Fintech PR
The AI Tipping Point: Half of CFOs will axe AI investment if it doesn’t show ROI next year
- 4 out of 5 organizations are set to increase AI investment, but CFOs ‘don’t know where to start’
- 31% lack clear strategic vision for AI within the finance function
- This uncertainty is preventing 41% of finance leaders from prioritizing AI investment
- 75% of CFOs want greater investment in AI to focus more on strategic activities such as e-invoicing compliance and regulation
CHARLOTTE, N.C., Nov. 13, 2024 /PRNewswire/ — Four out of five Chief Financial Officers (78%) have expressed a desire to increase their investment in AI over the next 12 to 18 months, recognizing its value in transforming financial operations, but admit they ‘don’t know where to start’, according to a new *global survey.
While this signals growing confidence in AI, it’s accompanied by a strict demand for accountability. Half of CFOs (50%) report they will axe AI investment if it fails to deliver measurable ROI within a year, highlighting a narrow window for proving its impact.
The findings were revealed in accounts payable automation Basware’s AI to ROI Report, conducted by independent research firm Financial Times Longitude. The study surveyed 400 global CFOs and finance leaders on their attitude, priorities and challenges when it comes to AI in the finance department.
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Uncertainty is Restricting Investment
The biggest priority for financial leaders when implementing finance transformation projects is cost efficiency, with one-third (32%) listing it as their primary focus.
However, any financial confidence will remain rocky with macroeconomic and geopolitical uncertainties continuing to swirl up until the end of the year, and beyond.
This uncertainty is directly impacting AI adoption within finance functions, making it challenging for 41% of finance leaders to prioritize AI investment.
No one is exempt from the fallout of uncertainty. Even Meta’s latest earnings saw a reduced stock-price revision worth $5.1bn to reflect concerns over the company’s capacity to mobilize AI investments and sustain growth. Meta has invested in a “significant acceleration” in AI-related infrastructure, but analysts warn that they need to prove they can continue to cover its rising AI costs and deliver ROI. For companies like Meta, a bounce-back is likely, but recoverability in the short-term isn’t achievable for all.
Unclear AI Strategy
According to the report, finance leaders want to invest more in AI to reduce manual tasks and allow their teams to focus on priorities in their business. 70% of finance leaders said that staff want AI support for administrative tasks, while 75% report that AI has enabled their workforce to focus on more strategic activities such as e-invoicing compliance.
However, the biggest barrier to finance transformation is change management and an unclear AI strategy. 40% of finance leaders state that their organization lacks change management capabilities, while 31% highlight a lack of clear strategic vision for the future of the finance function.
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These factors hinder ROI for AI projects, resulting in question marks over investment without tangible financial benefits.
Perttu Nihti, Chief Product Officer at Basware, commented on the new AI study:
“The office of the CFO is tasked with overseeing a complex range of functions from regulatory compliance through to cash flow management and financial reporting. All of which are areas where AI-powered automation can help to reduce hours and relieve pressure. But the success of AI investment hangs on knowing where to start and proving impact. We’re at the AI tipping point. Focusing on high-value wins, such as AI-powered efficiency that demonstrate quantifiable ROI quickly, in areas such as compliance, error reduction and fraud detection, will help justify investment across a company’s organization.”
Turning Investment into Results
Accounts Payable is one such starting point that is already returning greater levels of ROI. The survey revealed that organizations prioritizing AI investment are realizing a return of 136% ROI, with savings exceeding $1.36 for every $1m invested over the duration of three years.
Among CFOs prioritizing AI innovation and applying it to processes in accounts payable, reducing errors, faster fraud detection, reduced operational costs and improved regulatory compliance were found to be the greatest benefits.
How One Global Company Realized AI’s ROI
One example of how AI has driven ROI for an enterprise is paper and packaging manufacturer Billerud. The accounts payable team was previously hindered by time-consuming manual invoice processing, which cost them several hours each day. To address this inefficiency, they implemented Basware’s SmartPDF AI Instant Learning solution, which uses AI and text extraction to convert PDF invoices into authentic e-invoices.
Billerud has seen a substantial reduction of invoices needing validation, dropping from 15% to 9% due to AI Instant Learning, and saving AP staff several hours each day. Now, powered by AI, over 90% of their invoices are validated automatically due to faster, more accurate data extraction.
