The Advantages of Electronic Documents|
The Advantages of Electronic Documents |
Phillip A. Covington |
|
| Personal Web Site |
| At first glance the title of this section might seem obvious: of course electronic documents offer advantages! The truth is, though, that despite the increase in computerization most individuals and organizations are still relying much too heavily on paper-based documentation. What's the point of computers, scanners, and email if you are still making or storing printed copies of a large number of your documents? If you've already computerized and are experiencing good results it may be time to consider taking the next step by examining ways to reduce to reduce paper flow. |
[Home]
This page last updated 29-Jan-1998 |
|
At one time the paperless office was only within reach of large organizations with large computer networks. Today, however, increased technology and ever-falling prices on document management software and hardware have brought paperless systems within reach of the smallest organization, and even individuals. Note that the word "paper-less" can be looked at two ways: no paper at all, or as is more commonly the case, a significant reduction in paper (called "hardcopy" when dealing with computers). Start By Reducing Incoming Paperwork Once again, some of the easiest solutions are often the most overlooked. One of the easiest ways to get started on reducing paperwork is with INCOMING, not outgoing paperwork! Think about it: many documents that you send out are very likely already on computer, but documents coming in are much more likely to end up sitting in someone's "in" box, cluttering up a desk while someone figures out what to do with it, or taking up space in a filing cabinet. The first step in your plan for reducing incoming paperwork should be to find out who is sending you paper-based documents that can instead send them to you electronically? Not just the most common documents, but ALL information that you are currently accustomed to getting on paper. For instance, one of my earlier consulting clients was a company that maintained a fair-sized inventory of industrial products for commercial and a few residential customers. As with any smart company, they couldn't stock every item, just those which sold most often. Anything not in stock had to be ordered. This meant obtaining on a regular basis thick catalogs from the various suppliers and distributors they purchased from.
Besides paper catalogs being bulky, taking up lots of space, and having to wait for updates to be delivered, there are three other main disadvantages: 1) A physical copy of each catalog must be purchased for each location where employees need access to the information. 2) Because of the inherent delays built into the process of creating, printing, and distributing catalogs, by the time you get them pricing or other information may already be obsolete. 3) Due largely to number 2, employees often have no choice but to "update" paper catalogs by writing in new pricing or inventory-change information, which is subject to error. Since in most industries the trend is for prices to increase, errors due to the above usually result in products being sold for LESS than they should be. It doesn't take an accounting whiz to figure out that this is an area where reducing the number of errors can improve the bottom line.
In the case of the above client, they contacted me at a time when most of their suppliers started offering catalog information in electronic form either on disk and/or via modem over the phone. Even though at that time the company's operations weren't fully computerized it was a fairly simple process to set up their computer to read the catalog disks from their various suppliers. That way the latest information was quickly available to anyone via one of the company's networked computers.
Scan Paperwork You Don't Need Hardcopies of Another way to dramatically reduce incoming paperwork is by scanning documents that it isn't necessary to keep hardcopy of. You may need to first check with your accountant or attorney to find out which documents you are required to keep, and for how long. It is very likely, though, that you are keeping and/or filing copies of incoming paperwork that could be discarded or scanned instead. Letters and faxes are an excellent example. Other than commendations, etc., which you might want to frame on the wall, or legal or other documents which require that you have proof of the original ink signature, most letters and faxes can be scanned and discarded. Even in those cases where hardcopy must be maintained, having an electronic copy increases the ease with which the information in those documents can be accessed, and electronic copies also serve as a good safeguard in the event something happens to the originals. Copies of invoices and statements are another excellent example. Once they've been checked and/or paid a copy is really only needed in the event an unlikely discrepancy occurs later. By scanning and electronically filing incoming documents as soon as they have been processed you may be able to reduce unnecessary hardcopy by as much as 50%, depending on your operation. Next Start Working on Outgoing Paperwork The reduction of outgoing paperwork can be divided into two main areas: 1) Documents created for distribution inside and outside of your organization. 2) Documents created primarily for use within the organization. For either, the easiest first step is to simply stop mailing or faxing anything that can be sent electronically via email.
