In the past, businesses used manual ways of storing their employees’ documents. You may have noticed large cabinets in offices filled with files from different timelines. This method of storing documents is now outdated and only makes it hard to retrieve documents. Today, thanks to technology, it is now possible to manage employee documents without having to deal with bulky paperwork. In most cases, the data is stored in the cloud, making it easy for HR departments to process things like payroll. Talking of payroll management, these systems allow easy processing of payments, considering that employee information is readily available. There are many benefits of using employee document management systems. This article will discuss twelve of these benefits.
- Easy of Retrieval
Searching for documents manually in a large cabinet can be tedious and take a lot of time. However, a document management system allows you to retrieve files that you may need for a specific process. For instance, when processing payroll, BoardRoom will need employees’ accurate details. Having a document management system is crucial since the details are one click away. The documents are available to authorized personnel the moment they are digitized.
- Security Backup
In case of a fire, water damage, or any other disaster, you can be at peace knowing your employees’ documents are protected. A DMS is safe and acts as a backup, unlike traditional papers that get destroyed or misplaced during a catastrophe. Therefore, with a DMS, you eliminate the risk of losing or misplacing files by creating backups. The database can be stored on any device and stored off-site for optimum security. This way, key documents cannot be lost. This ensures the continuity of the business plan.
- Ease of Updating
When a DMS is cloud-based, it allows authorized persons to update the files from anywhere. Therefore, employees can change details as long as they have access to the documents. This way, all the documents can remain up-to-date, and there is no need to send emails to employees to remind them to update their details.
- Improved Security
As mentioned earlier, a DMS creates a backup of your files. Remember, with traditional papers, you need a lockable cabinet and instill security protocols to ensure no unauthorized person has access to the documents. This is a time-consuming and low level of security. On the other hand, a DMS allows a company to encrypt its documents and only assign them to authorized people. It offers a higher level of security by ensuring every file is tracked. It is possible to view and note whoever has access to the files and ensure everyone who needs a specific file records their intention. This not only secures the documents but also makes everything easier for the organization and its employees.
- Simplified Forwarding
A document management system provides a simplified way of forwarding documents to the relevant people. Instead of distributing papers that can easily get lost on the way, a DMS allows easier forwarding, allowing employees to simultaneously annotate, comment and review the contents.
Traditional paperwork involved a lot of work, including printing, maintaining the papers, and paying electricity bills. The good thing about document management systems is that they save time, costs, and the need to maintain the documents. There is less paperwork, considering that most data are fed to the cloud. Therefore, the systems allow employees to spend little time looking for files. They can use this time to do other valuable tasks in the company.
- Ease of Access
With an internet connection, it is easy to access files remotely. It is now easy to access documents and update them in real-time. This makes operations easy, and processing payroll becomes less challenging. It eliminates errors and misrepresentations.
- Improved Efficiency
A document management system allows easy retrieval and instant storage of employee resumes, identification numbers, education certificates, payment history, and more. This way, HR can easily store the documents on one single interface rather than in multiple locations. This prevents document loss and increases efficiency.
- Centralized Details
Storing information in files means you have to look for several files to accomplish something. However, a DMS stores the documents in one interface allowing anyone authorized to access the documents. Therefore, it is easy to track everything happening in the company.
- Less Storage Space
Printing every employee detail means you need enough space to store the papers. Therefore, apart from the expense of printing the papers, you will also incur the storage cost. A DMS is valuable software that eliminates the need for boxes, bins, and cabinets in the office. It frees up space by providing a cloud-based storage solution.
- Improved Compliance
Staying in compliance with certain documents can be complex. Unfortunately, non-compliance leads to fines, canceled licenses, and other liabilities. You must make sure you comply with federal and state laws regarding things like data security and HIPAA guidelines. A DMS allows you to be in compliance by ensuring confidential documents are secure and only accessible to authorized personnel. It is also easy to classify, automate and store documents.
- Increased Productivity
As mentioned earlier, looking for documents manually can be time-consuming, and as you know, time is a valuable asset in a business. A DMS translates into productivity in that it prevents time wastage and increases efficiency. This, in turn, boosts employee morale and satisfaction. Since document management systems are scalable, they are able to meet the needs of the company. A DMS improves productivity by providing peace of mind, flexibility, competitiveness, and improving customer relations.
From the benefits discussed above, it is clear that businesses need document management systems. With a DMS, a business is bound to enjoy benefits like easy retrieval of documents, enhanced security, centralized information, increased productivity, compliance, and more. A custom DMS simplified document management and streamlined processes. This ensures a company remains profitable and competitive. The systems are changing the way companies store and retrieve data and documents. They have replaced the bulky paperwork and the huge cabinets. Therefore, anyone who is authorized can access the files while at the same time, any unauthorized person is kept out.