According to modern tendencies, e-signatures are gaining popularity among businesses, sharing files via email is unproductive, and employees request cloud services for document management. All those facts confirm the prevalence of cloud-based solutions in the document management domain. The technological trends of 2024 show AI adoption in all business verticals. As a result, modern cloud-based DMSs should also demonstrate the functionality of applying AI technologies.
This article will outline the characteristics and use cases of cloud-based DMSs and highlight their advantages for different types of enterprises.
A cloud based document management system (DMS) is used by companies to exchange, safeguard, and handle documents across team members. The cloud provides flawless organization of vital corporate data and guarantees protection for files, photos, videos, and other kinds of documents. Such a solution allows for space savings, cost reduction, and remote working conditions.
Why do businesses rely on DMSs?
The coronavirus pandemic dramatically changed the business realm, forcing office employees to work remotely. And the tendency did take root. People will still work from home in 2024, and with hundreds of DMSs available, it is easier than ever. What is so good about cloud computing?
Sufficient storage
Even substantive databases can be securely kept in the cloud. Documents are organized in hierarchical folders and tagged with metadata for easy retrieval. It enables easy document management and centralized access to valuable data from any location.
Easy access
With cloud-based systems, the team can be dispersed around the globe. They only need a stable internet connection and access rights. Therefore, multiple users can access and work on documents simultaneously. Dealing with sensitive information can be controlled with various access levels.
Guaranteed security
Access permissions guarantee that exclusively employees handle the company information. Data encryption is used for documents in transit and at rest. Besides, universal requirements for cloud computing allow compliance with regulations such as GDPR, HIPAA, and others.
Reduced costs
A cloud-based solution can save firms a significant amount in maintenance. As a business owner, you do not invest in premises, hardware staff, or sophisticated upkeep.
Regular updates
Timely backups and updates are planned and occur automatically. As a result, operation processes are not interfered with, and the team members have the latest functionality at their disposal.
Vast integrations
Modern cloud-based DMSs are easily compatible with other corporate enterprise systems, such as CRM, ERP, and email. It means a new DMS will seamlessly fit the already existing environment and work for general performance improvement.
What are the benefits of AI-based cloud DMSs?
Cloud-based solutions attract businesses with obvious benefits of convenience and reduced maintenance costs. Companies choose to migrate to the cloud either with the help of experts or by themselves.
Implementing AI into modern technologies is another tendency that is currently picking up speed. Enterprises of all sizes might choose to add AI features to their systems. Among those features are:
- Processing scanned documents: optical character recognition technology (OCR) can not only extract and digitize information from paper files but also analyze it, check accuracy, and forward it to relevant departments.
- Document classification: AI technology can tag and read documents, place them in the relevant folder, and label them if anything is missing. Furthermore, the computer may summarize and paraphrase documentation in case a different style is required.
- Filters and search: as machine learning technologies can read documents, filtering the data has become more advanced. Users can request, for example, that the system find data within a specific timeframe or calculate the average value of a particular item, such as expenses or goods. Documents are automatically indexed for faster retrieval.
Key features of the cloud-based DMS
Scanning and capturing
Optical character recognition, as already mentioned above, enables fast and convenient scanning and digitizing of paper documents. Altering the information is another possibility for any powerful DMS solution. The data can be recognized, customized, if necessary, marked, sent to the experts concerned, or stored safely in classified folders.
Automation and workflow
Modern solutions in the domain of document management should guarantee smooth document-centric workflows such as approvals and reviews. Electronic signatures for signing documents online should also be available. The system’s algorithms should enable automatic archiving of the old documents, as well as notifying cases of contract expirations or security threats.
Integration
A worthy solution suits any internal environment seamlessly, be it the banking business, healthcare, or the MarTech domain. A cloud-based DMS should strengthen any corporate CRM or ERP system and facilitate daily procedures.
Security
Document security allows multiple users to work on the same file. They can change, upload, update, and analyze the data. Additionally, the documents can be restored to their prior versions. Besides, various rights should be assigned, restricting some employees from making changes to the document.
Practical use cases
Cloud-based DMSs can be successfully used in the following business situations:
- Sharing data with stakeholders: allow investors, contractors, and other third parties to easily access the information and make data-driven decisions about business consistency. Assign various roles to enable participants to download, mark, or optimize materials.
- Keeping track of the projects: no matter if you prefer Kanban or Scrum methodology, the internal documentation of all development processes is kept in order. It allows new staff members to get quickly involved and supported. Everyone dealing with the same database facilitates the mentoring process significantly.
- Gathering international teams: cloud-based technology lets access to business documentation from any location or device used. It eliminates the necessity of VPNs or desktop devices. Convenient working conditions increase staff motivation.
Conclusion
Introducing a cloud-based document management system brings businesses commercial success. DMSs are able to alter internal documentation processes at the core by complying with safety standards, providing different access rights, and assisting in quick and efficient document management. Companies should select a preferable solution according to the goals they wish to achieve and available funding. These days, cutting-edge DMSs are ones with AI features.
