RPA – a technology with social relevance (blog series part 2)

In the first blog post in the RPA series, we took a general look at the topic of RPA and examined it in the context of the industrial revolution. Today, in the second part of the blog series, we would like to take a closer look at what the term RPA means and implies. You will also learn how we can use the technology in our everyday work.

RPA stands for Robotic Process Automation and can be understood as one of the driving forces behind the fourth industrial revolution. It is a technology that mimics the activities of a human being on a computer.

More precisely:RPA software can be used to configure robots. These robots can then emulate and integrate human actions in their interaction with digital systems. The bot then automatically executes the process or task.

There are many similar terms for RPA that are often used synonymously: robot, bot, automation, automated solution, automated intelligent solution and many more – but which is the most appropriate term? These terms have become established through their use by people on the one hand and through the teaching systems of individual platforms on the other. However, there is no universally accepted term. In spoken language, the term robot or bot is generally used, while documentation often refers to automated solutions. Some companies even name their bots after people or animals, thereby simply circumventing the question of terminology.

In the early 2000s, companies began to utilise the concept of ‘agile development’. They recognised that they needed to accelerate their processes in order to remain competitive in the market. This eventually led to the first automation scripts, which gave rise to ‘screen scraping’ software. This made it possible to extract information from websites and software – a breakthrough for RPA as an important factor in increasing productivity in companies.

Banks and insurance companies were pioneers in the use of automation, as these industries are subject to a multitude of regulations and therefore involve numerous standardised processes. In this context, RPA presented a good opportunity to improve compliance and administrative processes and increase the availability of resources for important decisions.

As this need grew, companies such as Blue Prism emerged around the turn of the millennium. These companies focused primarily on back-office processes, as they saw the greatest gaps in this area. Blue Prism’s first product was successfully positioned on the market in 2003.

With growing demand and more customers discovering the potential of RPA, other new providers such as Automation Anywhere (founded in 2003) and UiPath (founded in 2005) entered the market. In 2013, UiPath finally released its first product.

The 2008 recession can be seen as an accelerator for RPA. Companies sought to reduce their costs, and RPA proved to be an effective means of doing so. At that time, approximately one in five employees in the United States lost their jobs, but at the same time, many of the work processes had to be maintained (source: Knowledge at Wharton, How the Great Recession Changed American Workers).

After the crisis, the economy recovered and technology increasingly changed the way we work. The RPA boom finally took off after 2012, when more and more large companies recognised the benefits of RPA and began using it on a large scale.

The companies were looking for tools that would enable them to

• reduce costs.
• optimise delivery times.
• create space for qualified personnel to perform more demanding tasks.
• improve customer satisfaction.
• deliver high-quality products.
• retain qualified personnel.
• increase employee satisfaction.

The compatibility of work and private life is playing an increasingly important role these days, which is why digital solutions are an important part of the mobile workplace. In this context, cloud services are also becoming increasingly prevalent in all areas of work and daily life. For example, we have learned from our own experience that it works well to conduct job interviews with potential employees on the other side of the world online, regardless of location and time. Bots can also be used to support this process, guaranteeing continuous availability and enabling a prompt response to initial contacts in the application process.

With the advent of the COVID-19 pandemic, the world of work changed significantly once again and technology products of all kinds became even more important. Many employees had to work from home temporarily and connect to their work environment via VPN connections. Virtual meetings, task automation and the use of digital devices became part of everyday working life and are now indispensable.

Process automation enables us to gradually free ourselves from repetitive, rule-based tasks that do not add significant value.

As you read these lines, can you think of a process that you carry out in your daily work that meets these requirements? Probably yes: sending emails, filling out Excel spreadsheets or interacting with ERP or CRM systems, to name just a few examples. These tasks are quickly completed on a daily basis, but they are very time-consuming overall. To solve this problem, we can use robotic process automation (RPA).

Especially if you have to work overtime for such tasks or have little time left for creative work, it is worth thinking about more efficient ways of working. RPA frees up more time to pursue more productive activities at work or in your private life.

• RPA are software robots that emulate and integrate human actions in their interaction with digital systems.
• There are many different terms for RPA that are often used interchangeably.
• The technology has been around since the 2000s.
• There are now numerous RPA providers on the market offering software for a variety of needs.
• Process automation enables us to gradually free ourselves from repetitive, rule-based tasks.

This article is the second in a multi-part series on RPA and technological change in the world of work. In the next article, we will address the question of whether RPA will replace humans, what opportunities the technology opens up, and how process automation can have a positive impact on your work.