What Is Enterprise Automation? Examples & Types

The potential for enterprise automation to transform business seems almost limitless, particularly with recent advancements in technologies like artificial intelligence (AI) and machine learning (ML). In fact, McKinsey & Co. predicts that half of today’s work activities could be automated by 2055, depending on economic factors. This bodes well for businesses, as eliminating mundane and time-consuming manual tasks will allow them to harness resources for more strategic initiatives that drive rapid change and growth.

But enterprise automation isn’t magic. Applying automation technologies to broken processes and workflows doesn’t instantly transform them into models of efficiency. To be successful, companies need to first understand where their workflow bottlenecks exist and what they hope to achieve from automation. Only then can they determine the right technologies for the job. This article outlines the different types of enterprise automation, the benefits they provide, tips for how to implement them and examples of enterprise automation systems.

What Is Enterprise Automation?

Enterprise automation leverages software and systems to connect and consolidate various business processes, from data management to customer service, supply chain and financial operations. The goal of enterprise automation is to integrate diverse applications and tools to create an optimized, unified workflow that minimizes manual work and boosts efficiency across departments. Enterprise automation also has the added benefit of enhancing accuracy and consistency in operations, reducing the risk of human error and ensuring higher-quality outputs.

To achieve enterprise automation, companies often incorporate advanced technologies like AI, ML and the Internet of Things (IoT) within core business systems, such as financial, customer relationship management (CRM) and human resources (HR). Going a step further, companies can turbocharge these automation capabilities by integrating various automated systems across the enterprise to unite disparate workflows and increase efficiency and productivity.

Key Takeaways

• Enterprise automation leverages cutting-edge technologies to help businesses streamline repetitive tasks.
• There are four main types of enterprise automation technologies, which automate everything from basic, mundane tasks, like scheduling appointments, to more complex companywide processes, such as processing an insurance claim.
• The benefits of enterprise automation include increased efficiency and productivity, greater data accuracy and consistency, improved scalability and flexibility and lower costs.
• Building an enterprise automation strategy involves identifying and prioritizing ideal processes for automation, choosing the right technologies, implementing a phased approach and ensuring data governance and security.

Enterprise Automation Explained

Although early enterprise automation strategies were limited to simple task-based activities, such as data entry and basic inventory management, the practice has exploded in recent years, driven by rapid advancements in AI, ML and robotic process automation (RPA), which uses software robots, known as bots, to interact with applications and data. Today’s advanced tools have had a significant impact on data management, customer service and operational processes.

There are four main types of enterprise automation, discussed in more detail below. Basic automation handles simple, repetitive tasks, such as sorting emails, scheduling appointments and updating spreadsheets. Process automation orchestrates more complex workflows, such as managing customer service requests, streamlining employee onboarding and automating procurement processes. Integration automation is the process of combining multiple automated systems into a single, unified workflow. And RPA uses bots to perform high-volume, repetitive tasks.

Four Types of Enterprise Automation

Enterprise automation represents different levels and areas of automation within an organization and range from automating simple, repetitive tasks to integrating complex systems and enabling intelligent decision-making processes — all aimed at improving efficiency, accuracy, and scalability in business operations. Here is a closer look at the four most common types of enterprise automation technology, from the most basic to the most advanced.

1. Basic Automation

Think of basic automation as dipping a toe in the water of enterprise automation. It involves automating simple, routine tasks that require minimal human intervention, such as data entry, scheduling, email sorting and basic customer service responses. For example, a popular basic automation task is automating email responses for common customer inquiries. While not particularly glamorous, this type of automation can nonetheless dramatically reduce the time and effort spent on mundane tasks. Basic automation also has the added benefits of minimizing human errors and freeing up employees to focus on more complex and creative work.

2. Process Automation

Process automation, also known as business process automation (BPA), is an approach that focuses on optimizing and streamlining complex business processes and workflows. For example, automating a company’s entire procurement process, from requisition to payment, falls under process automation.

