Digital Labor and RPA: Part 2 in our series on robotic process automation

By Don Sweeney (don.sweeney@practicallydigital.net)

By Don Sweeney (don.sweeney@practicallydigital.net)

In our first blog post on RPA, we defined what Robotic Process Automation (RPA) is and provided some examples.    In this second post of the three-part series, we will explain why RPA is important regardless of your role in an organization, and how it will significantly impact employees and processes going forward.

RPA vs. outsourcing – the benefits and the gains

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While robotic process automation is touted as a solution to many inefficiencies, in practicality RPA is an iteration of companies seeking to increase efficiency and reduce costs in various roles and processes within their organization.    

Over the past decade, many businesses have tried to achieve cost minimization and improved efficiency of capital and labor by employing offshore capabilities. While some gain is achieved when done well, offshoring creates various communications issues because of language, culture and time-zone differences, often resulting in an increased number of hours—and costs--to get the same amount of work accomplished.

To combat the hidden offshoring costs, some organizations have tried to make offshore processes as specific, static and repeatable as possible.  This approach increases efficiency certainly, though limits upside growth and scale of such a capability.  In contrast, with RPA, companies gain the benefits of scale and growth, plus the efficiencies possible (but rarely achieved) with offshoring or outsourcing efforts.   

The benefits of RPA

RPA - Taking the error, inefficiency, and complexity out of frequent tasks

RPA - Taking the error, inefficiency, and complexity out of frequent tasks

So who gains in the adoption of RPA?   In an interesting twist, outsourcing companies are often the ones leading the movement to RPA because they foresee the efficiency gains that can be achieved by moving to less labor-intensive processes, and less costly remediation efforts on projects or services which are already in place.  

The value of RPA is certainly not limited to companies that have outsourced their efforts for a specific process. The benefits that RPA can bring to any organization include:

Cost Reduction: Automating manual, menial, repetitive tasks that follow a consistent, logical flow can reduce the need for costly human intervention.
Performance Improvement: Allowing RPA to execute on linear tasks with high accuracy, speed and quality can improve quality assurance.
Risk Mitigation: There’s less risk associated with decreased reliance on outsourcing partners.
Increased Innovation: Allowing employees to focus on more innovative and creative projects and tasks can lead to increased thought leadership.
Workforce Flexibility: Using RPA can help mitigate against the decreasing access to white collar labor as baby boomers continue to retire.

How does RPA benefit your employees?

RPA allows the humans to focus on the creative, decision, and growth priorities.  

RPA allows the humans to focus on the creative, decision, and growth priorities.  

If you’re a worker and not a decision maker, RPA can still be beneficial to you because it removes the repetitive, administrative work that you’re currently doing. And let’s be frank…you don’t like to do that stuff anyway and you mostly likely aren’t valued for it.

RPA will allow employees to focus more on analyzing data and complex decision making, instead of just completing the processes involved in it. And that change will significantly increase a person's value to any organization.

RPA can offer various benefits from the enterprise level all the way down to the employee level by automating tasks and processes that are repetitive and consistent. It can reduce costs, improve consistency (and therefore reduce errors in processing), and potentially provide a better engaging experience for the end customer because these processes now can be done 24x7. 

Stay tuned for Blog 3: Making the RPA investment a success