Virginie Taborowski
Content Specialist
Last updated on
19.8.24
Best Practice
Process Automation 101: A Beginner's Guide
8
min
Table of contents
- What is process automation?
- Types of process automation
- Why is process automation important?
- In which areas does automation make sense?
- Basic components of process automation
- What are the challenges of process automation
- Best practices when implementing process automation
- Process automation is becoming a cornerstone of Industry 4.0
- Conclusion: The path to successful process automation
Companies are constantly looking for ways to make their processes more efficient, cost-effective and error-free. Process automation offers a promising solution here.
This article gives you a comprehensive overview of the concept of process automation and shows you how you can take your first successful steps.
What is process automation?
Process automation describes a method in which repetitive tasks carried out manually or digitally in a company are converted into automated workflows in order to minimize human intervention.
Tasks are carried out “by themselves”, so to speak. Process automation enables tasks to be completed faster, more precisely and more cost-effectively.
Types of process automation
Process automation can be carried out in different ways — depending on the type of process. The most important characteristics include:
Simple process automation
Simple process automation involves automating simple, repeatable tasks. Even before automation, the process has a fixed scheme.
With simple process automation, you use tools to automate basic activities such as data entry, sending emails, or creating reports. This improves efficiency and reduces human errors in everyday tasks.
Rule-based process automation
Rule-based process automation involves more complex processes that are dependent on different scenarios and variables. If a specific scenario occurs, Rule A applies, for another scenario, for example, Rule B.
Insurance claims are one example of rule-based process automation. Depending on the damage, there are different processes for settling claims.
Intelligent process automation
Intelligent process automation combines machine learning and artificial intelligence (AI) to automate processes that require adaptive and contextual thinking.
This robotic process automation (RPA) integrates technologies that Analyze data, recognize patterns, and make decisions.
A prominent example is chatbots in customer service or predictive maintenance in production. This advanced automation enables companies to make even complex and dynamic processes more efficient and effective.
Why is process automation important?
Every company is familiar with them: routine tasks. Some of them are done faster than others. What they all have in common, however, is that they rob time and money. That is exactly why it is worthwhile to automate these processes. Automation frees up resources. This increases overall employee productivity and helps companies scale faster.
Process automation has the following specific benefits:
- Reduce costs in the long term
- ensure higher employee satisfaction
- Improve productivity and efficiency
- Minimize manual effort
- Increase data security
- Turnaround times are getting faster
- Reduce sources of error
- Scale processes efficiently
In which areas does automation make sense?
Automating processes makes sense in almost all areas of the company and can offer significant benefits. Especially where there is a high level of administrative effort — such as in accounting, HR and in the IT sector. Standardised processes help streamline processes here.
But there is also potential for automation in other departments. We will show you examples of the departments in which it is worthwhile to automate business processes:
- In Finance Automated processes optimize accounting by making transactions and invoicing more efficient and error-free.
- In human resources Does process automation speed up the processing of applications and the Onboarding new employees.
- In customer service Automated chatbots and CRM systems improve response times and customer satisfaction.
- Even in the production and logistics automation ensures seamless processes and more accurate inventory management.
- marketing teams benefit from automated campaign management tools that enable targeted and consistent communication.
Basic components of process automation
Process automation is about balancing people and data to get maximum efficiency out of a workflow. With tools and software technologies, labor-intensive processes can be converted into automated processes. And yet many companies don't dare to eliminate their inefficient workflows.
We will therefore show you below how to achieve automated business processes in five easy steps:
Identify automatable processes
Start with a Benefit analysisto check which processes are suitable for automation. A process is considered automatable if it consists of many repetitive steps.
Complex processes can also be automated, but implementation is more complex. An ideal automatable process is carried out manually, appears regularly, is rule-based, does not show many variants and takes up a high volume.
Plan and define your strategy development
Create a clear automation strategyto ensure a structured approach. Define your goals and determine which processes should be prioritized and automated.
In doing so, consider potential challenges and develop solutions to overcome them. A well-thought-out strategy forms the basis for successful process automation.
Find the right solution
Choose the right technology to automate your processes. Cloud solutions are often ideal as they are scalable and flexible. They make it possible to quickly adapt and expand automated processes as business requirements change.
Compare different tools and platforms to find the best solution for your specific needs.
Involve your employees in the process
Involve your employees in the automation process right from the start. Inform them of the planned changes and train them to use new technologies.
Employee acceptance and support are crucial for automation success. A well-informed and trained team can use the new systems efficiently and take full advantage of their benefits.
Take advantage of advice
Use the expertise of consultants to optimize the automation process. Expert advisors can help you identify and implement the best strategies and technologies.
They provide valuable insights and proven methods to make automation smooth and successful. Investing in consulting can lead to significant efficiency gains and cost savings in the long term.
What are the challenges of process automation
When it comes to process automation, companies face several challenges that must be addressed carefully:
- Good change management required: Managing the transition effectively to overcome resistance and promote acceptance.
- Software must actually be used and implemented: Ensuring that the implemented software is fully integrated and actively used.
- Responsibilities must be clearly defined: Clear allocation of responsibilities to avoid confusion and overlap.
- Expectations: Set realistic expectations to avoid disappointment and frustration.
- Data quality: Ensure high quality data, as poor data can make automation ineffective.
Best practices when implementing process automation
In order to successfully implement process automation, companies should apply practice-oriented best practices. Two possible examples of automation include the onboarding process and invoice approval:
Onboarding process
A best practice when automating the onboarding process is to standardize and automate the entire process. By using automation tools, companies can send welcome emails, set up user accounts, and schedule training without the need for manual intervention.
This ensures that all new employees receive the same high-quality introduction, reduces administrative effort and significantly speeds up the integration process.
Invoice approval
When automating invoice approval, you rely on tools that automatically capture, validate, and forward invoices for approval. This practice speeds up the approval process, minimizes human errors and increases transparency.
Automated workflows ensure that invoices are processed and paid faster, which contributes to improved liquidity and financial clarity.
You want to digitize invoices or search for a software that allows you to write invoices digitally? In both cases, we have tips for you.
Process automation is becoming a cornerstone of Industry 4.0
Process automation provides the basis for networked and intelligent production systems. But the issue does not only affect large companies or corporations. Automation is just as important for SMEs to keep pace with digitization and remain competitive.
By integrating automation solutions, SMEs can increase efficiency, reduce costs and improve their adaptability in a rapidly changing market. Process automation will be essential in the futureto take full advantage of the benefits of Industry 4.0 and to enable innovative business models.
Conclusion: The path to successful process automation
Process automation is a powerful tool that helps companies make their processes more efficient, cost-effective and error-free. From identifying automatable processes to developing a clear strategy, choosing the right technology and involving your employees, every step is critical to success.
With a well-thought-out approach and the application of best practices, companies can significantly increase their efficiency and competitiveness. Take advantage of process automation options to make your company fit for the future.
With software like Ninox, you can digitize and automate processes quickly and easily. Simply test our innovative low-code solution free of charge for 30 days by clicking on the button at the top right or use our numerous templates.
