I think there is a profound and enduring beauty in simplicity; in clarity, in efficiency. True simplicity is derived from so much more than just the absence of clutter and ornamentation. It’s about bringing order to complexity.
Much has been written about how automation has the potential to transform business processes, increasing both efficiency and accuracy, whilst lowering costs. Indeed, just as how many traditional blue-collar jobs have been taken over by robots over the past few decades, there are now frequent predictions that white-collar work will soon go the same way.
One of the most hyped technologies has been Robotic Process Automation (RPA), in which software algorithms are used to closely replicate the actions of an employee. Take a simple, repetitive task like moving data between two spreadsheets, RPA can mimic the keystrokes of the worker, leaving them free to focus on the more high-value areas of their job.
However, forecasts that thousands of bots would soon be deployed, automating huge volumes of work, have yet to come to fruition. According to analyst firm Horses for Sources, the majority of companies utilising RPA have yet to expand further than a handful of pilot projects.
One of the issues is that although RPA can repeat the actions of workers, it cannot accurately mirror their thought processes or judgement. As a result, these software systems require significant oversight and are difficult to scale. A workforce of robots is not an efficiency gain if each has to be managed like a human equivalent.
RPA on its own can only handle minor point use cases. The introduction of AI for document understanding and self-learning massively extends the range of automation possible in the enterprise.
John Willmott, CEO, NelsonHall
Getting ready for lift off
However, this does not mean that automation will not be transformative for many businesses. It just means that it is still at the start of its innovation trajectory. This is a concept explored by Clayton Christensen, who first introduced the theory of disruptive innovation and is now a Professor at Harvard Business School. His research shows that many exciting breakthroughs are written off in their early iterations because not all of the necessary functionality is there. But as the technology incrementally improves it suddenly reaches an inflection point where it can transform entire industries.
From automation to intelligent automation
There are signs that automation technology is following the same path. One of the key developments has been bundling RPA alongside artificial intelligence (AI). In recent years, there have been huge advances in cognitive computing. Self-learning algorithms are being developed that are not only able to copy how humans act, but also how they think and learn. As a result, AI components can now be used to organise and direct the work of the RPA applications, reducing the need for human intervention and expanding the scope of work that can be automated. If RPA is the body that does the heavy lifting, then AI is the brain. John Willmott, CEO of analyst firm NelsonHall, explains: “RPA on its own can only handle minor point use cases. The introduction of AI for document understanding and self-learning massively extends the range of automation possible in the enterprise.”
The industry term for this process is intelligent automation, and it is already showing huge growth. NelsonHall forecasts that the market for AI and RPA-related services is expanding at 60% per year and will be worth $8.13 billion in 2022, compared with just $700 million in 2017.
One key application for intelligent automation is document management. Take the example of the insurance industry where large operators can typically receive over 2,000 customer emails every day, all of which have to be read, classified and sent to the correct people for processing. An AI solution is able to do this automatically. It can understand the context and meaning of the messages and make decisions. Even the emotional sentience of the communication can be accurately gauged. If the customer is angry or frustrated, for instance, then the request can be routed to someone on the complaints team. RPA software can then be harnessed to do the repetitive tasks like transferring information into the company’s core databases and systems, which they can do quicker and with fewer errors than human counterparts.
“We find that by using intelligent automation, document processing times are typically cut by around 75% and costs are reduced by approximately 30%”
Lukas Hebeisen, Head of Solution Development and Digital Transformation at Swiss Post Solutions.
“The reality is companies are facing a long transition period, with the challenge of scaling up automation, while scaling down traditional operations.”
But it is those companies that can best manage the collaboration between human expertise, artificial intelligence and software bots, that will be in the best position to succeed. “It’s not about one individual technology, but being able to bring it all together,” says Hebeisen, “the challenge is getting the right mix of AI and human expertise for each task.”
The reality is companies are facing a long transition period, with the challenge of scaling up automation, while scaling down traditional operations. This takes knowledge, not only of technology but also of how businesses operate. It is not just about intelligent automation, but automating with intelligence.
Category: Tech
Go back to our work