Automation Application And Operation Optimization In FDI Businesses

In today’s era of digital transformation, the need for automation and operational optimization is crucial for every business, including Foreign Direct Investment (FDI) enterprises. Let’s explore the opportunities and challenges that FDI businesses face when implementing automation, as well as how automation can drive significant improvements within these organizations.

Opportunities and challenges for FDI business in automation application to operation optimization

Opportunities

“Going the extra mile” in technology

By adopting advanced technologies early in their journey, businesses can significantly reduce operational costs and time. According to a Deloitte survey, organizations that have progressed beyond the initial testing phase of intelligent automation report an impressive average cost savings of 32%. This statistic underscores the profound impact that automation can have on operational efficiency. By minimizing manual processes and optimizing workflows, companies can reallocate resources to more strategic initiatives, enhancing overall productivity. 

Enhance employee satisfaction

According to The Future Of Work Brief (OECD), 50% of today’s work is automatable, highlighting the significant potential for automation to enhance employee productivity. Research from Vertin System reveals that 71% of individuals prefer using technology to replace manual and labor-intensive tasks. Furthermore, 72% of employees experiencing low stress at work report having access to technology that enables them to work productively. These statistics present new business opportunities, as improving employee satisfaction can enhance overall operational efficiency.

Agile for change

Embracing automation grants businesses access to cutting-edge technology, positioning them positively to adapt to change. According to KanbanZone, the more optimized a process is, the faster the business cycle becomes, leading to quicker results and significant savings in time, resources, and effort—ultimately enabling faster growth. Another key benefit is the principle of continuous improvement; the capacity to refine processes and consistently enhance return on investment is a crucial factor supporting a business’s agility.

Challenges

High initial cost

The upfront expenses associated with purchasing equipment, implementing software solutions, and training employees can pose significant challenges for many construction firms, particularly smaller ones. To address this barrier, companies should conduct comprehensive cost-benefit analyses to understand the long-term value of these investments. Additionally, exploring financing options and forming strategic partnerships can help distribute these costs, making it more manageable for firms to adopt essential technologies and improve their operational efficiency. (Valet Wireless)

Limited workforce skills

According to The People’s Deputies, while the quality of the labor force is steadily improving, with the percentage of trained workers increasing each year and reaching 26.2% for those with degrees or certifications, many experts point out that Vietnam’s labor market has not yet developed in tandem with the rapid pace and demands of economic and social growth. The workforce often exhibits low adaptability, proactivity, and flexibility, particularly during shocks such as the COVID-19 pandemic, highlighting significant challenges. For instance, the pressure to find employment for nearly 2 million workers who have exited the labor market has become a pressing issue. 

Source: seasonedpros.ca

Challenges in maintenance and upkeep

To ensure their systems remain up-to-date and adequately maintained, companies must work closely with trusted partners and suppliers and stay ahead by adopting cutting-edge solutions and technologies. This presents a considerable challenge, mainly as rapid technological advancement introduces heightened cybersecurity concerns. In this environment, businesses must navigate the delicate balance of innovation and risk management, making maintenance and security more critical than ever.

Automation use cases – optimizing operations in FDI enterprises

  • Sales process automation: Tasks like inventory management and order processing, which are often repetitive, are ideal for intelligent automation. This not only speeds up order fulfillment and reduces labor costs but also minimizes errors. Some manufacturing and retail businesses have successfully reduced order processing times from 20-30 minutes to just 3-5 minutes, significantly boosting productivity.
  • Automated payment: Accountants and bank tellers often spend considerable time handling repetitive tasks like payments and transfers. By implementing automation, transactions are processed more quickly, improving customer experience and ensuring high accuracy.
  • Data management: In data management, many repetitive tasks, such as receiving information and storing invoices, can be automated. This reduces the time spent on data collection and processing while supporting information validation and cross-referencing with existing databases.
  • Report generation and notifications: Many businesses have adopted automation to generate reports, send emails, and issue internal notifications, enhancing information dissemination efficiency and reducing the workload for staff.
  • Customer relationship management: Automation allows for the automatic entry of customer information and the creation of detailed data sets, enabling sales teams to focus on more specialized tasks. Additionally, it helps quickly address simple customer issues.
  • Document and invoice processing: Automating document processing can scan information from invoices in any format, cross-check data, and ensure legal compliance, saving time and reducing errors.
  • Payroll automation: HR departments can use automation to accurately track time and calculate payroll, reducing errors in the payroll process and ensuring timely and accurate employee compensation.
Source: cierant

