Reporting is a critical task in businesses which ensures that critical data is available to stakeholders so they can analyze past performance and predict future trends. However, a survey on companies that do not use automation revealed that departments spend %48 percent of their
time updating & creating reports, and only %18% on communicating with the business.
Report automation tools can automate:
- data extraction and update
- data visualization
- report generation
- and sending the report at a programmed schedule.
However, it is important to choose a report automation tool based on the type, cost, integrations, and the team’s programming skills. In this research, we explore types of report automation tools and how to select the best one.1
1. Code-based tools
Code-based reporting tools allow the reporting team to have full control over the reporting system, and customize the reports based on business and client requirements. However, code-based tools require time to script and debug reporting codes. Code-based tools may require a team that has a high level of coding and scripting experience, especially if the reporting need is complex.
Some code-based tools include SQL and SQL-based platforms like Tableau.
Pros: Customizable
Cons: Requires coding skills for advanced functionality
2. Low-code/ No-code tools
Low-code/no-code development tools rely on GUI elements and drag-and-drop functionalities to complete business processes. For report automation, these processes include:
- pulling data from business sources (email, sheets, social media)
- creating and updating datasets
- generating reports
- sending reports to designated contacts
Low-code/no-code reporting tools are easier to use and don’t require programming skills to set up reporting functionalities, however, customization is limited to the built-in reporting functions. There are many low-code/no-code development tools, for example, some RPA tools also fall under this bucket.
Explore RPA for reporting in more detail.
Pros: Easy to learn
Cons: Limited customization capabilities
Accounts payable is a reporting-heavy business function. AP teams need to track if early payment discounts are being taken advantage of, approval delays, etc.
ERP solutions have integrations to AP automation solutions that automate these reporting with RPA and other tools:
- Dynamics 365 in Accounts Payable Automation
- NetSuite Accounts Payable (AP) Automation
- Blackbaud Accounts Payable (AP) Automation
- Sage Accounts Payable (AP) Automation
3. Business intelligence tools
Business intelligence (BI) tools enable easy access to business data to extract insights and predictions about business performance. Using BI tools for report automation enable aggregation, analysis, and visualization of business data into static reports as well as real-time interactive dashboards.
BI tools provide a robust and customized data analysis from multiple platforms, but require training/experience to use and interpret output reports.
Pros:
- Customizable
- Easy visualizations
Cons: Requires training for advanced functionality.
4. KPI dashboards
KPI dashboard tools track different business metrics (e.g. projects, budgets, sales, forecasts, team’s performance) among different departments, and provide real-time and time-range visualizations about business performance. KPI reporting dashboards have 3 types:
- Strategic dashboards: They focus on finance and process-based KPIs to highlight system weaknesses and investment opportunities and help with budgeting.
- Operational dashboards: These dashboards focus on sales, marketing, and customer service operations to investigate market trends and company performance.
- Analytical dashboards: These dashboards contain historical data about the company’s performance over time. Analytical dashboards provide a detailed view of the financial status of the company and performance among peers in the market in order to optimize operations and predict market trends.
KPI tools are easier to set up and use than BI tools, and can be free in some cases. However, they are less customizable and may require training to be used as a power user. For example, in the web analytics domain, Google Analytics and Matomo are common solutions.
Pros:
- Easy to use
- Easy to build complex dashboards
Cons: Limited customization capabilities in some tools.
In all categories, we observe
- some freemium or open source options
- need to get used to the user interface and formats of the specific tool
How to select a report automation tool?
Before choosing the right tool for report automation, it is important to determine the reporting needs of the business, including:
- Current reports and their usage levels
- Time spent on reporting by department
- Time and cost of correcting reporting errors
- Tracked KPIs
- Report schedules (daily/weekly/monthly/quarterly)
It is also critical to have a budget for reporting that fits business requirements and team skills.
When choosing a type of report automation tool, it is important to consider the following:
- Data formats: Business data can come in different formats (e.g. excel sheets, JPEGs, text). For example, most invoices are JPEG images, while website traffic data is typically in more structured formats. Therefore, depending on your use case, it is important to choose a tool that can process structured and unstructured data. For example, BI tools may be a better fit for marketing reports which extract data from websites and the company’s channels, whereas RPA tools can easily integrate or offer off-the-shelf AI algorithms such as OCR and NLP to extract information from unstructured data like financial statements and invoices
- Data sources: Integrations are important in reporting as reports aggregate data from many different sources. Choosing a tool that offers out of the box integrations to your data sources will make it easier to use that tool.
- Level of customization: Financial or HR reports, which measure updated data of the same metrics on a regular basis, will not require as much customization as client reports which measure different metrics for different clients.
- Team programming skills: Businesses must choose among code-based tools for departments with team members who have coding skills and experience, whereas they must choose dashboard tools for departments with less technical skills.
Once you’ve chosen the tool type for report automation, it is also relevant to consider prices, company ranks, market shares, and community comments and reviews. We recommend you check out our data-driven lists of relevant tools:
FAQ
Why is it important for our company to switch to report automation? Can we still achieve accurate data using a manual reporting system?
With traditional or manual methods, there’s a higher risk of human error and wasted time during data transfer. By implementing report automation, data is updated and processed automatically, significantly improving accurate data quality. Automation also reduces the time spent on the reporting process, allowing your team to focus on more strategic tasks.
What key performance indicators (KPIs) are commonly used in reporting?
Commonly tracked KPIs include sales figures, profit margins, and customer satisfaction rates. Automated report generation ensures these KPIs are extracted automatically from data sources, reducing the risk of human error and improving data accuracy. This enables teams to make more informed and reliable decisions based on up-to-date information.
How can we speed up report creation and create interactive reports when working with large volumes of raw data?
To manage large datasets, you can use business intelligence (BI) tools or RPA automation. These tools automate report creation and create interactive reports by cleaning and transforming raw data, speeding up the process. This allows teams to quickly generate visualized reports and gain actionable insights from the data.
What steps should we follow to create regularly scheduled reports and make data-driven decisions?
Start by identifying your data sources and integrating them into an automated system. Then, ensure that you structure your reporting process to create regularly scheduled reports (e.g., daily, weekly, or monthly). Once reports are generated automatically, you can analyze them to make data-driven decisions and implement necessary actions based on the insights.
How do we select the best automated reporting software for our company?
You should first identify the types of reports you need, your integration requirements, and the technical skills of your team. The automated reporting software you choose should be compatible with various data formats and provide customization options where necessary. Checking reviews and feedback from users in your industry will help you find the right automated reporting tool that fits your needs and budget while ensuring long-term value.
For more on automation
To learn about different automation case studies in business, feel free to read our articles:
- Workload Automation: In-depth guide on benefits & challenges
- 43 Back Office Automation Examples: RPA, WLA, AI/ML
Hyperautomation is an end-to-end automation approach that is popular right now. Feel free to read our article on hyperautomation applications.
If you are ready to invest in an off-the-shelf automation solution for your business, feel free to explore our data-driven list of RPA vendors, and let us guide you through the process:
External Links
- 1. Deloitte. “Crunch time 7 Reporting in a digital world” Retrieved on 22 May 2024.
Comments
Your email address will not be published. All fields are required.