AI does not solve poor finance infrastructure: it weakens it (www.techradar.com)

As AI rapidly gains traction in finance, organizations are being cautioned that adopting this technology without a solid infrastructure can actually exacerbate existing weaknesses. Many finance teams depend on outdated practices like fragmented technology stacks and spreadsheet-heavy workflows, which lack the accuracy and governance necessary for reliable AI outputs. This reality highlights the critical principle of "garbage in, garbage out," indicating that AI's effectiveness is solely determined by the quality of the data it processes. To truly harness AI's potential, finance leaders must first evaluate and strengthen their data infrastructure before implementation. This involves establishing consistent data governance, standardizing workflows, and creating a single source of truth for financial performance. Organizations investing in modern, integrated financial systems will not only enable more effective AI solutions but also enhance transparency, governance, and trust in their financial decision-making processes. Ultimately, the focus should shift from hastily adopting AI technologies to building robust foundations that allow for meaningful AI integration, thereby ensuring organizations are prepared to realize the strategic benefits AI can offer.