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THE STATE OF

ROBOTIC PROCESS
AUTOMATION
AND ARTIFICIAL
INTELLIGENCE IN
THE ENTERPRISE
INTRODUCTION
In 2014, distinguished Oxford There is, however, a long way
University philosopher, to go before were at the peril
Nick Bostrom, released his of walking, talking robots in
book Superintelligence: the enterprise even if Boston
Paths, Dangers, Strategies. Dynamics humanoid robot,
It hypothesises the potential Atlas, was caught running freely
impact on society if machine into the woods. Currently, RPA
brains were to surpass that is more commonly used in the
of a human, with the premise enterprise, and in this report we
being that our destiny would will explore how both AI and
be dependant on machine RPA are affecting companies.
intelligence, and therefore out
of our own hands.

The books concerns have been


echoed by Bill Gates, Elon
Musk, and eminent physicist,
Stephen Hawking. The latter
said that while success in AI
would be the biggest event in
human history, it might be our
last, unless we learn how to
avoid the risks.

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CONTENTS
04
The Audience
05
What are RPA and AI?

06
IT Industry
13
The Finance Industry

19
Other Industries
25
Key Takeaways

26
About the RPA and Artificial
Intelligence Summit 2016

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THE AUDIENCE
Their reporting level
22%
Report to the CEO

7%
Report to the CXO

36%
Report to the Managing Director

20%
Report to a Director or Department Head

12%
Other

Their functional focus


34%
Finance

6%
Human Resources

23%
IT

34%
Other Focus

Where are the surveys participants


in their RPA implementation?
12%
Not Considering It

37%
Thinking About It

13%
Testing

13%
Implemented

31%
Implemented and Expanding

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WHAT IS ROBOTIC
PROCESS AUTOMATION?
Robotic Process Automation is Its currently been as divisive
still nascent, but promises to be as it has transformative.
transformative in the business Certain IT departments, for
environment. RPA doesnt example, have lambasted RPA
actually involve real robots, for due to its ability to displace
now, computer coded software tasks once undertaken by
is what drives RPA, allowing humans. In response to this,
organisations to automate however, companies have been
repetitive, mundane tasks. keen to accentuate that RPA
will free humans to do more
The most common place to find strategic tasks.
RPA is within shared services
centres or in other similar back-
office functions. The software,
or robot, can take a task - like
distributing travel expenses
and complete it faster than a
human, and with fewer errors.

WHAT IS ARTIFICIAL
INTELLIGENCE?
If you believe Gates, Musk While RPA and AI have
and Hawking, this is where it similarities, they are different
starts to get scary. Artificial beasts. The main difference
Intelligence, although often is that AI has self-learning
envisaged as a super- capabilities, which means that
human lifeform, is commonly it can tackle tasks which dont
implemented as algorithms involve repetition. AI can make
which process large datasets sense of unstructured data-sets
in order to carry out tasks where theres variation, and it
more efficiently than humans. also gets better with time.

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IT

INTRO
Is the IT sector running out The manpower currently
of momentum or is it on the spent on data entry, and other
cusp of a revival? This is the automatable tasks like system
question many within the integrations and reporting
sector are asking themselves. could be used to concentrate
on strategic issues that have
The IT department is no a wider business impact.
stranger to the mundane, with
simple tasks potentially taking In this section, we take a look
days, if not weeks, to complete. at how the IT industry is being
Data entry, for example, would affected by RPA and AI.
be an obvious contender
for automation. As a task, it
requires little to no skill, but
concentration for hours at a
time. RPA software doesnt get
tired, disheartened, hungry or
thirsty, it just gets the job done,
and with no errors.

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ROBOTIC PROCESS
AUTOMATION
The IT industrys main RPA challenge
18%
Competing Investments

36%
Management not convinced of its value

27%
Lack of resources to allocate to this project

9%
IT not supportive

9%
FTEs fear of job losses

Senior managers within the IT project. This was unanticipated, but


industry, according to our data, are indicates that short-term goals are still
not yet convinced about the power of taking precedent over RPA. Whether
RPA, with 36% highlighting this, and this lack of concentration impacts
a further 27% stating that there was the RPA implementation process,
a lack of resources to attribute to the however, is unclear.

