More and more businesses have been increasingly automating their processes over the past decade. Nowadays, automation in business is only gaining momentum and shows no signs of stopping.
However, process automation is not just about removing humans from the picture. The automation of business processes using software solutions allows for a better allocation of resources and increased productivity.
What business processes can be automated?
Any business process consisting of well-defined and repeatable steps can be automated. Almost all paper-based processes that don’t require logical thinking fall within this definition.
Most employees have a daily routine that often includes time-sensitive tasks – from the sales team to the accounting department. According to a McKinsey report, 60% of occupations could save 30% of their time with automation.
Some typical processes that can easily be automated to unburden employees, reduce costs, and improve transparency are:
- Employee onboarding
- Contract management
- Invoicing
- Document approval
What are the benefits of business process automation?
Business process automation eliminates bottlenecks that lead to lost time and revenue. The improvements in efficiency and control spread to every facet of the organisation – from increased productivity and compliance to better customer experience and market performance.
1. It saves your employees’ time.
Saving time is the main benefit of automation in business. A study revealed that office workers spend 2.12 hours per day on administrative tasks such as searching for information, approving paperwork, and processing documents.
Business process automation solutions can complete these tasks much faster and error-free. Ultimately, process automation means employees can use their work time better.
2. It helps you reduce costs.
Alongside the cost of labour ($2 trillion in total annual wages), there’s the cost of lost profit. Organisations lose 20 to 30% of revenue every year due to inefficient processes.
Switching from manual to automated business processes allows for error minimisation. That way, no time and money need to be wasted in fixing issues.
The reduction of operational costs is demonstrated by the fact that businesses that automated their processes drove down overall costs by 10% and increased overall profits by 8%.
3. It increases productivity.
When cumbersome tasks are delegated to a digital solution, multiple processes can be handled simultaneously. This leads to higher productivity.
On top of that, BPA also improves employee experience by allowing your staff to focus on engaging tasks such as revenue-generating activities.
4. It makes business processes more efficient.
A process is efficient when the best outcome is achieved with minimal effort. When a series of predefined steps are performed consistently, there’s no room for deviations. Plus, automation translates into improved quality and communication, greater visibility, and more efficient task management.
Notes, calls, and emails to pass on information can be replaced with more modern solutions, usually included in business process automation software. When the team has a dashboard to check the tasks’ progress, it gets easier to manage deadlines and streamline collaboration. Furthermore, no details can get lost in translation.
5. It minimises errors.
It’s not a matter of how capable and skilled your employees are. Erring is human; mistakes happen. Manual slip-ups, inefficiency points, and delays are inevitable. Removing the risk of errors makes the process smoother and helps avoid redundant operations. This being said, the likelihood of errors dramatically decreases when you automate processes.
6. It standardises processes.
A manual process involving many employees and stakeholders can be quite messy. Everyone has their own habits, filing methods, and multiple tasks to be on top of. For the process to be effective, it needs to be properly designed in the initial phase.
An automated process is performed as a consistent workflow, whose steps follow each other systematically until a standard outcome is reached every time. That’s why automation is a clever shortcut for standardisation.
Of course, particular changes can be made for each individual business workflow. But, in principle, harmonisation is one of the key benefits of automation in business. No critical steps can be missed, and no document can get lost.
7. It provides auditable records.
Alongside standardisation, each phase of an automated process is always recorded in an audit trail. That makes it possible to:
- track the documents involved
- map their course
- see who did what
- check when each action happened
Such control not only improves accuracy and reliability. It also provides the organisation with auditable records of each specific business workflow. These records are easily retrievable might the need arise – for example, replying to customers’ inquiries or demonstrating regulatory compliance.
8. It ensures compliance.
Automation is not just about defining a set of rules for routing documents. It also includes setting up:
- security measures
- confidentiality protection
- retention methods for personal data
As everything is traceable and under control, automation ultimately ensures better compliance with relevant regulations.
9. It delivers a better customer experience.
Convenience and fast access to a service are key features customers are looking for when comparing different providers. Automation enables faster, more accurate, and better-quality services for clients. Plus, it is much easier to assist customers when you can easily retrieve their information instead of wasting hours chasing down papers. Meeting the promised standard of operational excellence drives happiness and satisfaction, which in turn builds trust, loyalty, and competitive advantage.
10. It increases scalability.
As the client portfolio expands and the number of employees increases, the scope of work also intensifies. Manually issuing 10 invoices is not the same as issuing 1000. The same goes for all other business processes – from hiring new team members to onboarding new customers and more.
Shifting business needs and changing regulatory requirements can be effortlessly addressed thanks to automation. As a result, automation in business helps improve scalability performance.
