Introduction
Automation / Artificial Intelligence is reshaping the way organisations operate, driving efficiency and freeing up valuable time. But the question remains - how best can we utilise these newfound productivity gains? Here are some possibilities to consider.
- Giving Time Back to Employees: Consider returning the time saved through automation to your team. This could mean a shorter work week or more leave days, without impacting their pay. It's not just about boosting morale - it's a strategic move that can make your company a desirable place to work, thus attracting top talent and maintaining a vibrant company culture.
- Re-deploying Time: Another avenue is to keep the work hours the same, but utilise the extra capacity to take on more tasks. This could lead to greater innovation, enhanced learning and development opportunities, or even branching out into new business areas. It's an ideal strategy to stay competitive, grow your business, and foster a culture of continuous learning.
- Reducing Headcount: This is a tough call, but some organisations may decide to cut jobs. With the same output achieved in less time, you might not need as many people. This could lead to significant cost savings, especially in challenging economic times, but should be weighed against the human cost and potential loss of valuable experience and skills.
- Reducing Overtime: If your team is clocking in extra hours, automation could help to level out the work-life balance. This not only promotes better well-being and prevents burnout but can also lead to reductions in labour costs.
- Investing in Further Automation and Technology: You could consider reinvesting productivity gains into further automation or new technology. This strategy can compound efficiency gains, foster a culture of innovation, and pave the way for long-term cost savings.
Addressing Small Time Savings Across Multiple Roles
Automation often results in small time savings across many roles rather than substantial savings for a few. In these scenarios, think about consolidating these savings for broader benefits - this could mean new training opportunities, team collaboration initiatives, or collective process improvements.
Which Option Should You Choose?
The ideal choice depends on several factors:
- What are your business's strategic priorities?
- How are the productivity savings distributed? Are they substantial for a few roles, or modest across many?
- What type of activity has been automated?
- What's the current performance and future trajectory of your business?
Economic Factors and Business Performance
Don't forget to consider the wider economic climate and your organisation's performance. For example, if your business is growing with new roles opening up, you could opt to reallocate tasks to existing staff rather than recruiting new team members.
Change Management and Communication
Any option you choose will bring change, and change can be unsettling. Keep your team in the loop with clear, consistent communication. Develop a robust change management strategy to guide your organisation through the transition, involving HR where necessary - especially if job roles are affected.
Steps to Implementing Your Decision
- Calculate Time and Cost Savings: Determine the hours and money saved thanks to automation.
- Align with Goals: Ensure your decision aligns with your organisation's strategic objectives.
- Get Leadership On Board: Present your proposal to the leadership team and secure their support.
- Validate Your Numbers: Collaborate with your finance team to validate your savings calculations.
- Engage HR: Consult with HR on workforce implications of your decision.
- Make a Plan: Develop a comprehensive implementation plan, inclusive of a robust communication strategy.
- Monitor Progress: Define KPIs to measure your success and adjust your approach as necessary.
Conclusion
Choosing how to use productivity gains from automation is a careful balancing act. By considering your options in depth, understanding your business context, and following a systematic process, you can arrive at a decision that best serves your organisation and its people.
