The possibility of an economic downturn during the upcoming year is unsettling, and its potential impact is difficult to predict. However, reducing operating expenses, which include everything your organization spends to keep your business up and running, will positively impact your company’s financial health. Switching from paper-based processes and partial solutions like a shared Google Drive or SharePoint to an enterprise content management system (ECM) will reduce operating expenses in every department where the solution is deployed.
For example, operating expenses include payroll, rent, taxes, insurance, travel and utilities, sales commissions, and asset depreciation. Cost of goods sold (COGS), the cash outlay for making, packaging, and selling your product, is an operating expense calculated separately. Generally, service businesses have little or no COGS. This blog post outlines how enterprise content management and decreasing expenses go hand in hand.
The Paperless Office
A paperless office solution stores everything from correspondence and emails to invoices and contracts in digital format. A current copy of these electronic documents is archived in the system’s centralized repository, where it’s available to all authorized users at any time (depending on their security rights).
An ECM system eliminates the need to print and file paper documents. And in today’s remote working environment – digital files can be shared securely and instantly –- that’s what we all need –- not printed copies.
You’ll no longer pay to store and maintain hard copies of your business records on or off-site. In addition, employees spend less time filing, retrieving, and sharing documents. Tasks that took minutes or hours with a manual, paper-based system take seconds with cost-effective ECM. Your staff can also stop chasing down missing information or trying to read indecipherable handwriting by using web forms to drive ECM workflows. Conversely, employees, customers, and vendors no longer waste time filling out paper forms.
The Automated Office
When it comes to obtaining the benefits of the digital office, replacing a module from your ERP, accounting, or HR software, or file shares, like Google Drive, with a purpose-built ECM yields many of the same benefits as eliminating paper processes.
Document management-enabled modules from an ERP, accounting, HR, or other specialized business software don’t meet the needs of every department in your company. They’re designed for one aspect of your business only. These options only provide one small part of an ECM solution, usually just storage and retrieval. For the layman, finding and filing,
Numerous organizations use file-sharing software for document storage and collaboration since their employees work on projects that are too large to send via email and require revision from different team members. Google Drive, Dropbox, and other similar services support teamwork and are free. However, having disorganized, siloed documents that aren’t searchable is still a significant issue.
Document management software offers digital storage and file management and enables indexing vital information, making it easy to find and access. It also incorporates digital workflow management, creating efficient, automated processes that allow managers to monitor business processes in real-time for more informed decision-making.