Electronic Document Management Systems (EDMS) are a pivotal tool for businesses. The benefits of using a systematic solution are far reaching. Benefits include savings on labor and space costs associated with manual filing and processing; improving security and document compliance, consistently destroying documents in accordance with financial/regulatory requirements and helping the environment just to name a few.
And while the benefits of EDMS are clear, who are the real users of EDMS?
Honestly, any business function that is heavily paper-oriented is a candidate. Some of the departments that benefit most from an EDMS solution include:
· Account Payable. According to an accounts payable study sponsored by the American Institute of CPAs, the average billion-dollar company processes 12,500 invoices per accounts payable employee annually, at a cost of $3.55 per invoice; the world's best finance and accounting departments, however, process invoices at a cost of only $0.35 each. Reducing processing costs from $3.55 to $0.35 for 12,500 invoices saves $40,000 per accounts payable employee, which is higher than their average annual salary.
· Accounts Receivable. Similar to AP, the AR department is heavily bogged down in manual processing tracking invoices, dunning notices, payment arrangements, lines of credit etc. EDMS systems allow you to organize information more effectively which can prevent disconnecting someone inadvertently or allowing a credit risk to remain in service for an extended period of time.
· Human Resources. If you have started a new job in the last 10 years, you can relate. The forms required for new hires are voluminous to say the least. From resumes, to background checks, to insurance information to emergency contacts, all these papers accumulate in a paper file. An EDMS solution not only allows you to capture information more efficiently but also secure confidential personnel data more effectively.
· Claims/Work Orders. Organizations that are service-oriented, handle disputes, process award coupons, manage requests for financial reimbursements (such as insurance or medical claims) are prime candidates for automation. Streamlining enhances the ability to respond timely to customers and resolve issues with confidence.
· Legal/Regulatory. Contracts and legal documents require secure handling as well as the ability to access key data at a moment’s notice. An EDMS solution improves collaboration and fosters sharing of information in a controlled manner.
If your department handles a significant volume of paper an EMDS solution may be right for you.