Use of RPA in the Automotive Sector

Tareq Ali
4 min readSep 10, 2020

The use of software bots to automate rule-based, monotonous tasks is on the rise in every vertical. However, the automobile industry is leading many other industries by accommodating bot technology in crucial areas and functions on a large scale. The automobile industry is well-known for its technology-friendliness and its reliance on robots for process automation. Though physical robots automate assembly lines and relieve the human workforce for tasks that require cognitive and decision-making skills, many operational tasks manage to trap human workers back into time-consuming, repetitive processes.

The human workforce deployed in the automobile industry struggles with many problems such as inventory management, payment and invoice processing, and document digitalization. These obstacles hinder the progress by keeping decision-makers from concentrating on the core business processes. What’s more, dynamic market trends create stress to reduce operational costs as low as possible to ensure the ability to deliver excellent-quality products without compromising margins for profit.

Today, Robotic Process Automation has grown robust and matured enough to enable the automobile sector to streamline back-office operations and remove the burden managerial teams usually have to carry. Implementation of RPA in the automobile industry results in comfort and convenience for core personnel of the business to pay attention to processes that cannot be done better without human intervention.

RPA makes an agile environment available to automobile manufacturers by taking care of a plethora of processes such as:

  • Real-time process monitoring and analysis
  • Regulatory compliance
  • Document digitization and data integration into digital operations
  • Streamlining back-office operations
  • Digitization of communication

RPA Use Cases in Automotive

The evident effects of Robotic Process Automation on the automotive industry can be seen through the complete elimination of manual errors and the time spent on reworking. This is something manufacturers have always dreamt about since the dawn of the first industrial revolution. It is just a glimpse of what RPA can offer to the automobile sector. There are various use cases where the robotic workforce is not less than a magical wand. Let’s discuss them one by one.

RPA for Regulatory Compliance

When it is about regulatory compliance, the effects of RPA implementation are clearly visible across different industries. Any sector that deals with strict guidelines around documentation, which may involve the process of classifying and annotating texts, images, and more, can be the right candidate for the implementation of RPA. When the best-suited processes are selected for automation, highly profitable effects can be observed. For example, highly laborious, error-prone, tedious, time-consuming, and high-volume processes are primarily automatable. If we consider this trait, regulatory compliance seems to be an excellent candidate for RPA implementation.

RPA for Real-Time Process Monitoring and Analytics

Robotic Process Automation allows real-time reporting, thereby enabling manufacturers to measure inventory levels and carry out the operation as per customer behavior and historic patterns to establish a fair relationship between demands and supply. Today’s RPA solutions are capable of straining data to provide wider and deeper insights in the true sense and real-time.

RPA for Creating Interpretability between Digital and Paper-Based Platforms

Software bots interact with the presentation layer in a similar way that humans do. RPA can be effortlessly integrated into a system that already includes applications such as web, desktop, ERP, CRM, and related programs. By implementing additional technology along with Robotic Process Automation, the automotive industry can also digitize physical paper files and make paper-based data a part of digital operations.

RPA for Digitization of Communication

Robotic Process Automation-led robots can provide automobile manufacturers with abilities such as speech recognition, named entity recognition, language detection, and sentiment analysis. These capabilities further help in communication automation. RPA can be applied to email-based communication allowing the automotive industry to respond to customer and supplier queries. The large chunk of in-organization communication can also be digitized and automated using software bots.

RPA for Accuracy and Efficiency

In the automobile industry, several processes are subject to errors, especially when performed by humans. Software robots imitate humans to maintain higher efficiency while reducing the probability of errors to a great extent. RPA implementation also increases productivity by introducing a machine-based workforce in a highly competitive environment. Simply put, the digital workforce comes with the ability to work round the clock throughout the year without getting a hint of fatigue, which is not the same in the case of humans.

RPA for Inventory Management

Inventory management is one of the most crucial RPA use cases in automotive. The inventory levels need to be monitored periodically to ensure that the supply and demand are in sync. When inventory management is done solely by humans, there are strong possibilities of inefficiency, inaccuracy, and significantly higher time consumption. These weak points of the human workforce can negatively impact the company’s bottom line as well as reputation in the market. The software robots, on the other hand, are capable of monitoring inventory more precisely, accurately, and within a comparatively lower time. RPA doesn’t only assure real-time monitoring but also takes over other inventory-related processes such as reordering the products whose levels have fallen below the threshold, providing real-time reports to help optimize the entire procurement and inventory management, and more.

In summary:

Software bots have brought a host of features for businesses of all sizes in the automotive industry. Processes that have typically been recognized as time-consuming, extensively laborious, and error-prone are adopted by RPA robots, helping decision-making teams pay more attention to the core business factors. Thanks to RPA, processes such as digitization, order processing, inventory management, regulatory compliance, process monitoring, and reporting are now executed much faster and more accurately.

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Tareq Ali

Tareq Ali is enriching the web through storytelling where most of his stories revolve around humans and things influenced by fashion, fitness, and technology.