Yet, while automation is essential, it is crucial to remember that humans should always remain at the heart of business operations, serving as the strategic backbone while automation acts as a critical support function.
In this blog, we explore five key ERP business processes ripe for the benefits of process automation. We step into the shoes of the process owners, identifying their unique challenges and illustrating how process automation can provide effective solutions.
Meet Sarah, the Financial Controller of a mid-sized manufacturing company. She oversees the financial reporting and ensures compliance with accounting standards. Her role demands precision and the ability to coordinate complex financial data from various departments.
The end of any financial period brings a frenzy of activities for Sarah. From consolidating reports to ensuring accuracy in the accounts, the process is labor-intensive and prone to errors. Late nights and the pressure of deadlines often lead to a stressful environment, with the risk of burnout among her team.
Consider the task of consolidating various expense reports. Normally, this requires manually gathering data from different departments, a process prone to delays and errors. With Process Automation, these reports can be automatically collated, validated for accuracy, and integrated into the financial statements. This automation not only speeds up the process but also frees Sarah and her team to focus on more strategic tasks, like analyzing financial trends and advising on business decisions.
John is an AP Manager at a retail chain. His responsibility is to manage vendor relationships and ensure timely invoice processing and payments. His effectiveness is measured by how well he manages cash flow and maintains good vendor relations.
Invoicing in John’s department is a tedious task. Manual entry of invoice data is time-consuming and susceptible to errors. This can lead to delayed payments, strained vendor relations, and even financial discrepancies.
A common challenge John faces is the processing of bulk invoices received in various formats. Manually entering these into the ERP system is not only slow but also leads to errors. Process Automation can automatically extract invoice details, verify them against purchase orders, and update the ERP system. This reduces the processing time from hours to minutes, significantly reduces errors, and improves vendor satisfaction.
3. Procure-to-Pay Cycle
Emma, a Procurement Manager in a technology firm, is tasked with ensuring an efficient and cost-effective procure-to-pay cycle. Her role involves overseeing the entire procurement process, from purchase requisition to payment.
Emma’s biggest challenge is managing the volume of transactions and ensuring they are completed accurately and on time. The manual process is fraught with the potential for delays and errors, impacting the company’s operational efficiency.
A typical scenario involves processing a purchase order, which requires cross-referencing with vendor details and inventory levels. This process, when done manually, is prone to delays and mistakes. With Process Automation, the entire process, from raising a purchase order to making a payment, can be automated. The RPA tool cross-references data, updates inventory levels, and processes payments, thus streamlining Emma’s workflow and reducing errors.
4. Sales Order Processing
David, the Sales Operations Manager at a software company, is responsible for ensuring that customer orders are processed accurately and efficiently.
David’s team struggles with the high volume of sales orders, which requires significant manual input. This often leads to delays and errors, affecting customer satisfaction and revenue streams.
In a typical sales rush, David’s team manually enters order details into the ERP system. With Process Automation, this process can be automated, ensuring faster and more accurate order processing, leading to improved customer satisfaction and quicker revenue recognition.
Learn more on how to transform your sales order processing with automation
5. Vendor Master Data Management
Lucy, the Supply Chain Manager in a logistics company, oversees vendor management and ensures the accuracy of vendor data in the ERP system. Lucy finds maintaining accurate vendor data challenging due to the ever-changing nature of vendor information. This impacts procurement efficiency and vendor relationships.
For instance, when a key supplier updates their pricing or contact details, Lucy’s team must ensure this information is accurately reflected in the ERP system. Traditionally, this would be a manual process, risking delays and inaccuracies.
Process Automation can automate the updating of vendor information, ensuring real-time accuracy and significantly reducing the workload on Lucy’s team.
Summary: Common Challenges and the RPA Solution
Across these diverse roles – from financial controllers to supply chain managers – the common challenges are evident: time-consuming manual tasks, risk of human error, and the need for faster, more accurate process completion. These challenges not only strain resources but also limit the strategic potential of these vital roles.
The solution lies in embracing Robotic Process Automation (RPA) technology. Automating routine and complex tasks frees up these professionals to focus on more “value-adding” activities. It enhances efficiency, reduces errors, and fosters a more strategic approach to role responsibilities. With RPA, businesses can transform their ERP operations into dynamic, responsive processes that drive forward organizational goals.
