Trying to Justify Automation?

When thinking about automation, it is easy to be enamored with the improvement opportunity. Typically, you consider your starting point within the operation. Through some detailed conversations with vendors, integrators, and consultants, you land on an expected rate of the new automation. This view generally just looks at the business and volume characteristics to define a performance of the new system. 

Something to consider is how the operation currently performs. If you aren’t achieving mazimum potential with the technology, processes, and systems currently in place, what should we expect from installing new technology, processes and systems? If you are underperforming from your current potential, what is going to keep history from repeating itself? 

You have 2 options: 

1. Degrade Expectations – most people will bake some of this in as contingency. You simply plan on underperforming the target at the same rate you are currently underperforming. The question is, “how much should that be?”. 

2. Improve Current Operations – bring your current operation up to full potential and develop the tools necessary to consistently execute at a higher level. The question is simply, “how much better can you get and what’s required to achieve it?”. 

Unfortunately, either path will negatively impact the justification for your solution. You will either: be in a much better place after implementation OR achieve significant improvements without the investment and be in a better place anyway.