Benefits of IT Automation for Your Business

Accomplishing information technology (IT) tasks manually can be time-consuming. For businesses, inefficiencies in IT services can be costly. On top of the added expense of assigning employees to undertake repetitive IT tasks, this can introduce errors that create outages.

Automating IT tasks gives businesses an edge. By implementing automation strategies, organizations can boost productivity, maximize employee resources, and reduce expenses. In today’s economic environment, a strong IT strategy offers a competitive advantage.

What Is IT Automation?

IT automation uses software and automated tools to perform repetitive tasks. Instead of investing employee time in manually configuring new devices or backing up servers, businesses can automate these tasks to improve efficiency. Business automation also streamlines workflows by automating tasks such as data entry, invoice creation, and customer support.

CEOs anticipate that automation will become even more critical in the near future. In a 2023 IBM survey of 2,000 C-suite executives, CEOs predicted a 131% increase in automation for IT operations management and a 118% increase in automation for IT service management by 2026. Artificial intelligence (AI) plays an important role in business automation, as AI can automate more complex tasks.

For example, the global appliance company Electrolux automated its IT operations with AI, resulting in a shorter time to resolution — from three weeks to one hour. It also led to a 75% reduction in carbon dioxide emissions from operations.

Automation Resources

Learn more about IT automation, including types of automation and use cases, with the following automation resources:

• What Is Business Automation? This resource from IBM provides an overview of business automation, the process of automating repetitive tasks. The article explains automation tools and techniques, with insights into the benefits of IT automation.

• What Is Business Programming? This article from North Carolina Central University provides an overview of the tools that programmers use to help organizations streamline their operations.

• What Is Business Process Automation? This resource from IBM outlines how business process automation (BPA) uses software to automate processes, including employee onboarding, inventory management, marketing, and sales.

• What Is AI-Powered Business Automation? This resource from the U.S. Chamber of Commerce explores how AI-powered automation can help small and medium businesses streamline workflows and improve customer experiences, with detailed examples and automation benefits.

IT Automation Benefits for Business Operations

The benefits of IT automation for business operations include greater efficiency, higher productivity, and lower costs. As a result, nearly 2 in 3 chief financial officers (CFOs) surveyed in the 2024 CFO Survey, a partnership of Duke University’s Fuqua School of Business, the Federal Reserve Bank of Richmond, and the Federal Reserve Bank of Atlanta, ranked automation as a top strategic priority. Many reported that AI will play an important role in their business automation efforts.

Why are so many companies investing in automation? The top motivations identified in the CFO Survey included increasing efficiency in business processes and boosting both their quality and quantity. In addition to these benefits, many reported higher job satisfaction and lower employee burnout due to automation.

Boost Efficiency and Productivity

By automating repetitive processes, businesses can improve efficiency and eliminate time-consuming manual tasks. For example, Microsoft reports that Canadian entertainment company Cineplex saves 30,000 hours annually in manual processing time. In health care organizations, automation can reduce the administrative burden on providers.

Task automation in customer service both streamlines operations and improves customer satisfaction. Automation can either sort email inquiries or implement AI chatbots to address customer questions. Similarly, marketing automation allows for targeted campaigns and more personalized messages, increasing the impact of marketing strategies.

Overall, work automation could add 0.5% to 3.4% productivity growth annually through 2040, according to a 2023 McKinsey & Co. analysis. For more information about improving efficiency and productivity through automation, consider the following resources:

• Smart Automation: AI’s Impact on Operational Efficiency — This article from Forbes examines the impact of AI automation tools on efficiency, including areas where businesses can see improvements, plus real-world smart automation examples. For example, JPMorganChase automates its loan application review process, saving 360,000 hours.

• How Does AI Improve Efficiency? — This report from IBM evaluates the ways AI can improve efficiency, providing insights into implementing systems to improve customer service, automate tasks, and optimize processes.

• How Does Automation Increase Productivity for Employees? — This article from ActivTrak, a software company focused on workplace analytics and productivity, explores six ways automation can improve productivity.

• 4 Ways Automation Improves Employee Productivity — This article from Redwood Logistics, with a focus on the warehousing industry, dives into four ways automation can improve productivity, increase safety, and boost operational efficiency.

Reduce Costs

Task automation reduces the time employees spend on repetitive transactions. This helps businesses save time and money. Automating processes also helps businesses save by reducing their reliance on contractors or temporary staff.

Companies that implement generative AI technologies, including for automation, see a $3.70 return on investment (ROI) for every $1 invested, according to a 2024 Microsoft report. Real-world examples support the cost savings from automation. The Office of Information and Technology (OIT) at the U.S. Department of Veterans Affairs (VA) implemented nine automations in its budget and finance service, saving $574,289 and 7,649 manual work hours annually.

These savings can help offset the cost of implementing automation systems. Learn more about the financial impact of automation and how to evaluate ROI with the following resources:

• Automation Scorecard: How Companies That Invest Heavily Gain an Edge in Speed and Cost — This article from Bain & Co. includes findings from its survey of automation executives. The survey found that companies with significant automation investments averaged a 17% reduction in costs versus 7% for those with smaller investments. The resource also includes examples of automation in a range of industries.

• The Impact of Intelligent Automation on Cost Savings — This article from Integra offers tools to measure the cost savings from automation. By examining metrics such as reductions in labor costs, improved turnaround times, and decreases in errors, businesses can quantify the savings from automation.

• The Impact of Automation on Diagnostic Efficiency and Cost Reduction — This article from Forbes investigates the ways automation can improve diagnostic processes in medical settings and reduce expenses. The resource also offers recommendations to assess workflows and identify opportunities to automate.

