The Robot and I: How New Digital Technologies Are Making Smart People and Businesses Smarter by Automating Rote Work

Cognizant THE ROBOT AND Knowledge Work Made Smarter with Intelligent Process Automation O 00 II ... IIIII... 000 III.I...... ..... WE SURVEYED 537 NORTH AMERICAN AND EUROPEAN BUSINESS LEADERS from banking, insurance and healthcare to understand how robotic process automation is being deployed at their organizations. We found that it is augmenting human talent by generating rich process data from artificial intelligence and machine learning that drives meaningful business insights, value and outcomes. We call this "intelligent process automation," or IPA, and it is having a huge impact on money and meaning-making across industries. MONEY: Process automation is saving substantial amounts of it, today Automation can empower more effective knowledge NEARLY 2 IN 3 respondents expect at least 10% cost workers while simultaneously generating and capturing savings from automation in the long-term future data that can help improve process and eliminate wasteful steps AS A RESULT, ROBOTS CAN MAKE A MONEY-SAVING ASSEMBLY LINE 000 00= Cost savings realized from automation Percent of decision-makers realizing at least 15% cost savings across front-office, middle-office and back-office functions as a result of automation Human resources HORIZONTAL From 1 year ago PROCESSES Finance & accounting Expected in 1-2 years Customer management & sales | 3-5 years Supply chain New product/service development 15% 25% 35% BANKS Front-office & customer-facing functions Middle-office or operational functions Back-office or support functions New business, underwriting & customer service INSURANCE Policy service & contract administration Claims administration Risk, fraud & compliance Enrollment & billing services HEALTHCARE Claims coding & processing PAYER Overpayment recovery systems Fraud & abuse services Medical management Member/provider customer support Source: Cognizant Center for the Future of Work -- Base: Healthcare payers: 102; PC&L Insurers: 115; Banks: 153 RISE OF THE ROBOTS, BUT POWER TO THE PEOPLE: Those performing rote tasks (and those who manage those employees) must stay ahead of the curve by developing, honing and capitalizing on uniquely human capabilities that cannot be replicated by robots, like collaboration, teamwork, creativity, curiosity, intuitiveness, invention and empathy Mww JU nur JV MEANING-MAKING: The data generated by automation will radically improve process outcomes It's not just about robots; it's all about the data! Automation for automation's sake misses the real prize - an explosion of rich process-level data, which can be uncovered with analytics and Al to drive strategic meaning-making Respondents believe automation and analytics 50% offer the best chance of substantially positive 40% %2: business impact AUTOMATION ANALYTICS TAKING STOCK OF BUSINESS PERFORMANCE: Ramping up analytics... to ramp up revenue Percent of respondents realizing/anticipating at least 10% of revenue growth achieved as a result of data analytics within the following selected industry-specific processes From 1 year ago Expected in 1-2 years 3-5 years 15% 8% 13% 25% 17% 13% CONSIDER HOW 8% 13% 45% AUTOMATION CAN 42% 33% 36% INTEGRATE WITH THE WORKFORCE, IMPLEMENTING TECHNOLOGIES TO COMPLEMENT AND ENHANCE HUMAN SKILL HEALTHCARE PAYERS INSURANCE BANKS Member/provider! customer support processing Claims coding & New business, underwriting Front office & & customer service customer-facing functions Source: Cognizant Center for the Future of Work -- Base: Healthcare payers: 102; PC&L Insurers: 115; Banks: 153 MONEY AND MEANING: Digital value chains can reform processes that are smart and data-rich NEARLY 1 IN 3 RESPONDENTS see improved quality, consistency and believability in the data they get from digital process initiatives O 27% REPORT EASIER INTEGRATION ACROSS PROCESSES O DIGITIZE TO ANALYZE: The impact of digital processes on meaning making Percent of respondents citing the impact of digital process technologies on running better analytics across processes (multiple responses allowed) Improved quality/consistency/"believability" of data 32% Easier data integration across process AS MORE MEANING IS 27% DERIVED FROM ANALYTICS, Improve volume of data yield from process VALUABLE IMPROVEMENTS CAN BE IMPLEMENTED BASED 11 21% ON THOSE INSIGHTS Better impact/value/insight of combined analytics output 20% Source: Cognizant Center for the Future of Work - Base: 537 A NEW ERA OF HUMAN-MACHINE INTERFACE FOR REPETITIVE AND ROTE PROCESSES HAS BEGUN. Smart automation, built and operated by smart people, focuses on creating greater business value by augmenting the human spark, which is essential to how knowledge work is managed. The "Robot and I" model of money, meaning and smart people working together with smart robots is crucial to understanding what the future holds. For more detail, please read our white paper at http://cogniz.at/Robotsandl and visit the intelligent process automation section of our Web site at http://cogniz.at/Softwarebots. Source: Cognizant Center for the Future of Work © Copyright 2015, Cognizant. All rights reserved. No part of this document may be reproduced, stored in a retrieval system, transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the express written permission from Cognizant. The information contained herein is subject to change without notice. All other trademarks mentioned herein are the property of their respective owners. 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