November 4, 2022
If you are old enough, you will remember a time when the stock market existed on paper. Physical paper share certificates of companies were bought and sold based on the instinct of the trader. But if the share certificate was misplaced, you had effectively lost its value and would have to jump through hoops to resolve this.
Now, however, shares have been dematerialised, and you can trade them digitally using your phone or laptop while they are stored away safely in your account. A similar case can be made for the use of document management systems (DMSs) for businesses.
One of the biggest pros of a Document Management System is that it offers you security and scalability. SMEs may not remain SMEs forever, and keeping paper documents will get harder as the company grows. With a DMS, all your files and documents are digitised, accessible (by authorised personnel) from anywhere, and can theoretically never be lost.
There are two primary types of DMS, namely:
A cloud-based DMS is hosted on a cloud. The biggest benefit of this is that the software can be accessed and operated from any location at any point in time. This makes it a preferred type of DMS for a lot of companies in today’s internet age.
They also boast good ease of installation and can be cost-effective. The downside is that they may not be able to accommodate all your specific requirements.
A server-based DMS is hosted on-site and connects to workstations in the office via LAN. This type of system employs your local servers to store and manage data. This means they offer more security since all your files are on a drive physically near you. It also allows the developer to tweak and customise the software according to your company’s needs.
The downside with a server-based DMS is that it can be comparatively expensive and requires an on-ground technician to carry out maintenance and upgrades.
While a document management tool will help make your business more efficient, picking one can be a little tricky. We have put together a list of things you should look out for when you make your choice.
Reports state that by 2025, over 200 zettabytes of data will be stored across the world, and 50% of this is to be stored on the cloud. This highlights the importance of data security. You should prioritise the security of your DMS. Even if a DMS is extremely efficient, security issues could lead to a host of issues for your business, ranging from data leaks that competitors could get their hands on to a system that has been compromised.
DMS is an up-and-coming industry, with over 45% of SMEs still using paper documents as their primary mode of data management. This means there are a lot more entrants in the market, making your choice harder.
Everyone loves some risk-taking, but when it comes to your business, it's best to mitigate all possible risks and go with a reputable vendor. Not only will they have a reputed client list, but they are also more likely to offer good after-sales support.
The DMS isn’t the only system your company is likely to use. Mango Practice Management notes that your business could benefit from features such as the ability to live edit and use external plugins. This way you can seamlessly integrate your new DMS into an established system at your company.
It might sound silly, but your DMS must be easy to use. This way, the learning curve is reduced for those using the new software, and the workflow is not interrupted.
Some employees may also feel demotivated if they are not able to adapt to a new, complex system. A system that is functional yet simple to understand will help alleviate this dread.
You will likely use your DMS software day in and day out. While companies send out reps to help train their employees to use the new software and test its functionality on the ground, there is always a chance that something may go wrong, or you may discover a bug that previously went undetected.
Make sure that your DMS provider is committed not just to selling you the software, but also to maintaining it and making sure customer satisfaction is high.
Good after-sales support when it comes to your DMS of choice is a must.
There is one more thing you should keep in mind. We mentioned that all DMSs, at their core, serve the same purpose. This is true. At the same time, make sure you do not pick a DMS that follows a ‘one size fits all’ approach.
Make sure you pick a DMS that can be adapted, customised, and updated based on the needs of your company.