Their key to implementing RPA


63%
The right team with the right skills

9%
The right vendor party

18%
ITs support

9%
Customers support

It was not surprising to see the IT IT department a catalyst for the next
sector vote overwhelmingly in favour phase of robotics in the enterprise.
of the importance of people, with 63% The departments common burdens
stating this. The rise of robotics has troubleshooting and data entry will
prompted many to question whether no longer be an issue, meaning they
people still have a role to play in the IT can play an important strategic role as
department, so it would seem natural robotics permeates the organisation.
that they would oppose any future
where their role is displaced. A smaller percentage 9% stated
that choosing the right vendor was the
Its not just about protecting their most important aspect.
future. Gartner has already called the

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ROBOTIC PROCESS
AUTOMATION
The savings they expect to make
18%
Reduce the number of tasks done by human employees

18%
Reduce processing errors

63%
Reduce overall function costs

The general consensus was that the IT which threatened to render their
department would make cost savings skills useless. In 1871, agricultural
across the board, with 63% stating workers accounted for fewer than
that it would reduce overall function 7% of the workforce, now that figure
costs. It was also interesting to see stands at less than a percent. Neither
that 18% believed that RPA would human muscle nor precision can
specifically reduce the amount of tasks compete with technology making it
undertaken by human employees. logical for companies to look to RPA
implementation.
It will likely come as a relief to IT
workers that monotonous tasks like This does not necessarily mean that
data entry are being eaten up by there is no future for people in the IT
machines. The Institute of Robotic industry. It does, however, mean that
Process Automation (IRPA), however, certain functions will be automated
predicts that RPA could allow and operated by machines as we
companies to curtail their workforce move forward. The fact that the
by at least 18%. Even with current majority of respondents highlighted
technology, the need for IT support an overall reduction in costs, not
roles, in particular, is likely to decrease just a reduction in the amount of
potentially wrecking havoc for those tasks undertaken by employees,
trained in the area - and this can only demonstrates that there is a belief
increase as machine learning and AI that the departments efficiency will
start to play a more important role. also improve.
Embracing technological development, The IT department is set for a facelift,
however daunting for the IT but its final position remains unclear.
department, has been essential in According to our data, however, its
societys development. As many will clear that RPA is going to reduce
point to, the battle between man costs and streamline the department
and machine goes back centuries. - whether that leads to job losses
Back in the 1800s, the Luddites remains to be seen.
were destroying the textile machines

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ROBOTIC PROCESS
AUTOMATION
Will RPA replace Business Process Outsourcing (BPO)
9%
No

9%
RPA will enable BPO provides to offer better solutions to customers like me

82%
RPA will enable me to leverage my own solutions more effectively
and refocus my BPO provider to deliver more value add

The survey points to an unequivocal them to leverage their own solutions


no. Not one participant stated that more effectively and refocus their
RPA would replace BPO, with 82% BPO provider to deliver more
believing that RPA would enable value add.

The processes they plan to automate


27%
Accounts Payable

18%
Process to Pay

9%
Procurement

9%
Talent Management

9%
Training and development

27%
Other

There was no real consensus about stating this. Other functions, such as
the processes which were most likely Purchase-to-pay, were also highlighted
to be automated. Accounts Payable more readily.
was most regularly cited, with 27%

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ARTIFICIAL
INTELLIGENCE
The audiences AI timeframe
57%
0-2 years

28%
3-5 years

14%
We dont need AI

Technology giants are already In fact, the majority thought this would
releasing impressive AI products as happen in the next 0-2 years, with 57%
they look to become first movers in the stating this. Spurred by the potential
market. The usual suspects Google, to significantly reduce the time taken
Facebook, Apple and Amazon are to complete tasks and the potential for
the obvious companies to look out for. AI to outthink humans, the emphasis is
on enterprises to act, and act fast.
While there was a divergence of
opinion in the IT industry about Of the remaining respondents, 28%
when AI would become an important believed that their AI implementation
innovation driver, they all agreed on would happen in the next 3-5 years. A
one thing; it was going to be impactful very small proportion, 14%, stated that
at some point. they wouldnt need to introduce AI to
their business at all.

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ARTIFICIAL
INTELLIGENCE
The main advantage of AI
27%
Greater precision

9%
Reduction in resources

36%
Reduction in time to completion

18%
Capacity to out-think humans

9%
Other

Our data indicates that enterprises are A clear difference between AI and
anticipating a wide-range of advantages RPA is that it can detect variations
from AI. This is perhaps unsurprising in text. This puts non-repetitive tasks
considering AIs versatility. well within its grasp, and makes the
likelihood of an error decrease even
A reduction in time to completion, further. And while this would clearly
however, was deemed by the most allow enterprises to complete tasks
respondents as the main advantage, with greater precision, it also means
with 36% stating this. Greater that they will get completed quicker.
precision also ranked highly, with
27% of people stating this.

