Importance of Digitizing your Documents with a Cloud-based DMS

In the last two years, there has been a 42.2% increase in enterprise data worldwide. Simultaneously, the market for document management systems is estimated to reach the USD 10.7 billion mark by 2025. 

Which points towards two things: 

1. Enterprise data is growing every second.  
2. The need to store it securely is creating a demand for document & data management solutions. 

Another statistic tells us that by the end of 2025, the world will have 200 zettabytes of data to take care of. 

Which is a lot! 

Since managing such a massive chunk of data comes with challenges such as security, safety, and retrievability, employees prefer a unified and dependable document management system. 

One that can help their process of document handling a seamless task. And could help them create, store, manage, and above all, retrieve these records whenever required without wasting a lot of time or effort.

Resultantly, companies across the globe are on the lookout for the most feasible solution that can ease up the process for them. 

Let’s have a look at some of the available alternatives in the market that companies are actively opting for. 

4 Vastly Preferred Document Management Solutions and their Shortcomings

1. On-premise Servers:

These servers are created for businesses that deal in highly confidential data and engage in high-value transactions on a day-to-day basis. This service basically requires the companies to host an on-premise infrastructure to avoid losing data that is highly valuable to them and also to prevent cyberattack risks. 

An on-premise facility will provide you with several capabilities like secured file sharing, easy access to corporate data, record management, and more. 

However, it also lacks in respect of cost-efficiency, ease of use, scalability, and more. 

One of the biggest challenges faced with on-premise servers is security. The sole reason that it’s on your premises does not guarantee security. In addition to that, an on-premise facility also lacks mobility. It keeps people from effortlessly accessing information remotely. They pose high financial and legal risks to your organization since predicting system crashes is an almost impossible task.  

2. Storage Facilities:

Those companies who instead prefer paper versions of their documents choose to go for storage facilities. These storage facilities make it easier for companies to preserve their paper documents without letting them occupy much of their office space. Many organizations belonging to the pharma and legal industries choose to create archives off-premise like this. 

However, this one also comes with its own set of challenges. To begin with, a storage facility only addresses one of your paper-based documentation challenges: storage space. Apart from this, it hardly tackles other issues like security, safety, and retrievability. 

Moreover, a storage facility is not very cost-efficient. They charge firms very high because, in a way, they are leasing their space to you, and real estate is expensive. 

3. Storage Cabinets and Real Estate:

Since outsourcing the storage of documents doesn’t usually go in favor of companies, many choose to invest in their real estate to create an archive of important documents. This is so they have more control over the information and they can maintain the archive properly. 

But what this system does is that it adds to the job of the management. You will need an additional workforce to maintain the archive and regularly monitor the premises to ensure the documents stay in good condition. On top of that, organizing an entire archive becomes challenging since this process is highly prone to human errors. All it takes is a single person’s negligence while tagging or labeling a document, and good luck finding it ever again. 

4. Cloud-Computing:

Apart from on-premise servers, we also have cloud-based systems that help you manage your paper-based documents efficiently while solving all these issues pertaining to retrievability, security and safety. 

The biggest pro of these softwares is that they allow you to be flexible with things. You can easily create, manage, and collaborate on these documents. Since these softwares digitize your documents, it becomes much easier for your employees to access corporate resources remotely. 

The only con of cloud computing is that it’s very difficult to find software that is suitable for your requirements. And since people are not yet habitual of the virtual world, they keep themselves from taking such steps. 

But since we’re vouching for such softwares, let us explain why you need them in the first place. 

Importance of Digitizing your Corporate Resources with Cloud-based Document Management Softwares

1. For Revenue Generation

Properly managing your papers and opting for a system that helps you focus on more value-adding tasks than wasting time on non-productive activities such as creating different versions of documents, finding lost files, and engaging in constant back and forth with clients for approvals can help you bring in more money. 

Since the human effort involved in this entire document-handling process is eliminated as soon as you go digital, the chances of your company scaling rapidly also increase. Thus opting for a cloud-based document management system becomes a necessity for companies. 

2. To Prevent legal & Financial Risks.

Law firms and pharma companies often store these huge stacks of paper to comply with regulatory requirements. These documents have a retention period for which they have to be mandatorily preserved. Surprisingly enough, the retention period can be as long as an entire lifetime of the company. 

Preserving paper documents for such a long time without losing them or causing any harm is very difficult, especially when you keep them moving. In such scenarios, opting for a system that lets you digitize these documents is best. So even if you can’t maintain them for that long, you always have a digitized version with you. 

3. To Improve Employee Productivity.

Suppose your employees spend an awful amount of time managing paper documents. In that case, it is evident that once they get rid of this responsibility, they will have ample spare time to focus on more productive tasks like client onboarding and research. 

This will bring back their lost productivity and help them progress in the organization’s interest. Switching to a cloud-based DMS will also positively impact their efficiency and help them create a flow of activities within your company. 

4. To Put a Better System in Place.

Many times, customers need a system in place for paper-based documents because they need to be able to access the same continuously. For them, it’s not just about storing their paper stacks in a facility; they also need unrestricted access to it to leverage it whenever required. 

For this to happen, an organized system is an essential requirement. Which only becomes possible when you opt for a cloud-based DMS. All other options will make the retrieval process a stressful task you do not want. 

To conclude, the need of today’s businesses is to shift from traditional ways of storing paper to a contemporary solution, a cloud-based DMS. Although make sure you choose one that offers you all the functionalities you might need to ease up the processes at your organization. 

To begin with, you must look for functionalities that make the information retrieval process easier. The DMS you choose should also offer security features like encryption and audit logs so you can always be safer whether your data is stagnant on the platform or in transition. 

If you’re looking for recommendations, then we vouch for dox2U. It is a cloud-based platform that provides you with all the functionalities mentioned above and a lifetime free plan designed for smaller teams. Why not check it out?