Limit Human Error

Businesses rely heavily on data, and automating data collection and processing can limit the damage caused by human error. By implementing an automation system to process documents, Datamatics saw a greater than 90% increase in accuracy while also increasing productivity by 60%.

Human error can also cause IT outages, which leave businesses at a significant disadvantage. Errors such as deviations from standard operating procedures or system misconfigurations can create emergencies. On average, it takes 17 to 18 hours to detect downtime caused by human errors, according to Splunk.

Automation can lower the risk of outages caused by human error, saving companies money and improving operations. Discover more on the connection between automation and human error with the following resources:

• How Does Automation Mitigate Human Error? — Sustainability Directory identifies the ways automation addresses human error. Factors include consistency, standardized processes, and automated monitoring systems.

• How Automation Can Prevent IT Outages Caused by Human Error — Human error causes a large number of IT outages. Cloudsoft identifies the ways automation can ameliorate this risk, including improved accuracy and consistency in IT operations.

• The Hidden Costs of Downtime — Splunk reports that the largest companies in the world lose $400 billion every year from digital service failures or slowdowns. This can cause revenue loss, overtime expenses, and regulatory fines.

Strengthen Compliance and Security

Across industries, businesses face growing challenges with data and information security. Many industries also face significant compliance risks. Nearly 65% of corporate risk and compliance professionals said that automating manual processes would reduce the cost of risk and compliance, according to the 2023 Risk & Compliance Report from Thomson Reuters.

By reducing human error, IT automation can improve compliance processes and identify risks earlier. In the cybersecurity realm, automation provides another weapon to combat cyberattacks, detect threats, and implement responses.

• Perceptions of Risk and Compliance Professionals on AI — Thomson Reuters investigates how risk and compliance professionals approach AI, finding that they strongly believe AI will help their field more than others. In particular, the article looks at the compliance and risk management benefits of automation.

• Cybersecurity Automation in Countering Cyberattacks — As the number of cyberattacks increase, automated threat detection and response can counter attacks in a way that humans can’t, according to this article in Transportation Research Procedia. The research identifies factors that impede automation and recommendations to implement cybersecurity automation tools.

• Innovation, Automation, and the Cybersecurity Challenges Ahead — Forbes addresses the impact of AI and automation on cybersecurity, including the emerging use of AI to automate threat responses. While automation can improve security, emerging technologies also face challenges.

Optimize Resources and Streamline Communication

Automation allows organizations to optimize their resources, including freeing up employees for tasks that require stronger strategic and interpersonal skills. For example, employees can focus on customer relationships as automation replaces repetitive tasks. Small business owners who invest in automation report that employees experience less burnout, as reported in a 2023 Incfile survey.

Improving resource allocation can also improve employee satisfaction. In Canada, when the British Columbia Investment Management Corp. automated manual tasks, employees spent 30% less time writing internal audit reports and job satisfaction improved by 68%.

Automation allows organizations to allocate their employee resources more effectively. According to a 2024 McKinsey & Co. study, employees who saved time due to automation invested in tasks that can’t be automated, including upskilling. Learn more about the role of automation to optimize resources and improve communication with the following resources:

• How to Automate Your Business Communication and Free Up Time — Forbes reports on automating business communications, with advice on choosing automation tools and designing an automation workflow. The resource also highlights the importance of taking a collaborative approach to automation.

• How AI and Automation Is Changing the Future of Internal Comms — Oak Engage reports that automation can help employees from feeling overwhelmed by messages. Personalizing communications through automation can pay off in terms of employee engagement.

• Harnessing Robotic Process Automation and Claims Automation for Faster Service to Veterans — The U.S. Department of Veterans Affairs (VA) explains how it implemented RPA to streamline claims processing and improve communication with veterans.

Implementing IT Automation

Effectively automating IT tasks and systems requires a strategic approach. Businesses must assess their current IT infrastructure, evaluate their processes, and identify areas for automation. Next, they must develop an IT automation strategy, identify the right automation tools, and upskill employees on automation techniques.

Strategic Planning and Implementation

How can businesses implement IT automation? The following resources from technology experts offer insights into conducting an IT assessment, developing an automation strategy, and implementing automation tools:

• AI and Automation in IT — Gross Mendelsohn’s Technology Solutions Group provides insights into how businesses can prepare for automation in IT, including recommendations on assessing readiness, investing in the right technologies, and ensuring security.

• How to Build an IT Automation Strategy — Red Hat offers a step-by-step approach to developing an IT automation strategy, including tips on maximizing automation investments, improving IT operations, and fostering a culture of automation.

• Recommendations for Implementing Automation — Microsoft offers recommendations for adopting automation in the workplace, including key design strategies, target tasks to automate, and areas to implement automation.

IT Resources

Businesses can only benefit from IT automation if they have the professional knowledge to manage their IT infrastructure and anticipate their technology needs. The following resources offer insights into the skills needed to work in IT automation:

• How Long Does It Take to Learn Programming? — Developing programming skills is critical to managing IT automation systems and implementing AI-powered automation. NCCU explores how long it takes to learn programming.

• Optimizing IT Resources through Infrastructure, People, and Processes — The CEO of Rocket Software shares insights into optimizing IT resources. In particular, he touches on IT automation as a way to optimize workflows and refocus time on strategic work.

• How to Become a Database Administrator — Database administrators play a critical role in managing IT systems and implementing automation tools. NCCU provides an overview of the skills needed to work in database administration.

Leverage IT Automation Benefits in Business

From small businesses to enterprise-level operations, organizations can benefit from IT automation. Due to greater efficiency, lower costs, and better employee allocation, automating repetitive tasks offers a competitive advantage. IT automation also offers critical benefits in the area of compliance and security, mitigating the risk of human error and limiting IT system outages. Businesses that implement IT automation can see a strong ROI.