Why CIOs and CFOs are becoming ‘attached at the hip’ as businesses make big AI investments

Core Insights - Workday is strategically investing in generative AI while ensuring a structured governance framework for evaluating these investments [3][4] - The partnership between IT and finance is crucial for maximizing the effectiveness of AI initiatives, especially given the high failure rate of AI pilots in the industry [6][8] - Workday is open to vendor consolidation and replacement based on the performance and cost-effectiveness of AI tools [7] Investment Strategy - Workday has established a monthly review process involving IT and finance to assess the feasibility and impact of various AI tools [4] - The company evaluates generative AI use cases that have been in production for at least six months to measure their performance against key indicators like productivity and revenue generation [4] Leadership and Accountability - The executive leadership team meets bimonthly to align on the overall AI strategy and to discuss updates on the generative AI roadmap [5] - Transparency in the investment process is emphasized to ensure accountability for AI-related decisions [5] Market Dynamics - Research indicates that many organizations using generative AI are experiencing limited returns on their investments, highlighting the need for careful pilot testing [6] - Workday pilots new AI features with short contracts to mitigate risks associated with unproven technologies [6]