Tag: automation

Microsoft Acquires Softomotive to Accelerate Its Dominance in RPA | Blog

Near the end of 2019, Microsoft added various RPA features to Flow, its automated workflow service, and rebranded it as Power Automate. It wasn’t surprising to see Microsoft getting into this space to embed RPA into its products such as Excel, PPT, Outlook, Teams, and SharePoint, and enable business users to automate tasks directly from these products. Now, with its acquisition of RPA software vendor Softomotive, it’s staking its claim in the US$1 billion RPA software market, accelerating its positioning in the RPA space, and offering greater depth and breadth of RPA capabilities to its customers. This acquisition has come at a time when the demand for automation is being amplified due to the COVID-19 pandemic, and automation at scale is gaining pace. And it positions Microsoft as a serious contender for automation software needs as organizations are rethinking their automation strategies. Here’s our take on the deal.

What Softomotive brings to Microsoft

Founded in 2005, Softomotive is a leading RPA software vendor with roots in desktop automation. Its popular desktop automation product, WinAutomation, helps automate tasks running on Windows-based applications and technologies. We positioned Softomotive as a Major Contender and a Star Performer in our 2019 RPA Products PEAK Matrix assessment for multiple reasons including:
  • Attended and unattended RPA for organizations of all sizes, through
    • WinAutomation, Softomotive’s desktop automation product, used primarily for attended RPA use cases. Robots are typically installed and executed on a user’s desktop in attended mode. It doesn’t have centralized control, monitoring, or governance capabilities, and is primarily suitable for small and medium-sized businesses
    • ProcessRobot, Softomotive’s enterprise RPA offering, delivers both attended (SideBot) and unattended (SoloBot) RPA capabilities along with centralized control, monitoring, and governance functionalities
    • Robin, Softomotive’s open-source RPA language for programmers. Microsoft’s immense presence and installed base could help make it popular enough in the developer community to force several other vendors to adopt it. And it could become a new standard for RPA programming and help Microsoft establish its thought leadership in the market
  • A comprehensive set of RPA features built over the past 15 years will help Microsoft expand the scope of its automation use cases
    • Drag-and-drop design studio with 300+ pre-built actions for developing automations
    • Web-based centralized interface for controlling and monitoring robots and features such as scheduling, queuing, and dynamic load balancing based on SLAs and priorities
    • Ability to multi-task/execute multiple automations in parallel on the same machine for higher resource utilization
    • Role-based access, version comparison tool, visual exception recording for enhanced debugging, and automation lifecycle management capabilities for higher collaboration across development, testing, and production stages
  • Pre-built connectors and integrations for greater ease of use
    • Softomotive has pre-built connectors with enterprise applications such as Java, Oracle, Salesforce, SAP, Siebel, and mainframes, and support for major browsers such as Chrome, Firefox, and IE, making it easier to automate tasks that involve these applications
    • Pre-built integrations with complementary capabilities such as cognitive/AI services from ABBYY, Google, IBM Watson, and Microsoft
  • An installed base of over 9,000 clients and recognition as a mainstream RPA player

What the acquisition means for the market

This acquisition validates the RPA space and reinforces the point that RPA will stick around for much longer than some have been predicting. It’s a big moment for the RPA market as a whole and could accelerate technology maturity, awareness, adoption, and development of RPA skills. It could drive or accelerate key market trends:
  • Consolidation/M&A activities – RPA is becoming a critical component of the enterprise software ecosystem for driving digital adoption and automation. In the last couple of years, we’ve seen multiple acquisitions such as Appian/Jidoka, Blue Prism/Thoughtonomy, Nintex/Foxtrot, and SAP/Contextor. These deals demonstrate that entry into this space isn’t very expensive, as there are many small RPA vendors with good offerings. This latest deal could encourage acquisition of RPA capabilities by other tech giants, BPM, and ERP companies in the coming months to offer a more holistic solution to their clients. On the flip side, just as UiPath did with its acquisitions of Step Shot and ProcessGold, there could be more instances of big RPA companies acquiring complementary capabilities to expand the scope of their solutions and increase their value propositions
  • Democratization of RPA – Microsoft products are used by most knowledge workers around the world. By making RPA another tool in its list of its Power products, Microsoft could accelerate the democratization of RPA and the concept of citizen developers. Because Microsoft Power Automate is available at much lower than the median pricing, other vendors will feel pressure to reduce their prices. To accelerate its adoption, it could also offer its RPA bundled with other Microsoft products without additional cost, making RPA more affordable and its business case more lucrative for organizations of all sizes. This move could accelerate RPA adoption among small and medium-sized businesses, where adoption has been growing at a relatively slower pace. Access to RPA as a plug-in directly from Microsoft’s products such as Excel, Outlook, Teams, Dynamics, and SharePoint would make it easy for business users to automate repetitive tasks. Instances of RPA being sold as a commodity are gaining momentum, and this could further accelerate that trend