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ARTIFICIAL
INTELLIGENCE
The main AI challenges

Budget availability 27%

Competing investments 9%

Management not
convinced of its value 18%

Lack of resources to
allocate to this project 18%

IT not supportive 9%

There are other more


important challenges 9%

Other (please specify) 9%

As a nascent technological This implies that AI is not a priority


development, companies are still for many IT companies. This, to some
struggling to obtain the necessary extent, is at odds with the last section
budget to make the most out of which stated that many believed that
AI with 27% highlighting this. it would be implemented within 0-2
years.

Are you worried about the impact of AI?


9%
Yes

54%
No

36%
Its impossible to tell

Like most of other industries, the surrounding the IT industry, and thats
answer was a resounding no reflected in the fact that 36% believed
with 54% stating this. Despite this, that it was too soon to tell if AIs going
there does seem to be more anxiety to negatively affect the workforce.

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FINANCE

INTRO
While technology has been Due to this, there has never
a driver of change in the been more pressure on
finance industry, it has stopped finance institutions to embrace
short of disrupting it entirely. technology and empower
Aside from cryptocurrency their workforce through new
companies like Bitcoin technologies. Robotic Process
technological improvements Automation (RPA) is at the
have been incremental rather forefront of this.
than radical. The physical bank
remains antiquated, built on an
infrastructure that almost goads
new institutions to challenge
the status-quo.

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ROBOTIC PROCESS
AUTOMATION
The finance industrys main RPA challenge

Budget Availability 17%

Competing Investments 23%

Management not convinced


of its value 5%

Lack of resources to
allocate to this project 17%

IT not supportive 23%

FTEs fear of job losses 11%

Again, the emphasis here is clearly on The main challenges brought up in the
project prioritisation, and the fact that survey were budget availability, lack of
other tasks which may have a short- resources to allocate to the project and
term bearing on company fortunes competing investments. Like in the IT
are, according to our data, taking industry, this indicates that companies
precedent over RPA, and AI for that are yet to be won over by RPA and AI.
matter.

Their key to implementing RPA


62%
The right team with the right skills

12%
The right vendor party

12%
ITs support

12%
Customers support

The right team with the right skills was consistency by all industries shows
overwhelmingly highlighted as the key the power of people in RPA and our
to implementing RPA successfully. continued importance in the space.
The fact that this was accentuated

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ROBOTIC PROCESS
AUTOMATION
The savings they expect to make
62%
Reduce the number of tasks done by human employees

12%
Reduce processing errors

18%
Reduce overall function costs

In comparison to IT, the Finance A smaller proportion believed that


industry seems clear about one thing; RPA implementation would allow
RPA is going to reduce the amount of companies to reduce processing
tasks undertaken by employees, with errors, while also reducing overall
63% stating this. As cited previously, function costs, with 12% stating this
this will come as no surprise; although respectively.
those working in the industry will
hope that this means that their
job is changing, not disappearing
completely.

Will RPA replace Business Process Outsourcing (BPO)


12%
Yes

12%
No

25%
RPA will enable BPO provides to offer better solutions to customers like me

50%
RPA will enable me to leverage my own solutions more effectively
and refocus my BPO provider to deliver more value add

According to the survey, 50% of Just 12% believed that RPA would
respondents stated that RPA would allow them to replace BPO, with the
enable them to leverage their own majority stating that RPA would likely
solutions more effectively and refocus create something of a happy medium
their BPO provider to deliver more between it replacing it entirely and
value add. there being no change whatsoever.

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ROBOTIC PROCESS
AUTOMATION
The processes they plan to automate

Accounts Payable 25%

Process to Pay 25%

Order to cash 18%

R2F 25%

Other 6%

The finance industry highlighted four This indicates that the finance function
functions that it felt were primed for is still unsure of RPAs capacity to
automation. They included accounts impact the entire function, and this,
payable, purchase-to-pay, order-to- to some degree, is backed up by the
cash and record-to-report. This was fact that 63% stated that they are still
in contrast to the other industries thinking about their RPA deployment
we surveyed, all of which saw RPA strategy.
impacting their function in a more
varied manner.

