2022 5th International Conference on Contemporary Computing and Informatics (IC3I)

Optimal Analysis for Enterprise Financial

Management Based on Artificial Intelligence and
Parallel Computing Method
2022 5th International Conference on Contemporary Computing and Informatics (IC3I) | 979-8-3503-9826-7/22/$31.00 ©2022 IEEE | DOI: 10.1109/IC3I56241.2022.10072851

Dr. M. Rajeswari Dr. P. Raman Vaishali Singh

Professor Professor Assistant Professor
Department of Management Studies Department of MBA Department of Computer Science and
SRM Institute of Science and Technology Panimalar Engineering College Engineering
Vadapalani, Chennai, TamilNadu. Chennai, TamilNadu, India. Ambalika Institute of Management &
[email protected] [email protected] Technology
Luknow, Uttar Pradesh, India.
[email protected]

Dr. N. Kumar Dr. Pramod Kumar Patjoshi Sumit Pundir

Assistant Professor Associate Professor Associate Professor
College of Management School of Management Department of Computer Science and
SRM Institute of Science and Technology Centurion University of Technology and Engineering
Chennai, Kattankulathur, TamilNadu. Management Graphic Era Deemed to be University
[email protected] Bhubaneswar, Odisha. Dehradun, Uttrakhand, India.
[email protected] [email protected]

Abstract- To function in today's society, people need access outgoing. As a result, effective financial management is
to information technology for every aspect of their lives, from crucial for businesses of all sizes, with tasks ranging from
personal interactions to the creation of goods and services. As deciding whether or not to increase production capacity to
the Internet and the In tandem with the expansion of the determining the best form of debt instrument to use to fund
country's information industry, an increasing number of
the investment. Financial management is responsible for a
businesses are opting to use an Automation of Financial Data
Management with AI. Artificial intelligence (AI) is a new wide range of tasks, including setting policies for the
technological science that aims to mimic, extend, and increase company's credit, stock, and cash levels, analysing potential
human intellect via the study and development of ideas, mergers, and allocating the yearly profit between
methodologies, technologies, and application systems. Artificial reinvestment and dividends. Due to the fact that all businesses
intelligence (AI), which may be seen as a method of teaching have finite funds to work with, financial management is the
computers to replicate and simulate human thinking patterns process of planning and overseeing how those funds are
and behaviours, has been the primary focus of data processing spent. Adequate financial practise must be implemented
in recent years. To better grasp the complexity of many guaranteeing the organization's resource efficiency and the
challenges in the financial services industry, AI has become a
desired outcomes are achieved. Cash flow management,
significant solution for creating accuracy and accountability.
This paper begins with a discussion of basic technology's profitability analysis, and risk management exhibit the
blueprint and shape, optimises it, investigates the real-world characteristics of kinds of things that are included in the
requirements of SMEs in terms of financial management, umbrella of "financial management."
concludes with system architecture and development
architecture, and finally concludes with performing Management of a company's finances entails budgeting,
hypothetical tests testing the system's functional performance. forecasting, allocating, monitoring, and reporting. Project
The test results show that the system accomplishes its intended financing entails not only the acquisition and doling out of
purposes and performs its primary operations, but that it still cash, but also the application of broad ideas and techniques
needs some tweaks and additions. Because of this, it is very
to the management of a project's financial resources and the
important that all the information used in managing money is
exact, correct, and reliable. valuation of its returns. Because of budgeting and other
methods to plan for and manage the company's future cash
Keywords: Small-Medium Enterprises, Financial flow so that it can meet its objectives. Wealth creation,
Management, Artificial Intelligence. revenue generation, and adequate return on investment are the
cornerstones of sound financial management.
I. INTRODUCTION

Individual and societal prosperity benefit from prudent

financial planning. It addresses the choices that all businesses
make about their financial flows, both incoming and

