The robots are Rising and FAST - Building Business … robots are Rising and FAST ... process enhancements, clear business case and ... some more suited for Robotic Process Automation

TherobotsareRisingandFASTHowDoYouAdoptThemIntoYourOrganiza8ons?

BuildingBusinessCapability

3rdofNovember-2016

Tom Einar Nyberg Head of BPM / Robotics Capgemini Norway [email protected]

Copyright © 2014 Capgemini Consulting. All rights reserved.

WhatisRobo4cProcessAutoma4on

Copyright © Capgemini 2016. All Rights Reserved

“Robo8cProcessAutoma8onreferstoautoma8onwherearobotisconfiguredtomanipulateexis4ngapplica4onso<wareinthesamewayapersonworkswiththosesystemsandthe

presenta8onlayertoperformaspecifictask”

Robo4cProcessAutoma4on:takingrou4netasksawayfrompeopletoallowthemtofocusonwhattheydobest

Capacity wise: It’s useful to think of a Robot as a virtual team member

• Usesexis8ngsystemsthroughthegraphicaluser

interface(sameashumans)

• Onaveragetheyareabout5xasfastashumans

doingthesamemanualtasks

• Onerobothasadefinedworkingcapacity–24hoursperday,whichyoucanpriori8ze

• Therobotcanbetaughttoperformdifferent

processes.Youcanpriori8zewhatprocessesare

donewhenandwhere

• Therobotcancollaboratewithhumans,andother

robotsaspartofajointteam

• Factoringinnvaca8on,24hworkday,weekends,illnessandspeed–onerobotcantypicallydothe

manualworkof5-6employees

• NotbotheredbyolderGUI,mul8plesystems,

passwordchanges,repe88vetaskandcareers

Robots as virtual team members Robots as part of our workforce


Therearesomekeydriversforu4lizingRobo4cProcessAutoma4on

Digitalization and the new “IT” in Marketing units drives customer-

facing IT

Long-tail / backlog of business needs – not

prioritized by IT

A low-touch and quick approach for process

improvement

Pressure to cut costs, increase speed and digitize processes

Need for tactical process enhancements, clear business case and transparent pricing model

An alternative to the typical “man-power” BPO

approach

A way to minimize / eliminate technical data

integration


AnRPAsolu4onhasfourkeyelements:ac4vityworkflow,informa4ontobeprocessed,businessrulestobeappliedandtheuseofexis4ngapplica4ons

5

Processis

executedfrequentlyandinlargevolumes

Process,oncestarted,

needslimitedhumaninterven4on&excep4onhandling

Processis

proneto

humanerror

Processhasa

definedsetof

Informa4ontobehandled

Processrequires

accessto

mul4plesystems

Processcanbebrokendownintounambiguousrules

§  Repetitive tasks that employees carry out multiple times a day

§  Periodic reporting, data entry and data analysis

§  Mass email generation, archiving, extracting

§  Conversion of data formats and graphics

§  ERP transactions

§  Process lists and file storage

Samples

There are certain characteristics in business processes that make some more suited for Robotic Process Automation than others


Implementa4onofRobo4cProcessAutoma4oncanyieldsubstan4albenefits,andRPAsolu4onscanbedevelopedanddeployedquickly

Deliver Operational Excellence, Agility & Business Impact in several areas

Effectiveness§ Transition to services-through-

software from services-through-labor§ Codify human knowledge into

digital labor.

