DIGITALIZATION AND AUTOMATION OF BUSINESS PROCESSES: DIFFERENCE IN DEFINITIONS AND PLACE IN ENTERPRISE MANAGEMENT

Keywords: digitization, digitalization, automation, business processes, management, enterprise

Abstract

The article is devoted to the study of the differences between the definitions of digitization and automation of business processes, their place in enterprise management and the impact on business development. The authors defined that digitization involves the use of digital technologies to optimize business processes, while business process automation is used to automate routine processes and reduce labor costs. The authors claim that both processes are important for successful business development, and point out that each of these processes has its own characteristics and principles of use in management. The article analyzes the impact of these processes on business development, which makes it interesting for managers, business development specialists and all those interested in the digital transformation of business. The authors determined that digitization is the implementation of digital technologies to improve efficiency and optimize business processes. In turn, business process automation is the use of automatic systems to automate routine processes, which allows you to increase productivity and reduce labor costs. Building a digital infrastructure has been proven to enable an agile and scalable supply chain and improve distribution efficiency. Key components include warehouse and logistics center automation, RFID tags, shipping solutions and advanced analytics. An omnichannel strategy is becoming a prerequisite for customer convenience, from selection and purchase to return. According to the results of the study, the authors claim that both processes are important for business development. Digitalization allows enterprises to be competitive in the market, increase efficiency and reduce costs. Automation helps to ensure the stability and accuracy of business processes, which reduces risks and increases the efficiency of the enterprise.

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Olha Garafonova, Hanna Zhosan, Viktoriia Marhasova , Nataliia Tkalenko, Kateryna Trukhachova (2021) Matrix method of competitive analysis of the results of economic activity of hospitality enterprises in the conditions of strategization and digital transformation. Management theory and studies for rural business and infrastructure development. Vol. 43. Issue 2. P. 237–248.

Available at: https://ejournals.vdu.lt/index.php/mtsrbid/article/view/2355

Averchev O., Trukhachova K., Zhosan H. (2021) Development of a System of Effective Use of Enterprise Resources by Balancing the Effectiveness of Economic Activity in Terms of Resource Features. 11th International Conference on Advanced Computer Information Technologies, ACIT 2021 Proceedings, Р. 372–375 15 September, 2021.

Available at: https://ieeexplore.ieee.org/abstract/document/9548339

Givi Bedianashvili, Hanna Zhosan, Sergiy Lavrenko (2022) Modern digitalization trends of Georgia and Ukraine. Published in Scientific Papers. Series "Management, Economic Engineering in Agriculture and rural development", Vol. 22 ISSUE 3.

Available at: https://managementjournal.usamv.ro/index.php/scientific-papers/current

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Published
2023-04-03
How to Cite
Garafonova, O., & Zhosan, H. (2023). DIGITALIZATION AND AUTOMATION OF BUSINESS PROCESSES: DIFFERENCE IN DEFINITIONS AND PLACE IN ENTERPRISE MANAGEMENT. Taurida Scientific Herald. Series: Economics, (15), 161-166. https://doi.org/10.32782/2708-0366/2023.15.19
Section
ECONOMY AND ENTERPRISE MANAGEMENT