How CFOs Are Unlocking the Power of Advanced Analytics

Some opportunities are too great to ignore. For chief financial officers looking to give their procurement processes a shot in the arm, generative artificial intelligence (GenAI) represents one of those opportunities.According to the latest numbers from the PYMNTS Intelligence March 2025 CAIO Report, “The Investment Impact of GenAI Operating Standards on Enterprise Adoption,” 73% of enterprises are actively exploring GenAI to enhance procurement efficiency.

This interest spans various industries where procurement processes are often mired in manual procedures, inefficiencies and communication gaps. By integrating GenAI tools, companies can work to streamline vendor management, accelerate contract analysis and improve demand forecasting.High-impact enterprises, particularly those with a robust technological infrastructure, are leading the charge.



They see GenAI as a way to reduce operational bottlenecks and drive strategic decision making. For these companies, using AI’s capabilities is not just about cost-cutting but about enhancing overall business agility and competitiveness.From automating mundane tasks to providing insights businesses wouldn’t have seen otherwise, the possibilities of integrating GenAI across procurement function workflows could be immense.

The businesses experimenting now could find themselves with an advantage in the future.Read also: 3 Ways Embedded Finance Solutions Are Remaking B2B ProcurementThe High Potential of GenAI in ProcurementProcurement is a function that, while often overlooked, serves as the backbone of strategic sourcing, supplier management and cost optimization. Yet by their nature, procurement processes involve repetitive, time-intensive tasks such as drafting contracts, processing invoices and maintaining supplier relationships.

If automated effectively, these can unlock value for organizations. GenAI’s ability to process vast amounts of data and generate human-like language can enhance procurement efficiency through natural language processing and intelligent automation.The PYMNTS Intelligence report found that among firms deploying GenAI for high-impact automation, 30% have already adopted it for procure-to-pay processes, while 48% are still evaluating it.

Beyond automation, GenAI can offer firms an advantage in generating actionable insights from vast and often unstructured datasets. Procurement departments, which are frequently tasked with managing thousands of supplier relationships, could stand to benefit from AI’s predictive and prescriptive analytics capabilities.By streamlining procurement processes and enhancing decision making, organizations can achieve improved efficiency and reduce operational costs.

For example, AI can suggest supplier consolidation strategies, uncover rogue spending, or highlight areas where alternative sourcing could result in financial benefits.See also: Better Standards Outshine Flashier Tech as Winning GenAI Recipe for ProcurementGovernance Concerns Could Slow GenAI AdoptionDespite the potential of GenAI across procurement, CFO enthusiasm for its implementation is tempered by concerns over the lack of clear operating standards. Without transparent governance frameworks, companies risk exposure to data breaches, algorithmic bias and reputational damage.

It’s challenging for finance leaders to make confident investment decisions when the rules of the game aren’t clear, and the PYMNTS report found that 38% of CFOs identified this ambiguity as a moderate or significant obstacle to adoption.Concerns over accountability and traceability are equally prevalent. Many CFOs worry that GenAI models, particularly those built on proprietary data, could generate outputs that are difficult to audit or explain.

The absence of clear standards also raises questions about intellectual property rights and ethical use.Despite these concerns, most CFOs are not discounting GenAI’s transformative potential. Rather, they are urging the development of more robust standards to guide responsible innovation.

Many are calling for frameworks that ensure privacy, reliability and sustainability without stifling creativity.The future of GenAI adoption will likely depend on the ability of industry leaders to collaborate in developing transparent, enforceable standards. Whether these guidelines come from government regulators, industry consortia or individual enterprises themselves remains to be seen.

For now, CFOs are left to navigate a landscape rich with potential but fraught with uncertainty. As more companies experiment with GenAI, the insights they gather will undoubtedly shape the frameworks of the future.For all PYMNTS AI and B2B coverage, subscribe to the daily AI and B2B Newsletters.

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