02 Quality§ Better MTTRs: Hours à Minutes and

Minutes à Seconds§ Significant reduction in error rates

03Compliance§ Virtual Engineers that follow the

runbooks 100% of the time§ Automation drives adherence to

standards

04Scalability§ Decoupling of labor from quantity of devices supported§ Ability to deliver superhuman capabilities

01

05Optimize Risk§ Human Error§ Rising Labor Rates§ Staff Attrition & Knowledge Loss§ Agility and forward looking focus

06People Performance§ Increase productivity and

retention§ Resources focus on high value

activities

6


Genericprocesses

Thereisawiderangeofprocessesthatcanbesuccessfullyautomatedandop4mizedthroughRPA.Youneedtolookatyourownorganiza4ontoiden4fythebestcandidates–basedonyourgoals,andthecriteriaforevalua4on

Sectorspecificprocesses

Policyadministra4on AuditReportsHR

FinanceandAccoun4ng

MasterDataMgmt. Invoicing

Customerapplica4ons

Opera4onalprocurement

Claimshandling

Underwri4ng

Goodsreceipt Warrantyclaims

Qualitycosts

CustomerCentersupport

Metermeasurement

LoanApplica4on

Orderbooking


ThetechnologybehindRPAandyourautoma4onstrategy


Automa4onofprocessesintheshortandlong-termmustconsiderthetechnologicalcapabilityofRPAandorganiza4onalmaturity

Level 1: Transactional RPA software focuses on digitizing operational processes

Source:Forrester

Maturity / Capability and usage of robots Technology Capability Technology Level

• The automation strategy of the organization must consider possibilities arising from current and future technology capabilities, as well as organizational maturity

• The focus for now, and for the next 1-2 years, will be on transactional automation

• As the maturity and technological capability increases, so will the amount of processes that can be fully digitized and automated

• The robots will have the capacity not only to “learn from” human behavior, but also to form their own patterns and experiences

• The human / machine work allocation will change so that fewer and fewer processes will actually require “human” activities

•  In the “back-office” there will be fewer obstacles to digitize processes end-to-end

•  In the “front-office”, for processes that are part of the customer journey, one must consider what the customer experience will be – meeting a “robot” vs a “human”

• This will further evolve the discussion on what is still “value-adding” activities for a human – when comparing it with a robot doing the same activity Source:Forrester

Level 2: Analytical RPA taps into unstructured data with content analytics

Level 3: Cognitive RPA uses external knowledge to make decisions


RPAtechnologiesdealingwithtransac4onalautoma4on-ahighleveloverviewofaspecificproductevalua4onthatwasperformed

Automa4ontechnologysuppliers

Automa4onAnywhere

BluePrism

Openspaninvasiveforremoteapplica4ons

JacadaC#implementa4ononly

UIPath

NICEinvasiveforremoteapplica4ons

Currenttechnologysuppliersinrelevantautoma8onecosystem–productevalua8onforaspecificGUIautoma8on

Product downselection for category “GUI level automation”

GUI-automa4onAccuracy/Robustness Non-invasiveness Codingintui4vity Licensecost

Vendor1

Vendor2

Vendor3

Allthreetechnologiesoffer:§  Protec8onagainstnon-controlledartefactmodifica8on(relevanceforSOXcompliance)

§  Deploymentmanagement/centralhos8ngofartefacts

10

Moredetailedevalua8onmaterialavailable


Robo4cProcessAutoma4onTransac4onalsolu4ontypicallyhasthreecomponents

11

Designtool Servercomponent Robot

Therobo4cuser-performsautoma4ons§  Robotperformsthejobsitis

assigned–dynamically.

§  Onerobothas24/7working

capacity

§  Serverisusedtocontrol

whatjobstherobotexecutes

atanygiven8me

§  Robots«lives»onaphysical/

virtualworksta8on

§  Robo8cuserisgranted

accesstonecessary

applica8ons

§  UsesnormalhumanGUIon

theapplica8on

Serverso<wareusedtocontrolallrobots§  «Remote-control»or

«Master-cockpit”for

robots

§  Deploymentofautoma8on

jobstorobots

§  Schedulingofjobs

§  Logging/Monitoringof

robots

§  Repor8ng&dashboarding

§  Assetmanagement

§  Accessedthroughafront-

end,func8onalweb-page

Designtoolusedtocreateautoma4onjobs§  Developertoolusedto

defineandchangeall

interac8onsinthe

robo8csautoma8on

§  Automa8ons,once

completed,aredeployed

asjobstotherobot

Overall – the RPA solution has three separate software components

Design Deploy, Control & Monitor Execute


Thereisasignificantdiffernceinannualcostwhencomparinghumantorobots.Inaddi4on–youhavetofactorinthatonerobothas6xtheworkingcapacity.

