Robotic Process Automation (RPA) and Artificial Intelligence (AI) are holding center stage in many boardroom discussions around disruptive technologies. The impact of these two technologies is percolating far beyond mere margin and productivity improvements and standardization of tasks to generating topline efficiencies and even enhancing end customer experiences.
An internal Wipro research reveals that RPA & AI are going to grow at a CAGR of ~44% from 2018-2024 respectively.
Let us now examine the penetration of these two technologies across industry horizontals, such as Finance & Accounting (F&A), Human Resources (HR), Technology Platform Services (TPS), back office contact centers, Supply Chain Management (SCM), Procurement, Order Management (OM), Industry Specific domain businesses (ISDB) etc. to understand the relative adoption rates. As per a Wipro internal research and Everest group research 1 (Figure 1: Penetration of RPA & AI across horizontals), it is observed that F&A remains the most penetrated industry horizontal currently, followed by ISDB and TPS, while SCM, Procure-ment & OM remain the most underpenetrated horizontals.
Considering that the market for RPA & AI in Supply chain management, procurement & order management are still relatively underpenetrated, it appears to be a bright spot in the AI & RPA roadmap.
RPA & AI evolution
The fact that there is low penetration within these segments can also be examined based on the different phases of growth that we are seeing for RPA & AI today.
Currently, the market is in a zone somewhere between basic RPA service and cognitive RPA (Figure 2: RPA & AI progression roadmap).
Yet, it is expected that the industry will soon tend to move towards Intelligent RPA. Basic RPA is applicable to businesses with a relatively low Business
Automation Maturity (BAM), typically characterized by businesses that are figuring how to venture into automation considering the breadth of processes. While Cognitive RPA can be correlated with a medium automation maturity, where organizations think about being task driven and envisage the need for
reconfiguring applications, the subsequent wave of RPA & AI is known as Intelligent RPA. This stage of RPA & AI is characterized with high automation maturity - where organizations are driven by business conclusions and actions, and think of reconfiguring complete IT and business landscape.