5 Ways ChatGPT will Impact Corporate Finance
AI-powered chatbots are the trendiest thing in technology now. With these tools getting people out of parking tickets, writing essays for students, and even eerily hiring human beings to bypass captcha tests, this technology is unprecedented and disruptive.
Industry leaders requested formal bans on the further advancement of this technology last week, while some countries have banned the software’s use altogether.
Whether generative AI will work alongside or replace humans is up for debate. Regardless of industry, companies using people-centric decision-making processes are now dealing with a technological catalyst that many executives, especially CFOs, will respond to by reassessing how they approach some decisions.
As products like ChatGPT continue to advance, here are five ways finance leadership can expect this type of technology to impact daily operations sooner than later.
1. Consulting
Despite leadership saying consulting is safe for now, expect those whose business model is making the most informed, top-notch decisions and business guidance models to shift toward using AI to do their jobs. With the trillions of data points the latest version of ChatGPT operates on, consulting agencies that choose to dismiss the software’s use in their services may be doing themselves a considerable disservice. Major players in the consulting space are already making deals to build the most technologically inspired offerings. Just last month, Bain & Company announced a partnership with OpenAI, the parent company of ChatGPT.
2. Talent Evaluation
Employers may have to reevaluate the hiring process. Not only is ChatGPT capable of enhancing the workforce’s learning processes, it can also be leveraged to create personal cover letters, resumes, interview tips, and even verbatim dialogue for candidates who wish to sound the best in the interview. In response to this, executives should put an onus on the interpersonal aspects of a job interview, and judge candidates not solely by the work they have done but by their demeanour, work ethic, energy, and interpersonal communication skills; you know, the stuff that makes them human.
3. Supply Chains
Constructing pathways to move people and goods can leverage outside-the-box knowledge to drive efficiency. Those who find constant variables popping up in the way they get the materials or products they need, especially at large scale, may benefit from the constantly updating information database in AI-powered chatbots. Companies like clothing retailer Gap have already inked agreements with tech companies in hopes of using the technology to “nudge” shoppers into exchanges and not returns.
Generative AI will also help the retailer optimise where to move, sell, and store merchandise. Ninety-five percent of eligible new inventory managed through Optoro, the technology provider and AI-powered tech company working with Gap, is listed and ready to be resold the same day it is received while “significantly” reducing out-of-stocks for customers.