12

Yearly cost comparison between 1 Back-Office employee vs 1 Robot Amount in USD – and may wary based on the chosen RPA technology

Pla`ormcost–remainesfixedThiscostdoesnotincreaseper

automa8on

• Developertooltocreateprocessautoma8on

• Sentralserver/monitoringtoolthat

controlallyourrobots

Robot-basedcapacityforatuoma4on• Workingcapacitythatisusedinorder

toperformautoma8ons

• 1Robothas24/7workingcapacity,andanygivenautoma8onwilltypically

onlyu8lizeafew%ofitscapacity

• Whenyouhavemaxedoutthe

capacityofonerobot,youcanextend

yourcapacitybyaddinganewrobot

The licensee model with RPA usually has three components


Howdoyougetstartedandwhatcanyouachieve


Summary of each case in table, further details in dedicated slide

Someexamplesofwhatyoucanachieve

Id Client Processarea Relatedtechnology

1 NordicEnergyCompany Casemanagementofsalesandproductregistra8on RPAtool,Casemanagementsystem,

Database,

2 NordicHRSharedServices New-hires,extrapaymentcompensa8on,absenceapproval,hour-

registra8on

React,HRcoresystem,RPAtool,

E-mail,Excel,Word

3 NordicFinancialIns8tu8on Automa8onofcreditmanagementandpament Financialcoresystem,E-mail,Excel,

RPAtool,

4 NordicPublicJudicial HRregistra8onandprocessingofemployee Excel,HRCoreSystem,Email,

RPAtool,

5 NordicFinancialIns8tu8on Customerserviceprocessesrelatedtomanualupdatesofcustomerand

bankinginforma8on

E-mail,Excel,Customerservice

system,Bankingsystem,RPAtool

5 Consumerproductsandretail Automa8onofinvoicegenera8onandproofofdelivery RPAtool,OEBS,Outlook

6 TelecomandEntertainmentIndustry Automa8onofBookingordersupdateintoERPsystem RPAtool,E-mail,Excell,MACCS

7 Manufacturingclient Automa8onofAccountsPayableandAccountsReceivableReconcilia8on RPAtool,SAP,Excel

9 Manufacturingclient Automa8onofDunninglemerini8a8oninOrder-to-Cashforcollec8ons RPAtool,SAP,Excel

10 Consumerproductclient Automa8onofdocumentcollec8onforTaxandAuditpurposes RPAtool,Filenet,Excel

11 Insurancecompany Automa8onofpolicyandpaymentprocessing.Sharedservicecentre,

automa8ng18000applica8ons,processing8me50%,13FTEredeployed.

RPAtool,CoreFiananialsystem,

Casemanagementtool

6 LargeEuropeanGovernment

Organiza8on

Automa8onofregistra8onapplica8onsfromcustomer

300000applica8ons,55FTEsreducedto10FTEs

RPAtool,Coreapplica8onsystem

8 Bri8shmul8na8onalbankingand

financialservices

AuditlemerAutoma8on,FraudCheckAutoma8on,Accountservicingfor

wealthcustomers,Accountclosureautoma8on

3millioninyearlyannualsavings

RPAtool,Corefinancesystem


RPA-implementeringOverallphasesandkeyac8vi8es

Defini4onofprocess

§  RPAarchitectureanddeployment

§  Installa8onofserverandhos8ng

§  RPAmaintenanceandmonitoring

§  Robotandautoma8onsupport

§  Processscreening,defini8on,processmapping,designforRPA,excep8ons

§  Development/automa8onofprocesses.Op8miza8onandrobustness.

