How to automate business and business processes

“Automation is primarily about removing human effort or “touch” from the processes where machines can produce at greater speeds and accuracies than humans can. We’ve spent over eight years facing the challenges of applying automation within our crypto and other industries through our experimentation of 43 different means of accomplishing this task. Our greatest lesson learned throughout this experimentation is simple: without clearly defined processes and an understanding of where time and money leaks (there’s an old adage: “You can't fix what you can’t see.”), every system is merely a costly toy. The initial point of departure for your company should be: what precise pain point will automation solve for my company?”

What Is an Automated Business?

An automated business is one where tasks are performed automatically. Data is transferred between systems in real-time; Reports are compiled and produced according to set schedules; customers receive responses to their inquiries on predictable and defined time frames — without any human involvement. The process of record keeping and tracking your business in this very dynamic, difficult, controversial, but critical segment of business can be defined as the coordinated and documented actions of a defined set of people to accomplish an outcome: there is a Trigger (initial event), Logic (in many cases, AI), and a Result (an email sent).

Consider the traditional model of a manufacturing factory's production conveyor belt; Raw materials going through multiple stages to produce a finished product. This same analogy can be applied to automation; Data travels through a series of software nodes or AI agents before producing the desired result. To illustrate how this works, consider a scenario where a customer writes "I would like to have a consultation" using Telegram; At this point, a bot enters this customer's information into a specific Google Sheet; The AI considers the customer request and constructs an appropriate reply to send back to that customer; Finally, the sales manager receives an alert that displays that customer's lead details for follow-up. An entire chain of events happens in less than 5 seconds, and only one human being gets involved once the last step is completed.

The overall benefit or "coolness" of automation over manual is that it's very predictable and scalable. A single person can become fatigued, fail to remember things, or make a minor error. Automation continues to run 24/7 without missing a beat, has almost no chance of making errors, and consistently produces accurate output. Automating 30%+ of operations within an enterprise typically saves 20–35% on operational costs and processes incoming requests 4–6X faster than manual processing.

At ASCN.AI, a business is viewed as a collection of implementations, which consist of multiple types of components. These types are triggers, which are the start of an implementation; logic, integrations, and AI agents, which make up the processing node(s); and output actions, which can include notifications, data updates, and sending messages. Each implementation has a defined atomic workflow, which can be started, stopped, sped up or slowed down "at the snap of a finger" with no changes to code.

Why Automation is Needed in Modern Businesses

In today's fast-paced world of business, it is nearly impossible to survive without being automated. The speed of business continues to increase, process accuracy continues to decline, and the cost of operations continues to increase at an alarming rate. Picture a scenario where a client would like to request some products by sending a handwritten request at 11:00pm and because the response from the business would not arrive until morning, the client has already gone to another company that quickly met their needs in approximately 30 seconds. 68% of SMBs that don't utilize automation will likely experience growth problems due to 20% revenue increases that require equivalent staffing increases, erasing all profit margins, while automated SMBs would only need to hire 10–15% more employees but could grow their lead generation efforts by at least 50%. Collecting data manually — e.g., five different weekly reports — sometimes takes 3–4 hours to complete, and then 5–10% of all records do not match what was reported. With an automated process through an automated workflow this could happen in two (2) minutes with 99.9% accuracy because data is directly connected through APIs. With an instant, available view of your data, a data manager will make faster, more accurate decisions instead of spending over an hour looking for data that he may have missed and making an inaccurate decision.

In addition, automating your business removes routine work from the employee's workload. Once the automation system has been implemented an employee who originally performed (12) hours per week on "routine administrative tasks" would then have much greater productivity engaged in "negotiations and strategy" as a result of having that additional time available for his/her role rather than continuing the same pay level for that employee after moving from "routine" to "non-routine" responsibilities.

Automating trading strategies through ASCN.AI for crypto clients reduced the need to respond to differences in price between exchanges from 5–7 minutes to within 10 seconds which allows for much greater use of arbitrage opportunities that had previously been missed.

Measurable Goals and Objectives of Automation

By defining our measurable goals and objectives for automating processes, we can analyze process automation efforts in order to determine how successful we are at performing them:

• Improving speeds at which specific processes can be executed.
• Reducing the likelihood that another erroneous transaction will occur.
• Reducing internal costs for the process itself (i.e. employee salaries for the task performed/activities completed).
• Scalability. The ability to execute the same number of transactions without hiring a tenth employee.

The implementation of automation technologies has allowed organizations to save money by reducing their use of human resources. Automation enables processing of one thousand incoming requests through logic and AI, rather than hiring ten to twelve new employees. In addition, once an employee has been relieved of the burden of monotonous routine tasks and is engaged in more productive activities, it improves the performance of the entire organization.

