As the global business landscape continues to evolve, organizations are increasingly relying on advanced technologies to enhance their financial operations. The integration of Artificial Intelligence (AI) and Machine Learning (ML) with SAP-driven financial systems represents a transformative shift in how companies manage risk and detect fraud. This article explores how AI and ML can optimize SAP systems for proactive risk management and real-time fraud detection. It highlights the benefits, challenges, and best practices for implementing these technologies within SAP environments, drawing on industry case studies and expert insights