---
title: How Improper Document Management Can Be A Money Pit
description: Document management isn't usually a focus to find cost efficiencies but can actually be a money pit, with substantial (and unnecessary) expenditures.
image: http://www.mechanicadvisor.com/Resources/Upload/Images/moneypit.png
---

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# How Improper Document Management Can Be A Money Pit

Posted by [Kevin D'Arcy](https://blog.mesltd.ca/author/kevin-darcy) on Sep 2, 2014 12:21:00 PM

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![how-improper-document-management-can-be-a-money-pit](http://www.mechanicadvisor.com/Resources/Upload/Images/moneypit.png "how-improper-document-management-can-be-a-money-pit")

Most organizations, whether knowingly or unknowingly, have document management processes that are rife with inefficiencies. There are many reasons for this, the foremost likely being that document management isn’t a common area examined when businesses are looking to find cost efficiencies.

This is somewhat ironic as an [efficient document management strategy](https://www.mesltd.ca/services/document-management/) may be the best way to curtail exorbitant costs. Indeed, poor document management can be a money pit, resulting in substantial (and unnecessary) expenditures. Below are a few examples of how improper document management harms the financial health of businesses.

**Time is Money **

Estimates state that the average worker spends around 40% of their time simply searching for the documents or information that they need to do their jobs properly. Some sources estimate this number to be even higher! This time that is devoted to document retrieval is the product of poor document management. It may be because of the system (for example, paper filing), a lack of detailed indexing, mislabeling of files, or a myriad of other reasons, but the result is the same – time is being wasted finding information, instead of using the information to take action and make decisions.

[![Get a Document Management Software Quote](https://no-cache.hubspot.com/cta/default/380750/f7cb68bb-0a9e-4c2a-bafd-c5147162eb74.png)](https://cta-redirect.hubspot.com/cta/redirect/380750/f7cb68bb-0a9e-4c2a-bafd-c5147162eb74)

**  
Misplaced Files**

Improper document management naturally leads to lost and misplaced files. The time it takes to locate or replace files is cause enough for concern, but the cost of a misplaced file itself may surprise you – the average lost file costs a business a startling $120! Inconsistent filing procedures, poor labeling and indexing, and limitations of paper files: all of these document management follies lead to increased instances of file misplacement, and thus higher costs incurred by your business.

**Client Dissatisfaction**

For businesses that provide services, client satisfaction is their lifeblood. The ability to adequately manage clients, resolve issues quickly, and keep customers happy is paramount to success. Improper document management can significantly hinder a company’s ability to provide great customer service, namely because they are unable to handle inquiries, complaints and concerns in a timely fashion (again, this can be attributed to inability to access the information needed to provide such service). Furthermore, these inefficiencies can increase processing costs, which are often absorbed by customers. If your clientele is dissatisfied with your customer service, or if your inefficiencies become their costs, it’s unlikely that you’ll be able to retain their business.

Ultimately, improper document management results in a higher costs for your business. Improving document management processes within your organization can even help reduce costs in seemingly unrelated areas, including HR, accounts payable and receivable, and customer service. If you’re looking for opportunities to reduce your operational costs, document management is a great place to start. 

 