Just as a time came when any established organization or professional was (and still is) expected to have a fax machine, such is becoming the case with email. In the early days of email many flaunted their email addresses on their business cards more as a sort of high-tech status symbol than as a tool they really made good use of. Then email was somewhat of a novelty, but today email has become a necessity for any progressive organization or individual. Just as there are those who will only do business with vendors that offer toll-free numbers, many (me included) prefer dealing with those with whom most communication can take place via email.
Just doing the above will also significantly reduce the amount of paperwork you have to deal with internally. However, the internal process is the one over which you have the most control and, therefore, the potential to reap the greatest benefits. The reduction of internal paperwork is a multifaceted area with many options, including group collaboration software such as Lotus Notes, contact management and project management software, handheld PDAs (Personal Digital Assistants) and organizers such as 3Com's PalmPilot, and even notebook computers. The numerous options available and the complete process of the paper reduction process are beyond the scope of this brief introduction. However, the above information and the section that follows are more than adequate to allow you to start making significant changes now, and to start planing for even more efficient reductions in paperwork later down the road.
Security and Electronic Signatures Valuable or confidential paper documents are most often secured in a locked file cabinet, and sometimes in a safe or safety deposit box. The electronic counterpart is encryption, which scrambles the information being secured so that it is useless to anyone accept an authorized user or recipient. The password is the most common means of controlling access to secured and/or encrypted information, although some feel that digital certificates will one day see widespread use for that purpose.
(Digital certificates are a form of electronic ID designed to serve a function similar to a driver's license or the magnetic strip on the back of an ATM or credit card. The terms "digital certificate" and "electronic signature" are often confused for one another.) Electronic security is necessary not only to control internal access to documents, but because files sent electronically over the Internet via email can potentially be read by unscrupulous individuals as the files pass through the various other computer systems along the way.
Fortunately, it is becoming increasingly easier to implement security measures that will adequately protect your electronic files both internally and as they travel over the Internet. Password protection has long been an available feature in major software applications. In addition, most of the top software packages offered by major companies, such as the Microsoft Office line of products, now feature built-in encryption as an available option. (Please note that, unlike the latest software mentioned above, most programs, especially older programs, DO NOT actually encrypt information which is password protected. Even without the password it is very easy for someone with basic know-how to gain access to information "secured" in such a way. If you need your information to be secure, make sure the program you are using actually encrypts it when a password is assigned.) Large organizations frequently utilize security and encryption measures developed internally by their Information Systems staff. One problem in regard to secure electronic information is not the lack of adequate security software, but the fact that as of yet there are no standards. And, because new and better types of security products are always being developed, it may be some time, if ever, before such standards exist. This is another illustration of why organizations and even individuals should try to standardize on the most widely accepted or promising technologies and software. For instance, if both parties are using Microsoft Office (the leading office software suite, and my personal choice) then you can easily exchange secure email, word processing and other files without having to involve additional security software, etc. For those instances where you need to send secure documents to others who are not using compatible software numerous programs are available that allow you to create encrypted files that do not require any software on the other end to open (just the correct password and a compatible operating system, such as Windows 95/NT, DOS, etc.). A number of links are provided below which can help you learn more about electronic security, and the related topic that follows. Electronic Signatures It serves as strong proof that many areas of technology and business are interrelated that the first major applications of digital signatures were not primarily for security purposes, but a means of increasing efficiency and reducing paperwork. I'm talking of course about the pioneering efforts of United Parcel Service and retailers like Sears Roebuck & Company in working out many of the details of electronic signature technology, and in gaining its acceptance by the public. The important next step is to apply similar technology that will be just as recognized legally by the courts to all other forms of documents that currently require a written signature. The handwritten signature (or mark) is the oldest and most widely accepted form of document authorization and verification. An acceptable and easy to implement and use facsimile of the handwritten signature is the single most important key (and one of the final remaining obstacles) to making the paperless office, and doing business without paper, a reality. Currently, the electronic capture of an actual handwritten signature (such as practiced by UPS and Sears) seems the most promising technology, and numerous systems are already on the market that allow you to sign your documents electronically instead of with ink. |
|
Return To Doc. Mgmt. Contents Return To Homepage Copyright © 1998 Phillip A. Covington |