The coronavirus pandemic makes a tough job even tougher for private equity (PE) firms. At a time like this, how do you grow profits in portfolio companies without cutting costs or letting people go?
Robotic process automation (RPA) offers a solution. Often wrongly seen as a cost-cutting measure, successful RPA improves the productivity of your people so they can contribute even more.
Here are two ways to grow your top line with RPA.
Use robot helpers to improve human efficiency
All private equity firms want to improve profits in their portfolio companies, but few want to do it by cutting costs - fewer still by cutting jobs. That puts the focus firmly on raising productivity and efficiency.
Most complex manual processes have parts that don’t actually require human input. These parts are rules-based and repetitive, require no decision-making, and could be done by a bot.
Automate these parts and your people will have more time to do the things that make a difference. This is attended automation: people and bots working together to make the firm more efficient.
Reconfigure complex processes so bots do the menial parts
Alongside the myth that RPA means cutting jobs, there’s the myth that RPA isn’t that clever. But the idea that automation works only with simple, back-office processes has been out-dated for years.
Modern RPA solutions work with the intelligent processes your portfolio businesses use, sitting alongside highly-skilled people to complete complicated tasks – even in the front office.
This makes RPA perfect for business services companies, where time-consuming admin can hamper a complex sale. RPA simply hands the task to a bot, which does it quickly and comprehensively.
Raise productivity, improve service, grow profits
Whenever you improve productivity, capacity, and quality of service in one fell swoop, top line growth is unlikely to be far behind. Successful RPA can bring about each of these benefits.
RPA can’t make your market grow. But it can take the routine, time-sapping tasks away from your people so they have the space they need to develop, sell, and improve the top line.
In the coming months, private equity operating teams will be trying new ways to help portfolio businesses grow profits and fix working capital issues. Attended automation could bring significant benefits.
We can help
Our Technology and Management Consulting team has been helping businesses like our hypothetical call centre to implement RPA for years, and has partnerships with the leading RPA software providers.