Blog: How Automation And Technology Ensure Business Growth?
Businesses could achieve up to $165 billion in cost savings by 2022 through the wide-scale adoption of automation across sectors like automotive, retail, utilities, manufacturing, among others, a recent survey said that conducts by Capgemini Research Institute conduct that.
Companies usually continually look for new ways to move up their business and maximize profit. Significant growth of well-established companies and startups that we witness these days has not remained a thing of wonder for anyone. It’s tech and automation behind their huge success. If we look up to any successful firm, it’s common to find that their processes rely on technology instead of human resources, be it a startup or big firms. Yes, SMEs feel shy to adopt latest technologies quickly, but they are in the queue too and that’s the positive side which can’t be ignored.
Technology and automation have become an integral part of human life that we, as consumer often do not think about its impact. But, businesses wouldn’t lose any sight on revolutionizing technologies that bring them an opportunity for improvement in performance and efficiency.
As many businesses are moving to build automation capabilities, McKinsey Global Survey suggests that companies must first identify the functions that need tech intervention. The survey brought insight that “although companies across industry and region are automating at least some business processes, yet only a slight majority have succeeded at meeting their targets.”
Therefore, we can understand the success key here would be a strategic adoption of tech and automation. It’s important for companies to identify the efficiencies and results automation technology can produce, and the level of disruption the transformation will process.
In the field of business, words like software robotics, machine learning, artificial intelligence have become common. It is the advances in these innovative technologies and other software development platforms that allow companies to redefine processes and workplace automation. Most businesses today (a) have some idea about what it entails and (b) understand that it is important to embrace technology and automation.
The question then is, how can business growth be impacted by technology and does it even make sense to adopt it. Take, for example, image uploading in facebook. Facebook suggests you tag your friends at the time of upload or also suggest you tagging based on people in the image. Facebook provides the feature to the users with the help of machine learning. In the end, it makes uploading image faster and easier. Technology and automation play a similar role in business operations management services.
Reduces Time — Among many advantages of integrating technology in business is that help reduces the time often took to do the same job. With the help of technology, a company can do far more in a limited time without any dull work. Advances in computing systems vastly reduce mundane tasks, simplify complicated things, and can handle vast volume of work within minutes.
Revenue and Profit — Engagement with digital technologies is highly simplified now that fosters an increase in revenues significantly. Even Google and KPMG report confirm it, and more to it, digital technologies including websites, ecommerce, and social media provides businesses a higher market reach. Companies digitally engaged with their customers are making revenue nearly twice compared to companies relying on offline business operations.
Productivity — Because more can be accomplished in less or within time, grasping innovation expands productivity to an enormous extent. Technology additionally opens up the individual to do more substantial jobs, if the everyday practice, a value-based part can be computerized. This prompts better usage of one’s skills, which thusly could inspire more productivity. For a business, it can likewise mean lesser manpower requirements to get the same amount of job done.
Efficiency — Technology has implied machines now complete tasks that require a high level of effectiveness and precision. The innovated computing system can enable a business to improve capabilities across functions — from manufacturing to marketing and ensure expensive errors are kept from occurring. This thusly can add to business development.
Insights — Technology additionally demonstrates significant experiences about the business. By transforming data and numbers into substantial and vital information, organizations can utilize it to land at strategic and calculated decisions. Advancements in technologies like big data analytics could be used in the decision-making process and ensure business development.
While there are many more advantages to companies, the next logical question would be what aspect of a business should innovation and automation touch? Though the simple answer will be ‘every aspect’ of a business. Take, for instance, the process of a fintech or financial firm.
As indicated in an article titled, “Bots, algorithms, and the future of the finance function” by McKinsey & Company, “Finance organizations perform a wide range of activities, from collecting basic data to making complex decisions and counseling business leaders. As a result, the potential for improving performance through automation varies across sub-functions and requires a portfolio of technologies to unlock the full opportunity.”
You might also find it helpful — Development of AI in Financial Services.
The article proceeds to state that applying a similar approach outlined in the McKinsey Global Institute’s automation research, the writers, Frank Plaschke, Ishaan Seth, and Rob Whiteman, discovered that as of now available technologies can fully automate 42 percent of functions in finance organizations and mostly automate a further 19 percent.
For organizations thinking to consider technology and automation, the key is to recognize the areas that need tech intervention, the efficiencies, and results it can produce. When these three factors are accounted, a business should not hesitate to embrace innovation and automation essential for success.
If your company has not yet created a plan for automation throughout the enterprise, you can walk on some steps to reap the rewards of automation.
Prioritize Automation: Organizations that are simply propelling automation projects would profit by making automation a key from the start. Approaches to place this in action incorporate defining clear strategic objectives for tech adoption, having an executive sponsor for the program, and focusing on automation work with developing a complete knowledge about the costs and benefits to make automation an enterprise-wide strategy instead of just implementing in functional, mandate way.
Focus On Roles And People: Automation promotes the role of IT; thus if an organization adopt automation, they can make most of their existing IT. — For instance, involving the function often and as early as possible in all future efforts. Companies should adopt an intelligent way to look at workforce management, and this could be the development of an approach to seize value from revolutionization. It could also be an assessment of the skills and new roles for the workforce that accompany future-state automated processes.
Expand Ownership And Adoption: Companies which have made success is deploying automation technologies should make some effort to expand the governance of and buy-in on automation. The initiative will benefit them in a number of ways while it also helps them keep pace with the rapid advances being made, instead of rethinking their process every time they adopt new technology.
Yes, there is still time to get innovation and automation on board. But the truth is, 2019 will be the year when companies without automation would leave behind. Automation in businesses can happen in many ways. So, adopting the most promising one will be a strategic move for a company.
Stay tuned for Automation Trends in Businesses