The disadvantages of paper-based processes
Paper-based systems are a costly, impede workflows and pose serious security risks.
The cost burden
Gartner estimates that companies spend between 1 to 3% of their revenue on office printing. If that isn’t enough, this doesn’t even account for the cost of filing, shipping and storing documents — let alone the cost of the actual paper.
In conducting original ROI research studying the cost benefits of investing in content management, Nucleus Research found returns $8.55 per dollar spent for SMBs alone. This report reveals the key benefits and best practices for small and medium-sized businesses to start saving on every dollar and win back employees’ time.
And, let’s not forget the indirect cost: Paper-based processes are a time-suck and remove knowledge workers from more productive and high-value tasks. The time that employees spend on these unproductive tasks could be costing your company a lot of money.
The security risks
It should not surprise you that paper records account for a substantial share in regards to data breaches. After all, paper is, by its very nature, impermanent. Unless you possess a digital back up, you remain vulnerable to such breaches. You’re also open to theft and damage due to natural disasters, such as floods, which can impact business continuity.
Paper impedes workflows
An survey conducted by IDC mentions that the wasted time associated with handling paper leads to a productivity loss of more than 20%. Indeed, many employees struggle to stay on top of daily tasks and workflows because they’re inundated with information and hampered by inefficient, paper-based business processes.
Moving paper through your organization, without first converting it to electronic form, is notoriously slow. Information workers waste time capturing, storing, and routing documents to others due to manual processes.
These tedious manual processes, in turn, reduce operational efficiency and create a “document disconnect,” which results in delays and errors as documents move between critical business functions such as procurement, accounting, sales, and human resources (HR).