Businesses are becoming increasingly dependent on automation to modernize their processes and maintain a competitive edge. Worldwide revenues for the artificial intelligence market are expected by some to generate $327.5 billion and grow 16.4% in 2021 alone, and companies are increasingly realizing the benefits automation can provide to their team members as well as to their bottomline.
However, some businesses are better-positioned than others to fully embrace the benefits of automation. While bigger organizations are often saddled with red tape and hierarchical hoops, smaller companies have less liquid capital to spend on integrating technology. It’s middle-market companies who are best-positioned to integrate automation into their everyday activities while avoiding the hurdles faced by their larger and smaller counterparts.
While companies may feel apprehensive about embracing additional change on top of what the past two years has brought, there are three reasons why ambitious middle-market players should be looking to automation as a necessity:
Automation begets innovation
Relieving employees of burdensome back-office tasks does more than save a few minutes or keep the wheels running smoothly. Rather, delegating certain tasks to automation opens up the door to more creativity as employees reclaim lost time and refocus on their professional passions by developing innovative solutions and actively helping to build the future of the business. It also helps employees avoid getting caught in an endless loop of number crunching and playing catch-up. At the end of the day, adopting automation isn’t all that innovative - it’s what adoption allows employees to do that is.
Some middle-market financial leaders worry that automation tools will end up being a wolf in sheep’s clothing - a new problem for their team rife with complications and learning curves. Though resistance to the unfamiliar is normal, it’s important to have faith in employees’ adaptability and efficiency, especially if solutions can unlock their potential. Becoming a future-focused pioneer doesn’t require space-age headquarters or employee sleep pods. It just means taking advantage of available automation tools to leverage employee creativity.
Automation reduces waste
In the age of climate change and vast consumerism, “waste” has taken on numerous meanings. There’s the waste we send to dumps and recycling centers, but there’s also wasted time and energy. Technology investments can help middle-market businesses tackle both issues while saving money and giving back to the planet.
One way to do so is by automating everyday processes that were previously done by hand. Relegating simple repetitive tasks to machines wherever possible helps make the most of employee productivity. Professionals can redirect time and energy to more complex situations that require a personal or analytical touch. Even small changes can help companies unlock many hundreds or even thousands of hours per year.
Switching to automated processes can also decrease your company’s environmental footprint and reduce operating costs. According to The Paperless Project, American businesses spend over $120 billion per year on paper forms alone, almost half of which end up outdated or in the trash within days. Embracing digital systems reduces the need for expensive hard-copy documents, ink, and toner, which saves both time and resources.
Automation solves problems in real time
Successful modern organizations are defined by their ability to adapt quickly and effectively to new situations. Recent events have proven just how crucial agility can be and, over the next few decades, middle market leaders will come to see it as a true competitive differentiator.
New technology can pick up on discrepancies with incredible speed, which allows employees to solve problems or prevent future upsets in real time. For example, if a vendor delivers snacks or beverages to company offices once a month and accidentally charges several hundred dollars more on one occasion, automated programs can immediately flag that the monthly payment pattern has changed. A human reviewing invoices and payments might take several days or weeks to pick up on this discrepancy and remedy it. Swapping out antiquated systems reduces the risk of having to deal with issues long after they’ve emerged.
Middle-market finance leaders are in the ideal position to foster more innovation, decrease unnecessary waste, and tackle problems sooner with added efficiency. Any hesitation around automation will ease once given an opportunity to revolutionize the workplace.
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