Like basic automation, process automation reduces the time and cost associated with manual process management, minimizes human error and provides real-time insights into operational performance. Because it automates more intricate processes, process automation often delivers greater benefits than basic automation. For example, automating customer service processes can lead to faster resolution times and increased customer satisfaction. Depending on the specific workflow to be automated, companies can implement process automation using enterprise software tools, such as CRM systems and financial management software, or they can leverage specific business process automation tools.

3. Integration Automation

Integration automation offers a way to create companywide automated workflows by connecting disparate applications to sync data across enterprise systems, automate data transfer among systems and ensure real-time data availability across an organization. For example, integrating sales and accounting systems can automate invoice processes, reducing errors and speeding up billing cycles.

Integration automation eliminates data silos, so information is consistent and up to date across all systems, which leads to better decision-making and increased efficiency. Choosing the right integration tools that connect individual systems without disrupting current operations is crucial. This could involve the use of middleware or systems that offer built-in integration capabilities.

4. Robotic Process Automation

Unlike the types of automation described above, which essentially manage workflows, RPA directly interacts with business applications and data using bots. As a result, RPA can go beyond simple tasks like data entry, mimicking more complex human actions, such as extracting data from documents and entering information into multiple systems. It can also manage more complex processes based on predefined rules, such as handling insurance claims. This not only significantly reduces time spent on complex tasks, but it also improves accuracy by eliminating human errors. And because bots never get tired, RPA can work with greater speed and precision than human operators.

Advantages of Enterprise Automation

Automation means companies can get more done with less effort, which has clear cost and efficiency benefits. But the benefits of automation extend beyond just those two advantages, making it easier for companies to scale profitably and build better relationships with customers. A successful enterprise automation strategy is likely to deliver the following benefits.

• Increased Efficiency and Productivity

  By taking over repetitive, time-consuming tasks, enterprise automation boosts efficiency and productivity by streamlining workflows, eliminating redundant tasks and reducing the likelihood of human error. This leads to faster completion of tasks and more consistent, high-quality results. For example, automated customer service systems provide quick, consistent responses to common inquiries, greatly reducing response times and increasing customer satisfaction. Automated inventory management systems track stock levels in real time, preventing overstocking or stockouts and optimizing supply chain operations.

  To maximize efficiency and productivity through enterprise automation, companies should identify processes that are highly repetitive and prone to human error for initial automation. Helpful tip: Prioritizing automation in areas that directly impact customer experience or operational bottlenecks can yield significant benefits.

• Cost Reduction

  The more that companies can automate tasks, the less manual effort is required, which translates directly into lower operational costs through streamlined operations, reduced resource expenditure and increased efficiency. For example, AI-powered chatbots can handle numerous customer queries simultaneously, decreasing the need for a large customer service team. Automated inventory management systems prevent overstocking or stock shortages, optimizing supply chain expenses.

  Companies would be wise to start by automating back-office operations, which often have hidden inefficiencies. Automating tasks like invoice processing or payroll, for example, can yield quick, significant savings. Additionally, companies should prioritize automating tasks that have a direct impact on revenue generation or customer satisfaction, which leads to faster return on investment (ROI).

• Enhanced Accuracy and Consistency

  With all due respect to humans, the less we’re involved in repetitive business tasks, the more accurate and consistent the data becomes. That’s because the algorithms and predefined rules in automation tools consistently apply the same standards across all tasks.

  Enhancing accuracy and consistency can have a profound impact on decision-making and customer trust. Inaccuracies in data can lead to operational inefficiencies, financial discrepancies and flawed business strategies, for example. Inconsistency in customer service can lead to uneven customer experiences that erode client confidence and damage brand reputation. Companies should consider integrating automation into regular audit and feedback processes by using automated tools for continuous performance monitoring and facilitating reviews from users and stakeholders. This strategy maintains accuracy and consistency and fosters the continuous improvement of automated business processes.

• Improved Customer Experience

  In an era of heightened customer service expectations, enterprise automation offers the potential to streamline customer interactions to deliver quick, efficient and personalized service. Automation tools like AI-powered chatbots, for example, can provide instant, 24/7 customer support to handle inquiries and resolve issues rapidly. Automated emails and notifications can also keep customers informed, building engagement and satisfaction.

