In the swiftly evolving realm of artificial intelligence (AI), companies are grappling with the challenge of integrating the right tools at a pace that matches technological advancements. Brex, a corporate credit card and financial services company, confronted this issue head-on by overhauling its software procurement strategy to stay ahead in the AI race.
Rethinking Procurement Processes
Initially, Brex adhered to a traditional procurement strategy, involving extensive pilot programs and prolonged evaluation periods. However, as AI tools began emerging rapidly, this approach proved inefficient. At the HumanX AI conference in March, Brex’s Chief Technology Officer, James Reggio, highlighted the shortcomings of their existing process. He noted that the lengthy procurement cycle often led to teams losing interest in tools before they could be fully evaluated. ([techcrunch.com](https://techcrunch.com/2025/07/06/how-brex-is-keeping-up-with-ai-by-embracing-the-messiness/?utm_source=openai))
Recognizing the need for agility, Brex developed a new framework for data processing agreements and legal validations specifically tailored for AI tools. This streamlined approach enabled quicker vetting and faster deployment of AI solutions, ensuring that teams could test and implement tools without unnecessary delays.
Empowering Employees in Tool Selection
To further expedite AI adoption, Brex introduced a superhuman product-market-fit test. This method involves engaging deeply with employees who derive the most value from specific tools to determine their uniqueness and potential for broader adoption. By focusing on user experience and practical benefits, Brex ensures that only the most effective tools are integrated into their operations. ([techcrunch.com](https://techcrunch.com/2025/07/06/how-brex-is-keeping-up-with-ai-by-embracing-the-messiness/?utm_source=openai))
Additionally, Brex allocated a monthly budget of $50 to each engineer, allowing them to license software tools from an approved list. This decentralized decision-making process empowers engineers to select tools that best optimize their workflows, fostering a culture of innovation and responsiveness. Reggio observed that this approach has not led to a convergence on a single tool, validating the strategy of encouraging diverse tool experimentation. ([techcrunch.com](https://techcrunch.com/2025/07/06/how-brex-is-keeping-up-with-ai-by-embracing-the-messiness/?utm_source=openai))
Embracing the ‘Messiness’ of AI Innovation
Brex acknowledges that the AI landscape is inherently messy, with rapid developments and a plethora of tools entering the market. Reggio emphasized the importance of accepting this unpredictability and being prepared for a bumpy process in tool adoption. He cautioned against overanalyzing and delaying decisions, as the technological landscape can shift significantly in a short period. ([techcrunch.com](https://techcrunch.com/2025/07/06/how-brex-is-keeping-up-with-ai-by-embracing-the-messiness/?utm_source=openai))
Strategic Partnerships and AI Integration
Beyond internal strategies, Brex has actively pursued partnerships to enhance its AI capabilities. In March 2023, the company announced the launch of advanced AI-powered tools for CFOs and their teams, built using machine learning and natural language processing technology from OpenAI. These features provide real-time insights on corporate spending and answer critical business questions, expanding on previous collaborations with Scale AI to automate receipt and invoice parsing. ([brex.com](https://www.brex.com/journal/press/brex-openai-ai-tools-for-finance-teams?utm_source=openai))
Brex’s AI initiatives include:
– Brex Assistant: Launched in September 2023, this tool leverages large language models and autonomous AI agents to enhance the spend management experience. It automates expense documentation by analyzing data from calendar entries and past expenses, reducing manual entry and ensuring compliance with company policies. ([research.contrary.com](https://research.contrary.com/company/brex?utm_source=openai))
– High-Risk Expense Flagging: The AI system can identify specific items on receipts, such as vodka, even if broader categories like alcohol aren’t mentioned, helping businesses maintain compliance with spending policies. ([research.contrary.com](https://research.contrary.com/company/brex?utm_source=openai))
– AI-Powered Commenting and Conversation: Brex AI initiates discussions about expenses that may violate company policies, offering explanations and guidance on compliance issues. ([research.contrary.com](https://research.contrary.com/company/brex?utm_source=openai))
– Smart Filtering and Search: Users can perform natural language queries about spending patterns or specific expenses, receiving filtered results that enhance financial oversight. ([research.contrary.com](https://research.contrary.com/company/brex?utm_source=openai))
Guidance for CFOs on AI Strategy
Brex also provides strategic advice for CFOs navigating the AI landscape:
1. Concentrated Investments: Develop a centralized team dedicated to AI initiatives, including members from Engineering, Product & Design, Compliance, and Finance. This team should focus on quickly deploying high-quality AI experiences and discovering optimal customer interaction patterns. ([brex.com](https://www.brex.com/journal/cfos-need-an-ai-strategy?utm_source=openai))
2. Internal Leadership: Appoint a senior leader with deep institutional knowledge to head the AI team. Over time, this team should empower other departments to build upon their efforts, fostering a company-wide AI culture. ([brex.com](https://www.brex.com/journal/cfos-need-an-ai-strategy?utm_source=openai))
3. Margin Protection: Be mindful of the costs associated with AI applications, as they can impact gross margins. Evaluate the expenses of new AI features and adjust pricing strategies accordingly to maintain profitability. ([brex.com](https://www.brex.com/journal/cfos-need-an-ai-strategy?utm_source=openai))
4. Leveraging Proprietary Data: Recognize the value of company data in training AI models. Ensure that data usage complies with legal and compliance standards, and be cautious of vendor agreements that may affect data rights. ([brex.com](https://www.brex.com/journal/cfos-need-an-ai-strategy?utm_source=openai))
5. Regulatory Compliance: Stay informed about evolving regulations related to AI. Invest in regulatory and compliance resources early to avoid potential pitfalls and maintain customer trust. ([brex.com](https://www.brex.com/journal/cfos-need-an-ai-strategy?utm_source=openai))
Conclusion
Brex’s proactive and flexible approach to AI integration exemplifies how companies can navigate the complexities of rapidly evolving technologies. By reimagining procurement processes, empowering employees, embracing the inherent messiness of innovation, and forming strategic partnerships, Brex positions itself at the forefront of AI adoption in the financial services sector.
