Enterprise automation tools like ERP systems, CRM applications, and product lifecycle management software are big IT initiatives that need large investments. As per Gartner, global spending on enterprise software is going to spike up to 9.5 percent, i.e., from $355 billion in 2017 to $389 billion in 2018. However, with RPA, machine learning, and NLP systems, automation will cease to be a big investment with longer break-even points. In this article at strategy+business, Dan Priest and his co-authors talk about how innovative technologies are making it affordable, faster, and effective.
The New-Age Automation
As per a PwC study, “2017 Finance Effectiveness Benchmark Report,” financial departments still have to devote time to manually extract data from old enterprise tools. This did not pay off the expected gains the automation tools undertook to deliver. However, the new tools have an edge over their predecessors.
- You can use them for shorter, adaptable iterations by focusing on a specific task. This approach has turned out to be effective, quicker, and budget-friendly. It improved process performance by 80 to 100 percent with an overall improvement of 20 percent.
- Unlike the former tools, you do not need to coordinate incessantly between departments and functional heads. The new systems rely on innovative technologies and do not replace any existing systems. They do not require you to plan out standardization processes before implementation.
- The new tools are adaptable, can work with unstructured data, and can readily accommodate variations with quicker benefits realization.
Nevertheless, before implementing the new-age tools, leaders should be aware of the following aspects.
- Implementation Purpose: Identify systems or processes where you can implement the automation tools. Do not go for the widescale upheaval of existing systems and procedures as the aim is to derive value by implementing automation in targeted areas.
- Work Culture: People have a fear in mind that automation will take away their jobs. However, the processes which need automation are already mundane for employees to work on. Automating these tasks free them up to involve in work that requires critical thinking or creativity. Train employees with skills that help them stay relevant to the company.
- Change in Strategy: With the introduction of the new automation tools, you must refocus company strategy. Though the software can look after repetitive tasks, have a committee on standby to guide them during variable data processing. Bring in assignments that require your teams to think on a more creative level.
To view the original article in full, visit the following link: https://www.strategy-business.com/article/The-New-Automation-Is-Smart-Fast-and-Small