The traditional document storage process is to physically file away paper documents. Businesses that require a paper trail for non-mission-critical documents are accustomed to this practice.
This is a cost effective alternative, but it does have many disadvantages. One of the main issues is the high-risk of deterioration in the paper files. Over https://psiphon.win/are-traditional-document-storage-methods-still-viable-for-due-diligence/ time, fungi rodents and other species can destroy the files. Paper fibers can also be damaged if the storage space is not sufficiently humid or dry. This is why it’s so crucial to follow a proper file organizational plan and follow the strict “hygiene” routine in order to keep the risks at bay.
The fact that employees need to work manually with papers and files is an additional issue with physical storage. This can result in 7.5 percent of files being misfiled and 1/5 of them getting lost. If you consider that every search and retrieval of a paper file could take up to 25 hours, this can be a huge expense for a business.
In addition, archives of paper should be stored in a safe location to prevent fires or flooding from taking place. This can be costly and take up office space which could be used for other purposes. Additionally, paper records aren’t always backed-up and could be lost in the event of a catastrophe or theft. By contrast, electronic document management systems are protected in fail-safe archives that cannot be invaded by a thief or destroyed by natural disaster.