Digitization of back office functions is hardly available for an accurate assessment of the further benefits. Although it simplifies the management of the organization's business processes, it does not lead to a direct increase in revenue.
In order not to be disappointed after the implementation of digital business performance management systems, let's explore the main benefits that digital transformation particularly provides.
Automation helps cope with routine tasks that take a lot of time and certainly does not bring added value to the company's business processes. Releasing employees from such tasks will allow a company to allocate their time more rationally. For example, to be involved in solving those problems where automation will definitely not help. If the company understands that the amount of freed up resources exceeds the needs of the organization, then the company should think about a new strategy, since the old one has certainly come to a deadlock.
Reducing the number of errors
Due to precise algorithms, automation allows the company to always accurately follow the methodology. For example, in the case of allocating cost items. Employees can only track changes and introduce them to the system. As a result, there is nothing to worry about that one of the colleagues will enter a parameter in a wrong directory, and the final result will show an error that will be displayed in further reports.
More detailed analytics and precise operational planning
It is possible to improve the quality of operational planning by increasing the level of detail of indicators. Companies often create detailed operational plans in spreadsheet format because spreadsheets can be easily adjusted in case of any changes. It may be product categories, volumes or logistics. However, it turns out that processing large data arrays manually is impossible, so companies have to return to a more general level of operational planning. Digitization helps to solve this problem through building flexible directories of data categorization and smart forms for entering information.
You have made your life easier, so this is a good result
The digitalization of back office functions is primarily aimed at reducing the regular non-monetizable work load. If employees do not sit at night over the merging and reconciliation of budgets and plans, then this is already a good result.