2081
979-8-3503-9826-7/22/$31.00 ©2022 IEEE

Authorized licensed use limited to: SRM Institute of Science and Technology. Downloaded on April 05,2023 at 10:47:46 UTC from IEEE Xplore. Restrictions apply.
2022 5th International Conference on Contemporary Computing and Informatics (IC3I)

Consequently, advancement in this area is primarily

aimed at improving the efficiency related to the method used
to handle money. Traditional manual bookkeeping methods
have failed to keep up with the evolving demands of
businesses in the modern day. Accordingly, the primary goal
of the financial management system is to eliminate the
cumbersome process of keeping books by hand of the past
with modern, computerised book keeping. The Indian
Ministry of Finance has underlined that accounting
computerization will be a major driving force in the future
expansion of accounting operations throughout India's many
Figure 1.1: Environment of Business sectors. Institutions and government-owned businesses must
quickly adopt the idea of gradual change while making the
In this age of increasing digitalization in the transition to computerised accounting and bookkeeping.
socioeconomic realm of our lives, the study of artificial
intelligence (AI), which is defined as the branch of science To aid in the sustainable growth of businesses and the
concerned with efficiently addressing non-algorithmic issues risk-predictive financial system, this study proposes
based on computing techniques, is gaining importance. The employing IT to craft a more effective and useful financial
necessity of artificial intelligence (AI) components in management system. In this paper, we combine parallel
graduate school curricula is the research challenge this paper computing with AI to create a financial management system
seeks to solve. Research into the realm of business finance tailored to the specific requirements of small and medium-
The value of an accounting degree is rising in today's sized businesses. that these organisations can improve the
competitive corporate environment and interconnected global efficiency with which they supervise and manage their
economy. In this article, we will be discussing financial finances, thereby accelerating their growth and bolstering
services models used for Risk assessment and forecasting for their management.
regulatory pillars 1 and 2 in areas such as Allocating financial
or economic risk, keeping accurate books, ensuring II. RELATED STUDY
compliance, categorising clients for credit decisions,
optimising collections, installing early warning systems, etc. Hungary's compliance with Recommendation R15 from
The basic results of this study may just as easily be applied to the Financial Action Group was lowered. based on a money
models that are farther removed from the realm of risk- laundering and terrorism financing nation review (use of new
management tools, including robo-advisors, client lifetime technologies). Meanwhile, the Magyar Nemzeti Bank fined a
value models, etc., recommender systems, customer number of Hungarian commercial banks in 2020 and 2021 for
coverage, etc., that a financial services firm considers failing to meet certain anti-money-laundering and countering
valuable. We anticipate that models would need to be the financing of terrorism requirements. This paper addresses
prepared for routine supervisory, statutory, or internal auditor a knowledge gap by analysing machine learning models and
assessment, and in some cases of pillar 1 modelling, algorithms that are supervised (classification, regression),
supervisory approval may be required. Due to a lack of more unsupervised (clustering, anomaly detection), and hybrid that
comprehensive and precise guidelines alternative model function on the basis of a highly imbalanced dataset related
types' risk and governance criteria The first priority in to AML/CFT risk management in banking. There is no
developing model governance frameworks has always been perfect algorithm, the author stresses. The underlying
to certify internal models.According to market-wide theoretical rationale and further comparisons are crucial in
benchmarking data, this sector has the most established status selecting a machine learning method. When making a model,
quo, having been moulded over time by a combination of you need input from a number of departments, such as IT and
established, evolving levels of regulatory oversight and the management's strategic thinkers.[1]
imperative to streamline to a business model that appears
sustainable in light of potential financial returns. To get This viewpoint paper is based on a series of In FIRM1's
started, we'll use a standard model approval procedure from AI Round Table Discussions, which included input from a
the regulatory sector as a guide. Our main interest is in the wide range of guest and foreign speakers. Its primary concern
model.Approval because, from our point of view, it is during is with how banks and other financial organisations handle
this phase that the creation, initial, (periodic) guidelines, and model risk for their production models. A wide variety of
the (validation) procedures themselves accompanying model models, from rule-based methods to very complex AI and ML
update procedures are evaluated. In addition, we'd want to models, are under consideration. Those models are typically
discuss what special conditions (beyond those of baseline used for generating predictions and decisions across the
models) Artificial Intelligence and Machine Learning tools financial exposure (accounting for it in accordance with IFRS
would probably need to pass regulatory muster. 9 or a similar national GAAP) techniques), Insurance, or
other financial, risk categories' value chains. Prevention of

