Process Automation-A linchpin for Digital Transformation

We are living through an era of Digital transformation, this digital transformation is mainly being driven by the outbreak of pandemic Novel Coronavirus also known as SARS-COV2 (COVID-19). 

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A new research commissioned by Camunda, has shown that nine out of ten decision makers say process automation is a linchpin & essential for digital transformation.

Process automation is equally sought after to improve an organization’s top line as well as its bottom line. According to survey respondents, half (49%) of their organization’s process automation initiatives are focused on driving business growth, with the other half supporting business optimization (27%) and other business efficiency factors, including firefighting (17%).

The survey reveals 84% are anticipating increased investment in process automation as a result of market pressures, including the rise of remote work. However, their process automation needs are increasingly challenged by a wide range of new technologies, infrastructures and use cases. 

This new reality raises the danger of incomplete or broken business processes, lack of insight into inefficiencies and bottlenecks, added cost and potentially loss of customers or new growth opportunities.

Contributing Factors

Process automation accelerated in wake of COVID-19

As per the survey vast majority (88%) of respondents say that the IT initiatives were started or accelerated due to the pandemic COVID-19, with 80% revealing that more of their organization processes are being automated because of fewer people are in offices (Work from Home) to carryout the same tasks. it’s not surprising that 84% of IT decision makers plan to increase investment in process automation. While the survey found that nearly half (46%) of an organizations processes are currently automated, this is set to grow to 58% in the next 24 months.

Business processes have evolved – and so have automation challenges

Automation of business processes is at the heart of digital transformation initiatives. But these processes have become increasingly complex, and include many different steps and components across different technologies. According to respondents, one process typically includes five different types of components such as packaged enterprise applications, APIs, RPA bots, mobile applications, human tasks or microservices. Additionally, processes run anywhere, as the heavy lifting of process automation is done on premises (32%), in the private cloud (58%) or public cloud (47%) or some hybrid scenario (45%). 

Not surprisingly, 88% of IT decision makers say that at least one challenge was experienced during their most recent process automation project. Most respondents that reported challenges cited organizational and project management issues, along with disjointed technical infrastructure.

Lack of process insight puts companies are at risk

While business processes have become more complex, many organisations are still relying on manual or inconsistent reporting to decide how to optimise or improve already automated processes, and to identify patterns and bottlenecks. Almost half (48%) of companies only perform periodic log analysis, while 1 in 4 are using manual ad-hoc reporting. This lack of visibility and strategic oversight increases the chances that critical business processes are inefficient, take too long or could break unnoticed, and cause harm to revenue and reputation.

RPA produces short term benefits, but mounting challenges include managing security

Respondents recognized RPA (Robotic Process Automation) as one component in the broader process automation landscape; for companies using RPA, 65% report that RPA improves quality, minimizes errors and helps deliver automation quickly. However, 91% say that their organization experienced challenges from their RPA deployments such as script maintenance, IT control and compliance issues. Alarmingly, almost half say they encountered challenges managing security.

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The results of this survey show a new era for process automation, as the hidden engine powering innovation across an organization, help to improve customer service and take advantage of new business opportunities while at the same time lowering operational cost and improving efficiencies.

The research also underscores the very significant new technical, infrastructure and organizational challenges IT leaders face, and highlights the need to reinvent their process automation initiatives with a more open, agile and scalable approach.

6 thoughts on “Process Automation-A linchpin for Digital Transformation”

  1. An exceptionally good and balanced assessment of process automation’s requirements/potential growth area (y)

  2. Very true and excellent analysis. This outlines the trend in Digital Transformation and its scope in future technologies.

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