73% of Companies Increased Automation Spend, Yet Tools Remain Underutilized: Redwood Software Study

Findings from Redwood Software’s Enterprise automation index 2025 show a complex picture: While 73.2% of businesses increased automation investments in the past year, a majority of 61.3% admit their automation tools are underutilized due to fragmented strategies, siloed implementation and the need for a trusted orchestration partner.

"This research confirms what we see across industries: Automation is no longer a nice-to-have — it's mission-critical," says Kevin Greene, Redwood Software CEO. "But there's a growing opportunity. Investment is up, results are proven, yet adoption is stalling. Organizations that overcome these barriers — through the right tools, education and strategic support – are the ones that will unlock the full value of automation and be ready for what's next with AI."

Key takeaways:

·        The No. 1 overall business priority for 2025 is reducing costs. Supporting that priority, 36.6% say automation has reduced costs by at least 25%, and 12.7% say it's reduced costs by more than 50%.

• 68.8% say automation is mission-critical or very important to business success.
• 36.6% of organizations report automation has reduced costs by at least 25%.
• 48.6% say automation has improved efficiency by 25% or more.
• Fewer than 6% of businesses have achieved end-to-end autonomous automation in any core process.
• 65.6% believe AI will significantly enhance automation but 40% feel unprepared to adopt it.