Unveiling Hyper-automation: An Intro to What It Can Do for the Insurance Industry
Beyond intelligent automation and RPA lies a new frontier of insurance business operations. We call this “hyper-automation.”
- Hyper-automation is the evolution of RPA and interconnected technology.
- Hyper-automation stands on the shoulders of and advances its predecessors: Business Process Management (BPM) and Robotic Process Automation (RPA).
- Hyper-automation still faces surmountable challenges.
- Insurers can benefit from hyper-automation today.
Robotic Process Automation (RPA) has been around for some time and catapulted insurers to new technological efficiency frontiers. This technology has been growing steadily, and by 2020, its market had reached US $5 billion.
However, the insurance industry has been a laggard in embracing RPA compared to other players in the financial services industry. Despite the technology’s many benefits, its early implementation in enterprise use didn’t scale so successfully. A Gartner survey in 2019 showed that only some 13% of businesses could scale initial RPA initiatives.
So, do these scaling challenges spell doom for businesses? Of course, not. All technological solutions are progressive. Tech-savvy insurance companies can smile because something better and bigger than RPA is in the offing. They can leverage a better strategy to open wider tech frontiers to catapult them to higher post-automation levels. What is that strategy? We call it hyper-automation.
With this solution, insurance firms and their agents can leverage enterprise-level AI, RPA, and event-driven software to realize business automation ideas. They can also use it to automate IT processes without undermining existing apps.
This guide will walk you through all the things you need to know about this progressive technology. It defines hyper-automation, how it works, its challenges, and more. Keep reading to learn and benefit more.
What is Hyper-Automation?
It’s critical for us to define intelligent automation before delving into its nitty-gritty. We can define hyper-automation in the following ways:
- It’s an enterprise-driven, disciplined approach that businesses utilize to identify, vet, and automate all their business and IT processes.
- It is an infrastructure or platform that harnesses advanced technologies necessary for scaling a business’s automation capabilities.
- It’s the extension of legacy business automation to all of an enterprise’s individual processes.
This solution advances a business’s automated process, expanding its operations to other units. It perfectly blends other tools like AI and RPA to enhance the performance of all repetitive tasks. It’s no wonder that Gartner identifies hyper-automation as one of the top 10 strategic tech trends that will rule the world of business automation in the coming years.
Additionally, this all-encompassing digital solution harnesses and integrates into other advanced automation technologies. Some of the tools it works with include:
- Process and task mining tools that identify and prioritize automation opportunities
- Automation development solutions that reduce automation building costs and efforts, such as RPA and iPaaS
- Business logic tools for easing adaptation and reuse automation
- AI solutions that extend automation possibilities and capabilities — for example, optical character recognition, virtual agents, and chatbots
How does Hyper-Automation work?
As we saw earlier, this intelligent automation solution doesn’t work in a vacuum, but it enhances existing technologies. It combines other solutions like AI and RPA to empower and make them more flexible to automate. This way, the solution empowers AI processes to create automatic bots and increase their speed by five times.
Hyper-automation also works using a studied automation approach. Its processes involve four main areas that do the following:
- Identify which tasks require automation.
- Choose the most appropriate tools to automate the identified tasks.
- Drive agility by reusing already automated processes.
- Extend the above capabilities using various AI dimensions.
Challenges Facing Hyper-Automation
Although this digital solution significantly advances company-wide automation, it is still relatively new, especially in the insurance sector. Thus, it still faces entry challenges the way you would expect any other technology to face. Here are some challenges that enterprises need to grapple with and overcome to get the most out of hyper-automation:
- Integration with existing tools: Although vendors are doing their best to expand this budding technology’s capabilities, businesses still need to work on its seamless integration with existing tools.
- The fear of job loss: Some people still fear that this technology will take away their jobs. Can you remember how people in the 70’s and 80’s panicked when computers and robots came to the marketplace? It’s the same with this technology.
- Immature metrics: Hyper-automation still faces immature metrics at an early stage of embracing RPA in a business. Also, the tools and technology to assess automations’ potential and value is still maturing.
But granted, the above challenges are normal given this technology’s infant stage. Gradually, maturity will see them solved.
How can you tell if your business is ripe for hyper-automation?
Since hyper-automation works with other intelligent automation solutions, it’s crucial to view things holistically. Thus, interested organizations should consider other critical factors before implementing hyper-automation with their processes:
- As a first step, you will want to tackle process improvements you can do without technology changes, such as the people and process fixes you must put in place for digital transformation. Then stabilize the technology you will automate.
- Your business’s current and near-future ability to assimilate the changes hyper-automation needs and brings to the table.
- Make sure your stakeholders have bought into the culture shift and that everyone understands the benefits and value of digital transformation and automation.
- Where your business lies in terms of technological savviness, vision, and maturity.
- Your company’s culture, and not just technology, because your corporate culture can make or break the implementation’s success.
- Don’t forget about the technology’s implementation speed because installing it outside ideal timeframes could erode its benefits.
- Any other interconnected organizational dynamics that could boost or undermine this tool’s success.
Final Thoughts on Hyper-Automation
Hyper-automation is an irresistible and timely idea. It addresses its predecessors’ shortcomings to give your business a technological advantage.
So, take the initiative and accelerate your business to new levels of technological efficiency by embracing intelligent automation. Go ahead and contact us today. We are glad to help you enjoy your deserved share of benefits in this technological revolution.
Subscribe to our Newsletter
Subscribe to our newsletter to stay ahead of your competitors in the ever-evolving world of technology.