Advice for automation in FDI businesses

Define and design strategies

According to Microsoft, when implementing automation in FDI businesses, it’s crucial to prioritize processes that are repetitive, time-consuming, and offer high potential for efficiency gains. Start with tasks such as data entry, order processing, payroll, and invoice management, which can be streamlined through automation with minimal human oversight. This allows businesses to immediately reduce manual errors, save time, and optimize resources. Additionally, focus on processes that are core to the business and have long-term relevance, ensuring a lasting return on investment.

Choose an appropriate partner

As Warren Buffett stated, “Partnership is not a legal contract between two equal individuals. It’s an emotional alliance between two people who are committed to each other’s success.” This perspective emphasizes the importance of mutual trust and shared goals in any partnership. A suitable partner will bring technical expertise and align with your organization’s vision for success in automation. They should understand your unique challenges and work collaboratively to create tailored solutions that drive efficiency and innovation. Moreover, the right partner will support you through the entire automation journey, ensuring that both parties are invested in achieving the desired outcomes. 

akaBot (FPT) stands out as a potential automation partner worth considering. Positioned to become a comprehensive Hyperautomation solution for businesses worldwide, akaBot offers full RPA services that include assessment and Proof of Concept (PoC), implementation, operation, maintenance, and 24/7 support. It also features AI integration with flexible deployment options, whether on-premise or in the cloud, OCR support, and capabilities for conversation and speech. With a robust team of domain experts and round-the-clock support services, akaBot is equipped to meet your automation needs effectively.

Pilot testing before full-scale implementation

Pilot projects offer a low-risk environment for organizations to test new automation tools, demonstrating their value while identifying potential issues before significant investments are made. Businesses can troubleshoot and understand the tool’s impact on workflows by focusing on small-scale implementation, helping managers refine processes and standards for optimal efficiency.

As mentioned above, a pilot typically starts with a business case outlining project goals, methodology, and success metrics. For example, instead of aiming to reduce regression testing time from a week to a day, a more practical target might be reducing 20% of the tests by 50% (Software Testing Genius). Bill Gates wisely said: “The first rule of any technology used in a business is that automation applied to an efficient operation will magnify the efficiency. The second is that automation applied to an inefficient operation will magnify the inefficiency.” With this in mind, pilot projects allow businesses to optimize their processes before applying automation at scale, minimizing the risk of inefficiency while maximizing potential benefits.

Always monitoring results

Monitoring KPIs related to project goals and cost-benefit analyses is crucial to ensure the success of automation initiatives. Pay close attention to the quality of execution, particularly regarding the frequency of ad-hoc activities and any alternative process paths taken. These insights are invaluable for verifying the process design, allowing for timely adjustments. Ultimately, all findings from the monitoring phase can inform future process improvements, creating a cycle of continuous enhancement and optimization.

Conclusion

As FDI businesses take proactive steps towards automation, enterprises will discover the immense potential for growth and efficiency that comes with it. Embracing this journey can lead to enhanced operational effectiveness, better resource allocation, and a stronger competitive edge in the global market.

Be the lead in this journey with us now!

akaBot (FPT) is the operation optimization solution for enterprises based on the RPA (Robotic Process Automation) platform combined with Artificial Intelligence, Process Mining, OCR, Intelligent Document Processing, Machine Learning, Conversational AI, etc. Serving clients in 21+ countries, across 08 domains such as Banking & Finances, Retail, IT Services, Manufacturing, and Logistics…, akaBot is featured in “Voice of the Customer” for Robotics Process Automation” by Gartner Peer Insights, G2, and ranked as Top 6 Global RPA Platform by Software Reviews. akaBot also won the prestigious Stevie Award, The Asian Banker Award 2021, Everest Group’s RPA Products PEAK Matrix® 2023, etc.

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