§  Con8noustes8ngandadjustments

§  Extensiveaccepentetest,planfortransi8ontoproduc8onandverifica8on

§  Documenta8on

§  Prepara8on,planning,movetoproduc8on

§  Trainingandknowledgemanagement

§  EstablishGovernanceforRPA,includingmonitoringandmanitenance

§  Planning,processscreeeningandevaua8oofnewprocessestobeautomated

Development/Automa4on

Con4noustes4ng

Hovedak4viteter Uke

Utvikling/automa8sering

Documenta4on

Organisasjon

Teknisk

Traning

Governance

Planning,screeningandprocessavua4onofnewprocesses

Trialproduc4on/Produc4on

Installa4on

Maintenance/Monitoring

Support

Deploymentofrobottoserver

Acceptancetest

5-10-X3-41-2

Iterativ stream – reiterated for new processes


GovernanceanddeliverymodelforRPA


GovernanceframeworkforintroducingRPAintotheEnterpriseWhenintroducingRPAintotheorganiza8onthesekeybuildingblocksneedtobemanaged

RPA Framework is Capgemini Intellectual Property and Confidential

DeliveryphasesforRPAexecu4on

Process Assessment

Build Automation

Operate & Monitor

Maintain Exception Management

ORGANIZATIONALROBOT/HUMANROLEALLOCATION

TECHNOLOGY&INFRASTRUCTUREDEPLOYMENT

AUTOMATIONSTRATEGY,SCREENING

&EVALUATION

SECURITYANDREGULATORYASPECTS

OWNERSHIP,APPROVAL&

OP.PROCEDURES

PROCESSCAPTURE&DOCUMENTATION

RPADESIGNCONVENTIONS&

CONTROLS

DELIVERYROLESANDMODELS,TRAINING

AlargepartofthiscontentisalreadyavailableinCapgeminisframework,butthecontentmustbecustomizedandadaptedtothespecificorganiza@onsneedandhowitchoosestohandlethedifferentelements


Map process on overall

level (Flow)

Map the process in

detail (Steps)

Develop the process in RPA tool

Refine, test and verify the

automation

Implement process in production

(trial)

Generate and collect proposals

Evaluates process for RPA

Plan

Process candidates for RPA forms a portfolio of processes to be automated

Automate a single process with RPA

Montor, maintain

and improve

Operate

Rank and priotize

Plan delivery scedule

Automation Stategy Overall strategic goals

Deliveryprocessforautoma4ngaprocessusingRPA


ProcessScreeningtoiden4fybestcandidatesforRPAProcessValuevsProcessComplexity

Quality & Risk

People Performance (Employee Pain) CustomerImpact

TotalScore(max20)

CostSavings(Time*Frequency*Volume)

Ex.Supplierregistra4on

ProcessValue

ProcessX

ProcessX

4 4 2 3 13

Clearbusinessrulesandfew process

exceptions Type and structure of

applications

Structureandcomplexityofworkflow

TotalScore(max20)

Structureandformatofinforma8on

Ex.Supplierregistra4on

ProcessComplexity

ProcessX

ProcessX

2 3 4 5 14

Scoring: 1 = min (Not RPA suitable) 5 = max (RPA suitable)

Points are given for “suitability”. A higher score has more potential for “value” or provides lover “complexity”


Plotyourprocessesinaccordancewithscreeningcriteriaandpriori4seyourRPAdeployment.Determine“wheredowestart”?

Low (0)

High (0)

HighValue–

Butimplementa8onhas

risk.Goaqerforstrategic

purpose

HighValueandwithlimle

effortfordevelopment.

