HomeArticlesThe impact of automation on business efficiency and competitiveness

The impact of automation on business efficiency and competitiveness

Business automation is no longer an option; it's a necessity. In today's corporate world, where competition grows exponentially, insisting on manual processes is, in my opinion, condemning oneself to stagnation. To survive, companies need agility, precision, and efficiency—characteristics that automation offers by optimizing processes and reducing costs. More than replacing manual tasks, it's about transforming operations, eliminating bottlenecks, increasing productivity, and preparing businesses to compete in an increasingly demanding market. Ignoring this change means forgoing opportunities for growth and innovation.

The numbers leave no doubt about this transformation. According to a Microsoft study, 74% of micro, small, and medium-sized enterprises (MSMEs) already use artificial intelligence (AI) in their businesses. Of these, 46% apply the technology specifically to optimize operational costs, a fact that, in my view, demonstrates how automation is within reach for smaller companies, debunking the idea that it's a privilege of large corporations.

And for these larger companies, automation also plays a central role. A Deloitte survey revealed that 58% of them use AI in their daily operations. Applications range from administrative routines (44%) and decision-making support (43%), to customer service (39%) and big data analysis for software development (32%). This data reinforces how versatile automation is, benefiting strategic and operational areas in an integrated manner.

Still, many companies are hesitant to adopt automation. In my view, this is due to a combination of lack of knowledge, fear of initial costs, and the false perception that this transformation is too complex. The biggest mistake, however, is ignoring the return on this investment. Automation is an investment in long-term efficiency, eliminating rework, optimizing resources, and freeing up teams for more strategic activities.

Another common concern is the fear that automation will replace people. However, the goal isn't to replace them, but rather to free employees from repetitive tasks, allowing them to focus on more creative, higher-value activities. By making operations more efficient, automation creates space for professionals to take on more strategic and innovative roles, enriching their roles and contributing to company growth.

Despite all this, Brazil still faces significant barriers. There's no denying that companies, especially small ones, face structural obstacles, such as lack of access to technology and ineffective regulations. In my opinion, government incentives focused on digital transformation would be crucial to democratize these tools and accelerate the modernization of the Brazilian market.

The data shows that those who invest in automation reap the rewards. Companies that integrate AI and other technologies into their processes are able to not only reduce costs but also position themselves more agilely and strategically. Conversely, those that resist change risk becoming irrelevant in a market that values innovation and efficiency.

Automation is no longer a differentiator; it's a prerequisite for thriving. The future of business belongs to companies that choose automation now, with courage and strategy. After all, efficiency and innovation are no longer optional, but essential pillars for survival in an increasingly competitive market.

Ariel Salles
Ariel Salles
Ariel Salles, Vice President of Technology, CIO, and CDO at Avivatec, holds a postgraduate degree and specializes in Project and Systems Analysis. He has 15 years of IT experience, having worked for companies such as B2W, Banco Schahin, and Accenture. He joined Avivatec in 2020 and now serves as Vice President of Technology. He is also the company's CIO and CDO and has worked on projects at major financial institutions such as Banco do Brasil, Bradesco, Itaú, Santander, and most recently, Banco Votorantim.
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