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While organizations are rapidly adopting Robotic Process Automation (RPA) to reduce repetitive, rule-based tasks, many are falling short of realizing its full potential in terms of revenue, efficiency, innovation, and worker satisfaction. Internal audit has a critical role to play in closing this gap, helping organizations capture the value RPA promises.
The Strategic Role of Internal Audit
A "digitally fit" internal audit (IA) function, one with the skills to assess digital initiatives while being data-driven, is a critical partner in capturing value. Organizations with such functions often receive more value than anticipated from their digital investments. IA provides a two-pronged approach: assurance over technical controls and advisory services to mitigate "soft" risk factors.
Common Pitfalls Internal Audit Should Watch For
Internal audit should assess whether management has addressed four high-level categories of automation project pitfalls:
- Risk and Governance: Lack of clear ownership and oversight of the automation program
- Authentication of Bots: Lack of accountability and security controls for bot ownership and integration
- Program and Bot Monitoring: Lack of controls ensuring bot functionality and issue resolution
- Change Management: Lack of formal, consistent processes for requesting and implementing changes
Redefining Value and Process Selection
Beyond these pitfalls, internal audit also has a role in how organizations define value itself. A common mistake is automating tasks simply because they are repetitive, when a genuinely low-value task should be eliminated rather than automated. RPA delivers the most value when it makes time-consuming but important work more efficient. Internal audit helps ensure organizations are not automating ineffective processes in the first place.
Capacity Planning and the Human Factor
Value realization often fails because organizations do not plan for the extra capacity gained through automation.
- Strategic Communication: Define and communicate how saved hours will be used before launch, to secure ROI and employee buy-in
- Proactive Engagement: Address negative attitudes, such as fear of job displacement, which can undermine efficiency gains
- Holistic Oversight: Internal audit should ensure RPA projects include robust change management, including updated job descriptions and training
Managing RPA with Crowe
At Crowe, we provide assistance and support in the end-to-end implementation of process automation in your organization through "bots" (Software Robots), from the identification and analysis of candidate processes for automation, to designing, programming, and bot maintenance.