Did you know that 35-50% of information is not centrally indexed and stored? This means that 35-50% of information is stored on individual databases, laptops, and desktops, all of which can be easily lost, stolen, or damaged. You may think that your vital business data is safe on your secure personal laptop or PC, but hard drive failures happen all the time, sending your data to a digital graveyard.
So, Why is Document Management Important
We often get asked why document management is important, and this is one of the main reasons. Your business’s data and documents can be absolutely crucial to its success, and often dictate the direction and actions that your company will take in the future. Despite this, many businesses do a terrible job of securely storing and managing their important documents, incorrectly assuming that digital technology will never fail them, and that disaster will never strike. We can tell you from experience that failures, losses, and thefts DO happen to your documents. However, with companies like us, you needn’t worry when the worst happens.
Cost-effective and efficient document storage solutions
Besides being an important security and backup measure, document storage and management can be incredibly convenient, efficient, and cost-effective too. Your business is likely to incur a considerable amount of expenses due to inefficient document storage, both in terms of labor and finances.
For example, did you know that nearly 10% of the average office worker’s day is spent trying to locate information and documents? That’s nearly 200 hours of wasted time per year… for each worker! Many of these workers will end up wasting time even further by recreating documents from memory because they simply cannot find the original copies.
Documents that undergo various edits and iterations can also be a nightmare for a disorganized management system. If your documents are not centrally stored, how can one be sure who has the latest version of a document? This can lead to some very messy and complicated documents.
You also put an inevitable strain on your network bandwidth, as you are using more power (and thereby money) to search various corners of your business’s system for documents. A centralized system allows you to keep these costs down and make life easier.
The risks of poor document management
You expose your business to many unnecessary risks if you have a poor document management system. As well as the obvious drops in efficiency, productivity, and synergy, there are other things to consider too.
For example, the security applied to your documents is inconsistent and unreliable. Do some of the laptops you store data on have better firewalls than others? Do some have passwords where others do not? Who has access to these individual computers? It’s all very hard to track.
Furthermore, if you store documents centrally on Windows network drives, you may be surprised to know that deleted files do not go into a recycle bin. They must be restored from tape backups, if you have those in place at all. This is a slow and painstaking process.
Finally, centrally managing and storing your documents allows you to track who has edited and/or viewed a document. This allows you to track your employees and investigate inefficiencies and discrepancies more accurately.