robotic process automation

Robotic Process Automation (RPA): What is it, and what are its benefits?

Robotic Process Automation (RPA) is a critical technology in business transformation. It lets companies automate routine, rule-based tasks. This means employees can concentrate on more important work that needs critical thinking.

What is Robotic Process Automation?

Robotic process automation is software technology that makes, deploys, and manages robots. These robots act like humans, interacting with digital systems. They can read screens, type, navigate interfaces, and handle data. Software robots work faster and more reliably than humans without needing breaks.

How Does RPA Work?

Forrester says practical Robotic Process Automation technology tools need the following features:

  • Low-code capabilities for easy creation and customisation of automation scripts.
  • Integration with business software for seamless automation.
  • Manage, monitor, and secure automation tasks to ensure scalability and security.

RPA technology is valuable because it can work with old systems, log into applications, and move data between systems. It’s good at front-end tasks, acting like a human, which helps work with different systems without needing complex integration.

Top 12 Business Benefits of RPA (Robotic Process Automation)

Robotic Process Automation provides several benefits for businesses aiming to increase efficiency and simplify their operations.

1. Major cost savings

Adopting RPA technology helps companies cut operational costs. Research shows that RPA can reduce expenses by 50% compared to an offshore full-time worker. This results in 25% to 40% labour cost savings in IT and business operations. A single RPA bot can work for two to five employees, improving efficiency and lowering costs. Gartner found that errors in accounting can take up 30% of a worker’s time. Using error-free bots can save a company with 40 accountants about 25,000 hours a year, leading to a cost reduction of $878,000.

2. Increased productivity

A Deloitte survey shows that organizations use intelligent automation to cut costs, increase productivity, improve accuracy, and offer better customer service. They expect these automation solutions to save them an average of 31% in costs over the next three years, up from 24% in 2020, and increase their revenue by 24%, up from 15%.

3. Higher accuracy

Office tasks are often repetitive and error-prone. Bots are precise and consistent, making no mistakes. They are perfect for jobs needing detailed attention, like accounting. RPA bots, for example, automate profit and loss financial reports with exceptional accuracy. They combine reports into one P&L statement, showing a company’s revenues and expenses over a specific period.

4. Improved compliance

RPA improves accuracy and helps meet audit and compliance needs, essential for managing data and fiscal laws. It’s vital in finance, insurance, and banking to avoid errors that could lead to fines or legal issues. RPA is also crucial in logistics for standardising procedures. Financial organisations use RPA to improve operations.

For example, Ernst & Young in Shanghai created an RPA system for automating VAT reporting, reducing the time needed from 1,400 to 280 hours a year and reducing errors. This success led the client to automate more financial processes.

5. Customer satisfaction

RPA automation tools do more than cut costs. They let employees focus on customer care by assigning repetitive tasks to robots. This leads to better customer support and reduces errors and delays, improving the customer experience. RPA has been shown to increase customer satisfaction.

AI-driven bots can analyse sales data to suggest the best promotions and products based on customer preferences. According to McKinsey, they can also speed up service desk ticket resolution by automating up to 80% of tasks.

6. Improved analytics

Adopting RPA significantly improves analytics. Automated processes collect and analyze data, helping businesses make informed decisions. This improved analytics helps companies improve their operations and product or service quality. An example is Xerox using UiPath’s Robotic Process Automation platform to use 600 robots.

These robots changed how Xerox manages its processes by providing advanced analytics. They produce quick reports for managers on equipment, helping communicate with customers about renewals, billing, and invoicing. This led to better customer satisfaction, loyalty, and engagement.

employees talking on robotics production line

7. Happier employees

Business owners and customers enjoy the benefits of robotic process automation (RPA). RPA automates daily tasks that are used to make workers feel like robots. Workers use their brains more for strategy, problem-solving, and creativity.

A study by Forrester Consulting found that 66% of managers said RPA lets employees talk more with each other. Also, 60% said robots help workers do more critical and strategic work.

8. Enhanced data security

One main concern with RPA systems is data safety, as bots process and move sensitive data between systems. Naved Rashid from Gartner mentioned that RPA risks include data leakage and fraud. Yet, RPA solutions with solid security can improve data security.

Robotic automation reduces human involvement, cutting down the risk of errors. It also lowers the chance of fraud and illegal activities by reducing manual data processing and human interactions.

9. Low technical barrier and easy integration

RPA bots are easy to set up and use, making it easy for businesses to start using this technology. They only need a little training, so companies can quickly see the benefits of RPA after they start using it.

Robotic Process Automation software can also work well with a company’s current digital tools, meaning businesses can add RPA without making big system changes. This lets companies get significant value from RPA without needing new platforms.

10. Accelerated digital transformation

Robotic process automation (RPA) solutions, rule-based robots, or intelligent process automation (IPA) systems with AI are a first step towards digitalization for companies.

This technology benefits companies looking to start automation and digital transformation with little capital. RPA robots are scalable and can interact with old systems easily without changing them.

11. Greater resilience

Integrating RPA into business operations leads to greater resilience. RPA robots can quickly adjust to workload increases and demand spikes, keeping productivity steady through sudden demands or market changes.

This flexibility keeps service quality and customer satisfaction high, even in busy periods. RPA’s quick adaptation to changes helps businesses become more resilient and responsive.

12. More value from personnel

Automating routine tasks with RPA lets employees focus on strategic, high-value work. This improves business operations and job satisfaction. 60% of executives believe RPA helps staff concentrate on strategic tasks.

This technology can change the workforce. Focusing more on meaningful tasks leads to innovation and a dynamic problem-solving approach in organisations.

