1 minute read 15 May 2016
Get ready for robots

Get ready for robots

By EY FS Insights

Minds Made for Financial Services

1 minute read 15 May 2016
Related topics Automation

Why planning makes the difference between success and disappointment.

Software Robotics, or Robotic Process Automation (RPA) promises to transform the cost, efficiency and quality of executing many of the back office and customer-facing processes that businesses rely on people to perform.

That’s the good news but RPA is not without its challenges. We have delivered RPA projects across 20 countries and are often called upon to help companies when their first attempt failed. While RPA can transform the economics and service level of current manual operations, we have seen as many as 30 to 50% of initial RPA projects fail. This isn’t a reflection of the technology; there are many successful deployments. But there are some common mistakes that will often prevent an organization from delivering on the promise of RPA.

In order to best gain buy-in to RPA by senior stakeholders, we recommend that an RPA portfolio balances cost reduction with other value drivers such as service improvement, transformative services, improved regulatory response and growth. While delivering cost-savings is great, “headline-grabbing” service improvements or showing entirely new and innovative digital services or products makes the senior stakeholders even more interested in making RPA happen.

As one of the largest RPA consultancies delivering programs globally to financial services organisations, EY is often called in to get RPA programs back on track. This is the first in a series of papers based on our practical experience and the lessons we have learned. In this paper, we examine the common issues that we see clients facing as they move forward with robotics projects. Subsequent papers will define robotics and explore its potential, how best to structure RPA programs and advanced robotics.

Click here to read the full report (PDF)

Summary

 
  • Often companies think about the initial automation project, but forget that ultimately RPA will deliver a virtual workforce that allows the business to task robots across the entire organization.
  • There is significant body of evidence to show that RPA can deliver tangible business benefits across all types of companies, even those with the most archaic IT systems.
  • While IT governance is essential, most software delivery methods are over-engineered for RPA – especially as RPA rarely changes existing systems, and processes are documented in the tool.
  • Companies should look to challenge and simplify existing methods and use an agile delivery approach to deliver at pace.
  • The cost arbitrage of RPA is significant – in European countries, a robot can be 10% to 20% of the cost of an agent. But more often than not, a robot only works on sub-processes and hence leaves a lot of the process that a robot cannot handle, and therefore limits savings achievable. But, for example, if we extend RPA into digital selfservice we see that benefits can be up to two to three times that of RPA alone.

 

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By EY FS Insights

Minds Made for Financial Services

Related topics Automation