How to make a 100% worthwhile investment in business process automation
The risk of investing large financial resources in the automation of business processes and not getting a predictable result is a nightmare for any owner. What steps should the owner take when introducing automation to prevent this from happening?
Any medium and large business sooner or later faces the need to automate business processes. The introduction of automation can be uncomfortable at first, like any innovation in the company, but in the end, everyone benefits from it — business owners, employees, and customers.
The coronavirus has influenced the need for automation. The question of remote work arose sharply. As a result, the importance of control and quality of work in the new realities has increased.
Today, in most businesses, where there are complex, interacting, and multi-level processes (banking, retail, wholesale, e-commerce), you simply cannot do plenty of things without automation.
Let me explain the issue in more detail.
Which companies need automation?
In general terms, automation is needed for any business where there is a multi-layer process (by multi-layer processes, I mean that the processes in the company are multi-level or the process includes sub-processes).
When the owner or management of the company notice that business processes are becoming more complex, and the time spent by staff on document management, performing routine operations, or making decisions at different levels has grown exponentially, they understand that the company needs automation. Namely — the implementation of a business process management (BPM) system.
Another important factor is the number of employees in the company. Since the more people participate in the processes, the greater the likelihood of error (human factor), violation of SLA, and complication of “manual” management.
Wherever there is a human factor, there may be an error or delay in making a decision or simply forgetfulness of a person. The introduction of software for managing business processes will reduce such risks to a minimum.
In addition, such systems performed well in terms of collecting analytics. Here, this tool helps to identify the most effective model of behavior for both the client and the employee. It can show the fastest and most effective way of leading the client or the way of making a decision.
Even 15 years ago it was necessary to explain the importance of automation to large market players, today there is no such need. Many of our clients have already implemented various automation systems. Therefore, now system integrators have a slightly different focus. They prefer to automate existing processes in the company, optimize them, provide audit and consulting services, and also build a competence center for customers.
It’s important to understand that automation is not a panacea. Any automation (the introduction of a business process management system is no exception) will entail certain administrative changes. Employees will need to change their habits. Therefore, not everyone will approve of it
In addition, any automation begins with describing and optimizing existing processes. This means that the process may not be necessary, or it should be changed. After all, when an audit occurs, some things can be discarded and some modified.
Taking risks into account: can automation be ineffective?
The risk of investing large financial resources in automating the company’s business processes and not getting the predicted result at the end is a nightmare for any owner. But such a risk is really possible. Therefore, before the development and implementation of an automation system in a specific product, it is necessary to carry out analytical work. The main burden in such projects lies with the analysts.
At the very beginning, it is important to determine which processes should be automated and which ones should be left as they are.
For example, human thinking or live communication does not fall under automation — these factors are simply knocked out of the algorithm of the system’s operation. But here’s what can and should be automated to simplify work and obtain economic benefits:
- task and project management processes;
- personnel and working time management processes;
- customer management processes;
- operational processes;
- financial and accounting processes, etc.
Let’s go back to the risks of automation.
Very often, problems begin where the previous experience in automating business processes is not taken into account. Even if it was in some way ineffective. It is always easier to follow the well-trodden paths — take into account the experience of companies that have the baggage of knowledge in this field. When a company tries to save money on the implementation process, the risk increases dramatically. Here it is helpful and important to use the experience of existing developments.
Summing up, I would like to draw your attention to the fact that in order to get a return on implementation and automation as such, it is necessary to go through a number of stages: collection and analysis of existing processes, implementation of a business process management system and adaptation of company employees to work in the system. And all these are investments, both financial and temporary. But we see from our experience that all these investments are justified and there is always a return.
In addition, there is always efficiency and manageability. This also works to increase the company’s profits and provides additional tools for managing employees.
Can we say that Ukrainian business is largely effective due to automation? Yes.
Do we have something to strive for? Undoubtedly.
Business process automation is an investment that will pay off 100%. And there is no business process that cannot be improved.