2082

Authorized licensed use limited to: SRM Institute of Science and Technology. Downloaded on April 05,2023 at 10:47:46 UTC from IEEE Xplore. Restrictions apply.
2022 5th International Conference on Contemporary Computing and Informatics (IC3I)

financing of terrorism, identification of fraudulent activity, perception of risk has a negative impact on financial AI
and tracking of financial transactions are all areas where more services, with trust and influencer endorsement as
complex models are on the horizon, as is the implementation moderators. Businesses can learn from this research how to
of machine learning and AI to replace traditional approaches make financial technology services, like business intelligence
to solving the stochastic differential equations required for applications, seem less intimidating to potential
pricing and/or valuing derivatives. In addition to its success customers.[4]
in risk management, the same sort of model has proven useful
The incorporation of The incorporation of ideas and
in a variety of other contexts, sales optimization, CLV
technologies like the Internet of Things, cloud computing,
calculations, robo-advising, and other similar technologies.
and big data into everyday life has accelerated the
The study cites a variety of recent publications by the Federal
development of big data technology. better able to process
Reserve and other central banks, financial regulators and
corporate financial data. Additionally, Due to the increased
supervisors, and other relevant organisations and groups. Its
importance of financial crisis warning in corporate
goal is to provide actionable guidance for developing a risk-
management, investors and businesses have paid more
based governance and testing framework for the
attention to the role it plays. competitiveness between
aforementioned model types, and it examines the utilisation
businesses. This investigation selected a variety of financial
of cutting-edge technologies, methodologies, and platforms
metrics using techniques from big data mining in the IoT. All
to usher in accountable, dependable, explainable, auditable,
financial indicators were analysed, and principles were
and managed AI and ML. in the real world. We also see some
discovered that may be used to choose more accurate
relevance for this study Besides the Banking industry, in
indications of financial risk. Lastly, Using the FCM (fuzzy
particular where "high risk" in light of the most recent EU
cluster method), parallel rules, and the parallel mining
publication on AI, also known as the EU Artificial
algorithm, we were able to select the most frequent fuzzy
Intelligence Act, models according to the aforementioned EU
association rules that also meet the minimum fuzzy
survey are worried.[2]
credibility option set. Finally, the proposed technique in the
work was validated by selecting appropriate data from listed
The phenomenal potential of AI (artificial intelligence)
businesses to examine corporate financial risks. [5]
has made it a hot topic in the IT world. This study analyses
the impact of supervised AI methods, i.e., machine learning Evidence is crucial in the field of visual forensics. If a
methods, on Pakistani non-financial firms as its primary picture is evidence, then authenticating it is the most
subject. real-world implementation of AI methods for the important part of visual forensics. Copy-Move Forgery is a
precise forecasting in business, which will ultimately result popular kind of digital image fraud in which a small portion
in the mechanisation of corporate risk management. In this of a picture is copied and pasted somewhere inside the same
research, we built machine learning algorithms employing image. counterfeit dance steps There is a need for detection
four different methods— To analyse financial ratios for in forensics, law enforcement, and other fields. The suggested
accurate risk assessment and the automation of corporate risk technique begins with dividing a grayscale picture into
management, various machine learning algorithms (such as overlapping pieces. Every overlapping unit yields stable
random forest, decision tree, naive Bayes, and KNN) have under exponential growth and rotation Qualities of the Polar
been developed. This study will employ a secondary method Complex Transform. Histogram of Gradient Directional
of data collection. We did this by collecting yearly data on Patterns is then used to further decrease the dimensionality of
nonfinancial enterprises in Pakistan from 2006 to 2020 and the retrieved features. The rows of the histogram feature
then analysing and testing this data using Python. Our matrix are compared for similarities. Through the use of
findings demonstrate that AI methods can reliably estimate windowing and morphological operators, we may get rid of
risk with small error bars, with the random forest method spurious matches. The effectiveness of the strategy is
performing the best of all the methods we tested.[3] measured by using recall rate, precision, and F1 score.
Outstanding results are achieved even when the tested image
As the banking and finance industries have developed, so has been subjected to post-processing attacks. All other
too has the ability to automate a wide variety of services. performance metrics are also excellent, and the recall rate is
With AI's use in investment management on the rise, it's clear the best reported in the literature. [6]
that more and more people will be opting for services that are
III. METHODOLOGY
entirely digital in the near future. The purpose of this research
was to determine if there was a moderating effect between 3.1 System Analysis
risk perception and the use of financial AI services and, if so,
what that effect was. Three hundred customers in Jordan who It's undeniable that as the world's economy and
have used financial AI services were recruited via a technological capabilities advance, people will become
questionnaire distribution and a subsequent purposive increasingly reliant on computers and the Internet to provide
sampling process. Data from 220 completed surveys were the contemporary lifestyle they seek. However, a robust
analysed using structural equation modelling implemented in computer system is required to actually achieve excellent
partial least squares (PLS 3.3.6). The findings reveal that the network administration. After doing extensive research on the

