Author(s): Mandeep Kour, Viswanath Bandi, Chacko Jose P, Dewey W. Rinnie Mahajan
The increasing complexity of global financial systems, combined with rapid digitalization and economic uncertainty, has challenged the effectiveness of traditional financial management approaches. Conventional models, largely dependent on historical data and human-driven analysis, are often reactive, slow, and limited in their ability to anticipate emerging risks. Artificial intelligence (AI) has emerged as a transformative force capable of redefining financial management by introducing predictive, adaptive, and real-time decision-making capabilities. This paper examines AI-driven financial management as a structural shift toward enhanced economic efficiency and advanced risk control. Through an integrative review of academic literature and conceptual analysis, the study explores how AI technologies reshape core financial functions, optimize resource allocation, and strengthen risk governance. The paper also addresses ethical, regulatory, and governance challenges associated with AI adoption. The findings suggest that AI-driven financial management represents not merely a technological enhancement but a fundamental reconfiguration of economic decision-making processes, with significant implications for organizational resilience and financial sustainability.