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ARTIFICIAL
INTELLIGENCE
The audiences AI timeframe

0-2 years 58%

3-5 years 33%

5+ years 8%

Like the IT industry, a high take 3-5 years before they see the
proportion 58% of our finance effects of AI in their company.
participants believed that AI is likely
to be impactful in the next 0-2 years. Interestingly, there was a single
After that, 33% stated that it would respondent who believed that they
didnt need AI moving forward.

The main advantage of AI


20%
Greater precision

13%
Reduction in resources

53%
Reduction in time to completion

6%
Capacity to out-think humans

6%
Other

The participants agreed almost in main advantage of AI deployment.


their entirety that the main advantage
of AI would be that there would be Fewer finance workers, however,
a reduction in the time to complete believe that one of AIs main
tasks. This was mirrored in the IT advantages is the ability for it
industry, which also saw this as the to out think humans.

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ARTIFICIAL
INTELLIGENCE
The main AI challenges
20%
Budget availability

13%
Competing investments

20%
Management not convinced of its value

20%
Lack of resources to allocate to this project

13%
IT not supportive

13%
There are other more important challenges

There was a mix bag of challenges Our data also shows that there are
highlighted, but, again, budget other challenges not mentioned in the
availability and a lack of resources were survey, including certain organisations
most regularly cited. This would imply fear that the maturity of AI would be
that AI is now currently a priority for a major challenge moving forward.
many companies.

Are you worried about the impact of AI?


6%
Yes

80%
No

13%
Its impossible to tell

The general consensus was that that felt it was too early to say,
AI wouldnt negatively impact the further accentuating the uncertainty
finance industrys workforce. There surrounding the industry.
was, however, a good proportion

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OTHER INDUSTRIES

INTRO
As well as targeting finance and working in sectors such as
IT, our research also reached Human Resources, Operations
out to other industries. In this and Business Development,
section we analyse how those are reacting to RPA and AI.

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ROBOTIC PROCESS
AUTOMATION
The audiences main RPA challenge
6%
Budget availability

6%
Competing investments

20%
Management not convinced of its value

20%
Lack of resources to allocate to this project

26%
FTEs fear of job losses

20%
My company is facing another challenge

There was, understandably, more management not convinced of its value


variation in the answers given in this and companies facing other challenges,
section, meaning that we were able FTEs fear of job losses obtained 26%
to make fewer assumptions about the of the participants vote. A smaller
RPA space when compared to the proportion also identified budget
other specific industries. availability, competing investments
and a lack of resources to allocate
According to our data, there were three the AI project.
challenges which were highlighted as
particularly pertinent. In addition to,

Their key to implementing RPA


66%
The right team with the right skills

13%
The right vendor party

20%
Other

Like the finance and IT industries, the There were a number of other
majority of respondents highlighted factors that were submitted. C-Suite
that the key to RPA implementation ownership, for example, was cited,
was having the right team, with the as was a more strategic response
right people, with 66% stating this. to RPA. For 13% there was more
importance placed on getting the right
vendor in place.

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ROBOTIC PROCESS
AUTOMATION
The savings they expect to make

Reduce the number of tasks


done by human employees 26%

Reduce processing errors 20%

Reduce overall function costs 26%

Other 26%

In terms of the expected savings, its The largest proportion 26%


clear that the companies are expecting believed that RPA would impact overall
a wide-range of differing cost-benefits function costs, although a significant
from RPA implementation. There was proportion, 20%, believed that RPA
a real mixture of responses from the will reduce the amount of tasks done
participants with the consensus by employees. A finding replicated in
being that RPA can reduce costs, time the finance and IT industries.
to competition and errors.

Will RPA replace Business Process Outsourcing (BPO)


13%
Yes

13%
No

20%
RPA will enable BPO provides to offer better solutions to customers like me

53%
RPA will enable me to leverage my own solutions more effectively
and refocus my BPO provider to deliver more value add

Like those within finance and IT, As reflected throughout our research,
there was a belief that RPA would its clear that BPO does not represent
not replace BPO, but instead allow an industry on the way out. Indeed, our
providers to deliver better solutions. data indicates that RPA will improve
In fact, the overwhelming majority, the current BPO solution offerings
53% %, believed that RPA would and refocus the relationship between
allow them to do this. provider and customer.