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- [Microfilm scanning Markham (1)](https://blog.mesltd.ca/topic/microfilm-scanning-markham)
- [Microfilm scanning services Hamilton (1)](https://blog.mesltd.ca/topic/microfilm-scanning-services-hamilton)
- [Microfilming Hamilton (1)](https://blog.mesltd.ca/topic/microfilming-hamilton)
- [Microfilming in Ontario (1)](https://blog.mesltd.ca/topic/microfilming-in-ontario)
- [Ontario Document Archiving (1)](https://blog.mesltd.ca/topic/ontario-document-archiving)
- [Ontario Document Scanning (1)](https://blog.mesltd.ca/topic/ontario-document-scanning)
- [Ontario Microfilming (1)](https://blog.mesltd.ca/topic/ontario-microfilming)
- [Paper Waste (1)](https://blog.mesltd.ca/topic/paper-waste)
- [Patient Care (1)](https://blog.mesltd.ca/topic/patient-care)
- [Patient Records Management (1)](https://blog.mesltd.ca/topic/patient-records-management)
- [Records Scanning Service (1)](https://blog.mesltd.ca/topic/records-scanning-service)
- [Records Storage Facility (1)](https://blog.mesltd.ca/topic/records-storage-facility)
- [Records and Information Management (1)](https://blog.mesltd.ca/topic/records-and-information-management)
- [Scanning Documents (1)](https://blog.mesltd.ca/topic/scanning-documents)
- [Secure Storage (1)](https://blog.mesltd.ca/topic/secure-storage)
- [Types of EDMS (1)](https://blog.mesltd.ca/topic/types-of-edms)
- [UScan (1)](https://blog.mesltd.ca/topic/uscan)
- [ViewScan (1)](https://blog.mesltd.ca/topic/viewscan)
- [Webinar (1)](https://blog.mesltd.ca/topic/webinar)
- [Wide Format Scanners in Ontario (1)](https://blog.mesltd.ca/topic/wide-format-scanners-in-ontario)
- [accounts payable programs (1)](https://blog.mesltd.ca/topic/accounts-payable-programs)
- [accounts payable vs receivable (1)](https://blog.mesltd.ca/topic/accounts-payable-vs-receivable)
- [alternative to micrographics (1)](https://blog.mesltd.ca/topic/alternative-to-micrographics)
- [archive (1)](https://blog.mesltd.ca/topic/archive)
- [archive writing services (1)](https://blog.mesltd.ca/topic/archive-writing-services)
- [archive writing system (1)](https://blog.mesltd.ca/topic/archive-writing-system)
- [books (1)](https://blog.mesltd.ca/topic/books)
- [business continuity (1)](https://blog.mesltd.ca/topic/business-continuity)
- [business records (1)](https://blog.mesltd.ca/topic/business-records)
- [cheap microfilm prices (1)](https://blog.mesltd.ca/topic/cheap-microfilm-prices)
- [child protection information network (1)](https://blog.mesltd.ca/topic/child-protection-information-network)
- [content services (1)](https://blog.mesltd.ca/topic/content-services)
- [cost of document storage (1)](https://blog.mesltd.ca/topic/cost-of-document-storage)
- [cybersecurity (1)](https://blog.mesltd.ca/topic/cybersecurity)
- [data entry (1)](https://blog.mesltd.ca/topic/data-entry)
- [data hoarding (1)](https://blog.mesltd.ca/topic/data-hoarding)
- [data indexing (1)](https://blog.mesltd.ca/topic/data-indexing)
- [data loss (1)](https://blog.mesltd.ca/topic/data-loss)
- [data protection (1)](https://blog.mesltd.ca/topic/data-protection)
- [departmental scanners (1)](https://blog.mesltd.ca/topic/departmental-scanners)
- [digital destruction (1)](https://blog.mesltd.ca/topic/digital-destruction)
- [digital library (1)](https://blog.mesltd.ca/topic/digital-library)
- [digital office (1)](https://blog.mesltd.ca/topic/digital-office)
- [digital reel (1)](https://blog.mesltd.ca/topic/digital-reel)
- [document control (1)](https://blog.mesltd.ca/topic/document-control)
- [document imaging services (1)](https://blog.mesltd.ca/topic/document-imaging-services)
- [document management resources (1)](https://blog.mesltd.ca/topic/document-management-resources)
- [document solutions (1)](https://blog.mesltd.ca/topic/document-solutions)
- [e-forms software (1)](https://blog.mesltd.ca/topic/e-forms-software)
- [education (1)](https://blog.mesltd.ca/topic/education)
- [email retention (1)](https://blog.mesltd.ca/topic/email-retention)
- [enterprise document scanning (1)](https://blog.mesltd.ca/topic/enterprise-document-scanning)
