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Document Management Software

In this article we’ll cover what document management system (DMS) is, how it works, and why it’s an integral part of the operational efficiency of businesses, across every industry and size.

Definition of Document Management Software

Document management system is a cloud-based system used to organize, store, manage, track, share, and edit digital assets.

Who Needs Document Management Software?

For almost every organization, viewing and sharing files is part of their everyday workflow: from basic business documents such as invoices and contracts, to specialist documents such as fire safety checklists, audit paper trails, and technical files. 

Here are some examples of who can benefit from document management software:

  • Field service providers
  • Legal firms
  • Healthcare providers
  • Financial institutions
  • Human resources
  • Manufacturing companies
  • Transportation companies
  • Real estate agents and property management companies, and more. 

Whether your business is in start-up phase, or at enterprise level, document management requirements grow with the business, so having adequate software for document management in place – whatever stage you’re at – is crucial to your operational efficiency.

Why Use DMS?

The more you rely on documents for your organization to function, the more you require an effective system that’s fit for purpose across all departments. 

This is particularly prevalent for business with dispersed teams, split between the field and office.  

For example: When a HSE officer carries out an inspection on-site, the quicker the report can be shared and viewed by the project manager in the office, the quicker any safety breaches can be dealt with. 

Without DMS, even the most efficient and productive workers can find themselves in a situation where they are unable to find the required record, checklist, or report and can spend hours searching for the right version. 

Document mismanagement can cost organizations heavily in wasted time and resources, not to mention the wider effects of HSE inefficiencies and compliance breeches when documents are lost or misplaced. 

These stats speak for themselves: 

  • About 7.5% of all documents within an organization get lost
  • 83% of modern workers waste time searching for the right version of an asset
  • Document issues lead to 21% of everyday productivity loss
How technicians at RWE Renewables reduce daily form completion time by 45%

What Are the Main Benefits of DMS?

DMS plays a huge role in allowing the flow of documents in your organization to be more efficient and quick. 

In addition, software for document management allows you to: 

  • Create a central repository for existing documentation

Your team will have an all-in-one place for all the documents within the organization and can find any required file in seconds. 

  • Go paperless and reduce costs 

Research shows that companies can cut their expenses by $40K per year by introducing an online document management workflow. 

  • Reduce your carbon footprint 

Strengthen your brand, attract customers and employees who care about sustainability and do your bit for the planet, by using less paper.

  • Streamline employees’ productivity

Team members can access information quickly and easily from any device or location, freeing time for more creative and strategic tasks. 

  • Guarantee the security of assets

The best document management systems control access to various documentation across the company, keeping documents secure and the business compliant. 

For example: DMS such as Fluix allows you to set up access permissions for each team member inside and outside your organization. 

This means you can easily provide guest access to contractors and manage their permissions, so projects can keep moving, with the risk of security breaches. 

With Fluix, it’s also possible to set up a notification each time a document is modified. This means a manager can control who has viewed, commented, or shared files and keep track of approval processes. 

The additional benefit is control from various external threats including phishing attacks, viruses, and other malware.

  • Support of compliance practices

In heavily regulated industries, such as construction, aviation and renewable energies, DMS helps you to keep compliant with adequate audit paper trails 

  • Collaboration and communication 

Cloud-based DMS can coordinate the collaboration on various documentation across departments and share files with external parties all over the world. 

In short, cloud DMS becomes a secure source of truth for all the parties involved in your business across departments and countries. Document management software helps your business to stay ahead of the competition and raises your employees and contractors efficiency to the new level.

How Does DMS Work?

The functionality of DMS can vary depending on the software you choose, but the primary goal of a DMS is to streamline document management, and ensure the compliance of document-related processes.

This is achieved with the following functionality: 

  • Documents are captured in a digital form. This can be done via scanning paper documents, importing electronic files, or creating documents directly within the DMS.
  • The DMS stores documents in a secure digital repository. 
  • Documents can be tagged with data (field names, creation data, etc.) for fast search.
  • Access to documents is specified through user permissions.
  • Users can collaborate on documents by sharing, editing, and commenting within the system.
  • If the DMS includes workflow automation, users can create and manage document-based workflows, such as approvals, or reviews.
  • DMS can integrate with other software (customer relationship management (CRM), enterprise resource planning (ERP)) to facilitate data synchronization.
  • DMS often includes backup and disaster recovery to protect against data loss.
  • DMS systems may provide reporting and analytics capabilities.

How to Choose a DMS Solution

When you are choosing a solution, it’s important to understand what it can do for your business processes. 

We recommend that your document management tool has the following features:

  • Cloud storage

A centralized place for all files and any workers will be able to access them from any device anywhere.

  • Strong search capabilities 

Quickly browse through file names and content inside to easily find what you and your team are looking for.

  • Easy collaboration, editing & sharing

A space for employees to simultaneously collaborate on and edit various assets within the organization. 

  • File Naming Convention 

Without naming convention you will not find your files easily. Name files according to the creation dates or following their content category. 

  • Security, version and access control 

Protect from any unauthorized access to documentation and guarantee you are always up-to-date on the latest versions of its digital assets.

  • Integration with third-party software 

It is crucial that your chosen software integrates with various other platforms to support the daily workflow. 

  • Audit trail 

Audit trail helps to verify who worked on a file, and when the modifications were made and track file history 

  • Mobile access 

With dispersed teams, it must be mobile-friendly and give the admins and users access to files from devices in real-time, often without available internet access

What Are the Potential Problems When Implementing a New System?

Once you have decided which software is right for your business, based on features and functionality, there are several questions to consider. This helps to ensure smooth implementation across your organization: 

  • Who will be responsible for the implementation?

    Once team members are aware of the benefits to their day-to-day operations, it’s possible to share implementation responsibilities across departments.

    In this respect, it is important to have technical specialists familiar with the product within the company and a dedicated representative from the system side.

    Choosing DMS like Fluix, which does not require extensive training or lengthy, complicated onboarding processes, can help make the implementation process smoother. 

Unlike many less robust solutions, Fluix offers 24/7 support and a dedicated account manager, so the transition to using the software daily across the business is much easier.

  • How long will the implementation period last?

You have probably heard about the learning curve, which means that a certain period is required for any specialist to master the new program. 

Choose software with an intuitive interface and well-developed customer support to streamline the integration process (like Fluix, which makes the ‘learning curve’ much less steep). 

In the case of employee resistance, you should initiate an open discussion to hear everyone’s concerns and explain all the benefits and convenience the system can provide.

  • How to get the budget approval?

In many organizations, convincing stakeholders that new software is necessary might not be easy.  

Fortunately, most of the applications have a free trial period when you can test the system and prepare the analytical report showing its impact on the company processes. 

Fluix will provide you with a personalized demo of the software and allow you to test it out for yourself with a 14-day free trial after the demo.

Manage Your Digital Documents with a Professional Software Solution Like Fluix

In today’s fast-paced and interconnected business landscape, the efficient handling of digital assets is crucial for maintaining operational efficiency. 

From organizing, storing, managing, and sharing documents to ensuring security, compliance, and collaboration, systems for managing documents offer a wide array of benefits. 

DMS, like Fluix, which offers intuitive interfaces and robust customer support, can facilitate a smoother transition and integration process, ultimately benefiting both employees and the organization as a whole.

In an era where remote work and collaboration are paramount, cloud-based tools become the “source of truth” for businesses, enabling them to stay competitive and elevate the efficiency of their workforce. 

With the right software in place, you can streamline your operations, reduce document-related hassles, and empower your teams to work more productively and securely, embracing a more sustainable and efficient future in the digital age.

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