The companies that established clear, quantifiable goals prior to the launch of an automated operation are realizing a ROI that is 40 percent greater than companies that had just put "ticking the box" on their goal-setting agenda.

Key Terminology and Entities of Business Process Automation

Automated business processes are a series of events that do not require human intervention. Full automation encompasses the entire cycle, from the point of origin (trigger), through processing (logic), to the end of the cycle (result). Partial automation includes human intervention at some or all key points in the life cycle.

Generally speaking, the components of a business process are:

• Trigger: Event that initiates the business process. For example, a new lead, a specific date, or a change in data.
• Processing (Logic): Rules; AI analysis; integrative tasks.
• System Integration: Seamless data transfer between Customer Relationship Management (CRM), messaging systems, web-based services, and other data sources.
• Output: Notifications to relevant stakeholders; records for the database update process; completed reports.
• Control: Log files of each process step for future reporting and/or debugging.

The implementation of a fully automated business process results in a 28 percent improvement in efficiency over implementing partial automation.

ASCN offers its customers the ability to create end-to-end automated processes using a visual workflow (flowchart) builder that contains individual cells (nodes) that comprise a trigger, logic, API, AI agents, and output actions. This allows users to quickly build, test, and scale automated processes without the need for extensive programming.

Automated Business Management System (ABMS) — Functions and Types

An Automated Business Management System (ABMS) is a software application designed to manage the workflow of a business. The scope of an ABMS includes the planning, controlling, measuring, and integration of business processes.

Main functions of an ABMS:

• Workflow management: offers automatic distribution of tasks, automatic reminders, and automatic escalation of tasks.
• Data Integration: the ability to connect disparate CRM, ERP, Accounting, and messenger applications, either in a linear sequence or simultaneously and have all systems updated in real-time.
• Analytics and Reporting: the ability to collect and display all metrics in the way that makes the most sense for the executive level.
• Control and Notifications: the ability to monitor critical events within a business and automatically notify the Business Manager of important critical events.

There are many different types of ABMS:

• No-Code Platforms: these platforms are primarily designed for visual builders who do not want the hassle or complexity of learning how to code. These platforms (ASCN.AI, Zapier, Make) are ideally suited for smaller and mid-sized companies due to the rapid implementation of the application.
• Low-Code Platforms: these platforms allow for a visual-based development experience but also provide the option for programmers to build a code base using that visual-based development (OutSystems, Mendix). These platforms can be used for mid/large businesses with specific needs.
• ERP (Enterprise Resource Planning) Systems: These are typically complex integrated platforms that require a longer implementation period and are intended for long-term use in large-scale companies (SAP, Oracle, or 1C).
• Industry-Specific Solutions: These applications are built for a specific business function (CRM, ATS, WMS).

There is a significant difference when it comes to whether an ABMS will allow a business's processes to be up and running in a "click and run" fashion. Most no-code solutions can get a business's processes up and running in an average of 3 to 7 days. ERP systems require over 100 consultants and, on average, will take 6 to 12 weeks to fully implement.

Automated Technologies in Business — Overview and Examples

The main types of Automation technologies are:

• Data Integration (API, iPaaS): technologies that connect two or more disparate systems so that they can share information automatically.
• RPA (Robotic Process Automation): These are technologies that can automate repetitive or manual tasks in legacy systems that do not have any usable API technology.
• Artificial Intelligence and Machine Learning: working directly with text to build predictive models, generate text, and classification of objects.
• Workflow Automation: automating multi-step business processes with numerous business conditions and branches to create complete and efficient business processes.
• Tracking and Analytics: A unified stream of real-time information, dashboards, and anomaly detection systems.

Industry Uses:

• E-Commerce: Automated orders, personalization, chatbots.
• Finance: Automated reconciliation of payments and budget oversight and reports.
• Marketing: Chains of contact, lead enhancement, and ROI evaluation.
• Operations: Automated HR functions and operational processes.

Two or more simultaneous applications of integrations, Artificial Intelligence, and workflows provide a 2.3x increase in efficiency vs. using any one application alone.

Automated Business Processes Structural Elements

Every process is comprised of four essential elements: trigger (input); processing (logic and actions); output (results); and control (logs, analytics).

• Process Triggers (input): An event that initiates the process (e.g. new message received or defined time).
• Process Logic and Actions: Condition constructs; condition loops/cycles; API; AI processing.
• Output: Response to Message or Write to memory; Notification when process is complete.
• Process Control: Log of process; Alerts for Critical errors.

Companies that create process diagrams in advance successfully automate processes 35% faster and produce 42% fewer critical errors.

