Companies should each have their own unique goals and outcomes when it comes to process automation, Genpact senior partner, CFO transformation & consulting services – financial services Greg Derderian said.
Genpact is a global professional services firm focused on delivering digital transformation by combining digital improvements with data to create a competitive advantage. That is accomplished through the integration of lean principles, design thinking, analytics, digital technologies and industry expertise to deliver what Genpact terms Lean Digital.
The Intelligent Automation Index helps clients identify the best areas to automate by quantifying their potential impact, Mr. Derderian said. The algorithm-based assessment model calculates the potential of different automation types including basic robotics, machine learning, and cognitive automation. It was developed through Genpact’s efforts to help companies around the world automate more than 750 different types of processes.
The potential for automation in most companies is significant. More than 70 per cent of most enterprise processes, which tend to be manual, can be automated, while up to 20 per cent of more complex procedures requiring some human judgement can be automated with a blend of software robots and human workers.
Now is the time for companies to determine which areas are ripe for automation for several reasons. According to Gartner, end-user spending on robotic process automation (RPA) software will hit $1 billion by decade’s end after growing at a compound annual growth rate of 41 per cent beginning in 2015. While RPA software will be applied to more areas in the coming years, Gartner predicts it will become much more affordable, resulting in a fourfold increase in the percentage of large global organizations adopting RPA technology by 2020.
To help companies to make the switch, Genpact recently released The evolution from robotic process automation to intelligent automation: Six best practices for delivering value through the automation journey. Those processes are:
- Prioritize the best suited RPA use cases
- Determine realistic ROI expectations
- Establish a well-defined governance structure
- Select capable RPA tools and operators
- Re-engineer processes to maximize RPA benefits
- Enable strong collaboration between business and IT
There are several areas a company should look at when prioritizing their top RPA use cases:
- Labour-intensive sectors with a high number of FTEs
- Basic procedures following simple rules and logic
- Areas containing standardized and structured logic
- Areas exhibiting strong fluctuation in use patterns
- Bottlenecks producing high cycle times
“You need the right people in the room when you’re making decisions. You need people who understand the process.”
Reporting in banks is different than it is in consumer products companies, for example, Mr. Derderian explained. That industry-specific understanding is key to putting findings in their proper context.
Companies have their own unique priorities, and those will affect the outcomes they will seek, he added. Is time the most important factor? Information quality?
The more efficiently you can capture data, the more it frees up your analysis capabilities, Mr. Derderian said.
“The challenge we see most of the time in reporting is the time it takes to capture data, develop and edit a report. Then comes the analysis. The mix can be 80 per cent data capture and maybe 20 per cent analysis.
“We are absolutely trying to flip that on its head.”
That has implications for the financial analyst, he added. With the task of capturing and producing data taken care of, the analyst can shift to an analytical business insight role.
Clients can be confident they are getting sound advice and recommendations because Genpact’s end game is not getting them to buy Genpact’s solution. Mr. Derderian said.
“We are not recommending a specific product but the type of technology that can be used.”
Download “The evolution from robotic process automation to intelligent automation” here
Download “Is your business AI ready?” here