Automation is one of the most important and disruptive forces in the 21st-century technological economy. The widespread concern over job loss through automation gets a lot of attention, but it’s important to talk about the ways in which automation is improving things as well.
One of the most significant upsides of automation is the degree to which it’s lowered the barriers to entry in the technology industry. From improving the efficiency of office work to allowing more efficient machining of a custom outdoor junction box, automation is simplifying and streamlining many tasks crucial for the success of new businesses.
It’s time to take a look at some of the major positive effects of automation in the technology industry. You might be surprised at how these disruptive technologies are making it easier for innovators to step into the arena and make their mark.
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Businesses are automating repetitive office work.
One of the biggest use cases for automation is one that has little to do with robots or assembly lines. Instead, automation is being used to streamline or eliminate the low-level office tasks that occupy a substantial portion of many workers’ days.
This technology can be a major boon to almost any business that requires office work, but it’s especially important for tech startups and other small technology businesses. The ability to automate Excel tasks, customer service email responses, or other tasks that require minimal creativity and problem-solving can be a major time and money saver.
For startup staff already struggling with workloads, such automation processes can be invaluable in the amount of time they free up. Every hour the CFO of a small startup doesn’t have to devote to manual accounting is one they can spend on big-picture budgeting and strategizing.
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Machine learning provides customized guidance based on hard data.
Big data technology is close to a must-have for businesses in today’s competitive and data-driven business landscape. Fortunately, the wisdom of machine learning algorithms is increasingly available to businesses at all levels.
Demand forecasting is one great use case for machine learning. Sophisticated algorithms crunch enormous amounts of demographic and sales data to predict how a business will need to allocate its manufacturing and logistics resources. These insights can make a huge difference for tech startups that really need to make their limited resources count.
Big data and machine learning also have a huge range of other uses. Some software can automatically analyze and segment customer data to more effectively target advertising and promotions. Other platforms can analyze operational efficiency to find savings and efficiencies no human could.
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Automation provides better and cheaper mechanical components.
A business that needs mechanical components for its products and/or equipment, such as a control box for its PLC controllers, will typically need to order these parts customized to spec. Fortunately, automation of machining and manufacturing processes has created more efficient, accurate, and cost-effective workflows for the manufacture of mechanical components.
Computer numerical control (CNC) machining is one great example of how automation has improved manufacturing. This technology uses a computer-controlled laser to automatically create cuts in a material with incredible precision. If a manufacturer needs a control box with certain cutouts, they can use a CNC process to create customized features on the box, and the automated process typically produces more precise results at a lower cost than comparable human-controlled processes.
The utility of automation goes far beyond CNC machining. In general, automation is well-suited to any manufacturing process that requires strict standardization and adherence to rules. Of course, this does still require attention to the QA process to ensure sufficient quality safeguards are in place, but it’s often substantially easier to address consistency at a QA level when the inputs are of higher quality.
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Automation helps reduce costly human error
Human error is inevitable, but for a struggling startup, small mistakes can have big effects. Something as simple as forgetting to send an invoice or omitting a few digits in a spreadsheet might cause significant problems, which is why many small businesses now use automation to reduce the chances of such costly mistakes. If you want to see an example, you can check Coupa invoice automation to get a closer look at the process.
One of automation’s biggest virtues is how it fosters consistency and helps ensure businesses deliver a quality product or service every time. That consistency is incredibly important for new businesses, as it’s one of the biggest factors that create repeat customers and builds strong brands.
Automation also helps lower the operational risk businesses face from downtime, waste, and other products of human error. Routing and maintenance are two examples of important operational processes that can be improved through automation. Algorithms can perform logistics routing more efficiently than any human possibly can, and predictive maintenance algorithms can utilize massive sets of maintenance data to efficiently allocate maintenance resources.
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Automation is customizable and allows businesses to create highly specialized solutions.
Automation is an incredibly versatile set of tools that can be turned toward many different purposes and techniques. In fact, for a business to get the most out of its automation solutions, it’s important for that business to make sure those solutions are tailored to its business model, budget, and market.
In an industry like tech, where new business models are constantly being created, this customizability is even more important. A startup needs to be able to adapt automation solutions to its needs even if—in fact, especially if—its business model doesn’t follow widely used templates. The increasingly varied range of automation solutions on the market allows new tech businesses to flourish, and even to integrate automation deeply into their business models.
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Disruptive tools like automation will always have both negative and positive effects. But for up-and-coming tech businesses, the news is often on balance more good than bad, particularly if a business can make automation a foundational element of its model. Tomorrow’s tech leaders will be today’s companies that have found their niche with automation.