Practical Guide to Automating Business Processes

Automatable processes include those that: 

• Are Recurring — Daily and/or Weekly.
• Have a clear algorithm for execution of non-creative tasks.
• Are Costly due to the incidence of error.
• Work with large amount of DATA.

The ROI matrix is primarily used to evaluate potential processes for automation: X-axis = Automation Complexity (1–10); Y-Axis = Business Value (1–10); Hence, highest priority is given to High Business Value & Low Automation Complexity.

Most of these tasks will initially be simple to automate with a consistent pattern (e.g., monitoring the market for closing a transaction and sending a token to the appropriate customer) that allow you to get on an average of up to 15 hours back each week as a result of Automating business process activity.

Defining & Documenting The Automated Business Process

To begin automation throughout your organisation, you need to accurately define and document the entire business process. In the case of Lead Automation via Telegram, there are some steps that need to be considered if you want to build and document the following:

• Define where the process starts and where it ends. This will be considered part of the automation effort.
• Define the individual steps (inputs and outputs) for each of the process parts.
• Define how the process will be different depending on the condition, for example, if the customer requests a consultation (i.e., send them pricing) or if there are other criteria for your response (i.e., all customers' emails should have to be saved).
• There are many different ways to look at this process, you can either define the process using BPMN or some type of flow chart.
• The employees who are involved in the process need to confirm/validate that the process is accurate and that the documentation is correct.

This step is critical in order to help reduce errors in processing the automation at the beginning of production. Data suggests that approximately 70% of the automations that receive their first production cycle will have errors that will be difficult to correct without retraining and/or redesign the complete process. Defining and Documenting the Automated Business Process is only the first step in the three stages of an Automated Business Management System; these stages are often referred to as Preparation, Design and Develop.

Preparation. In the first phase of implementing automated workflow, it is vital to perform a complete audit of all business processes. This includes making decisions for which business processes will be given priority for automation and developing measurable goals with specific performance metrics.

Design. The next phase in the workflow implementation is the design phase, during which the design of the project, integration design, flowcharting, and design validation(s) will occur.

Development. Once design is complete, the development phase will be performed. In this phase, the workflow will be built, triggers and integrations configured, logic of the process built into the system and AI, etc. Next, testing will occur by testing the functionality of the system with test data and test records as well as by testing edge cases and creating a full set of system protocols. The next stage after testing is performing a pilot launch in which part of the workflow will be processed with real data for monitoring purposes and to make corrections. At the full implementation stage, the entire workflow will be moved to the automated system and continuous monitoring and support will occur.

Peculiarities of Small Enterprise Automation

• Speed is key, and perfecting the process is less critical. Launch Minimum Viable Processes (MVPs) within 1–3 days, then refine the MVP as much as is feasible.
• Multi-functional — utilizing "all-in-one" tools complete with all required integrations solves the needs of those trying to focus on saving money.
• Owner-driven — the business owner, being the entity performing the automation, usually utilizes no-code platforms with a graphic user interface.
• Focus on critical processes — when automating, automate the processes that require the greatest amount of time to complete and/or generate excessive amounts of error vs any other process.
• Limited volume testing — test the new automated process in very limited volumes before initiating a full launch in order to avoid negatively impacting the business.

A small online retailer that ships approximately 150 orders per month had its complete ‘Customer Journey’ from processing of an order through selecting a slot for that order, checking if the item is in stock and generating an invoice, sending status updates, and tracking an order’s delivery, and collecting reviews; reduced the amount of time taken to process an order from an average of 10–15 minutes, down to 30 seconds. It also reduced the number of mistakes being made (5–7 cases per week) down to zero cases. The original plan was to train employees on how to operate the conveyor, however, it became apparent that the need for automation was the motivation behind the installation of the conveyor, certainly not the other way around! Thus when automating processes, use machines for all repetitive/ labour intensive processes, and do other more pressing tasks yourself.

Benefits of Automating Your Business

The benefits from automating your business result from the combination of reducing the time taken to complete a task, reducing the chances of having an error in completing a task, and being able to free up other valuable resources. All of these benefits ultimately combine to deliver increased revenue from both a greater inflow of money and the reduction in expenses from previous manual operations.

An example of this is if a company spent 3 hours manually preparing its weekly reports; the same report would take 2 minutes to prepare electronically. This equates to an annual saving of approximately $4,600. The savings associated with reducing errors— previously 3%–7% (incorrectly prepared reports) now are less than 1% (no mistakes)— indicate a savings of thousands of dollars/month in correcting errors. This represents a considerable potential savings.

