How Process Automation Can Boost Your Bottom Line

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As operations leaders, we are constantly seeking ways to improve our operations and reduce costs. One way to achieve this is through process automation. By automating repetitive and manual tasks, we can increase efficiency, reduce costs, improve accuracy, and speed up cycle times.

That said you’ll often find me talking about how technology should always come last when it comes to optimizing the systems within your business. It took me a long time to learn that technology often just complicates process execution especially when we’ve not done everything that we could to optimize the process prior to the technology implementation. This tends to lead to the technology, whether it’s new or existing, to not be fully utilized or efficient.

Identifying Opportunities for Process Automation

The first step beyond manual process optimization is to identify the processes that can be automated in our business. For example, we can automate order processing, inventory management, quality control, and many other processes. I like to look for processes that are repetitive, require manual data entry, or involve a lot of paperwork. This is also a great place to engage and listen to our team for the processes they feel continue to slow them down. By automating these processes, we can eliminate errors, reduce cycle times, and improve overall process efficiency.

Selecting the Right Automation Tools

Once we’ve identified the processes that can be automated, the next step is to select the right automation tools. This is one of the most challenging and important decisions we will make. The challenge is the fact that there are so many tools available and it’s not easy to see the full functionality as it applies directly to our organizations.

I recommend creating a list of 2 or 3 options and then asking for a demonstration of specific use cases that you’ve identified. Beyond this, you can ask the vendor for references to similar sizes and types of businesses. Chances are this will help you identify the tools that will work for you now and into the future.

If you love to DIY or you have the infrastructure to support custom development, a great place to start is with low-code/no-code tools like Zapier or my personal favorite at the moment Make . These are great places to start but keep in mind that depending on the technology you're connected and the objects they allow access to, what you're trying to accomplish may not be possible with these tools.

Implementing Automation

Once we’ve selected the right automation tools, the next step is to implement that automation in our business. This involves a few key steps:

1. We need to develop an implementation plan that involves all key stakeholders.
2. We need to address any prerequisites for the implementation.
3. We need to fully test the automation tools and automated processes within a controlled test environment.
4. We need to train our teams on how to use the automation tools and how the automated processes will work.
5. Once we go live, we must monitor and measure the effectiveness of automation to ensure that it’s delivering the expected results.

Overcoming Challenges

While process automation can be a valuable tool for improving efficiency and reducing costs, it’s important to acknowledge that both the selection and implementation process can be complex and challenging. Some of the common hurdles that we may face include employee resistance, inadequate training, and cost considerations. To overcome these challenges, we need to take a collaborative approach that involves key stakeholders, provide comprehensive training to our team members, and carefully evaluate the costs and benefits of different automation tools.

Final Thoughts

Process automation can without a doubt help us improve our operations, reduce costs, and increase efficiency. We should prioritize identifying the right processes for automation, selecting the most appropriate automation tools, implementing automation in a controlled environment, training teams, and regularly measuring its effectiveness. With this approach, we can make the most of automation and propel our organization towards long-term success.

That’s it for today.

See you all again in a couple of weeks!

Dave