom production work can be entrusted, but whose results require human verification. He advises companies to start addressing these crucial questions now to remain competitive.