Optimizing Control and Management

Automated systems allow users to maintain complete control over all elements of their system in real time; monitoring the status of tasks, communicating any delays or problems with the task, and making available analytical dashboards. This creates the opportunity to make quick reactive responses to bottlenecks and reduce the financial risk that is associated with those bottlenecks. When customers do not receive a response within 10 minutes, 67% of them will leave the website. With automation processes executing requests 10X faster and at a cost savings of 75–80%, the use of automation in a rapidly evolving and intensely competitive market place is imperative for success today.

One of the best examples of how automation profoundly impacts trading or other business sectors is the flash crash of October 11, 2024 for ASCN clients resulting in high-frequency traders benefiting from instant notifications via automation, while conventional managers were unable to react in time. The success of utilising automation in high-risk business such as trading has been documented in the case study “How To Profit On A Flash Crash | ASCN.AI”.

Frequently Asked Questions (FAQ)

Which businesses are most efficient when automated?

Businesses that have consistent, scalable processes along with extensive databases are the most suitable candidates for automation because of the inexpensive cost to implement automation. Businesses that operate in e-commerce, finance, marketing and crypto account for the greatest overall efficiency through automation. Automating smaller amounts of business in high creativity/business areas such as consulting, medical, and educational will yield much lower efficiencies due to the necessity of expertise; higher costs with long training cycles.

What technology is best suited for automation?

Company size, process sophistication, and information technology knowledge determine the automation solution best for you. Small companies should automate using No Code Platforms such as ASCN.AI or Zapier, allowing quick starts with minimal initial investment. Medium companies should consider a Low Code Platform such as OutSystems or Power Automate, balancing flexibility with tailorability. Large organizations should consider Enterprise Resource Planning (ERP) applications like SAP, 1C, or developing customized solutions for complicated or very large-scale operations.

How to measure automation project success?

All companies should consider using the following metrics: Task Completion Time, Number of Errors, Team Workload, Value of Operation, Speed of Response, Return on Investment (ROI). Each metric should be tracked Before Automation occurs and After Successful Automation so that accurate comparisons can be made. All poorly optimized processes should be reviewed and improved. ROI should exceed 200% in the first year of implementation. Time to complete tasks should be lower; and the number of errors produced should be lower.

What are Unique Qualities of Automating Small Companies?

When implementing automation, speed of implementation is more important than having the perfect implementation. Implement at minimum viable level as soon as possible and continuously improve it as the company grows and develops. Utilize Tools that provide the highest level of integration and have “All in One” capabilities. The Owner or Manager can often implement automated processes with No Code Platforms. The focus should be on the most significant processes producing the greatest loss of time and number of errors. It is recommended to Test at Small Quantity to ensure there are no significant operational failures caused by automation prior to implementation at a larger volume.

Business Automation Risk and Mistakes

• Poorly optimized processes should never be automated. Optimize processes manually before automating a process.
• Develop clearly defined success criteria and goals.
• Incorporate Employee Involvement in the automation process development; their experience and input is valuable.
• Avoid over complicating the automation process; start with the most significant processes and gradually develop.
• Start with a simple implementation as much as possible.
• Conduct sufficient Testing before implementing on a larger scale.
• Automatically store logs of errors and monitor them so you can act as necessary.
• Ensure the security of data through limiting access and secrets for APIs.
• Communicate with all Employees and lessen resistance through transparent communication and Training.

Automation Risks and How to Mitigate Them

The most significant risk is unknown events, false assumptions, and loss of control and security of Data. Process verification, frequent Testing, Access Control, and Monitoring will significantly reduce your risk.

How to Determine if Automation Has Been Achieved

Demonstrate the desire to Track Key Performance Indicators (KPIs), Calculate Time Savings for Performing Automated Processes, Count Number of Errors Occurred, and Measure Customer Satisfaction Coefficient. If you complete the Process with Lower Cost, Reduced Time, and Quality Improvement, you will know that you have met the goal of Automating the Process.

Conclusion and Recommendations on Implementation

Automation should be utilized only as a means to an end goal, which is saving time, reducing errors, increasing volume, improving competitiveness.

Recommendations for the Next Steps in Your Business

1. Start automation with the simplest process that produces the most value.
2. Manually optimize all processes prior to automating a process.
3. Clearly define success measures and properly track your ROI.
4. Include your employees in the development of automation processes for their input and train them as necessary.
5. Incorporate sufficient Testing into the development of your automation processes and keep your systems (hardware/software) updated.
6. Gradually increase the scope and complexity of automation to develop a fully optimized automated solution.

Due to the use of No Code Platforms, using automation is available to all businesses today, including Small Companies. Start Small; the results derived from Automation should be realized in Approximately One Week.