2083

Authorized licensed use limited to: SRM Institute of Science and Technology. Downloaded on April 05,2023 at 10:47:46 UTC from IEEE Xplore. Restrictions apply.
2022 5th International Conference on Contemporary Computing and Informatics (IC3I)

specific What small and medium-sized businesses need from authenticated, he will have access to the system's many
their financial managers, this article develops a novel features. Layers of display for views, models, controllers, and
approach to this important field. The system makes use of other components make up much of an MVC framework.
conventional computers and their fast processing capabilities indicates user input and is accountable for implementing the
to standardise management by inputting information and UI of the system. Business data is mostly processed at the
monetary data into them during actual work, adhering to the model layer. All requests from the user are handled by the
idea of pragmatism. Management of master data, vouchers, control layer, which then makes a call to a system's model
and sensitive information issues like Authentication of users layer's processing interface to get an appropriate response.
and delegation of administrative privileges within a system Figure 3.1 displays the overarching The monetary
have been resolved thanks to an in-depth study and research management system of the organisation is functionally
into the real scenario[10]-[12]. structured in this work. Figure 3.1 depicts how Spring is
utilised in the architecture design of the system to coordinate
3.2 Data speed and conveniences the many levels of processing and business logic. The
system's functional components are described in technical
The robust daily processing query feature of the basic depth by the Struts presentation layer, which is then separated
information system allows users to do simple queries, fuzzy by Spring. A session factory is used in the Hibernate
queries, and print reports. We found the report to be practical architecture for unified database operations. Data exchanges
and simple to implement. Financial managers' statistics needs and manipulations that are particularly complicated can be
can be met by the system if it is configured properly. System handled using Hibernate's transaction processing system.
performance requirements relate to the needs for
dependability and scalability of system functionality and From Analysis perception,
complement system functional requirements, which have a
more profound impact on the use environment and business ∑ = (1)
specifications of the system.
Presence of analysis Layer,
3.3 Responsive Capacity
–( )
Although this paper's proposed management system ∑ = (2)
( )
covers just a limited spectrum of administration, it
encompasses a wide variety of commodities. The necessity
for a fast-response database and server becomes more ∑ = ( )× (3)
pressing when several users are simultaneously using the
system. Moreover, the system must regulate reaction times The goal is to carry out and finish different activities of
within a suitable range because of the constant flow of monetary administration software of SMEs through the
business data. services of web services, in accordance with the concept of
philosophy of service oriented architecture (SOA) and object-
3.4 Proposed Design oriented design (OOP).

