DMS benefits can be broken down into two principal categories: Real and Intangible benefits.
Real benefits are those transactions that can be measured in terms of quantifiable parameters such as data transfer, monitoring, storage, retrieval, indexing or sorting, including data security while the intangible benefits are transactions measured in terms of the level of difficulty in obtaining complex activities such as data search, retrieval, authentication . Both of these benefits can be attained under the Document Management system.
Real benefits would comprise the following;
File storage and retrieval functionalities are designed in full compliance with regulatory standards. File-scanning capabilities are integrated with the document management system. Through such implementation, it could reduce the amount of prime space for data storage. It significantly minimizes the costs of data storage.
Adaptable Data Retrieval
File retrieval services are subject to real-time management . As DMS increases in capacity, it creates digital images of files, stores them in a centralized data storage. It significantly reduces the time spent in locating files as these files can be retrieved in real time. Authorized users can be given access to other information systems at precisely the same time as recovering existing files. As with conventional data storage alternatives, files are frequently removed from several data storage devices and restored back to the main file storage before access to other data systems can be granted, which oftentimes, results into data losses, while other users spend much time in searching archived files.
Adaptable Data Indexing
Indexing conventional data system using a micro-film device could become burdensome, costly and time-consuming task. However, through the document management system, images of files stored can be sorted in several ways simultaneously.
Improved and Faster Data Search
Document Management Systems can retrieve files by any term or phrase in the file – known as full text search – a capability that is not possible with paper-files or micro-film devices. A DMS may also employ single or several taxonomies or categorizations into a file or folder that allow files to be stored and to be labeled in several procedures from a ‘single example,’ a something that is just not possible with paper-files or micro-film devices.
Restricted and Improved File Distribution
Data-imaging capabilities could be a simplified process to share files electronically with co-workers and customers over a network, by email or via the web in a well-managed process while paper-based files usually require time-consuming data processing services within the system. Thus DMS removes the common delays associated with providing hard copy information and provides significant cost savings by reducing the expenses in relation to paper-based file distribution, such as printing and postage expenses.
Improved Data Security
A DMS can provide better flexible data control over sensitive files. Various DMS options allow access to files to be controlled at the folder or file level of data storage for different groups of users. Paper files stored in a conventional data system have precisely the same degree of security i.e. if you are given access to the data system you will gain access to all its file contents. However a DMS provides an audit trail of users browsing the files, it makes notification alerts when data revisions has been made by users. With paper-based or micro-film files, such an activity becomes a challenging task to do. However, a DMS does not guarantee confidentiality of data content if left unattended in an office environment.
A DMS provides an easy method to backup files for off-site storage and disaster recovery facilitating efficient data recovery. Paper-files are too expensive to maintain and a cumbersome method to backup records and is vulnerable to hazards such as fire, flood, vandalism, larceny, and other uncontrollable misfortunes.
Lost File Recovery
Recovery of lost files can be a costly and time-consuming task. The likelihood of new files to be erroneously saved in another file has a lower probability and even if that likelihood occurs, wrongly stored files can be promptly and easily searched and found via the full-text searching mechanisms.
Digital File Archiving Services
Maintaining archived versions of files, in a document management system, provides data security while keeping these digitized files in a non-proprietary and common data format similar to ordinary data applications such as Microsoft Word or Excel.
Despite the occurrence of uncontrollable factors, business organization can recover lost data through the data security control of the data management system with data controls capabilities such as data archiving and authenticating features. Through the data management system, data processed and stored complies with regulatory requirements.
The improved efficiency of data management system gives it the capability to process standard documents such as invoices, official receipts and other business-related files, ensuring that the stream of information flow can be controlled and monitored over a centralized data repository device. Through such a system, financial transactions can be stored and retrieved for whatever purpose it may serve the identified clients.
Added reading – Online Document Management