Saving time and reducing budget outlays do not make up the full business value of the document management advantage. By removing the wasted labor associated with old filing methods, employees can execute more projects (increasing productivity) and spend more time and attention to client needs (increasing customer satisfaction). Therefore, the value of a document management system is more than just lower overhead; there is typically an amplification of business performance across the board.
The increase in productivity and revenue in most cases far outweighs the costs of the system, implementation, and training. According to an IDC study of new software adoptees, roughly half of the companies paid off the cost of their document management system within six months. Overall, all participants found an average return on investment (ROI) of more than 400 percent after five years.
ROI, of course, varies based on the choice of system and the specific circumstances of each case. In some business situations, a digital system will create a quantum leap in growth because new capabilities give the company an opportunity to expand in ways it previously could not.
For example, most document management solutions allow secure access to company records and information from anywhere with an Internet connection. This feature alone fosters fluid collaboration within a geographically dispersed organization that would not have been possible with paper files or unmanaged PCs and servers.
Read more in the recently-released M-Files white paper, Easy Document Management: A Guide to Features, Benefits and Selection, about how document management systems often eliminate entire steps from business processes, thereby producing tremendous gains in efficiency, productivity, and ultimately, profitability.