We see it with every client we provide financial management services to: AI is now entering כמעט every process. Development teams use it for coding and testing. Product teams analyze user data with it. Marketing teams create content and campaigns, and support teams deploy bots to handle customer inquiries.
The first result is clear: productivity. Tasks that once took hours are sometimes reduced to minutes. Development cycles move faster. Smaller teams are able to accomplish work that previously required much larger headcounts.
But this is where the real question begins.
If employees can do more with AI, should the company’s workforce structure change? Should certain teams be reduced? Or perhaps expanded in order to accelerate development?
And there is another side to this story.
The same AI that improves efficiency בתוך the company may also create new competitors outside of it. Services that once required complex platforms or large teams can now be built on top of existing models, at a significantly lower cost.
In other words, some products developed by technology companies may become cheaper to build and therefore cheaper to sell.
This deep shift in both work culture and the competitive landscape creates new pressure on existing business models. Companies now need to ask questions that did not exist just a few years ago. For example: should developers be reduced because AI replaces parts of their work, or should more be hired to accelerate innovation? Should a business line be shut down because AI can replicate it, or should it be enhanced with AI capabilities? Should pricing models change? And do the new costs of models, APIs, and computing infrastructure actually generate real economic value for the company?
The Financial Lens on Technological Acceleration
In an era of such rapid change, the importance of financial perspective becomes clear. When technological disruption moves this quickly, companies need an objective function that can view the full financial picture. Not just analyze last quarter’s reports, but understand the evolving economic structure of the business.
An external CFO, like the one we provide at Danoy, is able to examine all these changes from multiple angles such as productivity, cost-saving opportunities, development costs of new capabilities, and competitive pressures, and translate them into a clear financial strategy.
The technological revolution may begin in code. But in the end, it always comes down to numbers.
To navigate this new reality effectively, we invite you to contact us and explore how your organization’s financial management is likely to evolve in the years ahead.