SDI English Edition Newsletter: Full Scope or Limited Scope

Concept : Full digital transformation or some improvement in processes and software and a good orchestrator?

It is a football field choice, to talk using sport terminology; a digital transformation can impact an organization more or less depending on the processes and which systems it goes to replace or optimize. Implementing a new Erp, or a Crm, with a group purpose, takes time and resources; it has a strong organizational and process impact but on the other hand allows for centralization of functions and processes.

Alternative to a full digital transformation is to limit its scope with targeted process improvements or systems; identifying the areas, processes or companies with the highest priority and need to insert those adjustments that make them more effective and organized.

The tools most commonly used in these cases are Robotic Process Automation (RPA) and orchestration technologies; two distinct concepts that serve different purposes in the field of automation but widely used in integration strategies for systems, processes and information.

Definition of Robotic Process Automation

RPA refers to the use of software robots, often abbreviated to Bots, to automate repetitive, rule-based tasks typically performed by humans. These bots mimic human actions on computer systems, such as entering data, interacting with applications, and executing predefined workflows. RPA is often used to automate specific processes within an organization, improving efficiency, reducing errors and freeing human employees to focus on more complex, value-added tasks. Typical example the search for credit information of a new customer, which requires interaction with services, typically web-based, to obtain certain news from institutions about a customer's creditworthiness and solvency.

Definition of Orchestration

Orchestration, on the other hand, involves the coordination and management of multiple automated tasks or processes in different systems or applications. It focuses on streamlining end-to-end workflows, a typical expression for following a process flow from its first stage to its end, and integrating various automation technologies, including RPA, APIs (Application Programming Interfaces) and other software tools. Orchestration provides centralized control and visibility over the entire automation ecosystem, enabling organizations to optimize processes, achieve greater automation synergy, and ensure smooth collaboration between different systems.

In summary, RPA is a technology that automates single activities or processes, while orchestration is a broader concept that coordinates and manages the execution of multiple automated activities, including RPA, to achieve higher-level business objectives. Orchestration often involves the use of specialized software platforms or tools that facilitate the design, scheduling, monitoring and reporting of automated workflows in various systems.

When going to a digital transformation, organizations may choose to implement it fully or in a limited way, depending on their specific goals, resources, and needs. We explore both options:

Full digital transformation:

A full-scale digital transformation involves a complete overhaul of an organization's operations, processes and systems. It typically aims to fundamentally change the way the organization operates, embraces technology and delivers value to its customers. The key aspects of a comprehensive digital transformation are:

a. Organization-wide change: Digital transformation efforts involve the entire organization, affecting multiple departments, functions and business units. It involves the reevaluation and redesign of business models, strategies and workflows.

b. Adoption of technology: The organization adopts various technologies and digital platforms in different aspects of its operations. This may include the implementation of enterprise-wide systems such as ERP (Enterprise Resource Planning), CRM (Customer Relationship Management), cloud computing solutions, IoT (Internet of Things) devices, and more.

c. Cultural change: A complete digital transformation often requires a cultural change within the organization. It involves fostering a digital mindset, promoting innovation, encouraging collaboration, and improving employees' digital literacy and skills.

d.?Customer oriented : Organizations prioritize customer experience and engagement in their digital transformation journey. They leverage data analytics, artificial intelligence-based tools, and digital channels to personalize services, improve customer interactions, and gain competitive advantage.

Digital transformation with limited scope:

In some cases, organizations may opt for limited scope digital transformation that focuses on specific areas, processes or functions. This approach is typically taken when the organization has resource constraints, time constraints, specific goals, or simply sees fit to improve some process. In this case, the essential characteristics on which to focus efforts are:

1. Targeted areas: Digital transformation efforts focus on specific areas, such as sales and marketing, supply chain management, customer service or product development. This allows organizations to address specific pain points or capitalize on specific opportunities.
2. Pilot projects or initiatives: Organizations may choose to start with small-scale pilot projects or initiatives to test the feasibility and effectiveness of digital solutions. This approach helps minimize risk and allows for iterative improvements before moving into the expansion phase.
3. Resource optimization: Digital transformations of limited scope often prioritize optimization of existing resources and processes. Organizations focus on streamlining operations, automating manual tasks, and integrating digital tools and systems within the identified area or function.
4. Incremental approach: Instead of a complete overhaul, organizations can take an incremental approach to digital transformation. They implement changes gradually, assessing the impact at each stage and adjusting the strategy accordingly.

It is important to note that the choice between a full-scale or limited digital transformation depends on an organization's specific circumstances, including its size, industry, goals, budget and available resources. Both approaches have their advantages and challenges, and the decision should be in line with the organization's strategic vision and capacity for change.

Integration tools in a transformation with limited scope

The use of an orchestrator and RPA (Robotic Process Automation) can be an integral part of a digital transformation with limited scope. In this situation, the goal might be to optimize specific business processes or functional areas by leveraging automation technologies.

Here is how the orchestrator and RPA can be used in a digital transformation with limited scope:

1. Identification of processes suitable for automation: Initially, it is necessary to identify the processes or activities that can benefit from automation. These can be manual, repetitive or labor-intensive processes that require structured data processing.
2. Implementation of an orchestrator: An orchestrator is a platform or software that enables centralized coordination and management of automated activities. It can provide features such as task monitoring, job scheduling, exception handling, and the creation of complex workflows. The orchestrator facilitates the integration of automation tasks with existing systems and can provide a unified interface for managing automated tasks.
3. Implementation of RPA: RPA is a technology for automating rule-based, repetitive, data-driven tasks. Through the use of software robots, actions performed by humans can be replicated by interacting with existing business applications via the graphical user interface or API. Processes automated with RPA can include data processing, extracting information from documents, handling transactions, and more.
4. Integration with existing systems: During digital transformation with limited scope, it is important that the orchestrator and RPA be integrated with existing business systems. This enables the exchange of data and information between automated processes and legacy systems, ensuring proper synchronization and consistency of information.
5. Monitoring and optimization: After the implementation of the orchestrator and RPA, it is important to monitor automated activities and collect data on performance and efficiency. This data can be used to identify any problems or inefficiencies and make continuous improvements to automated processes.

Using an orchestrator and RPA in a digital transformation with limited scope yields tangible benefits, such as reduced errors, improved process execution speed, increased operational efficiency, and reduced costs. However, it is important to carefully choose the processes to be automated and assess the suitability of these technologies to the specific requirements of the organization.

The same tools can be integrated in a full scope Digital transformation, when each business stream requires the use of the best-of-breed system on the market, and data integration among them becomes essential with a view to sharing and integrating into KPIs. It is technique called "Best of Breed" identifies the best of a solution for each business process and shares the data through orchestration.

Strategies:

Which strategy to pursue? There are many reasons for the former or the latter, a full transformation requires more time, financial resources guaranteeing on the other hand a better integration of processes; limited scope transformation guarantees an integration without disrupting the company; the decision is up to the vision given by the business, future integrations, several business divisions, several business abstractions.

Decisions that must be made after a careful analysis of the market strategy the company plans to adopt, along with an equally careful assessment of the real benefits the business will gain from the new approach.

Editor's note : This Content was generated by a human without the aid of Human Intelligence technologies #WithoutChatGptX