  In particular, using automation to gather and analyze customer feedback can dramatically improve customer interactions. It allows companies to quickly adapt and respond to customer needs and preferences and constantly refine the customer experience.

• Scalability and Flexibility

  Enterprise automation provides a framework that easily scales with a company’s growth to accommodate increased workloads without the need for proportional increases in staff or resources. It also improves flexibility by allowing companies to quickly adapt their processes in response to market changes or new opportunities. For example, a company using automated systems can easily modify its production line processes to accommodate a new product or adjust its marketing strategies based on automated data analysis insights.

  To improve scalability and flexibility, companies should consider adopting modular and customizable automation solutions that make it possible to start by addressing focused needs. Then they can add or modify functionalities as requirements evolve. This approach doesn’t only save costs; it also ensures that automated systems remain aligned with changing requirements.

Tips to Build an Enterprise Automation Strategy

Technology is an important part of any enterprise automation strategy, but success also depends on several other factors, including prioritizing processes, developing a careful rollout plan and maintaining data governance and compliance throughout the process. The following four tips offer a framework for building a comprehensive plan.

1. Prioritize Processes for Automation

For most companies, there are many processes ripe for enterprise automation, but as the saying goes, “Rome wasn’t built in a day.” Companies need to understand which automations should take priority, aligning them with business objectives and focusing on areas that offer the most significant impact. For many businesses, that means identifying processes that are time-consuming, prone to error or have high labor costs. For example, processes with high transaction volumes, such as invoicing, customer service inquiries and data entry, can yield immediate efficiency gains and cost savings from automation.

Prioritizing processes begins with a thorough mapping of business workflows to identify bottlenecks and inefficiencies. This provides a clear picture of which processes will benefit most from automation. It’s also important for companies to engage with the employees who manage these processes daily to gather insights into which areas are ripe for automation and more effective and user-friendly solutions.

2. Choose the Right Automation Technologies

With so many automation technologies to choose from, such as AI, ML, RPA and chatbots, it’s important for companies to find the right technology for the job. For example, choosing a complex, high-end automation system for simple, low-volume tasks can result in an unnecessary financial burden and operational inefficiency. Mismatched automation solutions may fail to address a company’s unique challenges and lead to costly disruptions in workflows that render the investment ineffective.

Finding the right technology requires a thorough needs assessments, aligning potential solutions with specific business processes and objectives. Seeking input from IT teams and end users who will interact with the technology daily is also vital. A helpful tip: Prioritize solutions offering scalability and adaptability, so they grow and evolve with the business, providing long-term value and flexibility.

3. Develop a Phased Implementation Plan

Many technology implementations are best served by a phased approach to implementation, and enterprise automation is no different. A phased approach allows for the gradual integration of technologies to make the process manageable while minimizing disruption to existing operations. Just as importantly, it allows businesses to test and refine each stage of automation to maintain compatibility with current systems and processes.

Typically, there are four phases of an enterprise automation implementation plan. In an initial assessment, key areas for automation are identified. This is followed by pilot testing, where selected processes are automated on a small scale. In the evaluation phase, the effectiveness of the pilot is analyzed. The final phase is a gradual rollout across other areas of the business based on lessons from the pilot phase. In a phased implementation plan, companies should establish clear metrics for success at each phase, so it’s easier to measure the impact of automation objectively and make data-driven decisions about subsequent phases.

4. Ensure Robust Data Governance and Security

An enterprise automation strategy of any significance likely involves handling large volumes of data, including sensitive information. Robust governance and security are essential to maintain the integrity and confidentiality of business and customer data — a cornerstone of trust and compliance in the digital age.

To ensure data governance and security, companies must integrate strong security protocols, such as encryption and access controls, into their automation tools. Regular security audits and compliance checks should also be part of the strategy to identify and mitigate potential vulnerabilities. Finally, privacy-by-design principles, which incorporate data privacy and security into every stage of the development and operation of automated systems, can help ensure that systems are inherently secure and compliant with data protection regulations.

