New research by by Sidetrade and PwC France and Maghreb hs found that 80% of companies are investing in Artifical Intelligence (AI) to improve cash flow despite budget cuts.
The research revealed a significant shift in investment and renewed boldness within the finance function, driven by a sharpened emphasis in 2024 on cash flow generation and EBITDA preservation amid a challenging economic landscape.
The research showed that even as budget increases shrink, down 30% from 2023, finance leaders are pressing ahead with transformation efforts; 87% are actively engaged in projects for 2024 (compared to 59% in 2023), with nearly all of these active projects (98%) making optimized Order-to-Cash (O2C) processes a focal point of their investments. This push aligns with a 79% increase in priority for initiatives targeting cash flow acceleration and EBITDA growth which is critical as businesses navigate rising interest rates and constrained credit conditions.
Generative AI has emerged as a high priority within this transformation landscape. Over 80% of companies are investing in it, despite financial constraints, placing it just behind ERP systems in deployment plans. Yet, with more than 55% of O2C tasks still handled manually, many companies are recognizing the need to automate these processes. In fact, three-quarters of respondents are planning significant automation upgrades over the next 18 months, seeking to boost productivity and cash flow efficiency.
Accompanying these technological moves is a notable pivot in HR strategy within finance teams. Rather than outsourcing, companies are emphasizing internal upskilling, addressing the rising demand for technical, analytical, and leadership skills. This year, 50% of respondents report prioritizing talent development—up from 27% in 2023—reflecting a substantial commitment to building both the hard and soft skills essential for today’s finance strategy.
Arthur Wastyn, Partner PwC France and Maghreb said “Through technology – AI and process automation primarily – companies are now embracing a more systematic and ambitious transformation of their Order-to-Cash processes, moving beyond the aspirations of 2023. Yet, the success and sustainability of this transformation depend not only on technological foundations but, above all, on identifying bold, visionary leaders able to deliver complex projects in a volatile environment.”
Jean-Claude Charpenet, Sidetrade Partner said “In today’s climate, budget limitations aren’t slowing down investment in generative AI – in fact most business leaders see it as essential to drive Order-to-Cash transformation. For today’s CFOs, smart technology isn’t just about productivity; it’s a strategic move to stabilize cash flow and protect EBITDA. Finance transformation is now a must, fueling growth and resilience in a market that demands agility. The real challenge is no longer ‘if’ but deciding ‘how fast’ and ‘where to focus’.”
