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Calculate the ROI on Infrastructure Automation

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Programmable infrastructure and a world where you can take your data with you wherever is the future.

A new era has arrived, one in which software development practices are being applied to physical objects such as roads or bridges for greater efficiency; this idea of transparent skies could very well become a reality soon!

You can’t put a price on efficiency. The return on investment (ROI) of infrastructure automation is essential to consider before you start implementing changes that could be expensive and time-consuming.

How is Automation Valued?

The process of automating a long, manual task can be very beneficial. If you run it frequently enough and with the right system, your savings will grow exponentially as time goes on!

Regarding infrastructure automation, one of the first questions businesses ask is, “What’s the ROI?” In other words, what are the tangible benefits of automating tasks such as provisioning, configuration management, and deployments? And more importantly, how can we quantify those benefits?

In this blog post, we’ll walk you through a simple process for calculating the ROI of infrastructure automation. By the end, you’ll have a clear understanding of the financial benefits of automation and be able to make a strong case for why your business should invest in it.

The Advantages of Infrastructure Automation

Infrastructure automation is the process of automating IT infrastructure configuration, provisioning, and management. It can help organisations to manage their infrastructure more efficiently, improve service quality, and reduce operational costs. In this blog post, we will explore some of the main advantages of infrastructure automation. 

  • Improved Efficiency and Productivity

Infrastructure automation can improve efficiency and productivity. By automating configuration, provisioning, and management tasks, organisations can free up time for other activities, such as developing new features or products and providing customer support. These tasks can reduce errors and improve accuracy.

  • Improved Service Quality

Another advantage of infrastructure automation is that it can improve service quality. By automating tasks such as monitoring and maintenance, organisations can ensure their infrastructure is always running smoothly and efficiently. Additionally, automating these tasks can help identify problems early before they cause significant disruptions. Organisations can provide better service to customers.

  • Reduced Operational Costs

Finally, another advantage of infrastructure automation is that it can help to reduce operational costs. This is because automating tasks such as provisioning and management can help to reduce the need for manual intervention. Additionally, automating these tasks can help improve efficiency and productivity, which can lead to reduced labour costs. In addition, automating these tasks can also lead to reduced energy consumption and waste generation. As a result, organisations can save money on their operating costs. 

There are many advantages of infrastructure automation. Automating tasks such as configuration, provisioning, and management can help to improve efficiency and productivity, improve service quality, and reduce operational costs. If you are considering implementing infrastructure automation in your organisation, carefully weigh all of these factors to make the best decision for your business.

Calculating the ROI of Infrastructure Automation

Now that we’ve looked at some of the benefits of infrastructure automation let’s talk about how you can calculate its ROI. To do this, we’ll use a simple formula:

 (Total savings from automation – Cost of automation) / Cost of automation = ROI%

For example, you spend $5,000 per month on labour to manually provision and manage your servers. You estimate that by investing in an automated system, you could reduce that cost by 50%. The cost of the computerised system itself is $10,000 upfront plus $500 per month in maintenance costs. Using our formula, we get: 

 ($5,000 * 0.5 – $10,000 – $500) / ($10,000 + $500) = -9%

This means that over two years—the amount of time it would take to fully recoup your upfront investment—you would see a negative return on your investment (ROI). In other words, investing in automation wouldn’t make financial sense for your business now.

Conclusion:

As you can see from our example above, calculating the ROI of infrastructure automation is relatively simple. However, it’s important to note that other factors besides financial ones should be considered when deciding whether or not to automate your infrastructure. These include the size and complexity of your infrastructure, your company’s culture, and your willingness to embrace change. That said, we hope this blog post has given you a better understanding of how to calculate the ROI of infrastructure automation and why it’s such an important consideration for businesses today. Thanks for reading!

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futran solutions

Redefining Business Process Outsourcing through Business Process Automation

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The business process outsourcing (BPO) industry is worth an estimated $190 billion. But what is BPO, and how has it evolved? In this blog post, we’ll explore the history of BPO and how business process automation (BPA) is redefining the industry.

