Document Management - The Best Course is to Outsource
- Author Andy Sokol
- Published October 11, 2010
- Word count 1,027
If you're a business owner considering document management software, you may already have a good idea of what you are looking for in a system. But the best course of action for businesses looking for immediate ROI is to outsource.
Privacy concerns, liability and potential data breaches become major pitfalls when a company deploys a document management system that isn't properly optimized for the business they're in.
Simplify by Delegation
The mission of most companies looking to deploy a document management system is to simplify and expedite business processes. You want a solution that will make you more competitive and enable improved customer service. At the same time, you probably want to invest in a system that will help you minimize risk by protecting privacy, demonstrating accountability, and providing disaster recovery.
Whatever the reasons for your document management sourcing, there is an added benefit to document management systems --- they can do a lot more than help you eliminate paper.
As you may have discovered, there are no shortcuts when it comes to finding document management program that fits your specific business needs. To complicate matters, sometimes the messaging from some document management vendors is downright contradictory:
Oftentimes, you are told a system doesn't cost as much as you think (but more often than not, it costs more than you think). It may seem like a paradox, but recent advances in technology mean electronic document management software is no longer cost-prohibitive to small organizations (generally, those with less than 20 employees) --- especially those with budgetary constraints.
For most organizations, price is a critical factor in a purchasing decision. Be sure to do your homework --- sometimes pricing options are not as economical as they seem.
Traditional Licensing
Traditional licensing for a document management system is characterized by a large up-front expenditure. In this case, you get what you pay for: it gives you complete ownership and control of your solution and information, and 24/7 access. You control system security and management.
The downside to traditional licensing is the obvious technical support and IT investment that goes along with new software. Before you make an investment you regret, ask yourself these critical questions: Who will install the software and deploy it throughout the company? Who will train you and your staff on how to use the system? Who will you call for technical support?
Some organizations have difficulty budgeting for such a large upfront expenditure. An alternative to licensed software is open source, which is free for use to a certain number of users.
On the surface, open source software may seem like a real bargain. You have one version where the software is basically available for free, and another version which charges a fee for support.
The first option may be appealing to you if your IT team (provided you have one) has the time and resources to devote to continual process enhancement. The second option offers the support of an on-line community, which may or may not be suitable for your needs.
So in most cases, after you factor in the costs of customization, maintenance, and support, the costs of an open source system can rise above those of a traditionally licensed system.
Hosted Solutions
Hosted solutions offer a cost-effective option to any organization that is looking for limited functionality and doesn't need to be concerned with ownership of its information or data.
Should you choose to take advantage of this option, minimize your risk wherever possible. Don't consider an SaaS system unless it offers the security and accessibility that is demanded by the regulations governing your industry.
Find out what long-term guarantees are offered regarding payment increases for the service. Finally, know that your fees may increase based on your usage and storage volumes. Take into consideration the anticipated growth of your business when performing a cost-benefit analysis.
Subscription Pricing
Many document management vendors talk about how easy your day-to-day operations will be once you've transitioned from paper processes to electronic. Their websites show movies that illustrate how, with a simple click of a mouse, you can access the information you need-when you need it-from any web browser. And they're right. A document management system will simplify and expedite your processing capabilities.
But getting to that mouse click isn't necessarily as easy as they would have you believe. Information needs to be categorized and classified so that it can be retrieved, re-used, and distributed. Some vendors lead you to believe that a one-size-fits-all out-of-the-box solution will work for your company.
The expensive reality is you need to put some work into your transition. Specifically:
Audit Your Business Processes
No two organizations operate in the same way-even if they're in the same industry with the same number of employees. Process analysis allows you to pinpoint, understand, and rectify bottlenecks so that you can optimize your operations. Unless you undertake a business process analysis prior to your conversion to electronic document management, it is very likely that you will duplicate-electronically-your existing inefficiencies rather than improving them.
You need to implement a change management strategy. Not every employee is going to be overjoyed about transitioning to a new system-regardless of how simple it is to use. A new system may seem threatening to users. They may be fearful that the technology will make their jobs obsolete.
End-user adoption is critical to the success of your transition. A change management strategy will lay out a plan for proper training and-equally important-two-way communication associated with your conversion to the new system.
Going paperless is not your objective. There's a lot left to do beyond basic document management.
Document management software has the flexibility and extensibility to adapt to and improve virtually any business environment-both on the business and the administrative side. But far too many businesses become complacent after they transition from paper to electronic processes.
The best course is to outsource. Specifically, find a document management partner that specializes in handling litigation documents. These litigation document support companies must adhere to the highest standards of privacy, professionalism and service because they handle documents on behalf of insurance companies, healthcare providers and attorneys that handle litigation on behalf of these companies.
Andy Sokol is a business management consultant and owner of several document management companies in South Florida that specialize in document scanning, online data storage, secure shredding services and electronic medical record processing. Sokol is a native of Fort Lauderdale.
Article source: https://articlebiz.comRate article
Article comments
There are no posted comments.
Related articles
- Leadership Advisory: Embracing Output and Results-Driven Management for High-Performing Teams by Dr. TA Malapane
- How to Shield Your Contracting Business from Common Risks
- "The Future of Money: How Digital Currencies are Transforming Global Finance"
- Advanced Analytics in Supply Chain Management: Driving Efficiency through Data
- Zodot — An end to end free Saas Platform to Automate Your Daily Business Activities
- Guide to Workforce Planning: Process and Strategies
- Effective Business Mentorship Strategies for Startups
- Next-Generation Seismic Techniques for Efficient Permian Basin Exploration
- The Major Challenges In Government Payment Processes – Survey Reveals Critical Inefficiencies
- The Psychology of Online Bargain Hunting: What Small Business Owners Need to Know
- Cultivating a High-Performance Culture in Bangladesh: The Strategic Imperative of Employee Engagement
- Improving Coding Efficiency: Streamlined Workflows with Medical Coding Audit Services
- Ensuring Coding Accuracy: How Medical Coding Audit Services Identify and Correct Errors
- Streamlining Insurance Verification: How Healthcare Automation Services Simplify Eligibility Checks
- Managing Administrative Overload: Streamlining Processes with Healthcare Automation Services
- Navigating State Licensing Variations: Expert Guidance from Medical Licensing Services
- Ensuring Accurate Documentation: The Role of Medical Licensing Services in Error Prevention
- Navigating State Licensing Variations: Expert Guidance from Medical Credentialing Services
- Handling Multiple Credentialing Applications: Streamlined Management by Credentialing Services
- Handling Complex Medical Histories: Efficient Record Management by Patient Access Services
- Improving Overall Patient Experience: Enhanced Satisfaction with Patient Access Services
- Finding the Perfect Partner: A Comprehensive Guide to Choosing the Best Virtual Assistant Agency
- The Transformative Potential of Medical Virtual Assistants in Healthcare
- Maximizing Profitability: The Economics Behind Customizable Design Assets
- Outcome-Based Evaluations in Workforce Management
- Unlocking Potential: A Comprehensive Summary of 100x Business Workforce
- Embracing Introversion: How HR Leaders Thrive in Their Profession
- Can Statements of Work (SOW) Be Strictly Non-Labor?
- The Impact of Digital Transformation on Lebanon's Employment Landscape
- Boosting Lead Generation with Effective Local Search Marketing Strategies