Audit Discussion

Robotics Processing Automation (RPA) Awareness

This overview is provided for UMGC accounting students via our partnership with UiPath, a leader in robotics processing automation.

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RPA Awareness Training Lesson 2

Processes fit for RPA

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Course agenda

The time for RPA Is Now! 1 What Process Should I Automate?3

RPA Adoption Across Processes And Industries

2 Processes Every Company Should Automate4

The time for RPA Is Now! Why RPA? And Why Now?

of tasks across every job category will be

automated by 2019

SOURCE: Forester Research 2015

25%

RPA AND INDUSTRY IMPACT CURRENT AND FUTURE INDUSTRY RPA ADOPTION

RPA RATE OF JOB TRANSFORMATION

9% 8% 7% 7% 19% 17% 14% 15%

29% 27%

3%

23%

40% 37% 32% 32%

51% 48% 41% 42%

64% 60% 52% 52%

Manual business and financial

Professional and related Sales and related Office and admin support ’15 ’16 ’17 ’18 ’19 ’20 ’15 ’16 ’17 ’18 ’19 ’20 ’15 ’16 ’17 ’18 ’19 ’20 ’15 ’16 ’17 ’18 ’19 ’20

33%

15% 9% 8% 6% 4% 3% 3% 4% 3%

63%

23% 31%

24% 20% 18%

13% 11% 11% 6%

Current adoption In five years

RPA Adoption Across Processes And Industries RPA is high priority for most global in-house centers

Cards activation Frauds claim discovery

Claims processing New business preparation

Reports automation System reconciliation

Bills of Material generation

Service order management Quality reporting

Account setup Meter reading validation

Accounts receivable, Accounts Payable, General

Ledger

Invoice processing, from requisition to issue of

purchase order

Payroll, hiring, data management

Customer service

High

Low

Medium

Legend: RPA

ADOPTION EXTENT

FINANCE AND ACCOUNTING

PROCUREMENT HUMAN RESOURCES CONTACT CENTER INDUSTRY SPECIFIC

PROCESSES

BANKING

INSURANCE

HEALTHCARE

MANUFACTURING

HI-TECH&TELECOM

ENERGY&UTILITIES

What Process Should I Automate?

Changeable Processing Method or System Change o The processing method cannot be changed o Fundamental changes are not required in the

underlying technical architecture of the current systems (e.g new interface development or changes in configuration for existing systems to enable automation)

o We strongly recommend to avoid automating a process that will be changed in the short term

Processes with standard readable electronic Input Type

o Triggered by standard and consistent inputs.

The inputs should be in a readable input type

like Excel, Word, email, XML, PPT, readable PDFs

etc

o Triggered by input types which are not readable

(scanned images with no OCR are not prone to

automation.)

Rule-Based Processes o Activities with clear processing instructions

(template-driven), with decision making

based on standardized and predictive rules

Highly manual and repetitive processes

o High transaction volume processes

o Highly frequent processes running daily,

weekly (instead of monthly or yearly, which

involve lots of manual work or work prone to

human error)

Low Exception rate

o Activities with low number of variation

scenarios existing in the process leading to

different handling procedures

High Volumes o Processes with high transaction volumes (and

high frequency).

o Well documented, stable, predictable o Known operational costs

Automation Savings o It’s recommended to automate only the

processes that can provide a saving in terms of

human work-effort of minimum 2 FTEs

Guide to Choose the Best Candidate Processes for Automation

Mature and stable processes

In order to benefit from a rapid ROI, choose processes that passed through a transformation initiative using the Lean Six Sigma methodology.

Deep system changes required?

Will minor automation improve the process?

Investigate options for system integration

Implement Self Service

Investigate potential tactical solutions

High process volumes? Processing method can

be changed?

Highly manual & repetitive

process?

Rule Based process?

Readable electronic

input types?*

Standard inputs?

Low exception rate?

Apply process improvement

initiatives

START

No

No

No

No

No

No

No

Yes Yes Yes Yes

Yes

Yes

Yes

Yes

Yes

No

No

What Process Should I Automate? Guide to Choose the Best Candidate Processes for Automation

A U

TO M

A TI

O N

S C

A LE

P ro

ce ss

A

P ro

ce ss

B

P ro

ce ss

C

* Readable Input Type = Excel, Word, email, XML, PPT, readable PDFs etc. Non-readable input type: scanned image with no OCR

Process A is the best fit for automation, followed by Process B, while Process C should be subject to a Lean Six Sigma transformation

approach prior to considering automating it.

Highly Manual and Repetitive work

Rule Based Processes

Process Characteristics

Electronic Readable Input Types

Standard Input Types

Low Exceptions Rate

High Volume Transactions

System changes

Process A Process B Process C RPA

Data Entry

Personnel Administration

Payroll

Joiners, Movers, Leavers

Time & attendance Management

Benefits Administration

Compliance and Reporting

Recruitment (back office)

HR Services

Order to Cash

Procure to Pay (AP)

Record to Report

Vendor Management

Collections

Incentive Claims

Sales Order

Finance and Accounting

Supply Chain

Inventory management

Demand and supply planning

Invoice and contract management

Work order management

Freight management

Returns processing

Server and app monitoring

Software deployment

Routine maintenance & monitoring

Email processing and distribution

Batch Processing

Password reset/unlock

Back up & restoration

AUTOMATION

IT Services

Other Areas for Automation Besides typical horizontal services, there are other

organizational activities that can fall easily under the

scope of any automation strategy

HR Services Due to the huge amount of repetitive, often manual,

administrative tasks, under the shape of form fillings, data

capturing, updating and disseminating and large number

of request processing, HR is a gold mine of opportunities

for automation

Supply Chain Supply chain problems cost companies between 9-20% of

their value over a period of 6 months. The processes

mentioned in this slide are typically prone to automation

and represent typical area of improvement in any supply

chain operations.

IT Services With an estimated 30% of time spent on low level tasks, IT

is compelled to embrace automation as a way to focus on

the initiatives that require innovative thinking, and be

able to tackle with the critical organizational tasks

currently consuming much of their time.

Finance and Accounting F&A is another area where automation can have

significant positive impact on cost savings,

improved efficiency and streamline processes,

when applied

Processes Every Company Should Automate

9

The Leading Enterprise RPA Platform

Thank you!

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We have reached the end of Lesson II. Please proceed to Lesson III where we will how to drive the implementation of RPA in your firm.