Exceeding Expectations: Machine Learning for Cash Forecasting
Bechtel’s machine learning models outperformed traditional cash forecasts, happily surprising AT Dan Degagne.
Earlier this year, Bechtel assistant treasurer Dan Degagne spearheaded an in-house project to develop a machine learning (ML) model designed to relieve some of the pain of generating accurate cash flow forecasts—a challenge shared by just about every company in the NeuGroup Network.
Mr. Degagne had doubts about the ultimate outcome. But in a new NeuGroup Insights video you can watch by clicking the play button below, he says he was pleasantly surprised when Bechtel’s proof-of-concept ML model exceeded expectations by producing a forecast that “was more accurate than some of our bottom-up forecasts that take a lot of time and effort.”
Behind some of his surprise was skepticism about all the attention and media hype surrounding generative AI. “I was somewhat skeptical going in because there is so much talk about machine learning and AI, especially in the finance space,” he says. “Everybody’s trying to sell you the latest or the newest implementation of AI without, it seems, really understanding what’s underneath that.”
Read the full article now in NeuGroup Insights, and stay tuned to Dan's full episode of the Strategic Finance Lab podcast: https://www.neugroup.com/exceeding-a-...