Why process automation is worthwhile for companies

In the age of digitization and Industry 4.0, companies today rely increasingly on computers, software and artificial intelligence to run their businesses. Automated processes are the linchpin for companies to remain competitive today.

Posted on

May 12, 2024

The rise of artificial intelligence has led to the development of new technologies that enable machines to perform human functions. These include voice recognition, natural language processing, machine learning, and robotics.

But why is it worthwhile as a company to rethink its own processes and work more effectively with process automation? In this blog article, we explain what process automation is and how companies make a successful leap into the era of Industry 4.0 with the help of automated processes.

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What is process automation?

Process automation is used to make human work easier and reduce manual processes. Process automation reduces the working time that a person has previously required for a specific process. Recurring tasks that a person has previously carried out manually are converted into fully automated processes by intelligent computer systems. This results in lower costs. The company can either pass on the cost savings directly to the customer or — if the falling costs are not passed on to the customer — increase the profit.

Process automation is intended to convert manual processes into automated processes using the latest digitization technology. Digitalization technology includes both hardware and software. Work processes with a high degree of complexity can be optimized by a computer system, for example, in such a way that human work is reduced to a minimum or even completely replaced.

Companies and government agencies that make optimal use of available technology for intelligent automation solutions have a significant advantage over organizations that retain their manual processes.

Companies and authorities that significantly improve their processes with the help of diverse, intelligent automation options therefore have a significant advantage over companies that continue to operate standardized processes manually.

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What are the different types of process automation?

Process automation is divided into different types:

Plant automation
Product automation
Simple process automation

If the manufacturing process for a product is to be improved using an automation process, it is a Plant automation. When it comes to system automation, the nature of the product is irrelevant. In the case of plant automation, it is also not important how many steps the entire manufacturing process involves.

Die Product automation serves to optimize or improve the actual product. Product automation includes, for example, laboratories that are partly automated, robots and intelligent warehouse systems.

The simple process automation is used when processes already follow a defined scheme before automation and this scheme is easy to map. Another requirement for simple process optimization is that only a predetermined path describes the process. Simple process automation includes, for example:

Send reminders automatically
Automatically update customer data
Send messages automatically

These are the key benefits of digital process automation

Only well-functioning processes ensure that processes in the company run smoothly.

The following benefits of process automation bring real added value to companies:

1. Costs are significantly reduced

Companies kill two birds with one stone when they automate processes:

Process automation eliminates repetitive tasks, which reduces the costs of manual, human work.
Automating processes significantly reduces the incidence of errors caused by manual and monotonous tasks. As a result, revenue losses as a result of human error are avoided.

2. Productivity is increased

Another advantage of process automation is that productivity increases.

With the help of a CRM system, a company's sales staff, for example, can quickly retrieve information about customers that would otherwise take them significantly longer. In the manual process, employees often spent hours searching databases and tables for the information they needed. Process automation eliminates this. As a result, sales staff can dedicate themselves to higher-value tasks.

Automated follow-up emails and phone calls also make everyday work much easier for sales staff.

3. Customer service is improved

Through less error-prone, automated processes, companies offer their customers better, faster customer service. Especially in today's fast-moving world, customers appreciate fast service, which leads to positive recommendations from customers.

4. Sales are increased

Instead of wasting time having to manually search out customer information, process automation allows them to focus on connecting with customers and prospects. This results in a better customer relationship.

Automated systems help sales staff to make recommendations to customers on their past purchase decisions within a very short period of time.

Human errors are also avoided, which significantly increases the sales opportunities of your own products and services.

5. Eliminate waste

Especially in the age of Industry 4.0 and in terms of environmental awareness, it is extremely important to produce sustainably and in an environmentally friendly manner. The waste produced as a result of manufacturing remains one of the biggest problems.

Many companies make more products than they can ultimately sell. A major reason for this is that all steps of a manual production process are still carried out by hand. Process automation, on the other hand, means that all steps within the process are used efficiently, resulting in less waste, lower costs and higher profits.

conclusion

‍Process automation is definitely worthwhile, both for small and medium-sized companies and large companies. The effort and costs that have to be invested in the beginning are quickly recouped and will soon lead to significantly more efficient and effective processes, increasing employee satisfaction and performance, and profit.

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