- [future of microfilm (1)](https://blog.mesltd.ca/topic/future-of-microfilm)
- [future of micrographics (1)](https://blog.mesltd.ca/topic/future-of-micrographics)
- [hospital records management (1)](https://blog.mesltd.ca/topic/hospital-records-management)
- [how much paper do I have (1)](https://blog.mesltd.ca/topic/how-much-paper-do-i-have)
- [image verification (1)](https://blog.mesltd.ca/topic/image-verification)
- [information risk (1)](https://blog.mesltd.ca/topic/information-risk)
- [insurance (1)](https://blog.mesltd.ca/topic/insurance)
- [life after microfilm (1)](https://blog.mesltd.ca/topic/life-after-microfilm)
- [manufacturing (1)](https://blog.mesltd.ca/topic/manufacturing)
- [manufacuring (1)](https://blog.mesltd.ca/topic/manufacuring)
- [membership records (1)](https://blog.mesltd.ca/topic/membership-records)
- [mes hybrid document management syste (1)](https://blog.mesltd.ca/topic/mes-hybrid-document-management-syste)
- [microfilm alternatives (1)](https://blog.mesltd.ca/topic/microfilm-alternatives)
- [microfilm products (1)](https://blog.mesltd.ca/topic/microfilm-products)
- [microfilm reader printer (1)](https://blog.mesltd.ca/topic/microfilm-reader-printer)
- [microfilm replacement (1)](https://blog.mesltd.ca/topic/microfilm-replacement)
- [microfilm suppliers (1)](https://blog.mesltd.ca/topic/microfilm-suppliers)
- [microfilm toner (1)](https://blog.mesltd.ca/topic/microfilm-toner)
- [moving tips (1)](https://blog.mesltd.ca/topic/moving-tips)
- [network drive (1)](https://blog.mesltd.ca/topic/network-drive)
- [network scanner (1)](https://blog.mesltd.ca/topic/network-scanner)
- [network scanners Hamilton (1)](https://blog.mesltd.ca/topic/network-scanners-hamilton)
- [newspaper scanning (1)](https://blog.mesltd.ca/topic/newspaper-scanning)
- [on site scanning (1)](https://blog.mesltd.ca/topic/on-site-scanning)
- [on-site software (1)](https://blog.mesltd.ca/topic/on-site-software)
- [ontario library association (1)](https://blog.mesltd.ca/topic/ontario-library-association)
- [payroll (1)](https://blog.mesltd.ca/topic/payroll)
- [portable scanner (1)](https://blog.mesltd.ca/topic/portable-scanner)
- [process documentation (1)](https://blog.mesltd.ca/topic/process-documentation)
- [public scanning (1)](https://blog.mesltd.ca/topic/public-scanning)
- [questions about document scanning (1)](https://blog.mesltd.ca/topic/questions-about-document-scanning)
- [record scanning (1)](https://blog.mesltd.ca/topic/record-scanning)
- [records management laws (1)](https://blog.mesltd.ca/topic/records-management-laws)
- [remote access (1)](https://blog.mesltd.ca/topic/remote-access)
- [remote documents (1)](https://blog.mesltd.ca/topic/remote-documents)
- [resume screening (1)](https://blog.mesltd.ca/topic/resume-screening)
- [return on investment (1)](https://blog.mesltd.ca/topic/return-on-investment)
- [scanning patient files (1)](https://blog.mesltd.ca/topic/scanning-patient-files)
- [scanning services toronto (1)](https://blog.mesltd.ca/topic/scanning-services-toronto)
- [security (1)](https://blog.mesltd.ca/topic/security)
- [sharing documents (1)](https://blog.mesltd.ca/topic/sharing-documents)
- [shredding (1)](https://blog.mesltd.ca/topic/shredding)
- [spring cleaning (1)](https://blog.mesltd.ca/topic/spring-cleaning)
- [student information system (1)](https://blog.mesltd.ca/topic/student-information-system)
- [student records (1)](https://blog.mesltd.ca/topic/student-records)
- [time management (1)](https://blog.mesltd.ca/topic/time-management)
- [uman resources (1)](https://blog.mesltd.ca/topic/uman-resources)
- [version control (1)](https://blog.mesltd.ca/topic/version-control)
- [wireless network scanners (1)](https://blog.mesltd.ca/topic/wireless-network-scanners)
- [workplace security (1)](https://blog.mesltd.ca/topic/workplace-security)
- [zeta book scanner (1)](https://blog.mesltd.ca/topic/zeta-book-scanner)

[see all](https://blog.mesltd.ca/how-improper-document-management-can-be-a-money-pit#)

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Phone: 905-475-9263

Email: [info@mesltd.ca](mailto:info@mesltd.ca)

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