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ROBOTIC PROCESS
AUTOMATION
The processes they plan to automate

Process to Pay 6%

Order to cash 6%

Procurement 6%

HR portal 6%

Training and development 13%

Other 27%

Travel and expense 6%

This is where other industries seem frontline interactions and operations.


to differ considerably from IT and In addition, training and development
Finance, where Accounts Payable and - with 13% - wasalso regularly
Purchase-to-Pay were clear favourites highlighted.
for automation.
As stated before, this indicates that
Instead, many highlighted the fact RPAs use in the wider context will
that they were looking to automate be different from IT and Finance.
a range of services, customer

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ARTIFICIAL
INTELLIGENCE
The audiences AI timeframe

0-2 years 33%

3-5 years 25%

5+ years 8%

We dont need AI 25%

Other 8%

While companies operating in finance While the majority of participants


and IT had, in the main, a plan for AI, stated that they expected to be able
our research indicates that this is not to implement AI in either 0-2 years
the case in the wider-industry context. or 3 -5 years 58% combined there
In our survey, 58% stated they had were also a good proportion which
no plan for AI. This would imply that believed that they didnt need to
RPAs capacity to impact the finance implement AI. It remains to be seen
and IT industries is particularly potent. if they regret this decision.

The main advantage of AI


50%
Greater precision

7%
Reduction in resources

28%
Reduction in time to completion

7%
Capacity to out-think humans

7%
Other

Greater precision and reduction in AIs capacity to out-think humans was


time to completion were the most AIs main advantage despite it often
frequently cited advantages of AI, with being cited as such.
50% and 28% stating this respectively.
This is a finding consistent with the This would imply that AI might not
finance and IT industries. Interestingly, impact the business landscape in the
not a single participant stated that way many expect.
ARTIFICIAL
INTELLIGENCE
The main AI challenges

Budget availability 14%

Competing investments 21%

Management not convinced


of its value 2%

Lack of resources to allocate


to this project 7%

Other (please specify) 35%

Again, our research indicates that AI With AI set to play such an important
investment is far from a certainty in role in the Finance and IT industries, it
many enterprises. was surprising to see many highlight
a lack of buy-in a major challenge. It
A total of 21% stated that competing is less surprising within the wider-
investments was the main challenge industry context, as there is less AI
they were facing, while budget urgency.
availability and management not
convinced of AIs value also major We believe that if were take this survey
issues. in a years time the result would be very
different across all the industries we
have analysed.

The main advantage of AI


28%
Yes

57%
No

14%
Its impossible to tell

The survey indicates that while more In total, 57% stated that they werent
arent worried about the impact of AI worried about the impact of AI on
it is far from the unequivocal response the workforce, compared to 28% who
seen in Finance and IT. said they were. Our data indicates that
AI could yet impact the workforce
negatively.

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KEY TAKEAWAYS
Key Takeaway Description
AI will become a business Across the three industries
driver in 0-2 years we have analysed, just over
half 50.3% - stated that
they believed AI would be
implemented within 0-2 years.
This is exciting news.
Senior management teams While the technology is there
are yet to be convinced by to make RPA a success, 19%
RPA of respondents stated that
management had not been
won over by RPA. Other issues
such as obtaining the correct
budget and resources were
also cited as major obstacles.
People are key to RPA In total, 64% of respondents
implementation stated that they felt people were
central to RPA implementation.
This flies in the face of the
assumption that robotics is set
to cause widespread job losses.
FTEs fear of job losses is not Just 17% stated that FTEs
a substantial issue fearing job losses was their main
concern, and in the IT industry
this was as low as 10%.

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FOUND THIS
INTERESTING?

The RPA and Artificial Intelligence Summit unites the needs of the
250,000-strong SSON and PEX Network communities to bring
together those furthest along the maturity curve in automated and
intelligent service innovation, like Vodafone, Barclays , ENGIE and
even NHS Wales Shared Services, with those who are just starting
out, like SAB Miller, LV and National Grid, for a frank and open
discussion surrounding the best ways to compete in the digital
business era.
Combining scores of practical end-user case studies, multiple
conference streams surrounding human workforce augmentation
across the front and back-offices and over 15 hours of interactive
sessions and networking, this is your one-stop shop for ensuring
you build the value-adding, scalable, intelligent processes that
meet the business needs of the future.

Delivered in association with:

ABOUT THE AUTHOR:


This report has been authored by Simon
Barton, the portals Editor. Barton has been
working with process excellence professionals
throughout his career, interviewing industry
leading figures and providing his own opinions
on the spaces development.

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