Examples of Enterprise Automation Systems

The following business automation examples demonstrate how automation technologies can be used to streamline a wide range of enterprise management processes within core applications.

• Financial systems: Automating invoice processing and payments reduces manual data entry errors and improves cash flow management.
• CRM systems: Automated email marketing in a CRM system enables more timely and personalized communication with clients, leading to increased customer engagement and retention.
• Enterprise resource planning (ERP) systems: An ERP system automates procurement processes to enable faster vendor communications and purchase order generation, which enhances supply chain efficiency and reduces operational costs.
• Supply chain management systems: Demand forecasting automation results in more accurate stock level predictions that minimize excess inventory and improve just-in-time delivery.
• HR systems: Streamlining onboarding processes using automation offers a more engaging experience for new hires and significantly reduces administrative workloads for HR staff.
• Business process management systems: Automating incident management workflows enables rapid response to operational issues to improve problem resolution times and sustain business continuity.
• Manufacturing and inventory systems: Automation in quality-control processes facilitates real-time defect detection in manufacturing to improve product quality and reduce waste.
• Project management systems: Leveraging automation for time tracking and reporting provides more accurate updates on project status, resulting in improved resource allocation and deadline adherence.

Get the Benefits of Enterprise Automation With NetSuite

All NetSuite products offer embedded automation capabilities, from automated inventory management to automated emailing tools. But the key advantage of NetSuite ERP is its ability to deliver enterprise automation by linking multiple applications in a centralized, automated hub. Disconnected enterprise applications can make integrated automation challenging, often requiring IT resources and higher costs. But with NetSuite ERP’s cloud-based suite of natively integrated applications, companies can seamlessly connect automated workflows across CRM, HR, finance, manufacturing and ecommerce operations.

NetSuite’s unified data model also creates a single, comprehensive database for real-time visibility across all business functions. As a result, information entered in one part of the system is immediately available across all other areas, linking processes and workflows to enhance efficiency and decision-making. And because NetSuite is cloud-based, it offers the scalability and flexibility to suit businesses of all sizes and evolve as companies grow.

While the sci-fi, robot-driven business of the future might be a ways off, today’s enterprise automation technologies hint at an exciting future that can completely redefine how companies use resources for more strategic efforts. Success doesn’t happen with the press of a button, however. With the careful planning outlined in this article, companies can build forward-thinking automation strategies that position them well for whatever the future holds.

Enterprise Automation FAQs

What do you mean by enterprise automation?

Enterprise automation refers to the use of technology, particularly software and systems, to automate business processes and operations within an organization, from data management and customer service to supply chain and financial operations. It involves integrating various applications and tools to streamline workflows, reduce manual effort and enhance efficiency across departments. Enterprise automation also improves productivity, accuracy and decision-making while reducing costs and human errors.

What is the primary focus of enterprise automation?

The primary focus of enterprise automation is to enhance operational efficiency and productivity by streamlining business processes. It reduces manual intervention in repetitive and time-consuming tasks, allowing employees to focus on more strategic, value-added activities. This is achieved through the integration of advanced technologies, such as artificial intelligence (AI), machine learning (ML) and robotic process automation (RPA).

What is the future of enterprise automation?

Advancements in artificial intelligence (AI), machine learning (ML) and robotic process automation (RPA) are driving the future of enterprise automation, leading to more intelligent and adaptive systems. These technologies enable automation solutions to handle complex decision-making processes, offer predictive insights and personalize experiences for both employees and customers. Combining these technologies with developments like the Internet of Things (IoT) will further enhance real-time data collection and analysis, expanding automation capabilities across a wider range of processes and industries.

What are the differences between RPA and enterprise automation?

Robotic process automation (RPA) is a subset of enterprise automation, focusing specifically on automating repetitive, rule-based tasks using software robots, or bots. RPA is primarily task-oriented, handling specific functions, like data entry, form filling or automated responses. Enterprise automation is a broader term that involves integrating various automation technologies across an organization to streamline multiple business processes and functions.