What is a document management system?
Document management system are used to capture, store, organize, retrieve & track electronic documents or images of written documents. In simple terms, document management system make document management easier, faster & more efficient.
Document management system provide all the tools necessary to replicate & automate physical document processes online, making them one of the most critical tools for organizations looking to digitize their document processes.
In their essence, document management system reduce document handling costs & time, but they also provide plenty of other benefits that usually go overlooked. Here are 7 essential & lesser-known benefits that make document management system an effective tool for organizations.
Digitizes document storage
Document management system provide two digital storage options: on-premise & cloud-based storage. Although both these storage options differ from each other in terms of features, pricing & scalability, they are much cheaper & easier to manage than physical storage units.Digital storage also ensures easier & faster document retrieval and a much lesser chance of document misfilings & errors.
Eases data capture
Being able to capture & transfer data ‘on the go’ has become an important part of our daily work routines. Physical documents need to be physically displaced in order to share them with other users, whereas digital documents can easily be captured & shared with as many users as you want.
Document management system provide built-in scanning support features, both on mobiles & computers, that allow you to scan & convert all your physical documents into digital documents at the push of a button. These digital documents can then be shared as virtual printouts or email attachments, making them a far better choice than physical documents.
Improves document search
An average organization spends upwards of $120 on every misfiled document & $200 on every misplaced document. Document management system provide countless advanced search features that not only improve document searches but also reduce the time it takes to find documents.
The search feature in the document management system relies on metadata. Metadata is essential information in the document’s content (for example: name, amount, date, payment status, address, etc) that is automatically extracted from every document. These metadata keywords are used as search criteria to narrow down the searches & find documents much faster.
Automates repetitive tasks
Every office-goer must have encountered redundant tasks like transferring invoices from emails or organizing them in their respective folders. Such tasks are boring & time-consuming. But most of these tasks can easily be automated with a document management system.
Document management system are designed to reduce repetitive work. Features such as automated document transfers, automated indexing, document retention, etc can be easily set up to transfer, process & organize documents as per the user’s choice.
Gives document control
One of the most sought-after benefits of a document management system is its security. Document management system provide an encryption-based security system with features that protect your documents from thefts & leaks and give you complete control over access to your documents.
Administrative users can easily restrict or grant users access based on their hierarchy, department & need.
Reduces document turnaround time
Most of you will agree that waiting for document approvals is one of the most frustrating aspects of going to work. Document approvals are critical for day-to-day processes such as project approvals, vendor payments, stock replenishments, etc. Delays in such approvals can result in added expenses & disgruntled clients.
Document management system let you automate the entire document approval process. From designing the workflow process to choosing the number of approvers and notifying approvers about pending approvals, a document management system lets you control every stage of a document approval lifecycle. An automated workflow process enables approvers to review documents much faster & reduces overall document turnaround time across the entire workflow process
Enhances document tracking
GDPR & HIPAA protocols make it mandatory for organizations to safeguard employee & client information. One of the ways of doing that is by tracking the documents, to ensure they haven’t been tampered with or accessed by unauthorized personnel.
Conclusion
Most people invest in document management system because they are the less expensive choice, but in reality, they are so much more. They provide a platform that improves document management, reduces the hassles of every documentation work & grants employees a lot more free time
Chances are you have been hesitant to invest in a document management system because you didn’t have the complete picture. Well, we hope this article has given you a better understanding of document management system & how they can benefit your organization.
For any queries or questions, or to know more about document management system visit www.globodox.com or write to us at sales@globodox.com
You can also read our other popular articles…
• What is a Document Management System (DMS)?
• How to choose a Document Management Software?
• A guide to implement document management system
• All about document management and document management software
