Staying successful and competitive in a rapidly changing business world is no easy task. While companies new to the market are trying to adapt to it and established players are trying to develop further, there is a powerful tool that has changed the situation: business process automation.
Today, most companies invest in business process automation to improve employee efficiency, increase revenues, and improve the quality of a product or service for customers.
What is business process automation
Business process automation (BPA) is, in simple words, the use of information systems to delegate and automate repetitive work tasks. BPA speeds up the process of getting work done by directing information to the right people at the right time through custom rules and actions. In this way, the company optimizes the processes of hiring employees, managing contracts, etc.
Why automate business processes
Automating business processes not only helps eliminate the risk of human error, but also saves time and finances, which ultimately helps the company to grow faster than manually performing routine tasks. By performing repetitive tasks automatically, you can focus on other aspects of the business.
Here are some of the benefits for businesses:
- Reduces the cost of manual labor. You can automate many business processes – sending emails or chatting with customers, which will free employees from routine tasks and focus efforts, time on critical tasks.
- Consistency and consistency. Manual work involves different parties, each with a different method, which can lead to inconsistent processes. BPA, on the other hand, streamlines all processes ensuring consistency and synergistic efficiency of employees.
- Minimizing errors. When employees manually perform tasks such as document processing, it is more likely to lead to an increase in clerical errors. Centralized automation reduces these, ensuring a high level of accuracy.
- Improved operational efficiency. Automated processes are characterized by continuity and repeatability that are not inherent to humans. In other words, when a process is fully automated, it can be performed over and over again without any changes from employee to employee, making it efficient.
- Integration with other systems. One of the most significant benefits of enterprise automation systems is the ability to share data from traditional systems (such as ERP) within a single corporate interface.
What are business automation systems?
Enterprise business process automation has as many uses as there are sets of business workflows. Unlike information management systems, which mainly help manage data, business management tools cover other aspects of a company’s operations. Their goal is to optimize core business processes that directly affect the profitability of an organization. Here are some of them:
Customer Relationship Management (CRM)
CRM customer relationship management software prioritizes customer acquisition, development and retention. It helps to effectively manage a company’s interactions with each lead throughout the customer journey.
A CRM system empowers everyone – employees in sales, customer service, recruiting, marketing or any other department – to better manage the external interactions and relationships that drive their progress.
Customers may contact you through a variety of communication channels – phone, email, or social media – to ask questions, follow up on orders, or reach out with a problem. Without a single platform for customer interactions, messages can be missed or lost in the flow of information, resulting in a slow or unsatisfactory response.
Therefore, failing to automate your sales business processes and managing your sales team without a CRM can cost your business real money.
Enterprise Resource Planning (ERP)
Growing companies eventually reach a stage where spreadsheets are no longer up to the task. That’s where enterprise resource planning software comes in: ERP systems collect and organize key business information and help organizations run efficiently, even as they grow.
Unlike CRM, which covers the client side of the business, ERP solutions prioritize day-to-day business operations: accounting, project management, risk management, HR, procurement, governance, and more.
ERP also helps in planning and coordinating company activities. Employees can view current balances and customer orders in detail, then compare purchases from suppliers and forecast future demand, and make changes as needed to prevent problems.
As a comprehensive data source, an ERP system provides reports and analytics that can become critical business drivers. Turning vast amounts of information into charts and graphs that clearly illustrate trends and help model possible outcomes is an invaluable ERP capability for all employees, especially managers.
And of course, the biggest advantage of ERP is that the system brings together all the tools on one dashboard that an organization may need to run its business.
Business Process Management System (BPMS)
BPM systems often include capabilities to plan, execute, monitor and analyze business processes, allowing organizations to respond faster to change and reduce costs. They also provide standardized processes, which helps reduce errors and improve the quality of work.
Using BPM, you can evaluate your existing processes to find ways to improve their efficiency, reduce costs, and minimize errors.
Enterprise Service Management (ESM)
As an organization grows, so does the complexity of its teams, its business units. To keep things running smoothly and provide seamless service to external and internal customers, a company may need to implement an ESM system.