Idealtostartwithfor

QuickWins

Avoidthese,unlesscri8cal,

considerotherop8ons

(design/technology)

Trytoautomatemore

processestogetherfrom

end-to-endtoincrease

value

High (20)

Low (20)

Processv

alue

Processcomplexity

Medium (10)

Medium (10)

Process screening: Value vs Complexity


RPAGovernanceSummaryofkeyconsidera8onsforRobo8cProcessAutoma8on

OWNERSHIP,APPROVAL&

OP.PROCEDURES

PROCESSCAPTURE&DOCUMENTATION

RPADESIGNCONVENTIONS&

CONTROLS

AUTOMATIONSTRATEGY,SCREENING

&EVALUATION

§  Initsautoma8onstrategytheorganiza8onmustdefineitsguidingprinciplesforprocessautoma8on

§  Thestrategymusttakeintoconsidera8onbothtechnologycapabilityandorganiza8onalmaturity

§  RPAtoolsispartoftheoveralltechnologytoolporsolioandisonepossiblesolu8onoutofmany

§  Definepriori8esforautoma8onbasedonstrategicgoalsforthebusiness(short/longterm)

§  Definebusinessareasandprocessdomainsthataremostrelevantinthefront-office/back-office

§  DefineRPAcriteriaforscreeningandevalua8ontobeusedindeterminingsuitabilityforRPA

§  Adjusttheautoma8onstrategyastoolcapabilitychanges/organiza8onalmaturityincreases

§  Beforestar8ngcapturingac8vi8es–clearlydefinethescopeofprocesstobeautomated(end-to-end),

itsobjec8ve,andexpectedbenefitsfromautoma8onintermsofbusinessvalue/costreduc8on

§  Theprocessshouldfirstbecapturedonanoverviewlevelinordertounderstandwhatac8vi8esareincludedend-to-end.Thisiscri8calinordertodividetheprocessintodis8nct“pieces”ofautoma8on

§  Detailedmappingthendetermineshowtoexecuteeachac8vity&steps,includingallapplica8on

commands,keyboard/mouseentries,informa8onusage(input/output)andbusinessrules

§  Op8mizetheprocessdesignforrobo8copera8on(versushuman)beforetheautoma8onisdeveloped

§  Automa8onsmusthavebuilt-insafe-guards.Verifica8onsandexcep8onhandlingarethemost

important–andarebuiltintotheautoma8onitself.

§  Developdesignprinciplesthatminimizerisk,andincreasesrobustness,forrobo8cautoma8on

§  Produc8onenvironmentmayrequireaddi8onalexcep8onhandlingtobeimplemented

§  Trialproduc8onissetuptohandlethistransi8on,beforetransfertoapplica8onmaintenance

§  Applica8onmanagementmustincorporatetestsforrelevantRPAsolu8onsthatusetheapplica8ons

§  Averagedevelopment8metoautomateprocessandtoputintoproduc8on3-4weeks

§  Automa8onwouldneedtobeapprovedfrombusiness,ITandregulatoryperspec8ve

§  Approvalrou8nessetupmovingfromdevelopment,trial-produc8onandproduc8on

§  Hand-overtoapplica8onmanagementformonitoringandmaintenanceofthesolu8on

§  Definedeployment/schedule(8ming/frequency/event)

§  Monitoringplan,repor8ngandalerts,excep8onhandlingincludingBusinessCon8nuityPlan



RPAGovernanceSummaryofkeyconsidera8onsforRobo8cProcessAutoma8on

SECURITYANDREGULATORYASPECTS

DELIVERYROLESANDMODELS,TRAINING

ORGANIZATIONALROBOT/HUMANROLEALLOCATION

TECHNOLOGY&INFRASTRUCTUREDEPLOYMENT

§  RobotusesGUIinterface,sameashumans,Notechnicalintegra8onintheunderlyingplasorm,

§  TheRPAsolu8ontypicallyhasthreecomponents:Server,DesignerandRobot(s)

§  Servercontrolallrobots,deploymentofjobs,scheduling,monitoringandlogging.Thedevelopment

toolisusedtocreaterobo8cautoma8on.Therobotsisthe“unit”thatperformstheactualautoma8on

