Softomotive | Simplify Automation
Blog 19/07/2017

In our last post, we discussed how service providers were using robotic process automation (RPA) to dramatically change the way outsourcing is designed and delivered. This technology, which allows companies to automate support processes, data manipulation or any other transactional activity, is revolutionizing the outsourcing industry and provides an attractive alternative to combat the growing costs of offshoring. This can dramatically improve the way outsourcing service is provided and offer many benefits to clients.

We have already discussed how RPA can improve scalability, offer better support and improve efficiency. Today, we will continue describing the benefits of adopting RPA, why outsourcers need an alternative to outsourcing and how service providers will continue to use RPA in the future to lower costs and deliver better service to their customers.

A new model for global service providers

Although the cost of labor in Asia is still significantly lower than in the U.S. and Europe, it is rapidly catching up. Wages in China have consistently risen by 12% each year since 2001. [1] This, coupled with mounting political pressure to bring jobs home is making many outsourcers reconsider their past strategies.

In order to be successful in the coming years, it is important for companies to rethink the way they design and deliver their services. According to industry consultants at the Everest Group, there are three principles for reimagining global services and automation comes first. “Automation and intelligence lie at the heart of our ability to reimagine technology services, because automation helps us deliver breakthrough outcomes without blowing the cost model out of the water.” [2] Taking an automation first approach that focuses on delivering innovation while maintaining costs allows companies to stay competitive in dramatically changing global markets. This is driving an unprecedented adoption of RPA, with the market seeing an expected annual growth rate of 60.5% between 2014 and 2020. [3]

Benefits of adopting RPA

By giving service providers the ability to use automation to mimic human actions and complete tasks in the same way that a person would, automation can reduce operating costs while allowing the organization to stay agile and responsive. Our last post discussed several of the high-level benefits of adopting RPA. Today, we will discuss some of the more specific benefits the technology can provide to outsourcers.

  • Deeper insights & analytics – RPA can be leveraged to provide automated in-depth logging and reporting, allowing users to gather data more efficiently. This can allow the company to gain insights into processes, improve efficiency, reduce errors and lower costs.
  • Rapid ROI – The efficiency of automation allows companies to roll out new features faster. This can dramatically increase the speed with which they attain a positive ROI for new solutions.
  • Reduced redundancy – Human workers often perform redundant tasks and do unnecessary work. Automated processes can automatically identify these redundancies and eliminate them, improving efficiency and reducing costs.
  • Better management ability – RPA naturally lends itself to better governance and compliance. Managers can look at statistics in a dashboard, easily turn off or adjust processes with the click of a button and generate reports and visualizations quickly. This allows them to gain finer control over day-to-day operations without investing more time or energy in the process.
  • Leverage human employees – Although many workers are afraid that automation will take their jobs, it can actually allow companies to assign their workers more rewarding and stimulating jobs. Creative roles and management roles still need to be performed by human workers and will continue to be for the foreseeable future.

Outsourcing providers will only continue to find more applications for RPA, using it to make their services more efficient, more reliable and better able to meet the requirements of their clients. As the need to find alternatives to increasingly costly and politically difficult offshoring increases, a greater number of companies must turn to automation in order to stay competitive.

If you’d like to learn more about RPA and the benefits of leveraging the technology for service providers, you can watch a recording of Softomotive and DCX Technology’s recent SSOW RPA workshop here. In it, viewers will learn how to adopt, deliver and scale RPA to optimize processes and maximize revenue.


[1] The future of Factory Asia – A tightening grip
[2] Reimagining Global Services: How to get MORE out of Technology | Sherpas in Blue Shirts
[3] IT Robotic Automation Market to Reach US$ 4.98 Bn by 2020, Globally and is forecast to grow at 60.5% CAGR from 2014 to 2020

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