Jesper Persson, Business Developer at Billerud, said:
“Since day one, we’ve perceived the desired values from the project. The quality of invoices has improved considerably, and the AI continues to evolve and improve with each passing day. The efficiency gains we achieved translated directly into tangible cost savings, paving the way for a rapid return on investment within just a few months.”
The findings reveal a tipping point for AI in finance. While 50% of CFOs may cut AI investments without clear ROI, those that identify specific starting points for AI implementation – such as invoice processing automation – can achieve measurable returns within months rather than years. These successes are creating a blueprint for broader AI adoption across finance functions.
Notes to Editors
* Invoice automation company Basware and Financial Times Longitude surveyed 400 global CFOs and finance leaders
For the full report, visit here: https://www.basware.com/en/resources/from-ai-to-roi-cfos-and-the-fast-track-to-value
About Basware
Basware is how finance leaders in global enterprises can finally automate their complex, labor-intensive invoice processes and stay compliant with regulatory change. Our AP automation and invoicing platform helps you achieve a new level of efficiency – in a matter of months – while reducing errors and risks. We bring a unique combination of true automation, complete coverage, and deeper expertise to make it all just happen for our customers. That’s why the world’s most efficient AP departments at thousands of companies rely on Basware to handle over 220 million invoices per year. With Basware, Now it all just happens.™
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PASAY CITY, Philippines, Dec. 26, 2024 /PRNewswire/ — The SM Group is approaching the coming year with cautious optimism, encouraged by the continued growth of the Philippine economy.
SM Investments President and Chief Executive Officer Frederic C. DyBuncio said that despite ongoing challenges of peso volatility and higher inflation, the business sector has adapted well.
Consistent demand sustained household spending in the third quarter, with Household Final Consumption Expenditure posting a year-on-year growth of 5.1%, maintaining the same level in the same quarter last year, data from the Philippine Statistics Authority showed.
“Any moderation in inflation should trigger a strong confidence rebound. This could create opportunities in consumer-focused sectors in the country and we are poised to cater to these evolving demands,” Mr. DyBuncio said.
To cater to growing demand, SM continues to expand into more underserved areas, contributing to sustainable economic development and collaborating with government stakeholders to enhance access to modern retail, financial services, and integrated property developments.
“By investing and expanding to more areas nationwide, SM creates new markets and improves access to these essential sectors, serving more communities and helping stimulate sustained economic activities,” he said.
Mr. DyBuncio also said SM continues to invest in promising ventures such as renewable energy and logistics, that foster economic activity.
SM has invested in the clean energy industry through Philippine Geothermal Production Company (PGPC) which produces 300 Megawatts of geothermal steam supply. SM aims to continue to develop geothermal concessions through PGPC in support of the Department of Energy’s goal of reaching 50% renewable energy supply by 2040.
To encourage circularity towards green energy production, SM’s property arm, SM Prime Holdings partnered with GUUN Co. Ltd. (GUUN) to implement the Japanese technique of reducing landfill impact. The technology converts non-recyclable and hard-to-recycle packaging into alternative fuel.
SM’s banking arm, BDO Unibank is one of the largest funders of renewable energy projects. BDO has funded PHP898 billion in sustainable finance, including loans to 59 renewable energy projects as of December 2023.
In logistics and tourism, the improvement of transport networks across the country’s archipelago connects tourist and industrial areas that will help create inclusive growth. SM though its subsidiary 2GO launched MV Masigla and MV Masikap in 2024 to help better connect goods to 19 ports across the country including Iloilo, Bacolod, Cagayan de Oro and Manila, further supporting the government’s push for medium term growth through an upgraded tourism infrastructure and ecosystem.
“Our focus for 2025 will be to drive purposeful growth, empowering communities and partners through our investments towards a sustainable future,” Mr. DyBuncio said.
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View original content:https://www.prnewswire.co.uk/news-releases/sm-approaches-2025-with-cautious-optimism-302339452.html
TAIPEI, Dec. 26, 2024 /PRNewswire/ — VIVOTEK (3454-TW), the global leading security solution provider, has once again demonstrated its outstanding commitment to sustainability. Participating for the first time in the 17th Taiwan Corporate Sustainability Awards (TCSA), VIVOTEK emerged victorious, earning the Sustainability Report Award for the Information, Communication, and Broadcasting Industry and the Taiwan Corporate Sustainability Excellence Award. These recognitions showcase VIVOTEK’s remarkable success in corporate governance, environmental protection, and social responsibility, affirming its dedication to sustainable growth.