Business Process Outsourcing: An Introduction

Business process outsourcing (BPO) has been a popular cost-cutting measure for businesses for many years. The concept is simple enough: rather than having an in-house team handle a specific process or task, you outsource it to a third-party provider. This often results in significant cost savings, as BPO providers can leverage economies of scale to deliver services at a lower cost than most businesses could achieve on their own.

However, new development is beginning to change the BPO landscape: business process automation (BPA). BPA involves using technology to automate tasks previously performed by human workers. This includes data entry, customer service, and even complex financial processes.

The History of Business Process Outsourcing

BPO had its roots in the late 1800s when American companies began outsourcing manual labour to countries with lower wages, such as China and India. This practice continued into the 20th century with the rise of telephone operators and data entry clerks. However, it wasn’t until the 1990s that BPO began to take off. 

This was primarily due to technological advances that allowed communication and collaboration across vast distances. Suddenly, businesses could outsource not just manual labour but also knowledge work to countries with lower living costs. This led to the rise of call centres and other forms of customer service outsourcing.

In recent years, there has been a shift away from traditional BPO models. This is due to several factors, including the increasing cost of labour in countries like China and India, as well as the advent of new technologies that make it possible to automate many business processes.

Benefits of BPA 

There are several benefits that businesses can reap from implementing BPA: 

  • Cost savings: One of the primary benefits of BPA is that it can help businesses save money. Companies can reduce their labour costs by automating tasks that human workers previously performed. In some cases, BPA can also help enterprises improve their efficiency and reduce other costs, such as errors and rework.
  • Improved quality: Another benefit of BPA is that it can help improve the quality of work. BPA is designed to follow pre-determined rules and procedures. This contrasts with human workers, who may make mistakes or take shortcuts that result in lower-quality work.
  • Increased capacity: A final benefit of BPA is that it can help businesses increase their capacity without incurring additional costs. This is because BPAs can work faster and for longer hours than human workers. In some cases, this increased capacity can help businesses meet spikes in demand or complete time-sensitive tasks more quickly. 

Implementing BPA

If you’re interested in implementing BPA within your business, there are a few things you’ll need to do:

  1. Determine which processes you want to automate: The first step is to evaluate your business processes and determine which ones would be candidates for automation. To do this, you’ll need to consider factors such as the complexity of the process, the frequency with which it needs to be performed, and the availability of data and applications required to support it.
  2. Identify the right tools: Once you’ve identified which processes you want to automate, you’ll need to select the right tools. There are many different types of BPAs available on the market today, so you’ll need to evaluate your needs and choose the tool best suited for your specific requirements.
  3. Define success criteria: Before beginning any automation project, it’s essential to define what success looks like. This will help you select an appropriate tool and set realistic expectations for the project’s outcomes.
  4. Implement and test: Once you’ve chosen an agency and defined success criteria, you’re ready to implement your BPA solution. Be sure to test it thoroughly before rolling it out into production to address any potential issues before they cause problems for your business operations.

Business Process Automation: The Future of BPO?

Business process automation (BPA) is the use of technology to automate repetitive, low-value tasks typically performed by human workers. BPA can be used to automate a wide variety of business processes, including data entry, invoice processing, and lead generation.

One of the critical benefits of BPA is that it can help businesses reduce their dependence on human labour. This is especially important in today’s economy, where many companies struggle to find enough qualified workers to fill open positions. By automating low-value tasks, companies can free their employees to focus on more strategic initiatives.

BPA is also more efficient and accurate than human workers, and machines can work 24 hours a day, 365 days a year, without getting tired or making mistakes. This increased efficiency can help businesses save money and increase profits.

Conclusion:

The business process outsourcing industry is evolving thanks to advances in technology rapidly. Business process automation is redefining what is possible in terms of outsourcing and helping businesses save money and increase efficiency in the process. In the future, we can only expect BPA to become more prevalent as companies continue to search for ways to cut costs and improve performance.