“The first rule of any technology used in a business is that automation applied to an efficient operation will magnify the efficiency” – Bill Gates
Gone are the times when nearly everything was done manually, now we are living in a time where a lot of work is taken over by software, machines, and various automatic procedures
Business process automation (BPA) is the technology-enabled automation of activities or services that accomplish a specific function or workflow with minimal human assistance. Business processes can be determined for many different segments of company activities, including sales, management, operations, supply chain, human resources, and information technology.
McKinsey and Company report on the future of automation estimates that 60% of all occupations have at least one-third of their activities automated.
Improves accuracy and consistency of processes
A business process is often started by a trigger, such as the filing of an expense report which initiates a set of predefined workflow steps or processes, BPA not only automates business processes but to simplify and improve workflow as well.
Workfusion claims that they automated 89% of appeals processing with a 99% accuracy rate.
Business automation has multiple opportunities in our industry. In essence, it can create a virtual workforce working with extreme efficiency and accuracy on the activities that they are employed to deliver. Automation results in optimized business operations which increases capacity and results in improved cycle times. This increased throughput can result in increased profits.
Cost savings and revenue increases
Companies are increasingly under pressure to price competitively, reduce costs and increase profits. To remain on top of these pressures, companies can leverage automation. Automating mundane and tiring processes means that your employees will no longer have to deal with them. Meaning, they’ll be able to focus on work that creates more value (and makes more money) for your business.
Automation helps in reducing the high cost of human labor with increased efficiency and productivity.
For example, the average manufacturing labor cost in India hovered somewhere around Rs.110 in 2015 and is predicted to rise to Rs.170 in 2019.
That sort of data empowers you to make more accurate financial forecasts and manage capital projects efficiently.
For example, let’s say you currently employ someone (at $12 per hour) to upload resumes into your HR system, which takes roughly an hour per month.
Your yearly costs would be $144 for this task ($12 x 12 hours per year).
Let’s assume that automation reduces that one hour per month down to 5 minutes, or one hour per year. That’s an immediate cost savings of $100+ dollars for one task.
Money saved by speeding up processing might seem insignificant at first glance. But when you take into account things like the fact that AP automation can cut costs by 250% per invoice, the savings really add up.
Marketing and sales alignment
Marketing automation can be a fantastic tool to help a company with lots of leads nurture those leads across multiple channels (not just email), then prioritize the right leads for sales to engage. By computationally managing your business information, you can analyze and dig deeper into the data. Automating the business process thus gives you a way to gain deeper into different aspects of your business.
Some of the big companies engaged in marketing automation are:
The e-commerce giant snapped up Kiva Robotics in 2012 for a staggering $755 million (£605m). Amazon now has 30,000 fulfillment robots working in its warehouses worldwide and the company is expected to replace all employees who perform repetitive tasks with machines in the not too distant future.
The ride-sharing app is testing self-driving cars on the roads of San Francisco, despite running into regulatory difficulties with the US Department of Motor Vehicles (DMV). The ultimate goal? Uber is aiming to replace all human drivers with robots.
Redefining job posts
Business process automation is ultimately about one thing: Giving you the time and energy to focus on solving more intelligent problems. It’s not an immediate threat to jobs, as the pace of automation will not outstrip the pace of employment generation opportunities. Therefore, as long as the computational power grows, many jobs are going to be redefined rather than destroyed. Our best tools for future are going to be upskilling and reskilling. By letting automation speed up and streamline your routine processes, your organization will have more time and energy to spend responding to client needs, cultivating relationships, and working on the next big thing.
Business process automation is becoming essential for strategy every forward thinking company. It helps organizations to increase productivity, improve the working environment, reduce the high cost of human labor, improve quality and reliability, utilize floor space more efficiently, reduce waste and stay competitive.
“PERHAPS THE TIME IS RIPE TO GET MORE CREATIVE IN OUR EXPECTATIONS OF TECHNOLOGY AND NOT JUST SETTLE FOR WHAT WE’RE OFFERED.”