IV. RESULTS AND DISCUSSIONS

As a first step, isolate and evaluate the system's

individual functional components. You may switch between
different forms, look at various scenarios, and employ single-
step tracing, breakpoints, and intermediate variable output.
The compilation phase concludes with the various procedures
being merged and tested. Since it is unclear First, we record
our findings in a file, then we decide whether or not they're
reliable. correctness across many scenarios, and finally
follow up to discover the specifics that should be changed or
enhanced And second, while the centre functionality is being
tested and refined, attempt modifying and improving the
Figure 3.1: Proposed System Architecture module's auxiliary components by looking at how WordPad
and NotePad perform similar tasks in Windows[13]. All
Users can access the system login page under networking aspects of the system have been tested extensively, and many
conditions by opening the operating system's browser problems have been fixed to ensure that it consistently
software, inputting a permanent domain name, and clicking delivers the expected results intended and as intended by the
"Enter." Once the user has successfully logged in and been designer. Perform checks on all system components.

2084

Authorized licensed use limited to: SRM Institute of Science and Technology. Downloaded on April 05,2023 at 10:47:46 UTC from IEEE Xplore. Restrictions apply.
2022 5th International Conference on Contemporary Computing and Informatics (IC3I)

Assemble all the components after testing them individually, V. CONCLUSION

and then put the interface through its paces.
Especially in the context of intense market rivalry, a
competitive edge may be gained by implementing a financial
management system that allows businesses to increase the
effectiveness of their financial management while
simultaneously reducing the time and resources spent on it.
Small and medium-sized businesses have a negligible share
of the market because of their low production levels and
inefficient methods of manufacturing. Financial management
software is now an integral aspect of production and
operation, rather than just a basic app. The following benefits
have been observed in practical use of the system: user-
friendly layout and easy navigation. The menu item prompts
are designed to be used by operators with varying degrees of
computer literacy; extensive Data management features such
Figure 4.1: Function based structure as adding, removing, and more facilitate powerful searching,
querying, and analyzing allows for the use of multiple user
The test's primary objectives are to measure the system's identities. Detailed Users may access report data and generate
performance, page latency, and dependability. Maximize custom statistical reports. There is a strong network effect
system availability to 24 hours. We monitor the performance between users, allowing for streamlined handling of both
of the system over the course of 24 hours and average the fundamental financial data and business information. The
results of many tests to arrive at the results presented in Table business process is organised sensibly, and there is a clear
2. The outcomes of the tests validate that the designed division of labour between the voucher verification stage and
software can deliver the desired performance. the posting stage, which is consistent with expectations. The
information is precise and easy to understand.
TABLE 2: RESULT ANALYSIS OF PROPOSED SYSTEM
INDICATIONS RESULTS
Delay 2.45 seconds
REFERENCES
Indications 99.1%
Concurrency based Testing Lesser than 300 users [1] Prisznyák, Alexandra. “Bankrobotics: Artificial Intelligence and
Machine Learning Powered Banking Risk Management : Prevention of
Money Laundering and Terrorist Financing.” Pénzügyi Szemle =
Public Finance Quarterly (2022): n. pag.
[2] Fritz-Morgenthal, Sebastian G. et al. “Financial Risk Management and
Explainable, Trustworthy, Responsible AI.” Frontiers in Artificial
Intelligence 5 (2022): n. pag.
[3] Khalid, Shamsa et al. “Predicting Risk through Artificial Intelligence
Based on Machine Learning Algorithms: A Case of Pakistani
Nonfinancial Firms.” Complex. 2022 (2022): 6858916:1-6858916:11.
[4] Al-Gasawneh, Jassim Ahmad et al. “Moderating the role of the
perceived security and endorsement on the relationship between per-
ceived risk and intention to use the artificial intelligence in financial
services.” International Journal of Data and Network Science (2022):
n. pag.
[5] Shang, Hongyu et al. “Early warning of enterprise finance risk of big
Figure 4.2: Output Graph of workout and Terasort data mining in internet of things based on fuzzy association rules.”
Neural Comput. Appl. 33 (2021): 3901-3909.
[6] S B G Tilak Babu and Ch Srinivasa Rao, "Efficient detection of copy-
There is a transition happening in the financial sector move forgery using polar complex exponential transform and gradient
from the use of historical data to the use of real-time system direction pattern" , Multimed Tools Appl (2022).
data for analysis. Financial operations are becoming more https://doi.org/10.1007/s11042-022-12311-6
streamlined because to the widespread adoption of enterprise [7] A. Chornovol, J. Tabenska, T. Tomniuk, and L. Prostebi, “Public
finance management system in modern conditions,” Investment
financial management systems, which may free up more time Management and Financial Innovations, vol. 17, no. 4, pp. 402–410,
and resources for businesses to optimise and run financial 2020.
function management. Procurement projects may want to [8] H. He, Y. Hong, W. Liu, and S. A. Kim, “Data mining model for
think about expanding the capabilities of the financial multimedia financial time series using information entropy,” Journal of
Intelligent and Fuzzy Systems, vol. 39, no. 4, pp. 5339–5345, 2020.
statement module in the final stage of monetary system [9] S. Selvanayaki, S. D. Sivakumar, A. Rohini, and K. Mani, “Financial
optimization so as to ease the collection of data and ultimately management practices and profitability of modern rice milling firms in
provide enterprises with the means to conduct financial Kangayam Cluster, Tamil Nadu,” Agri- cultural Economics Research
evaluation, analysis, and decision making. Review, vol. 29, no. 2, pp. 297– 306, Article ID 17251, 2016.

