7 Signs Your Business is Ready to Go Paperless
As business enterprises grow and customer expectations shift, reliance on paper and paper-related processes is a threat to whether an organization survives or thrives in this economy.
Companies that are weighed down with manual processes and paper-based documentation are struggling to stay afloat and compete. Paper-based processes can be costly, creates silos of information and they don’t allow for businesses to scale efficiently.
Gartner, Inc., estimates that as much as 3% of a company’s revenue is spent on paper, printing, filing and the costs to store and maintain files of information. In addition, the average office worker uses 10,000 sheets of paper a year.
So how do you know when it’s time to go paperless?
- Your current business practice is constantly behind in the processing of documents. With the shift to remote work during the pandemic, paperwork is piling up in offices and has to be sent to employees working from home. Workflows with manual processes are disrupted and businesses have bottlenecks resulting in a decrease in productivity. Due to COVID and automation updates, documents now need to become available online. Organizations may also be considering office space reductions now that more people are easily and safely working from home.
- You are still storing physical documents. Physically storing documents requires high costs for filing cabinets, storage space and office lease, among other things. Finding documents is expensive versus searching for them electronically. Your business is at risk of losing documents in a natural disaster such as a fire or flood.
- Your employees spend a lot of time looking for documents. Locating documents that are filed or lost is expensive and time consuming. Employees spend 30-40% of their time looking for lost or misplaced documents. The average cost of each misplaced document is $125 and some businesses lose a document every 12 seconds.
- You need to improve customer service. Your service levels are lagging and competitors are outperforming your business. Automation offers a faster way to process and access invoices, orders, applications, loans or claims. This in turn improves accuracy and response times to customer requests.
- You have no way to accurately monitor the process and/or get statistics on the documents that were processed. There is a mandate for better oversight and accountability – you need to prove with an audit trail where documents are in the processing cycle.
- Your staffing overhead to process documents outweighs the gains from the processing. The cost of your data entry personnel is rising and processing costs are not proportionate – number of employees, hours needed to process, scan documents, improve automation.
- Regulations call for digitized content to remain compliant. Industries such as government entities are required to remain compliant through digitizing, securing and archiving data. Also, stricter information governance policies may require organizations to digitize content.
The path to digital transformation begins with business process automation. Digitizing documents, managing files and automating routine processes can increase productivity, reduce costs, ensure compliance and improve customer service.
According to a study from market research firm AIIM, 84 percent of organizations that go paperless achieve a payback in less than 18 months.
Moving from a reliance on paper to digitized process is no small feat. Businesses that recognize the importance of taking the next step know that it is a long-term investment worth making.
MagicLamp Software takes a holistic view of systems, environment and employees to create a complete road map for success. For more information on transforming your business from paper to digital, contact us at email@example.com.