Accordion's 8 Steps for PE-Backed AI Budgeting
Accordion's Justin D'Onofrio outlines an 8-step framework for PE-backed CFOs to turn experimental AI spending into measurable EBITDA gains.
Building Your 2027 AI Budget (w/ Justin D’Onofrio, Accordion)
With Devin Mathews, Justin D’Onofrio · Sunday, September 20, 2026
Devin Mathews speaks with Justin D’Onofrio, Managing Director at Accordion, about how private equity-backed CFOs and FP&A teams should approach budgeting for artificial intelligence. They discuss why unmanaged experimental spend has created budget blowouts, how to shift from funding tools to funding business outcomes, and detail Accordion's 8-step framework for establishing AI financial governance.
Key takeaways
- Uncontrolled experimentation has driven software budget blowouts across private equity portfolio companies, forcing finance teams to treat artificial intelligence as capital deployment rather than departmental overhead. Read more →
- Variable token consumption breaks traditional enterprise IT budgeting because model queries do not follow predictable, fixed-seat SaaS contract pricing. Read more →
- Private equity sponsors measure AI returns by tracking revenue per head over time rather than cutting existing payroll. Read more →
- Private equity finance teams are running into budget overruns by approving generative AI software as isolated SaaS line items like Claude or Perplexity instead of funding specific workflow outcomes. Read more →
- Devin Mathews reports that 83% of private equity portfolio companies run active AI pilots, yet under 20% tie those projects to measurable enterprise value. Read more →
5 articles from this episode
Why AI Token Costs Are Blowing Up PE Budgets
Justin D’Onofrio explains how variable AI token consumption breaks traditional FP&A SaaS models and erodes portfolio margins.
PE Backs Revenue Per Head Over AI Headcount Cuts
Devin Mathews and Justin D’Onofrio explain why middle-market private equity tracks revenue per head instead of AI cost takeouts.
Why PE CFOs Must Budget AI for Outcomes, Not Tools
Accordion's Justin D'Onofrio explains why PE CFOs must fund AI workflows instead of tool subscriptions to protect portfolio ROIC.
Why 80% of Enterprise AI Pilots Fail to Create Value
Devin Mathews and Justin D'Onofrio reveal why enterprise AI pilots fail and how PE sponsors should govern AI spend.
More Private Equity Funcast episodes
- Just Ask the Question (w/ Caroline Phipps, ParkerGale)Nov 15 · 0 articles
- Amend and Pretend: Private Credit’s Hidden Defaults (w/ Tuck Hardie, Houlihan Lokey)Nov 15 · 4 articles
- Why Nobody Defaults Anymore (w/ Kenny Tang, PitchBook)Nov 8 · 3 articles
- Why an English Major Is a Secret Weapon in Finance (w/ Kate Nimmo, PSG)Nov 8 · 1 article