April 12, 2024

Be the ROI Hero with Automation for Device Processing

Randy Teele
Automation improves performance. Proving it is possible. We partner with our customers to help them assess ROI for their business.

Many industry players today are trying to tap into the value of more sophisticated automation for processing secondary devices. 

The demand for automation surfaces across multiple internal stakeholders:

Build vs. Buy

One of the missteps I frequently see customers take, however, is going it alone. They build internally by cobbling together a series of robots and automated tools to create an internal processing capability.

Struggles emerge, though, when the company finds that they do not have the right technology know-how in-house to sustain and improve their solution. They have to perform their own maintenance. The engineering support they need is more expensive than they anticipated. Adoption is slow. The solution never really matures. Eventually, it becomes obsolete and is then abandoned, delaying or even missing the impact the automation could have provided the company. 

Calculating your ROI from automation is clearer when using a proven solution from a partner, with maintenance and onsite support to keep operations up and running. Such a partner can bring specialized expertise, evaluate your current operations, and share industry-leading practices to facilitate better scale and efficiency. Choosing the right partner allows companies to focus on the parts of the business they do best. 

ROI Calculation considerations

Cost per unit (CPU) is generally the most important stat to evaluate the ROI of automation, adding up things such as people costs, software, and warehousing. However, a simple calculation misses the business complexity and added value that automation brings. The financial ROI is table stakes, but it is equally important to evaluate the positive impact on business strategy. Let’s dive into some additional components that can increase ROI and accelerate value for stakeholders across the company. 

Financial Considerations

Business strategy considerations

Calculating ROI is situational for each customer. The choice becomes clearer when customers evaluate the build vs. buy and see the long-term investment and value. The case for automation must align with a customer's financial and business strategy.  

If you are considering automation and not sure what’s best for you, I’m happy to discuss your situation and share learnings from other Apkudo customers using automation to improve business performance. Email me directly: randy.teele@apkudo.com.