Other parts of this series:
Executing a successful RPA transformation means taking into account a number of factors including leadership, governance, talent and engagement with stakeholders. Gaining buy-in from the CIO and IT teams is essential, as well.
In my last post I discussed the great potential of Robotic Process Automation (RPA) in helping insurers reduce costs and make back-office operations more efficient. We have identified a number of key factors that help organizations successfully undertake automation initiatives.
- Vision, leadership and governance. Insurers need a well-defined “top down” automation strategy and vision.
- Leveraging expert teams and practices. A dedicated team of robotics and operational excellence practitioners helps industrialize automation capabilities and employ best-in-class tools and methods.
- Emphasizing culture change and engagement. Success depends in part upon obtaining buy-in from beneficiaries and stakeholders and upon establishing roles, responsibilities and expectations from the outset – including early engagement with IT and the CIO.
- Establishing the “factory”. The implementation should include milestones and should use agile practices to deliver at speed.
- Investing in change. Targets and benefits should be tracked with clear accountability and data should be used to make adjustments and cut projects which will not deliver planned benefits.
With these factors in mind, the organization can undertake a transformation initiative, typically in three stages. The first stage involves quick wins and rapid cost take-outs to build momentum and fund subsequent initiatives. In the second stage, technology is optimized to identify and implement intelligent workflow systems and digital distribution channels. Finally, the third stage of operational transformation sees a move to platform simplification along with changes to the operation’s organizational architecture.
RPA can have an enormous effect on insurance operations, but transformation is complex and demands an understanding of multiple factors. When implemented properly, however, the return on investment can be both significant and rapid.