Why is RPA Transformative?

RPA technology changes how work is done worldwide. Software robots do repetitive tasks instead of people. These tasks include logging into systems, moving files, copying data, filling out forms, and making routine reports. Advanced robots can interpret text, chat, understand unstructured data, and use machine learning to make decisions.

This frees humans to focus on innovation, collaboration, creativity, and customer interaction. Companies benefit from increased productivity, efficiency, and resilience. RPA is changing the way we work.

RPA and AI

How do RPA and AI Work Together?

Robotic process automation (RPA) differs from artificial intelligence (AI). AI uses machine learning, natural language processing, and other technologies to act like a human brain. RPA follows set rules and processes as defined by users. AI works with data, learning from patterns and improving over time. RPA performs tasks given to it. AI simulates human thought; RPA does not.

Though both minimise the need for humans, they automate in different ways. However, RPA and AI can work together. The combination of AI technologies with RPA has broadened the range of automation opportunities. AI can make RPA more effective by allowing it to handle complex tasks. RPA can make AI’s insights actionable faster than manual methods.

Challenges of Robotic Process Automation

While RPA software can help an enterprise grow, some obstacles include organisational culture, technical issues, and scaling.

Organisational culture

RPA will cut some jobs but create new ones for complex tasks. This lets employees focus on strategy and creativity. Workplaces must encourage learning as job roles change. A flexible workforce is vital to success in business process automation and digital projects. Please educate your staff and invest in training to prepare them for changes.

Difficulty in scaling

RPA can do many tasks at once, but scaling it up in a company is challenging because of new rules or changes inside the company. A Forrester report says 52% of customers need help to grow their RPA program. To be considered advanced, a company needs 100 or more working robots. Yet, only some RPA projects get past the first ten bots.

Industries That Leverage RPA Technology

Robotic Process Automation (RPA) deployment across various industries has revolutionised how businesses approach routine and complex tasks, delivering efficiency and accuracy. Below, we explore how specific sectors are harnessing the power of RPA:

Banking and financial services

Over a third of all RPA use cases analyzed by experts are the finance and accounting space. Financial services use RPA to improve governance, simplify account reconciliation, invoice processing, payment management, and automate opening and closing accounts. They use RPA to manage audit requests and process insurance claims. Banks apply RPA to make customer onboarding, account closures, customer service, credit card processing, and fraud detection more efficient.


In insurance, RPA helps register claims, ensures rules are followed, detects fraud, improves customer service, and manages policies and cancellations.


Information technology uses RPA for tasks like data collection, regulatory compliance, network management automation, data transformations, and handling the onboarding and offboarding processes. Automating these functions cuts down manual workloads in IT departments, making operations more efficient and free from errors. This improvement in productivity lets IT professionals spend more time on strategic initiatives and innovation instead of routine tasks.


The healthcare industry uses RPA to schedule appointments, manage accounts, administer claims, handle billing, ensure regulatory compliance, and manage electronic records and data.

Customer care

RPA enhances customer service by automating tasks within contact centres, such as verifying e-signatures, document uploading, and information verification for automatic approvals or rejections.

Human Resources

RPA automation in human resources changes how we handle many administrative tasks. It’s a type of automation that follows rules to do tasks quickly, letting HR people focus on the more complicated stuff. It can automate payroll, manage benefits, and get new employees started.

This means less manual work, fewer mistakes, and more efficiency. With these tasks automated, HR can spend more time on big-picture planning and improving how employees feel at work, making the workplace better for everyone.

Robotic Process Automation Trends and Future Direction

The evolution of RPA continues. Technology advances will allow RPA to include AI, ML, and other high-tech solutions, leading to more automation and innovative processes and workflows. More businesses will use end-to-end automation, cloud solutions, and RPA as a service, making automation easier for companies of all sizes. RPA will become crucial for improving customer experience and meeting regulatory standards.

Centers of Excellence in Intelligent Automation will push innovation forward. RPA will also help gig workers work more efficiently. As RPA grows, focusing on responsible automation will ensure it continues to provide value and maintain ethical standards.


Is coding required in RPA?

Understanding coding can help use RPA solutions, but it’s optional for all RPA work. Many RPA tools have easy-to-use interfaces that let users automate tasks without coding. These platforms help business users or citizen developers make automation scripts by visually planning the process. Yet, programming knowledge helps with complex integrations and customisations.

What is robotic process automation not suitable for?

Robotic Process Automation is unsuitable for tasks needing human judgment, emotional intelligence, or complex decisions. If a process changes a lot, is not based on rules, or is unstructured, RPA struggles. Tasks that need a lot of human interaction or change often might benefit little from RPA. It could be better for tasks requiring interpretation, analysis, or unstructured data like images, videos, and text without format.

How accurate is robotic process automation?

Robotic Process Automation (RPA) is highly accurate in performing rule-based tasks. When set up correctly, RPA bots can do many tasks accurately, reducing human error. This accuracy helps avoid significant financial losses or compliance problems in specific industries. The success of RPA relies on having clear and consistent processes. For tasks that are clear and rule-based, RPA’s accuracy can be nearly 100%.

Can RPA automate any business process?

Robotic Process Automation (RPA) is good at automating simple, rule-based business tasks without needing human judgment. It’s not for every task, though. RPA works best for repetitive tasks humans might need to correct, like transferring data between different systems or filling out forms. It helps complete tasks faster and more accurately, such as entering data, processing transactions, and making reports.

RPA cuts costs and saves time but needs to be fit for tasks requiring complex decisions or lots of human interaction. For more complicated tasks, using RPA with technologies like AI and machine learning can automate complex processes for more innovative solutions.

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