Document management systems are one of the most important tools that can help an accounting firm run more smoothly. DMS will simplify your paper-based processes and eliminate the need to constantly shuffle files around to find what you’re looking for. DMS is also a great tool for scanning documents into electronic format, so you won’t have to worry about running out of space in your filing cabinets or spending hours organizing and sorting through piles of paperwork! Choosing to go paperless will improve the efficiency of your company.
If you have any doubts about going paperless, here are top 5 reasons you should be going paperless:
1. Improves relationship with your vendors and clients-
Electronic document management systems will allow CPAs and administrators to concentrate on more important aspects of accounting such as taxation rather than filing paper. To ensure an easy file retrieval system is in place during audit time, this will also help when it comes to attracting new vendors and satisfying customers. With a short turnaround time, you can afford to put your employees’ expertise on display by responding to customer requests and making vendor payments.
2. Provides accountants with a higher level of security-
A digital document management system is invaluable to any small business, and especially one with a high volume of paperwork. Using CDMS (Cloud-based Digital Document Management System) ensures files are safe and digital copies can be used in the event your originals get lost or destroyed during travel. CDMS offers constant monitoring for file access, annotations, revisions.
Going digital simplifies paper shuffling and filing. You’ll never lose an important file because all of your files are backed up.
3. Maintains regulatory compliance with accounting standards-
A document management system helps to convert financial paper into a digital form, which can help control information access and stop potential leaking of sensitive documents.
With an automated DMS system in place, you will always know who touched it, when they touched it, and where the file is stored. Security in an organization can be increased by managing compliance in the company.
4. Eradicates human error-
It is difficult to control excessive amounts of paper in the office. The paper storage system causes clutter, which means that mistakes are unavoidable with increased risk of losing or destroying essential documents. Using a document management system will reduce those errors to zero.
As an accounting firm, you may be missing some discounts with vendors due to a dated document storage process.
5. Easily integration-
A Document Management System (DMS) can be customized for the accounting system to make it easier for different employees in an organization to find what they are looking for and process certain tasks. A well-integrated DMS benefits your company’s workflow while improving productivity as well.
An effective document management system for a financial and accounting firm will result in an increase in output, generate higher revenue, better cash flow control, accurate reporting and improved customer service.