What the acquisition means for other RPA vendors

With Microsoft going all-in on RPA with this acquisition, other RPA vendors will need to up their game to remain competitive. Microsoft will be able to deliver RPA that’s tightly and seamlessly integrated with its vast suite of business applications. To combat this move, other vendors will have to position themselves as specialists and best-of-breed providers of enterprise automation capabilities. Also, going forward, growth may elude pure-play RPA vendors; in order to thrive, they will have to either invest in other complementary areas such as AI and process mining, or be acquired. Note that today, most RPA players, including the big three, are offering complementary products in addition to RPA. Additionally, Microsoft has deep integration, joint functionality development, and go-to-market partnerships with big RPA vendors including Automation Anywhere, Blue Prism, and UiPath. These partners also contribute to Microsoft’s revenue through collaborations, such as Azure, and it’s likely that those partnerships will continue, and clients will be given flexibility to choose, as co-opetition it is becoming quite common in the enterprise software space. For example, UiPath acquired a process mining vendor, ProcessGold, but has maintained its partnership with Minit. Similarly, Blue Prism announced an Intelligent Document Processing (IDP) solution called Decipher, but has maintained its partnership with ABBYY.

Other things to watch out for

It will be interesting to see how well Microsoft is able to leverage this investment. It could take the company up to a year to come up with its integrated RPA offering and embed Softomotive at a technical level across its suite of software products. In the meanwhile, Microsoft has made WinAutomation available for free to all of its Power Automate customers. However, it remains to be seen how Microsoft plans to leverage Softomotive’s ProcessRobot and Robin. Some say Microsoft gets it right the third time. Flow was Microsoft’s first attempt at RPA, Power Automate was its second, and Softomotive is its third. So, will the third time be the charm for Microsoft? Going forward, Microsoft could follow on with more acquisitions in other automation areas such as Intelligent Document Processing (IDP), Intelligent Virtual Agents (IVA), process mining, and analytics to further establish itself in the intelligent automation space. An indication of this possibility is Microsoft’s late 2019 launch of Power Virtual Agents, a chatbot/IVA offering that’s based on its Bot Framework. Might IVA be the next area where Microsoft could make an acquisition, perhaps of one of the 16 IVA software vendors we assessed as part of IVA Products PEAK Matrix?

COVID-19 Business Crisis Proves Automation Matters | Blog

Consider what’s now happening at companies that made investments in automation and moving work to the cloud. They’re doing better than others in the COVID-19 pandemic. They’re more flexible under trying conditions. They’re more resilient to challenges. They are a bright spot in this awful crisis. The pandemic showed what companies invested in as preparation for challenges. Unfortunately, it also exposed companies that were less prepared. As I mentioned in my prior blog, the pandemic was like what Warren Buffet described as the tide going out, exposing naked swimmers. One fact that the COVID-19 crisis exposed is that automation matters. Read my blog on Forbes

Accounts Payable in Today’s Business Climate | Webinar

Access Webinar Recording As companies attempt to shift to 100 percent remote working model during these unprecedented times, accounts payable departments are struggling to maintain a fluid "business as usual" approach in managing their invoice processes in a timely and cost-effective manner in the absence of a sound digitally-applied account payable strategies. Organizations can and should take steps now to digitize accounts payable not just to ensure business continuity, but to also tap the immense potential in it to save time and cost. In this webinar, Everest Group’s Shirley Hung joins the Kofax team to share insights on:
  • What’s driving the need for AP automation today
  • The results organizations can expect to achieve from AP automation
  • Methods for implementation and key technology levers to consider
  • Operating models for success
In addition, Bob Monio from Kofax discusses how companies of all sizes can now embrace modern tools to automate a majority, if not all, of their invoicing and payment processes and reach positive ROI almost immediately.

Presenters

Shirley Hung, Vice President Everest Group Bob Monio, Director of Commercial Product Management Kofax Access Webinar Recording

Have a question?

Please let us know how we can help you.

Contact us

Email us

How can we engage?

Please let us know how we can help you on your journey.