In simple words, ESM is based on the principles of IT service management (ITSM) but expands its scope. ESM encompasses services outside of traditional IT: human resources management, financial management, legal management, procurement, etc. The goal of ESM is to provide a unified and consistent approach to delivering services to the customer. ESM improves visibility and access to corporate services of all forms, and accelerates service delivery.
Electronic Document Management Automation System (EDMS)
With so many different document management software solutions available, figuring out which one is right for you is not easy.
EDMS is a tool that helps manage and automate the flow of documents in a company. It organizes the process of creating, reviewing, approving and storing documents, replacing manual and paper-based processes with digital ones. Typically, such software includes features to track document progress, create an approval hierarchy, and notify the appropriate parties when their involvement is required.
Document management tools help automate and streamline business processes, making them more efficient and less prone to errors. Companies benefit from improved communication because team members can easily access and work on documents simultaneously.
Human Resource Management (HRM)
It is often said that people are a company’s greatest resource. However, until recently, human resource management was not considered as important to success as other business processes – such as marketing or sales.
An HRM system includes tools for recruiting, hiring, performance management, employee development, payroll, benefits administration and labor law compliance. HRM systems simplify administrative tasks, improve communication, and provide data to help organizations make informed decisions about their employees.
The goal of HRM is to find the best way to improve an organization’s productivity at the expense of its employees. Despite the ever-increasing pace of change in the corporate world, the role of HRM is unlikely to change significantly.
The challenges of 2024, characterized by digital transformation, pandemic effects and global crises, highlight the importance of agile adaptation for companies around the world. Rapid adaptation to market dynamics and changing customer expectations has become paramount to ensure competitive advantage. In this context, automating a company’s business processes acts as the key to success.
Automation Trends in 2024
In 2024, BPA will see rapid evolution – generative AI, low-code/no-code platforms, process analytics, etc. The tools that support BPA processes are now more automated, intelligent and user-friendly.
Looking ahead to the future of BPA in 2024, let’s note the key trends that will set the direction:
Hyperautomation:
Surpasses traditional process automation by going beyond repetitive tasks. While conventional automation focuses on routine activities, hyperautomation combines advanced technologies – AI (AI), machine learning (ML), and robotic process automation (RPA). Rather than automating individual tasks, it organizes a sequence of interrelated operations and decisions across business functions. And it uses a combination of technologies to improve efficiency beyond the capabilities of traditional automation using a single technology.
Generative AI:
Utilizing artificial intelligence algorithms to creatively generate ideas and solve problems, it is changing the structure of BPA by innovating the design and management of processes. It is still in its infancy, but its rapid development is expanding opportunities in BPA and allowing it to go beyond traditional tools.
Low-code solutions:
Low-code integration and automation platforms are changing the way companies optimize processes and develop IT solutions. They accelerate the development of automation solutions, dramatically reducing time to market. With low-code automation, every step of BPA can be accomplished quickly, without sacrificing security or functionality. Modeling tools enable accurate and intuitive workflow design, and low-code development makes it much easier to create and execute.
Personalization:
In 2024, BPA’s strategy and implementation will be centered on the customer and out-of-the-box business solutions. The focus here will be on improving organizational processes to directly improve customer satisfaction, and combining technologies to deliver an unmatched customer experience.
Looking ahead to 2024, we see that emerging trends in BPA are driving one major trajectory: innovation and adaptation. Integrating advanced technologies and methodologies into BPA is not just about “being on trend,” but also about positioning companies as leaders in a rapidly changing business environment. By embracing these trends, organizations can achieve new efficiencies, drive growth and create sustainable value.
Conclusion
In a highly competitive environment, business automation is indispensable for companies of all sizes: business processes and practices are changing for the better, and employees are empowered to spend their time on strategic tasks while an automated system takes care of manual, repetitive and administrative work.
Read case studies of enterprise-level business process automation in the blog by tagging “Case Studies”