Pioneering Sustainability with Dual Recognition
“For over seven years, VIVOTEK has independently published sustainability reports, actively driving and disclosing our internal sustainability initiatives.” said Allen Hsieh, VIVOTEK’s Spokesperson and Director of the Global Marketing Division. “These awards not only recognize our integrity and efforts in presenting operational performance, environmental data, and social impact but also serve as a strong motivation for us to continue advancing on the path of sustainable development.”
Driving Sustainability through AI Innovation
VIVOTEK delivers advanced AI-powered security solutions built on cutting-edge AI and edge computing technologies. Beyond innovation, the company drives green initiatives, reduces its carbon footprint, and fosters a sustainable, supportive workplace.
Committed to social responsibility, VIVOTEK leads the security industry’s sustainability efforts through its ‘Safety Map’ initiative. For four years, employees have formed security teams to enhance safety in neighborhoods, care centers, and schools with on-site assessments and improvement plans.
In 2024, VIVOTEK will expand its efforts to Hualien’s Dacheng Village, where it will help improve local safety environments and support cultural preservation and tourism revitalization. These actions reflect its dedication to sustainability, community well-being, and lasting societal contributions.
Security Sustainability as a Foundation for Social Impact
VIVOTEK proudly received two prestigious honors at the Taiwan Corporate Sustainability Awards, highlighting its dedication to sustainable practices. These accolades inspire the company to deepen its internal efforts and mark the start of an exciting new chapter.
Building on this achievement, VIVOTEK aims to strengthen its mission of becoming the world’s most trusted smart security brand. By aligning with global market needs and fostering collaboration with customers, partners, and employees, VIVOTEK is committed to shaping a sustainable future founded on mutual trust and shared success.
To learn more about VIVOTEK’s sustainability initiatives, please refer to the 2023 Sustainability Report.
View original content:https://www.prnewswire.co.uk/news-releases/vivotek-wins-double-honors-for-its-commitment-to-sustainability-302339223.html
Fintech PR
2024 Global Youth Design Contest on Chinese Characters Themed “Guiyang in Characters” Successfully Concluded
GUIYANG, China, Dec. 26, 2024 /PRNewswire/ — To fully implement the spirit of “carrying forward China’s cultural heritage” and “promoting the creative transformation and innovative development of fine traditional Chinese culture”, the 2024 Global Youth Design Contest on Chinese Characters Themed “Guiyang in Characters”, organized by the Publicity Department of the CPC Guiyang Municipal Committee and hosted by www.huanqiu.com, has successfully concluded on Dec.16. The contest drew thousands of teenagers from both China and abroad, who used cultural empowerment and innovative designs of Chinese characters to narrate and promote Guiyang.
At the “Colorful Guizhou • Literary Plateau” Farming and Reading Event, 59 outstanding works from 26 countries, along with 21 representative pieces from various countries and regions, were showcased. According to the organizing committee of the Global Youth Design Contest on Chinese Characters, “This exhibition serves as both a lasting commemoration of the event and a report to all those who care about the inheritance and promotion of Guiyang and Chinese culture.”
In their submissions, the teenagers selected Chinese characters or phrases they believed best represented Guiyang and reimagined them through innovative designs. Outstanding designs incorporated Guiyang’s iconic architecture and cultural landmarks into Chinese characters to present the city’s urban landscape and historical culture. Some works spotlighted Guiyang’s distinctive cuisine, offering a glimpse into the vibrant and diverse local culinary culture. Some other designs drew inspiration from martial arts villages in Guizhou and featured dragon motifs to symbolize the depth and vitality of Guizhou culture.
Saison from Tajikistan was among the participants in this year’s Global Youth Design Contest on Chinese Characters. Speaking about his design of the Chinese characters, he shared that his design sought to merge the beauty of Chinese characters with the charm of Guiyang. “Guiyang is a captivating place, known for its beautiful scenery, delicious food, and diverse ethnic minorities. I tried to incorporate the beauty of Guiyang into my Chinese character design, hoping to convey the city’s charm and the wonders of Chinese characters through my work.”
The contest officially opened for submissions on September 30. In an effort to boost public engagement and participation, a “cheerleading campaign” was organized for shortlisted works from November 22 to 29. Following expert reviews, 80 outstanding works were ultimately selected for public exhibition.
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View original content:https://www.prnewswire.co.uk/news-releases/2024-global-youth-design-contest-on-chinese-characters-themed-guiyang-in-characters-successfully-concluded-302339323.html
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