It’s no secret that organizations in the U.S. utilities sector face continually rising consumer expectations, tightening regulations and fragmented tech infrastructures. North America alone has over 3,000 electric utilities plus numerous gas and water providers, and companies often rely on a tangled web of software and tools that don’t always talk to each other the way IT teams might prefer. This fragmentation complicates operations and leads to inefficiencies, lost time and higher costs.
Challenges of Tool Fragmentation in the Utilities Sector
Many utility companies currently use a patchwork of tools, each designed for a specific task such as billing, data collection or asset management. This disjointed setup creates headaches. For example, entering data manually across several systems increases errors, wastes time and frustrates employees.
Meanwhile, customers still expect seamless service—accurate billing, quick responses and tailored communication. Add the pressure of staying compliant with ever-changing regulations, and it’s clear this approach isn’t sustainable.
How Automation Fabrics Streamline Utility Operations
The good news is that automation solutions for utilities can be a game-changer in an industry dominated by legacy tech stacks. These solutions bring clarity to complex systems, helping utilities organizations adapt better to challenges like extreme weather and surges in demand, and to run smarter, faster and more efficiently.
Automation fabrics help utilities tie their automated processes together into a smooth, connected flow. Imagine a situation where a customer’s meter reading automatically updates billing systems, flags potential discrepancies, and notifies the customer—all without human intervention. This seamless integration reduces billing disputes and boosts trust in the company’s processes.
When automation is done right, it:
- Reduces errors: Automating data transfer ensures accuracy and cuts down on manual corrections.
- Speeds things up: Processes that once took hours can run in minutes, even seconds.
- Supports real-time decisions: With instant access to accurate data, utilities can respond quickly to issues or customer needs.
- Boosts customer satisfaction: Faster responses and error-free billing lead to happier customers.
In the push toward sustainable energy, automation also plays a critical role in managing renewable assets and optimizing energy data. It’s not just about keeping up—it’s about staying ahead.
Examples of Successful Automation in the Utility Sector
Utilities worldwide are leveraging automation to overcome operational challenges. For one of Germany’s largest municipal utilities, Stadtwerke München (SWM), automating its workflows helped tackle time-consuming mass activities like data processing and compliance checks. This shift drastically reduced manual intervention, allowing employees to focus on strategic tasks while improving efficiency and service delivery.
For instance, nightly data processing in SWM’s SAP HANA database now takes 6-7 hours, with complex calculations requiring just 1.5-2 hours. Additionally, self-recovery routines ensure that any process breakdowns are addressed within 30 minutes, preventing delays or errors in downstream tasks. By the next morning, the service center team has access to the latest information, enabling them to provide expert advice and enhance the customer experience.
In North America, FortisBC revamped its billing processes to meet rising customer expectations. When manual data entry and reconciliation processes were causing delays and inaccuracies, the company turned to billing automation. On the first day of its Customer Care Enhancement Project launch, FortisBC produced and sent 50,000 accurate, on-time bills, demonstrating the system’s efficiency. The automation solution now seamlessly coordinates 65+ internal and external interfaces, ensuring consistent billing cycles for millions of customers.
These examples show the power of automation solutions for utilities when it comes to addressing both back-office inefficiencies and customer-facing operations. By exploring these successes, utilities can identify areas ripe for automation, paving the way for smarter, more efficient processes that enhance customer service and boost operational excellence.
Four Urgent Actions to Tackle Fragmentation
Here are four urgent actions utilities can take to consolidate their systems and make automation work for them, while meeting customer and regulatory demands.
Action 1: Map out meter-to-cash process. Meter-to-cash is the lifeblood of a utility’s revenue. Yet, many companies still rely on outdated workflows riddled with inefficiencies. Start by mapping out meter-to-cash process automation from end-to-end: meter reading, billing, payments and follow-ups. By identifying bottlenecks and automating repetitive tasks like data entry and bill generation, you’ll speed up collections and reduce costs.
Action 2: Connect all involved systems and applications. Utilities often manage a mix of legacy systems and modern cloud tools, but these systems don’t always cooperate. A smart integration strategy doesn’t solely require gutting and replacing all old systems. Instead, through the implementation of automation fabrics, previous and current automated processes across legacy applications, smart meters and cloud environments can be connected into a unified platform. This creates a seamless flow of information, combining the stability of legacy tools with the agility of the cloud.
Action 3: Implement comprehensive solutions. Don’t settle for piecemeal fixes. Comprehensive, cloud-native solutions like automation fabrics can automate and optimize multiple processes across your organization. This approach eliminates the fragmented data and disconnected workflows that bog down your operations. For example, automating a utility’s asset management system can reduce manual workload by a high percentage, freeing up staff for more strategic tasks. A vendor-neutral platform ensures flexibility, so you can scale as your needs evolve.
Action 4: Expand beyond meter-to-cash. Automation shouldn’t stop at revenue management. Look at other parts of your business that could benefit, like supply chain planning, compliance reporting, or customer service. One organization used automation solutions for utilities to track renewable energy assets in real time, boosting efficiency and reducing downtime. By thinking beyond meter-to-cash, you’ll create a ripple effect of efficiency across your organization.
Measuring and Sustaining Automation Success
Automation isn’t a set-it-and-forget-it solution. To keep it running smoothly, you need to measure its impact and make ongoing improvements. Start by tracking key metrics, such as:
- How much time are you saving?
- Are error rates dropping?
- How has customer satisfaction improved?
Tracking process velocity is crucial. Faster task completion doesn’t just improve efficiency—it also accelerates cash flow, giving utilities more financial flexibility. Additionally, monitoring customer churn rates can reveal how automation impacts satisfaction and loyalty over time.
Tool fragmentation doesn’t have to be your reality. By mapping processes, integrating systems, and leveraging automation fabrics, utilities can cut through the noise and focus on what matters—serving customers and driving efficiency. Use self-assessment tools to help measure your utility’s automation maturity. Share the results with your team to build momentum, identify opportunities for automation, and start planning your next steps.
