How GenAI Is Reshaping Strategic Decision-Making and Staffing for CFOs

As GenAI technology matures, its business applications are shifting from basic tasks to more complex, high-impact operations. CFOs are using GenAI not only to enhance back-office efficiencies but also to reshape their broader business strategies. Firms that have used the technology for two years or more see this progression the most, with the benefits becoming increasingly clear as companies integrate it into their workflows and decision-making processes.

These are just some of the findings from the latest edition of PYMNTS Intelligence’s C(AI)O Project, “How GenAI Is Reshaping Strategic Decision-Making and Staffing for CFOs.” This edition draws on insights from a survey of 60 CFOs representing firms with more than $1 billion in annual revenue. The survey was conducted between Sept. 6 and Sept. 18. In this report, CFO respondents offer valuable insights into how they used GenAI for high-impact business functions.

• Experience with GenAI Applications Drives ROI, Impact
• Firms with Long-Term GenAI Use Show Greater Efficiency Gains
• GenAI Reduces Staffing Costs in High-Impact Firms
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• Methodology

Experience with GenAI Applications Drives ROI, Impact

Firms that leverage GenAI for high-impact tasks — like real-time monitoring, workflow automation and strategic decision support — report significantly higher ROI than those using GenAI for routine tasks. CFOs at these firms emphasize how the technology supports complex decision-making, particularly in financial forecasting, regulatory compliance and risk management.

“By using Generative AI, we can detect trends in construction material costs and use [the trends] to optimize procurement strategies and reduce expenses,” one CFO noted, highlighting the value of integrating GenAI into strategic functions.

Firms that have used GenAI for more than five years are in what our research calls the “established” stage. These established firms account for 50% of companies reporting a very positive ROI. Just 5.6% of companies with a very positive ROI are in the launch stage, meaning less than two years of GenAI use. (Firms in the development stage have used GenAI for between two and five years.)

This experience also informs the impact level of GenAI tasks. We find that 27% of companies using the technology for high-impact tasks are in the established phase, compared to just 9.1% in the launch stage. Sixty-four percent have sizable experience with the technology: between two and five years. These findings indicate that more GenAI experience not only increases the likelihood of achieving significant financial returns but also maximizes efficiency through better executing high-impact tasks.

For example, in the financial sector, companies have reduced inventory costs and optimized procurement through real-time GenAI monitoring systems. While requiring deeper workflow integration, these applications are ultimately more rewarding in terms of ROI. As CFOs scale their GenAI use from routine tasks to complex, strategic functions, they unlock greater value and efficiency.

Recent applications reveal ground gained

In September, more than 9 in 10 CFOs reported at least a somewhat positive ROI from GenAI use. Nearly one-third cited a very positive ROI, the highest share of CFOs since this study began. This growth mirrors the rise in key GenAI applications, with 47% of CFOs using the technology for product innovation, 75% for automated workflow management, and 88% for customer service through chatbot systems. Contextualized emails remain the most common routine task for the technology, used by 90% of firms.

The rise in GenAI’s strategic importance is also evident in firms that have implemented the technology for two years or more. These firms recognize GenAI’s importance across most areas of strategic management: They use it to detect disruptions, minimize excess inventory costs and automate regulatory and risk compliance tasks. PYMNTS Intelligence data finds that the most common uses for the technology — creating contextual emails, chatbot capabilities and workflow automation — have significantly grown since June.

Firms with Long-Term GenAI Use Show Greater Efficiency Gains

Companies with the deepest GenAI integration experience more significant efficiency gains. Firms that have used the technology for two years or more report being closer to this valuable full integration. These firms exhibit shorter timelines to full integration than newer adopters — averaging just six years.

We also find that long-term users recognize GenAI’s importance in key areas such as financial planning, tax compliance and cost management.

CFOs at these firms emphasize GenAI’s role in automating highly impactful tasks like product innovation, risk management and real-time performance monitoring. As one CFO explained, “GenAI has allowed us to continuously monitor real-time performance against budgets, enabling quicker adjustments to spending based on emerging trends or unexpected disruptions.” This response capability reduces uncertainty and enhances decision-making in areas such as compliance and financial forecasting.

CFOs also note that GenAI automates routine processes like invoice approvals, ensuring compliance with payment terms and enhancing accounts payable workflows. These efficiencies allow firms to allocate resources more strategically, aligning operational goals with broader organizational objectives.

GenAI Reduces Staffing Costs for High-Impact Firms

GenAI adoption has notably reduced staffing needs, especially for routine or lower-skilled tasks. More than 80% of CFOs reported that automation allowed them to reduce headcount, with the largest reductions in firms using the technology for five years or more. Next to none (93%) of these firms need to hire as many employees.

In addition to cost savings, GenAI enables companies to reallocate human talent to higher-value tasks by automating routine processes such as invoice approvals and compliance monitoring. CFOs noted that GenAI-driven efficiencies allow resources to focus on innovation, risk mitigation, and more complex business functions. However, this shift underscores the growing demand for analytical skills. While this technology reduces the need for lower-skilled positions, it increases the need for employees capable of managing and refining AI systems.

In September, CFOs forecast the shortest time to full GenAI integration, averaging 6.7 years. Even firms that previously saw negligible ROI have reduced their expected timeline for integration by more than half compared to projections from March.

For a growing set of CFOs, GenAI has helped their teams to focus on what really matters. Put another way, recent data suggest that middle market finance operations can use the technology to their advantage — or learn from competitors as they gain this edge.

Methodology

“How GenAI is Reshaping Strategic Decision-Making and Staffing for CFOs” is based on a survey of 60 CFOs from U.S. firms with annual revenues of at least $1 billion. Conducted between Sept. 6 and Sept. 18, 2024, the survey captured insights from CFOs across industries, including finance, retail and manufacturing. The report examines how these firms use GenAI for strategic, high-impact tasks and the resulting returns on investment.

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