2085

Authorized licensed use limited to: SRM Institute of Science and Technology. Downloaded on April 05,2023 at 10:47:46 UTC from IEEE Xplore. Restrictions apply.
2022 5th International Conference on Contemporary Computing and Informatics (IC3I)

[10] S B G Tilak Babu and Ch Srinivasa Rao, "An optimized technique for
copy–move forgery localization using statistical features", ICT
Express, Volume 8, Issue 2, Pages 244-249, 2022.
[11] S B G Tilak Babu and Ch Srinivasa Rao, "Efficient detection of copy-
move forgery using polar complex exponential transform and gradient
direction pattern" , Multimed Tools Appl (2022).
https://doi.org/10.1007/s11042-022-12311-6.
[12] R. S. Krishnan, A. Kannan, G. Manikandan, S. S. KB, V. K. Sankar
and K. L. Narayanan, "Secured College Bus Management System using
IoT for Covid-19 Pandemic Situation," 2021 Third International
Conference on Intelligent Communication Technologies and Virtual
Mobile Networks (ICICV), 2021, pp. 376-
382,doi:10.1109/ICICV50876.2021.9388378.
[13] Ghosh, S., Rana, A., Kansal, V. (2017). Predicting Defect of Software
System. In: Satapathy, S., Bhateja, V., Udgata, S., Pattnaik, P. (eds)
Proceedings of the 5th International Conference on Frontiers in
Intelligent Computing: Theory and Applications . Advances in
Intelligent Systems and Computing, vol 516. Springer, Singapore.
https://doi.org/10.1007/978-981-10-3156-4_6

2086

Authorized licensed use limited to: SRM Institute of Science and Technology. Downloaded on April 05,2023 at 10:47:46 UTC from IEEE Xplore. Restrictions apply.