§  Soqwareinstalla8ononserverandvirtualworksta8ons(robot)andlaptops(developertools)§  Opera8ngcostforthelicensehasfixed(plasorm)andvariablecosts(robots)thatareconsumed

§  Monitoringandapplica8onmanagementofthesolu8onmustbesetupandagreedwithaprovider

§  KeyrolesareRPAArchitect/Advisor,RPABusinessAnalyst,RPATechdeveloper§  Thesesrolesshouldbelocatedwithinacommoncompetencyunit/COE

§  RPAArchitectisoverallresponsiblefortheRPAdeploymentintheorganiza8on

§  RPABAandTechrolesworkonthecapture,analysis,design,developmentoftherobo8cautoma8on

§  Resourcescanbesourcedinternally,externallyorinahybridsewng(on-shore/off-shore)

§  AsaminimumtheRPAArchitectneedstobeaninternalresource

§  Theautoma8onstrategymustbetranslatedintoanopera8ngwhichdetailsamodelforhuman/robot

workalloca8on.Definetheinterac8onmodel/pamernofhumansandrobotsintheorganiza8on.

§  Themodelmustconsiderwherehumansarevalue-added,whenthebaselinefortheac8vitycanbe

robo8copera8on.Thiswillalsohelpdefinefuturekeycompetenciesforhumanemployees.

§  Changemanagementandcommunica8onac8vi8estoclearlydefinethescopeandbusinessobjec8ves,

helpmaturetheorganiza8on,includingworkingwithrobotsandthefuturedirec8onofourwork-place

§  Accesstotherobotworksta8on(mustbelimitedtostrictlynecessarypersonnel

§  Robotaccessesapplica8onsbynormal(humanlogin)andislimitedbytheuserrightsitisgranted

§  Compliancewouldcenteronconsidera8onsforprivacy,informa8onandsecurity.

§  Therobotdoesnothavean«incen8ve»toperformillicittransac8on.Allrobo8copera8onsare

traceableandauditableandcanbesetuptoperformloggingtoserverasrequired

§  Dataisstoredtemporaryintherobotsvariables(encrypted),thenautoma8callydeleted

§  Mustdetermineappropriateleveloftransac8onloggingandwhatinforma8onshouldbelogged



Key success factors from RPA implementations

RPA is not a project. RPA is a journey §  Plan to build a sky scrapper not a

bungalow. §  Build internal RPA capability to

evolve, leverage scale and increase business value

§  Multi-skill the robots §  Don’t be tempted of quick wins by

deploying RPA in siloed units – fragmented and difficult to scale – always start as an Enterprise rollout

RPA must be close to the Business

§  RPA should be considered as an operational asset – Business stakeholders and support from IT, subject matter experts and process efficiency experts is important.

§  Grow in house RPA capability by building Centre of Excellence made of a mixture of Operations and IT people.

Standardize and stabilize processes prior to automation

§  Never automate if a process is not stable.

§  Stabilize and streamline prior before automation – lifting and shifting a process from a human to a robot will reduce FTE costs but will not optimize your processes.

The success of RPA depends of an institutionalized Sponsor

§  RPA needs an institutionalized Robotic Team led by a Sponsor - who initiates the idea of automation, underwrites resources and protects progress into business adoption and by a RPA Champion the RPA Evangelist in charge of the RPA successful deployment within the organization.

Bring IT onboard early §  Bring on IT onboard early. RPA

deployment has an impact on Infra, Security, Business Continuity and Disaster Recovery.

§  Make sure your infrastructure grows together same pace with automation

§  RPA must comply with the technology function’s governance and architecture policies.

Communicate, Communicate, Communicate!

§  Pay careful attention to internal communications

§  Engage a dedicated team of Change and Communication, in charge of raising awareness in the business of the benefits of automation and always keep the relevant stakeholders up to speed with the progress of the automation journey

Documents

The robots are Rising and FAST - Building Business … robots are Rising and FAST ... process enhancements, clear business case and ... some more suited for Robotic Process Automation