The process automation funnel illustrates the steps from identifying automation opportunities to increasing efficiency and reducing costs through the use of AI.
The process automation funnel illustrates the steps from identifying automation opportunities to increasing efficiency and reducing costs through the use of AI.

Insights

Sep 16, 2024

Process automation with AI and employees: Finding a balance

Challenges of Digital Transformation

In the rapidly changing business world, the German medium-sized companies face the challenge of optimizing technology usage while simultaneously developing the skills of their employees.

Automation processes, particularly through Artificial Intelligence (AI), offer enormous opportunities for efficiency gains, yet a lack of competence management often leads to fears and uncertainties among employees.

How can a balance be found between technological advancements and the needs of the workforce? How can technologies be optimized without losing sight of the employees?

Process automation with Artificial Intelligence (AI) promises an increase in efficiency and competitiveness, but it also requires a careful human-machine balance. This transformation affects not only the way of working and work processes but also the entire corporate culture. A study by Deloitte shows that 63 percent of surveyed executives already consider AI to be "very crucial" or "crucial" for business success – a figure that is expected to rise to 81 percent within two years.

Drivers and Motivation Behind Process Automation with AI

Why are companies turning to process automation? The motivation behind implementing process automation often lies in business process optimization and increasing productivity.

This not only promotes productivity but also strengthens the intrinsic motivation of employees, as they experience more autonomy in their tasks. This autonomy and the accompanying responsibility contribute significantly to higher job satisfaction, allowing employees to utilize their skills more effectively.

Companies strive to improve their performance while reducing their employees' workload. The integration of AI technologies into business processes enables the automation of repetitive tasks and frees employees for more creative and strategic tasks.

Benefits for Companies Through Process Automation with AI

Process automation brings clear business advantages. By automating routine tasks, companies can increase their efficiency while also reducing costs.

Imagine a medium-sized mechanical engineering company where numerous orders for replacement parts must be processed manually each day. An AI-supported automation can significantly accelerate this process by generating and forwarding orders directly from the system, without a staff member having to check every detail.

The sales representative, who was previously busy processing orders for hours, can now focus on building customer relationships and developing tailored offers – activities that directly contribute to business success.

Similarly, this can be applied to human resources: Instead of a HR employee manually sorting countless applications, an AI solution can automatically filter qualified candidates based on predefined criteria, significantly shortening the selection process.

According to a Deloitte study, more than two-thirds of companies see significant cost savings through the use of AI solutions. Automation technologies not only reduce human errors but also accelerate processes, leading to improved process quality. These efficiency gains are particularly noticeable in highly standardized and repetitive tasks and contribute to securing competitive advantages. The process automation funnel illustrates the steps from identifying automation opportunities to increasing efficiency and reducing costs through the use of AI.

Positive Effects of Automation on Employees and the Perceived Skills Shortage

The term “skills shortage” is often mentioned in companies when it comes to the introduction of automation and AI. However, the real challenge often lies not in the lack of qualified employees but in the absence of effective management of their competencies. In addition to the economic benefits, there are also significant effects on employees. Automation provides them with the opportunity to free themselves from monotonous tasks and focus on more challenging, strategic activities.

This not only promotes their sense of responsibility but also their professional development. With newfound autonomy, employees can further develop their competencies, leading to increased satisfaction and stronger professional engagement. The combination of reduced burden from repetitive tasks and the opportunity to take on value-adding activities creates a more productive and motivated work environment.

Take, for example, a marketing employee in a medium-sized company who previously had to manually produce weekly reports for his campaigns. With the automation of this process using an AI-based analytics platform, the data is now evaluated and visualized in real-time. Instead of spending hours sifting through spreadsheets, he can now focus on developing creative campaigns and optimizing customer engagement. This shift from monotonous tasks to value-adding activities fosters his professional development and simultaneously increases satisfaction.

Impact on Employee Satisfaction

While automation creates relief and new development opportunities on one hand, it can also create fears on the other, especially in highly automated environments.

Employees may become uncertain about whether their position is secure in the long term or if they can keep pace with new technologies. These so-called technology fears are a crucial factor that can affect employee satisfaction. A good example would be a retail company that automates its warehouse processes while offering targeted training for its warehouse workers. This training could teach them how to operate the new systems and even take on further tasks such as inventory analysis. This way, employees not only feel more secure but also valued, as they are actively involved in the change.

To counteract such uncertainties, it is necessary for companies to actively involve their employees in the automation process and prepare them for new requirements through targeted training. This can strengthen trust and reduce fears of job loss.

A supportive corporate culture that offers training opportunities and clear communication is crucial for employees to perceive automation as an opportunity rather than a threat.

Looking to the Future: Work in the Age of Automation

The future of work will be heavily influenced by ongoing digitalization and automation. Companies must prepare for the fact that not only job positions but also entire job profiles will change. The ability to continuously adapt and develop will become a crucial success factor for both companies and employees. Process automation will not only increase efficiency but also open new opportunities for innovation and value creation.

Holistic Organizational Development as the Key to Success

To secure the advantages of automation in the long term, a holistic organizational development approach is required. This involves reviewing and adjusting existing structures and processes to effectively utilize new technologies.

It is not only about the technical aspects but also about how decisions are made and responsibilities are distributed within the company. Agility and learning capability are key traits that enable companies to optimally capitalize on the opportunities of automation while meeting the needs of their employees.

Change management plays a central role here, as it supports the planning and implementation of the automation strategy and ensures that both potentials and possible risks for companies and employees are carefully weighed.

Conclusion

The medium-sized sector faces the challenge of not eliminating the skills shortage but of strategically managing existing competencies. A successful transformation can only take place when technology and humans are understood as complementary forces.

Through a holistic strategy that includes training, transparency, and participative approaches, companies can leverage the advantages of automation while creating a positive, productive working environment for their employees. Modernization through process optimization via automation offers companies the chance to strengthen their competitiveness and prepare for the challenges of the future.

At the same time, it requires a sensitive approach to guide employees along this path. A successful transformation can only occur when technology and humans are seen as complementary forces. In summary, the balance between process automation and human labor will be one of the central challenges for companies in the coming years.

The key to success lies in a well-thought-out strategy that combines technological innovation with human-centered corporate governance. Only in this way can companies utilize the advantages of automation while also creating a positive and productive working environment for their employees.