Document management system (DMS)

In a nutshell: What is a document management system?

In today's working world, a document management system (DMS) is no longer analogue, but digital software that enables the archiving, cataloging and processing of documents. Due to the partial automation of the system and the practical document search functions, a digital DMS increases efficiency in the management of documents of all kinds.

 

Holistic document management systems also offer the option of real-time editing of documents by multiple employees, regardless of location and device.

 

Efficient document management

A document management system enables the efficient management of documents. The DMS functions generally include the capture, archiving and processing of digital documents. This also includes documents that are initially only available in physical form and are digitized by scanning.

 

Powerful document management systems are in no way comparable to file servers or mere archives. Documents are usually simply stored on a file server or in an archive without being categorized or sorted in any other way. This results in confusing databases. The situation is fundamentally different with document management systems.

 

• The DMS software captures documents automatically and reads them out automatically. Additional information can also be entered manually. The document and metadata (e.g. creation date, version, author) are saved in the database.
• For easy retrieval, modern DMS software has numerous search functions based on metadata. This and the uniquely assigned document ID make documents easy to find.
• Professional programs also have functions for collaborative editing of documents. In addition, different authorizations can be assigned to people in the system to access documents.

 

More and more companies are opting for cloud-based document management systems. Providing the software via the cloud - also known as "Software as a Service" (SaaS) - has the advantage that users do not have to install the system on their computer. In addition, the storage capacity, performance requirements and functions of the software in the cloud can be scaled as required. The cloud provider takes care of maintenance and updates to the document management system.

 

The functions of a DMS apply to documents and files of all kinds: emails, PDF files, Excel and Word documents, graphics, forms and many more. Ultimately, a document management system is a holistic solution. It simplifies the management and processing of documents immensely and increases the efficiency of numerous work processes.

 

Improved collaboration in teams

Powerful document management systems such as SharePoint from Microsoft also improve collaboration in teams. Employees can access and edit documents and files via the cloud. Microsoft provides the necessary storage for collaborative editing via OneDrive or SharePoint.

 

Microsoft apps are all that companies and employees need to work together on documents. From version Office 2010 onwards, all Microsoft apps support collaborative document creation. This means that employees can make changes to files in the cloud, view the version history and react to their colleagues' changes by viewing the version history.

 

SharePoint offers several functions to not only view and edit documents and files, but also to share them. Microsoft has built its document management software according to the principle of a modular system from which companies can select the most important functions and customize the software. The additional use of Microsoft Teams and other apps from M365 enhances the qualities of the SharePoint document management system.

 

We at innobit specialize in designing individual IT solutions for companies . This also includes solutions for document storage, document management and document processing. We would be happy to develop a cloud solution for document management for you, in which we automate your workflows, make work processes more efficient and link the DMS with other systems (e.g. CRM, ERP, CMS). If required, we can also implement comprehensive authorization structures.

 

Get a document management system with support from innobit now!

 

 

Important requirements for document management software

DMS software must fulfill certain legal requirements . Data protection in particular is a critical aspect for companies. If data protection regulations are not met, companies face draconian penalties.

 

For example, document management software must have thoroughly defined access authorizations . The authorizations for accessing documents and files are either defined by the company itself or - as the initial setup of access rights can be a complex IT issue - by a professional IT service provider in consultation with the company.

 

Further requirements for document management systems in accordance with data protection can be:

 

• Deletion of data after the legally defined retention obligation has expired (Article 17 of the GDPR)
• Protection against access by third parties, for example by encrypting PDFs and other documents
• Providing information on the use of personal data if requested by individuals

 

The easy retrievability of information, which results from the detailed search functions of a document management system, makes it easy for company employees to provide information on the use of personal data (see key point 3) if customers enquire. The deletion of data after the end of the statutory retention period (see key point 1) can be automated in good software.

 

Good document management software therefore not only helps companies and employees to comply with legal regulations, but also makes it easier to comply with them thanks to its range of functions. In addition to the legal requirements, a good DMS has to fulfill a number of other requirements. These include adapting the system to the size and workflows of the company as well as the cost efficiency of the system and the smooth connection to other programs via interfaces.

 

Areas of application for document management: system in invoice management, purchasing and other areas

Invoice management is an example of a classic area of application for a DMS. Thanks to integrated OCR technology, the invoice number, date and amount are automatically recognized. The invoice can then be sent to the responsible employees for checking and approval. In this example, companies that have automated the checking and approval of invoices benefit from a completely digital workflow from the time the invoice is received to the time it is paid.

 

Another area of application for a document management system is purchasing. Here, the DMS supports companies by enabling the storage of supplier documents. The documents are read in and from then on, information is easy to find in the document management system for the employees responsible for purchasing. It is also possible to automate certain purchasing processes with the help of a DMS.

 

Contract management is another popular component in the management of digital documents. Companies benefit from a digital document management system in this area because, in addition to the audit-proof storage of documents, it offers other functions such as monitoring the contract term. This means that employees receive alerts from the DMS if, for example, the deadline for a termination expires or an important contractual clause comes into effect. Some DMS solutions even include functions for the automated approval of contracts.

 

This is an exemplary overview of five other areas of application for document management systems:

 

• Digital personnel file with information about the employee, their working hours, training and other details
• Sales support through archived digital sales documents, customer information and correspondence with customers
• Promotion of quality management in addition to the quality management system (QMS) through the management of documents with quality guidelines and procedural instructions
• Use in libraries to catalog references to the content and location of media and to make it easier for users to search for media
• Storage of sketches and technical drawings at construction companies and architectural firms

 

Document management process in the system: from the capture to the distribution of information

The following is a brief description of how work in a document management system proceeds from the capture of a document to its processing. The process described below serves as an example of the uncomplicated collaboration and efficient processes in document management systems.

 

1. If documents are available in physical form, they must first be scanned . As soon as a document has been digitized, the information can be captured largely automatically.
2. Using OCR technology, the software scans the essential information and catalogs the documents to make them easier to find. If required, additional keywords can be added to the document manually.
3. Once the document and its content have been recorded, the information is distributed in the document management system. A link to the document is sent to the relevant departments .
4. The employees in each department have full or partial access to the documents in accordance with the individual authorization concept. Accordingly, they can edit the documents or use the information they contain for their own work.
5. As it is not the document but the link to the document that is sent to the employees, all employees work on the same document. There is no need to send copies of the document, as was common in the past. This is because all employees have access to the current status and all previous versions of the document via the link.

 

Employees do not always process the document. Sometimes the automated workflows take effect and the document is automatically managed in the system. With good software, employees can also automate the processes. A distinction is made between ad hoc workflows and fixed workflows.

 

Ad hoc workflows allow new workflows to be set up quickly for infrequent and less demanding tasks, while fixed workflows are defined for recurring tasks. These options for automating processes can significantly reduce the workload of employees.

Conclusion: modern, secure and efficient document management

The use of a document management system contributes to the modernization of document management. By introducing a DMS, companies can capture different types of documents quickly, archive them so that they are easy to find and process them efficiently.

 

In view of the increasing digitalization of the working world and employees' expectations of a digital workplace, the introduction of a DMS is now almost a must for the majority of companies. As a professional IT service provider, we support companies from every sector with efficiency-enhancing and cost-reducing DMS solutions.