Webinar Recap: AI Transformation — The Future of Finance

Careers in finance are rapidly changing, and one of the most exciting trends driving this transformation is artificial intelligence (AI). During CFI’s latest event, AI Transformation: The Future of Finance, an audience of finance professionals had the opportunity to learn how AI is reshaping the FP&A (Financial Planning and Analysis) landscape. 

The fireside chat was led by Ryan Spendelow, CFI’s Senior VP, Training & Curriculum, and featured Glenn Hopper, an AI and finance expert and the author of Deep Finance and the upcoming AI Mastery for Finance Professionals. Together, they discussed AI’s impact on FP&A tasks, tools, and the evolving skill set needed to thrive in this AI-driven era.

AI’s Impact on FP&A Processes

As automation becomes more prevalent, traditional FP&A tasks like forecasting, budgeting, and variance analysis are being redefined by AI. Hopper explained that AI, particularly machine learning, has been around for years, but the rise of generative AI is making these technologies more accessible to a broader range of professionals. 

“Generative AI has captured the imagination because it makes classical AI more accessible to people who don’t code in Python,” Hopper shared.

Tasks that once required significant manual effort, such as creating financial models or analyzing variances, can now be handled more efficiently by AI. Generative AI not only provides results but also generates narrative insights to make complex data more understandable, even for non-financial stakeholders. 

“Generative AI doesn’t just give you the number — it provides narrative insights that make the data easier to understand,” Hopper explained.

Data-Driven Decision Making

The event also highlighted how AI and machine learning are empowering FP&A teams to make more data-driven decisions. According to Hopper, AI tools free up analysts from time-consuming data-crunching tasks, allowing them to focus on higher-value, strategic activities. 

This shift enables finance professionals to act as true business partners within their organizations. 

As Hopper put it, “AI is freeing up FP&A teams from routine tasks, allowing them to become true business partners… focusing on more strategic and value-added activities.”

Predictive Analytics and Forecasting

AI’s ability to enhance financial forecasting models was a major point of discussion. Hopper emphasized how AI improves the accuracy of demand forecasting and cash flow predictions by using internal and external variables, including macroeconomic factors. 

In particular, Hopper is a fan of ARIMA (Auto-Regressive Integrated Moving Average) models, which are used to de-seasonalize and de-trend data for more accurate forecasting. With generative AI, “you can create advanced models and even have the AI explain the forecasts in plain language,” he said.

AI Tools for FP&A

When it comes to AI-powered tools, several are gaining popularity among FP&A professionals. Hopper noted tools like IBM Planning Analytics, Adaptive Insights, and Anaplan, which have integrated AI into their platforms over the years. He also highlighted the recent strides made by Microsoft Copilot, which is making waves in Excel and finance presentations. 

“The barrier to entry for doing complex tasks in Excel is dropping,” Hopper mentioned, thanks to Python integration and Copilot’s evolving features.

AI in Scenario Planning and Sensitivity Analysis

One of the most exciting applications of AI discussed was its role in scenario planning and sensitivity analysis. Hopper explained how AI can now handle complex Monte Carlo simulations and stress tests with ease. By using natural language prompts, finance professionals can quickly generate scenarios and visualizations. 

“You can ask, ‘Generate a scenario where revenue drops by 10% due to a market downturn,’ and quickly get a full breakdown of how cash flow, OpEx, and profitability are affected,” Hopper said.

Challenges of AI Adoption in FP&A

Despite the potential of AI, there are still obstacles to widespread adoption in FP&A. Hopper outlined four key challenges: 

• Trust 
• Data quality 
• Integration 
• Privacy 

AI systems are only as good as the data they’re trained on, and many organizations are still grappling with ensuring their data is clean and well-organized. 

“We’re in a ‘trust but verify’ phase with AI,” Hopper remarked, highlighting the need for human oversight in critical financial processes.

The Future of FP&A with AI

Looking ahead, AI is set to transform the skill set required for FP&A professionals. Hopper emphasized the importance of data science and analytics skills, noting that while AI can automate routine tasks, the real value for finance professionals lies in their ability to interpret and leverage the data effectively. Hopper encouraged attendees to view AI as a tool for enhancing their roles rather than a threat to their jobs.

“Finance professionals will need to upskill in areas like data science, AI, and analytics to stay relevant,” Hopper advised.

Conclusion

The event made it clear that AI is a powerful force reshaping the future of finance. From automating routine tasks to enabling more sophisticated scenario planning, AI is helping finance professionals focus on strategic, value-driven work. 

As AI tools become more accessible, the next generation of FP&A professionals will need to embrace data science and analytics to thrive in this evolving landscape. For finance professionals eager to stay ahead, now is the time to explore AI-powered tools and consider upskilling. 

As Hopper noted, “Those who can harness the power of AI to enhance their decision-making capabilities will be in high demand.”

Additional Resources

To keep advancing your career and skills, check out CFI’s AI courses taught by Glenn Hopper!

AI-Enhanced Financial Analysis

AI-Enhanced Scenario Analysis

Advanced Prompting for Financial Statements

See all FP&A resources

See all data science resources