Last month, we saw yet another striking example of how generative AI can be exploited for ill, when someone used ChatGPT to create a fake lunch receipt that looked entirely legitimate at first glance.
For anyone working in finance and HR, it was a warning shot. Submitted to a real organisation, many busy finance teams might have processed it without blinking, inadvertently reimbursing a false claim.
Maybe they did. Or maybe others have, and we don’t know it yet. It raises an important question: are we entering an era where employees can exploit generative AI for personal financial gain?
Expense fraud is hardly new. It’s as old as organised work itself; from the days of ancient Egypt, where historians believe some foremen inflated rations for phantom workers, to modern-day exaggerated mileage claims and fictitious client lunches. But AI introduces a level of realism, scale and speed we haven’t faced before.
At the same time, many businesses are rightly moving away from centralised control and giving employees more autonomy over how they spend company money.
In fact, recent research found 78% of finance leaders trust their teams with company funds, and many of them and employees alike cite increased agility, motivation and productivity as a result. But this trust must be matched with tools fit for a world being transformed by generative AI.
The reality is that traditional expense processes, built on manual audits, retrospective checks and policy PDFs, won’t keep up. If you’re relying on post-spend review to catch fraud in an era of AI-generated receipts, you’re already behind and stuck in firefighting mode. Unfortunately, fake receipts are a symptom of ineffective spend management.
To stay ahead, finance teams need to shift from reactive to proactive. This means adopting technologies that can identify and prevent fraud before it happens.
Tools that scrutinise image metadata and flag anomalies, examining photos for patterns that indicate the image has been generated using AI, should absolutely be part of the business’ arsenal.
Deploying an automated spend management platform can help mitigate the risks associated with the misuse of AI. It can automatically review and verify receipts, track spend in real time and apply consistent guardrails no matter who’s spending.
Staying ahead also means fostering a culture of trust that isn’t naïve. One where autonomy is underpinned by transparency and intelligent controls, ensuring employees are empowered but also accountable.
Generative AI is reshaping the landscape faster than most organisations can adapt. But it doesn’t have to become a liability. With the right approach, it can be the catalyst for modernising financial operations and building stronger, more resilient systems.
Finance leaders are now faced with a critical choice: continue playing catch-up or get ahead of the curve before it’s too late.
Rory Choudhuri is a finance transformation evangelist at Soldo.
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