SELLEST OSAST
AI is now embedded in almost every corner of the finance function, powering forecasts, reports, and board-ready insights at unprecedented speed. Yet when powerful systems are plugged into weak data, broken processes, or poor governance, they don’t just make mistakes, they do it with absolute confidence and immense credibility. For CFOs, the real risk isn’t that AI is wrong; it’s that it looks so right no one stops to question it.
In this GrowCFO Show episode, Kevin Appleby speaks with Don Rogers, Managing Partner & Founder of Invictus Global Advisors, LLC, to explore how AI can mislead finance teams with highly convincing but incorrect outputs, and what CFOs must do to protect decision-making. Rogers explains that while AI has reignited interest in finance transformation, many CFOs are layering powerful AI tools onto broken operating models and poor-quality data. The result is not better insight, but faster, more polished versions of the same flawed information, sometimes delivered with total confidence, yet fundamentally wrong. He stresses that without strong governance, data enablement, and process discipline, AI will amplify dysfunction rather than cure it.
Rogers positions AI as a catalyst that forces CFOs to rethink the strategic finance operating model, not a magic fix. He introduces a 10-component model spanning strategy, talent activation, service delivery, process optimization, governance, data, digital and AI, insights and analytics, constituent experience, and benefits realization. Throughout the conversation, he illustrates how weak change management, undocumented processes, and poor culture (e.g., fear of “red” status) cause transformations to miss their promised benefits, even when the technology works. His message is clear: AI can unlock the long-promised vision of finance as a true strategic advisor, but only if CFOs fix their operating model, embed strong governance, and keep “humans in the loop” to challenge and validate AI outputs.
Key topics covered:- Don explains how AI, when layered on top of a broken finance operating model and poor data governance, will “amplify the dysfunction” and produce confidently wrong answers instead of better insight.
- He shares a real client example where the same AI prompts produced two completely different board reports, underscoring the risks of hallucinations, model drift, and weak governance in AI-led reporting.
- Rogers introduces his Strategic Finance Operating Model with 10 components, showing CFOs how to connect corporate strategy, talent, processes, data, AI, and benefits realization into one coherent blueprint.
- The discussion highlights sobering transformation statistics (e.g., high failure and dissatisfaction rates) and links them directly to poor change management, cultural resistance, and cutting “change” from budgets first.
- Don stresses the need for a new apprenticeship model in finance: young professionals must learn AI, data, and tools, while experienced leaders focus on change enablement, strategic storytelling, and constituent experience.
- The conversation explores the evolution from bespoke AI to generative and agentic AI, and why CFOs must demand strong guardrails, governance, and documented processes before trusting AI in core finance tasks like journal entries.
- 0:02:21 – AI, changing expectations of CFOs, and why layering AI on a broken model only “amplifies the dysfunction.”
- 0:04:46 – Don’s story of a CFO getting two different AI-generated board reports from the same prompts, and the risks of hallucination, drift, and bad data.
- 0:06:13 – How young professionals must learn AI, data, and tools, while senior leaders become change catalysts and keep “humans in the loop.” [episode296]
- 0:11:39 – Why 50% of transformations never get off the ground and ~70–80% fail to deliver expected benefits; Don links this directly to change management and human behavior, not technology.
- 0:17:32 – The importance of tracking outcomes and benefits: business cases are created, funded, then forgotten, driving the gap between promised and realized value.
- 0:20:23 – Culture, governance, and the “green-to-red” effect: why everything looks green until a project suddenly turns red, and how fear and blame stop early escalation.
- 0:22:41 – Don outlines the Strategic Finance Operating Model components (strategy, talent activation, service delivery, process optimization, governance, data enablement, digital & AI, insights & analytics, constituent experience, outcomes & benefits).
- 0:23:39 – Evolution of AI in finance: from bespoke models to embedded generative AI in ERPs and point solutions, and now to agentic AI acting on goals, not just instructions.
- 0:28:27 – Agentic AI and governance: Don’s epilogue on corporate and government responsibility for guardrails, and why AI is still only as good as the instructions and constraints given.
- 0:32:16 – Journal entry example: a client’s agentic AI project hits a 96% fail rate because underlying code-block rules weren’t built into the model.
- 0:33:33 – The hidden risk: critical business processes exist only in people’s heads, never documented, leaving AI with no reliable instructions to follow.
- 0:35:04 – Deeper dive into the 10 components and how to prioritize projects when organizations can only handle 5–7 major initiatives at a time.
- 0:39:59 – Don’s upcoming book: “Building the Strategic Finance Operating Model: The CFO’s Blueprint for Value Creation in the Age of AI” and its practical, conversational style.
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