In 2018, companies spent 198 billion U.S. dollars on business process management. Yes, a whopping $198 billion! Why are organizations spending so much money on BPM software? Well, automation allows businesses to improve performance, reduce errors, and improve the quality of services and products.
Today’s marketplace is global, and businesses face intense competition from all angles. Automation gives businesses a competitive advantage. It helps increase productivity, decrease costs, and ensures that quality is consistent across the board. With better processes, organizations can improve their products and services, customer service, and operational efficiency.
A BPM tool can enhance a company’s business processes and increase business efficiency. This goes beyond reduced costs and higher profits. Company resources are better utilized, customers are happier with the services, and employees are satisfied with their work.
Automation allows business processes to be faster and more efficient. Increased productivity gives a business an edge over its competitors. Fewer resources are needed, so products can be produced at a lower cost. If your production costs are lower, you can charge less than your competitor.
So, how do you increase business productivity? Here are 5 strategies you can use.
1. Clearly Outline Business Plans and Goals
Goals are powerful. They help you to focus on achieving desirable outcomes. There are many goals a company can set: profitability, productivity, attracting and retaining top talent, providing excellent customer service, and sustainable growth.
Whether business goals provide motivation or set the company’s direction, they should be measurable, specific, timely, and achievable. Clear goals help define strategic priorities, build trust in leadership, and keep employees engaged.
Strategic planning helps you to assess where the company is and chart a way forward. It creates a foundation for business success because employees know the company’s vision, what goals should be met, and the steps to be followed.
A study discovered only 5% of small business owners achieved all their goals in 2019. But it’s easy to see why. 40% of companies have lower productivity because of employee task-switching. Workers also take 18 minutes to locate documents manually and spend 69 days every year on repetitive administrative tasks that cost their companies millions of dollars. All this time adds up. Companies that want to achieve goals and remain competitive must start using automation solutions.
91% of companies with effective business performance management systems link employees’ goals to company priorities. When employees are clear about their work, they perform better, and this boosts productivity.
Being clear on business plans and goals helps a company:
- Identify its strengths and weaknesses
- Establish standards to evaluate the performance
- Track progress and manage time better
- Set budgets aligned to plans and goals
2. Implement Company-Wide Business Process Management
54% of businesses are investing more in process automation, a primary component of BPM. While BPM has always been fairly popular, the COVID-19 pandemic has enhanced the need for company-wide BPM platforms.
Here are some reasons why organizations should implement company-wide business process management:
- Easy data access: employees need access to data to work more efficiently. A BPM tool can help prevent data overload. It controls employees’ access to data, displaying vital data and hiding unimportant information.
- Reduces micromanagement: Micromanagement can be destructive for a company. BPM eliminates micromanagement. Standard operating procedures are clearly documented and employees know their duties. They can prioritize tasks and do them on time–with no errors.
- Policy compliance: There’s no better way to streamline processes and ensure employees comply with internal and external policies than by adopting BPM. BPM ensures workers understand processes and follow strict guidelines. All teams comply with departmental requirements and policies.
3. Automate Repetitive Tasks
A study found that as much as 90% of workers in organizations are burdened with repetitive tasks. A workflow management tool automates repetitive tasks, increasing operational efficiency.
When repetitive work is eliminated, this is what happens:
- Mistakes and injuries are reduced: Automating repetitive tasks eliminates human errors which can take time to correct. Repetitive tasks such as typing, lifting, and loading can also cause injuries, resulting in missed workdays and decreased productivity.
- Lower dependency on spreadsheets and email: Some BPM tools can autofill information on spreadsheets while others can respond to basic customer inquiries. This means employees spend less time checking and responding to emails. There’s also no need to update spreadsheets now and then.
- Frees up employees’ time: Many employees who spend time on repetitive tasks can focus on more complex, business-critical tasks thanks to automation. Automation empowers employees to develop new ideas and learn new skills. Empowered employees are more productive.
4. Maintain a Solid Structure for Organizing Data
An organization’s data is one of its most valuable resources. Over the years, the amount of data organizations process has increased because of more compliance regulations and better storage capacities.
The International Data Corporation (IDC) predicts a 10-fold increase in the amount of information generated by 2025. Effective data management enables companies to enhance the quality of information processed. It minimizes errors and keeps data secure.
Why is data organization important? Well, data can help you to manage your company’s most valuable assets. It gives you better business intelligence and significantly affects your company’s success.
Good data organization strategies make it easier for workers to find and understand the information needed for different tasks. Information is stored well for easy retrieval and future reference. Employees can also validate results or conclusions they may have.
5. Design Systems That Allow for Remote Work
Employee happiness is directly linked to company productivity. According to Psychology Today, the number one contributor to happiness is autonomy. When employees are allowed to choose their work setting and working hours, their productivity increases. Employees with the freedom to choose their work locations are more satisfied with their jobs and are more productive.
Before the COVID-19 pandemic, working from home was a far-fetched idea for many. However, the virus got rid of the technological and cultural barriers that hindered remote work. Remote working has now become the norm rather than the exception.
Working remotely reduces commute times and can increase productivity by 5%. Even working from home once a week can increase company productivity by 13%. While some tasks cannot be performed remotely, you can create a hybrid work model that allows employees to balance remote work with office work.
Business productivity can make the difference between huge profits and bankruptcy. Productive companies provide more goods and services to customers and earn higher profits. They pay employees better, make stakeholders happy, and retain cash flows for future growth and expansion.