Intelligent Process Automation - Advantages and Disadvantages
Intelligent Process Automation (IPA) is a method of streamlining and optimizing various business processes by using advanced technologies, such as artificial intelligence (AI), machine learning (ML), robotic process automation (RPA), computer vision, process mining, big data, and many others.
Since IPA combines multiple technologies, it offers several benefits in various industries like manufacturing, healthcare, customer support, logistics, etc. However, it also has some disadvantages that we should consider.
In this chapter, we will learn about the key Advantages and Disadvantages of intelligent process automation.
Advantages of Intelligent Process Automation
By combining multiple advanced technologies, intelligent process automation (IPA) offers numerous benefits in various industries. Some of the key benefits of IPA are explained below.
Increased Operational Efficiency
Intelligent process automation enhances the operational efficiency in business processes by −
- Automating repetitive, rule-based tasks as well as complex processes
- Optimizing workflows
- Freeing up human employees to be engaged in strategic tasks
- Reducing manual errors and speed up the processes
Reduced Costs
Intelligent process automation reduces the dependency on human workers for completing repetitive tasks. Hence, it also reduces operational costs involved in processes by –
- Reducing human errors and rework requirements
- Minimizing inefficiencies in processes
- Scaling business operations, etc.
Improved Customer Experiences
Intelligent process automation also enhances customer satisfaction and experiences by –
- Improving service delivery
- Increasing speed and quality of service
- Resolving customer queries 24/7
- Responding in real-time, etc.
Enhanced Decision-Making
Intelligent process automation makes use of cognitive technologies like artificial intelligence and machine learning for getting insights from data analysis and learning from experiences for making more informed decisions in process automation. It also allows to adapt to changes in processes.
Improved Employee Productivity
Intelligent process automation can automate all the low-value, time-consuming, and repetitive processes, and frees up employees from them. Now, the employees can be engaged in strategic, creative, and higher-value tasks, which improves their productivity and job satisfaction.
Disadvantages of Intelligent Process Automation
Intelligent process automation offers several benefits as discussed above; however, it also has certain disadvantages. Some of the key disadvantages of IPA are explained here –
High Initial Cost
Intelligent process automation requires a very high initial investment for implementation. These costs are mainly involved in infrastructure development, purchasing automation tools and software, training employees on new technologies.
Implementation Complexity and Challenges
Implementation of intelligent process automation requires comprehensive knowledge of business processes, integration and coordination of IPA tools with existing systems, etc. All this makes IPA implementation a complex, challenges, and time-consuming process.
Dependence on Data Quality
The operation of intelligent process automation is completely dependent on quality of data which is used for training the cognitive automation technologies. An incomplete or poor-quality data can cause incorrect decision-making and inaccurate process automation.
Job Displacement
Intelligent process automation can also cause job displacement in many industries, mainly those involving low-value and repetitive tasks.
Requirement of Maintenance and Updates
Intelligent process automation requires regular maintenance to perform tasks accurately and reliably. Also, IPA software and algorithms must be kept updated to remain effective in dynamic business environment.
Vulnerable to Cybersecurity Threats
Intelligent process automation uses sensitive data of a business organization for automating and optimizing workflows and processes. Hence, it can be vulnerable to cybersecurity threats or attacks if not provide proper security layers. This risk becomes more probable when the IPA system uses cloud-based tools and platforms.
Conclusion
In this chapter, we provided a detailed overview of the benefits of IPA and its main drawbacks. Let's move forward to next chapter in the tutorial and get an overview of major challenges in IPA implementation.