How to Enhance Your Enterprise with Automation
83% of enterprises are already using an automation platform or plan to implement one into their business processes, according to a survey by OVUM. Many business leaders are familiar with robotic process automation (RPA) where robots can perform simple rules based tasks. Now they are educating themselves on intelligence process automation (IPA) to automate more complex tasks with AI.
There are numerous benefits of automation associated with adopting low risk, non-invasive IPA, but enterprise organizations often have trouble weighing the cost and resources of IPA implementation against the ROI they expect to see from it. Early adopters are proving that the ROI is worth implementing IPA. According to KPMG, successful process automation projects save companies 40% – 75%, with payback that varies between several months and several years.
IPA can typically be completed quickly without disturbing existing processes and systems and continuously provides benefits for enterprises long after implementation. Understanding all the benefits of automation will increase your success and your ROI.
Here are 5 benefits of automation that will impact your enterprise:
1. Bottom Line Impact
Enterprises can see major cost savings after implementing intelligent automation into their business processes.
The immediate impact is an increase in productivity. Labor productivity is the total output of your enterprise divided by the total input. By eliminating inefficient processes with IPA, your company achieves a higher output while putting in the same resources.
Your employees can complete work faster increasing overall productivity. Automation reduces the amount of tasks your employees need to do, by eliminating the tedious, repetitive ones from human handling. Employees have more time for their critical duties and enabling them to complete their responsibilities quicker and to a higher quality.
For example, say your customer service team typically take 24 hours to respond to a message due to the repetitive data entry tasks they are also required to complete. By automating the data entry work, customer service reps would be able to reply to customers faster and with more attention.
Both productivity and speed impact capital efficiency. When your workforce is more productive your dollar goes farther, leading to cost savings. As IPA automates repetitive tasks, companies spend the same amount of money on their workforce but employees get more work done.
For large enterprise automation projects, small improvements make a huge impact. Let’s use sales process automation as an example: Assume your sales team is 85% efficient with a $1.5M quota — so they reach $1.2M per year instead of their goal. If IPA increases the efficiency by just 10%, your company could see a $200k difference in revenue.
2. Employee Engagement
According to research by Gallup, 71% of workers are unengaged from their jobs. Yet, appreciation of work is the single most important element of their job for workers globally
If your employees are performing boring, repetitive tasks all day, it’s unlikely they appreciate the work they’re performing and unlikely they will stay for an extended period of time. By using IPA to automate the tasks that make lead to disengaged employees, employers can reduce their turnover rate.
Cutting down these tasks, also gives employees more time to complete work they enjoy doing which brings value to their role. Insurance agents, for example, could spend less time on paperwork and more time helping customers. Eliminating the monotonous tasks gives them much more time to contribute value to the company in meaningful ways.
AI enabled IPA can enhance employee decision making by providing critical insights into data patterns. The power of IPA to augment human intelligence leads employees to feel more successful and satisfied with their jobs. By providing IPA, you enable employees to achieve their career goals and benefit your company.
One example of how IPA can augment human intelligence is “lead scoring.” In this example, AI prioritizes incoming customers for sales outreach based on various weighted qualification criteria. Sales teams can then dramatically increase sales by engaging with the most qualified leads. which is when an intelligent system prioritizes incoming customers for sales outreach.
3. Customer satisfaction
Successful companies know providing a great customer experience is more important than ever. American companies lose $62 billion every year due to bad customer experiences (CX). Of those companies that make an effort to improve their CX, 84% report an increase in revenue.
With less busy work, employees can dedicate more time to customer service impacting the customer experience. Customers have much more access to service because calls and messages are answered more quickly, competently and compassionately. Employees are more attentive and the customer’s interactions with the company more enjoyable.
Better service benefits the customer, and in turn, benefits your business. Customers that have a positive experience with a brand or company have more positive feelings, thoughts and behaviors toward that business leading to long term brand loyalty
Additionally, after a positive experience with a company, 65% of customers would recommend a company to others, leading to higher net promoter scores.
Another benefit of automation is that it makes it easier for your organization to meet its service-level agreements (SLAs) and may allow your organization to adjust its SLAs to better serve customers. For example, if your current SLA is to respond to customers within 5 business days, automation has the potential to reduce turn around to one day. Faster replies and service make for happier customers.
4. Accurate data, accurate insights
According to IBM, 2.5 quintillion bytes of data are created everyday. 80% of that data is unstructured data, meaning that it’s invisible to traditional analytics tools, therefore useless.
IPA (though not tradition RPA) can read and understand unstructured data, giving your business access to previously hidden data, which it can process and make predictions with. IPA adds benefit by fueling business insights from new and increased access to this data. This can have a dramatic impact on forecasting and allowing your business to make more educated decisions.
For example, logistics and supply chain companies collect lots of unstructured data, such product production or shipping wait times. IPA can pull this unstructured data from various systems and sources to predict consumer demands. Logistics businesses can use this to optimize their processes and meet customer’s ever-changing demands.
5. Security and compliance
U.S. companies are hit hard after a data breach, with losses per company averaging $4.13 million.
Nearly every large enterprise manages sensitive data, regardless of industry. When it comes to properly handling this data, businesses must protect themselves from security threats as well as comply with regulatory protocols. IPA can help with both.
Security automation can increase the safety of your enterprise’s confidential data by preventing data breaches. IPA solutions perform tasks within your security applications that typically would be performed by a human, minimizing human handling and viewing of your sensitive customer/client data.
Automation leads to faster response to threats, better and analyses on potential threats and more accurate predictions with machine learning technology.
The second step is complying with regulatory rules and organizations. Government regulations place heavy burdens on industry to meet legal guidelines and government agencies themselves have complex regulatory mandates as well. Automation can ensure your organization, whether it be public, private or for profit is complying with all regulations without pulling your human workers away from other tasks.
AI automation does this in a few ways:
- Generates audit trails for changes made during product development or with legal documentation.
- Ensures that role-based access measures are met by allowing limited access to certain data to authorized groups.
- Creates documentation about how a company or machine made a decision.
These are tasks typically performed by a compliance officer. When handled by an automation system, these tasks are done more efficiently and with much higher accuracy than when performed by a human.
Let’s use mortgage lending as an example. Banks must ensure that bankers are not discriminating against applicants but also must reduce their loan risk. IPA can create an audit trail of events that happened with a person’s loan application, ensure that only authorized users with the proper credentials can access that person’s sensitive data and create a document that shows how the bank came to its decision approving or denying the loan.
According to a 2016 survey by Accenture, 73% of the surveyed compliance officers believed that automation could be a key enabler in compliance within the next three years.