The Study and prediction of Gross profit based on the Automation Maturity Index of an Organization

Abstract

In today’s competitive world, Automation plays a vital role in making an organization competitive in the marketplace and improving their operational efficiency along with the cost savings. It is not surprising that the technology in infrastructure and operations is not considered a luxury but a necessity. Be it a corporate company, research lab or an educational institution across different Sectors and Industries. Many companies have already started their Automation Journey early in the stage, few are still having challenges to kick-start their journey. Few organizations may be good in generating revenue, but they may not be delivering convincing Gross-profit due to operational in-efficiencies. This research paper discusses about an Assessment Framework how an organization can be assessed where they are with respect to the Automation footprint on different levers like IT, Business process, Intelligent Automation, Test Automation, Desktop Automation, Cognitive Automation and so on. Based on the Assessment, Automation Maturity Index is determined which will be used for the Statistical regression analysis. The current study shows that the Automation market is expected to grow multi-fold in billion $ by 2025. So, there is a compelling need to go for an ‘Extreme Automation’ to accelerate Automation implementation across the possible levers. And there is a need to know how an Automation Maturity will have an impact on an Organization’s Gross profit (GP). This paper further discusses the statistical regression correlation analysis of Automation maturity Index on Gross profit of organizations. The statistical regression correlation analysis is conducted Finally, the Author recommends a guiding empirical formula for predicting the Gross profit based on the Automation Maturity index for an organization.