AI in finance – KPMG Canada #CanadaFinance

Globally, business leaders are using generative AI for dynamic reporting and narrative generation, forecasting models and scenario generation, document management, compliance monitoring and reporting, and automated tax preparation, among other applications.

In the finance and risk function, the top AI use cases being piloted or implemented by Canadian organizations include:

• Fraud detection and prevention (54%)
• Research and data analysis (50%)
• Predictive analysis and planning (50%).

The key to moving forward is being very deliberate about how organizations choose their use cases so they link back to enterprise value.

However, many organizations start by looking for a problem to solve with generative AI versus looking for an outcome they’re trying to achieve — and evaluating whether AI should or shouldn’t be a solution for it. Rather than looking at what to ‘fix’ with AI, it’s about looking at pain points and finding solutions to help organizations become more efficient and productive. For example, one Canadian bank surveyed by KPMG is merging AI with blockchain to ensure secure and transparent financial transactions.

Generative AI in and of itself isn’t going to solve all these pain points, but it’s one component of a broader transformation journey. So, while use cases are important, it’s also critical to come up with a broader vision and strategy for the finance function that is tied to value.