Business Supply Chains are dynamic which requires careful management, efficiency and accuracy. The flow of information across the business processes is where Robotic Process Automation (RPA) can deliver significant benefits.

RPA automates repetitive tasks that are performed on software systems, from order processing and shipping adjustments to inventory management.

The Supply Chain Processes which commonly benefit from RPA

Typical processes that benefit from RPA are:

✅ Order Processing and Accounts Payable: RPA streamlines the extraction of details from documents. For order processing the automation can extract data from various order types. This reduces keying errors, simplifies order entry and fulfilment tasks. Similarly, the extraction of data from invoices within the accounts payable processing streamlines the activity. RPA is great at doing detailed matching of invoice data with issued PO details which allows people to focus their effort on discrepancies and mismatches rather than the routine reconciliation of values which align.

✅ Onboarding of Suppliers and Partners: The creation of new master data for suppliers and partners together with the appropriate due diligence activities can be quote onerous. RPA can automate the data entry and checks of onboarding processes. There can be significant benefit from the speed and accuracy to the onboarding where changes are being implemented due to operational disruption. Compliance is important, by using RPA the tasks do not get forgotten.

✅ Scheduling of Shipments and Tracking Progress: As RPA can automate data entry for shipments, it can set the specific conditions that are required when automatic scheduling is requested. As RPA can access shipment requests, it can undertake tracking by making repeat periodic update requests via tracking portals, etc. Consistent tracking enables better forecasting across the supply chain activity.

✅ Portal Interaction: Interaction with business portals, for both customers and suppliers, is a core activity for many supply chain teams. RPA provides the capability to get data and post data with the various portals which removes the manual tasks to keep that data flowing across the supply chain.

✅ Invoice Creation: RPA automates data entry, extraction, and calculation of details from PO documents, plus the variable data extracted from supplier invoices which are part of “Re-billed Charges”, this enables accurate invoices to be created efficiently in the billing process.

✅ Demand Planning and Supply: Various tools including AI are used by supply teams to forecast demand. RPA can help with the detailed work to raise POs and / or make any shipment adjustments to balance the stock levels to desired positions for the projected orders. People make the decisions, and RPA carries out the work.

✅ Procurement and Inventory: Depending on the complexity of procurement, RPA can assist supply teams with the detailed work of requesting quotes from potential suppliers and undertaking the due diligence required against the prospective suppliers should the additional orders be placed with them by examining current and projected threshold values.

✅ Customer and Supplier Services: Staff who are interacting with customers and suppliers are often operating under time pressures with busy phone systems. RPA can assist staff by undertaking tasks that are initiated by staff but who can then focus their time on other activities. Delegating to a reliable automation is usually seen as a major benefit by staff in such pressurised environments.

What are the Benefits RPA Delivers to Supply Chain Activities?

 There are three main benefits, namely:

✅ Accuracy: RPA eliminates human errors which increases accuracy and completeness as software robots do not get distracted in the way people can lose concentration.

✅ Manual Effort Reduction: Automation replaces the human effort to complete tasks with activity performed by RPA software robots.

✅ Timing Flexibility: RPA performing tasks removes the need for people to be available. This allows RPA software robots to perform the task 24 x7 and not wait for staff to be in the office. It also means there is capacity for more work as RPA software robots can operate 24 x 7 (168 hours) compared to a person working 8 x 5 (40 hours).

Are there limits / constraints to RPA usage in Supply Chain

✅ Integration with Existing Systems: RPA is a non-intrusive solution. The RPA software robots can operate with any UI (user Interface) available with existing systems or where there are APIs available, the automation can be configured to utilise that facility. RPA technology has evolved so that there are no constraints on the systems with which it can interact.

✅ Complexity Processes with Multiple Steps: Processes with multiple steps can be automated. It requires more effort to build the automation and to test all the possible combinations, but RPA software robots can deliver such automations.

✅ Continuous Management and Updating: RPA implementations require continuous monitoring and periodic updating to ensure they remain effective and aligned with any changing business needs.

✅ Human Interactions: RPA can be configured to work with “Humans in the loop”. There is no constraint that requires a process to be all human completed or all RPA software robot completed. A practical approach is often a mix of human and RPA software robot ask completion. By designing for flexibility, any data exceptions, errors or anomalies encountered during processing by RPA can result in the task being re-assigned to a person to perform.

What are the typical Use Cases of RPA in the Supply Chain?

This is a sample list of the Use Case for RPA in Supply Chain activities:

✅ Data Entry and Processing: RPA can automate the data entry and processing of large amounts of information, such as POs, invoices, delivery notes, receipts, Proof of Delivery (POD) and customer master information, saving staff time and reducing errors.

✅ Customer and Supplier Support: RPA enhances customer and supplier support by responding to inquiries and requests 24 x 7, answering frequently asked questions with standard responses, and being able to identify then route emails from shared inboxes to relevant departmental contacts.

✅ Inventory Management: RPA is able to automate tasks required to maintain optimal inventory levels as each Demand Forecasting analysis is performed.

✅ Responding to RFPs: RPA can be used to draft responses to Requests for Proposals (RFPs), questions, and quotes in a timely by assembling the detailed information that is often required in the detail of any response.

✅ Tracking and Monitoring: RPA is capable of automating the repeated actions necessary to track and monitor the status of shipments. By the application of appropriate rules, RPA can be used to alert people to situations as they occur so that is more time available for actions to be taken and decisions to be made.

✅ Supplier Research and Monitoring: The dynamic nature of supply chains requires due diligence to be undertaken during supplier onboarding and during the lifetime of the relationship. The research of information on the suppliers includes credit checks, companies house data verification, etc. The reconciliation of data held about the supplier can be compared with the external sources using RPA software robots in order that changes in status can be highlight to management.

✅ Contract Management: Some supply chains have a large number of contracts which define the relationships between the parties. RPA can be used to create, update, and manage the changes to such contracts by working alongside staff to reduce the manual work that they are required to perform.

Implementing RPA in Supply Chain Activity

The implementation of RPA in supply chain activities must cover the people, the process and the technology. At Ether Solutions we encapsulate the tasks in our 90 Implementation Method.

✅ Selecting a Process: Identify candidate process which has repetitive tasks.

✅ Design and Planning:  Develop a detailed design and implementation plan, including scope, objectives, timeline, budget, and resources. It needs to consider how people will interact with the automation both during implementation (e.g. testing) as well as in operational production. The ROI for the RPA implementation can be projected based on the plan.

✅ People: Provide staff awareness and training on the use of RPA software robots and how tasks will change once the process is automated.

✅ Development and Testing: Develop and test the RPA solution to ensure it functions as expected both for “Happy” path scenarios and the handling of exceptions.

✅ Monitoring and Support: Operational monitoring will be required, and support needs to be available to resolve any issues as well as deal with software upgrades, etc.

The Opportunity for RPA in the Supply Chain

There are clear opportunities for RPA in supply chain activities to release manual workload on the routine, repetitive tasks that currently demand the time of knowledgeable staff.