CXO of the week: Srividya Kannan, Founder and CEO, Avaali

Avaali is a prominent digital solutions provider focusing on solutions for upper-mid and large-enterprises. Avaali has demonstrated its expertise in shared service automation through more than 250 successful engagements in Asia, the Middle East, and parts of Europe. The company has achieved significant cost and process cycle time reductions (40%-70%). The company's solution, Velocious enables automation of Sourcing, and Procure to Pay processes for enterprises. The company also has deep skills in technologies such as RPA, AI, Digital workplace solutions, Process and Task Mining, Digital Signature, Contract Lifecycle Management and MDM. With more than 130 successful implementations in the procure-to-pay automation space, Avaali's leadership in this area is also especially noteworthy.

Introducing Srividya Kannan, the Founder and Director of Avaali Solutions Pvt Ltd, a visionary driving force behind Avaali's remarkable journey. Headquartered in Bangalore, Avaali is a burgeoning startup catering to clients worldwide.

Avaali stands out as a distinguished consulting and technology services firm, focusing on Information Management. Our mission revolves around partnering with large enterprises to enhance their process agility while fostering governance and compliance through tailored Information Management solutions.

In a recent chat with Srividya Kannan, the Founder and Director of Avaali Solutions Pvt Ltd with Ciol, She spoke about some key areas that GenAI is likely to drive significant advancement in GCC and GBS functions and what Avaali has been up to in the latest edition of CxO of the Week.

How do you believe organisations should prioritise ethical AI deployment to mitigate biases?

I think this is a complex topic. Prioritising ethical AI deployment to mitigate biases is a complex undertaking as most enterprises are still in the early stages of recognizing relevant use cases. We have just entered this domain and have not fully navigated the various complexities involved.

Companies are on the verge of understanding which use cases are most pertinent and how to execute successful proof of concepts (PoCs). Incorporating aspects like ethics, transparency, and bias mitigation into these PoCs is crucial, but just one part of the broader value proposition.

Even human decisions need scrutiny for lack of transparency and fairness. A more conscious practice involving consistent evaluation processes is needed as enterprises utilise large datasets. Guidelines should be instituted to assess factors like data quality, error types, bias frequencies etc. Proactive communication with developers and users is key to drive continuous improvement.

While risks are high without transparency, closer partnerships between tech providers, business teams, and stakeholders can forge clarity across the process lifecycle from conceptualization to execution and evaluation. Absolute clarity on guidelines, consistent rigorous execution using appropriate technology, and strong collaboration are vital for impactful outcomes in this domain where significant work still remains.

Can you highlight some key areas that GenAI is likely to drive significant advancement in GCC and GBS functions?

GenAI is poised to drive significant advancements across numerous areas in GBS and GCC functions, from greenfield setups to mature operations spanning sourcing, procurement, supply chain, HR, legal, customer service and more. Key use cases include automated document creation/summarization cutting across processes like RFIs, RFPs, proposals, contracts etc. 

Intelligent NLP chatbots leveraging GenAI can provide relevant information to stakeholders by accessing data across multiple sources, catering to needs like customer delivery status queries. A massive opportunity lies in deeper understanding of supplier profiles beyond just tier-1, factoring ESG, risk assessments, market research, production impacts and implications for order fulfilment - enabling enterprises to build more resilient businesses.

In the supply chain, GenAI can aid demand forecasting, promotion recommendations based on seasonality, and anomaly detection. Optimising inventories and working capital management is another key area. Potential use cases span warehouse layout design to talent sourcing. 

Across the breadth of GBS processes, GenAI presents massive possibilities for transformative applications. Its adoption holds substantial value in driving efficiency gains and unlocking new frontiers through disruptive innovations in this space.

How does Avaali navigate this balance to meet the unique needs of each client while ensuring scalability and efficiency?

In navigating the balance between customization and standardisation to meet unique client needs, while ensuring scalability and efficiency, there are no definitive right or wrong answers. The approach must be tailored to the specific business context, outcomes desired, and implications involved.

It is the duty of technology providers like Avaali to work hand-in-hand with clients, providing full visibility into the implications of their decisions – whether related to ongoing costs, change management, cultural shifts, or other factors. Technological capabilities have evolved significantly, but the real challenges often lie in adoption, culture change, cost management, talent acquisition, and proper use case identification.

Ultimately, what matters is making conscious decisions by being aware of the implications. Technology providers must collaborate closely with clients in their best interests, focusing on aspects like skilled talent, sensible use case translation, and outcomes aligned with business objectives. By forging strong partnerships, clarity can be achieved throughout the process lifecycle, from conceptualization to execution and sustained value delivery.

The ideal balance emerges from this clarity and collaborative approach, tailored uniquely for each client's needs while leveraging scalable and efficient solutions.

What strategies does Avaali recommend for fostering effective collaboration between human employees and AI systems within GBS/GCC environments, taking into account factors like skill augmentation and change management?

Given AI's early stages, enterprises must first conduct workforce awareness sessions on AI's implications, especially for GBS employees building and executing processes. Upskilling is necessary, exploring AI's impact on future work, technology adoption timelines, job roles, organisational structures and the extent of fundamental change required.

An ‘AI Centre of Excellence’ team within a GBS could drive tasks like awareness, training, use case identification and partnering with consultants. Ongoing change management is crucial as functions and processes evolve. Involving GBS stakeholders like process owners, users and management from the start is vital for long-term success.

Constant cross-functional collaboration, including HR for addressing talent/skills, is needed. A sensible execution plan with clear vision, risk appetite, innovation drive and timelines is required, striking a balance between complexity and agility in this rapidly changing landscape.

A structured yet flexible approach incorporating the above factors, testing strategies and then scaling up is recommended. Moreover, partnering early with the most motivated and capable individuals will greatly aid effective change management around AI adoption in GBS environments.

How does Avaali assist clients in navigating complex regulatory landscapes to ensure compliance while maximising operational efficiency?

As I said earlier, staying updated on the increasingly complex regulatory landscape is crucial for Global Business Services (GBS). Recent amendments like the Finance Act of 2023, which states expenses are deductible only when payments are made, significantly impact GBS functions. This has notable implications for processing supplier invoices, especially with the year-end supplier payment/invoice surge faced by many Indian organisations. It directly affects MSME vendors who may face payment delays and subsequent deductions.

To comply with such new regulations, proactive measures are needed by organisations. Automation becomes essential given the high transaction volumes in GBS. Identifying MSME suppliers and assessing their deduction eligibility requires sophisticated solutions beyond manual processes.

As a leading enabler of efficient and valuable GBS operations, Avaali collaborates with clients to automate regulatory compliance tasks. This ensures adherence to evolving guidelines while strengthening the overall compliance posture. By leveraging automation, Avaali helps clients navigate the complex regulatory landscape seamlessly while maximising operational efficiency.

Are there any untapped opportunities that you see in this space which Avaali is exploring or planning to explore in the future?

It's massive, actually, everything is untapped. Each of the use cases I mentioned represents significant opportunities, with multiple branches and sub-branches beneath them. The reality is that every organisation is still in the relatively early stages of leveraging GenAI for its GBS. Many are experimenting with proof of concepts, while others are in the process of conceptualising which use cases are most relevant and prioritising them.

Some of these use cases should be discussed within your business. However, the majority of the ones we've discussed represent massive opportunities for businesses, and we've barely scratched the surface. Honestly, I believe we've only just begun to explore the woods.