AIIM Paper Free Day

Benefits of a Paper-less Document Management Environment

Today’s Challenges: Handling Paper

Compelling Factors$Offsite storage of paper$Office floor space cost$ Security of paper assets$ Audit prep and execution$Dispersed workforce$ Copy, fax, and courier costs

An averagepaper document

gets copied19 times**

$220 in Laborto reproduce a lost document*

$120 in Laborto find a misfiled paper document*

$20 in Laborto file a paper document*

There are over4 trillion

paper documentsin the U.S. alone,growing at a rateof 22% per year**

* PricewaterhouseCoopers ** Coopers & Lybrand 

A Good Starting Point: Focus on Paper Content

With the average cost of each wasted page being about six cents, a companywith 500 employees could be spending $42,000per year on wasted prints

ShippingCourier Costs

Fax Paper /Phone Costs

CopiedDocuments

Consumables

Handlingof Paper

OffsiteStorage

File Cabinets Processes

Risks

Audits and Litigation

Compliance

DisasterRecovery

Lost or MisfiledDocuments

CustomerService

EmployeeKnowledge

Benefits of Paper-less Workplace

Paperless Means Green

• Save money on paper and shipping and reduce your environmental footprint at the same time. A study of four large corporations quantified the direct cost and environmental savings from driving paper out of core processes through deployment of ECM technologies. 

Organization  Paper  Shipping  Trees Oil Barrels  Lbs carbon  avoided Embry  Riddle  Un  $47,324  $100,000 309 882 176,264 Swedish Medical  $36,000  $200,000 235 1,764 352,527 Emerson  Process  $574,354  $158,074 3,754 1,395 278,627 Standard  Forwarding  $15,668  $60,932  102 538 107,401 

Increase the Effectiveness of Core Processes.

Accounting as an Example• Driving paper from financial processes allows an accounts

payable group to pay invoices faster, taking advantage ofdiscounts for early payment.

• It allows an accounts receivable group to improve cash flow and reduce the days that sales are outstanding.

• Enhances customer service• Reduces all costs and processes associated with manually filing , retrieving 

and storing the paper• The cost of processing an invoice can typically be cut by a factor of 10.

Midwest Operating Engineers IT Services

Document Management Challenges

Chicago Union“By using a document imaging solution we have gained sufficient savings in many operational functions. We achieved our original payback projection of less than 5 months and today we have found many other savings that have improved our business processes. With these products, we have substantially increased our user adoption. Based on the results we have accomplished, we are now more efficient and productive in many of our operations.”

Executive Director of ITUnion

Off‐Site Storage: 49%

Office Equipment: 

22%

Paper, Supplies and 

Ink: 1%

Mailing/Fax Services: 28%

Hard Dollars

Searching, Retrieval & Returning 

Paper Doc, 56%Audit 

Assessment 21%

Legal/Contracts 6%

Executives Searching for Docs 5%

Misplaced Docs 6%

Copying Docs, Filing & 

Electronics 6%

Soft Dollars

Payback: 4.1 Months (Net Inv/Oper Sav after Tax * 12)

Average Return on Investment (ROI):

294% (Oper Sav/Net Investment)

Investment CostPer User:

$333 Per Month

Net Investment Savings Generated Per User:

$1,546 Per Month

Economic Life: 3 Years

Corporate Tax Bracket: 35%

Things to Consider

• What's so bad about using paper for business?• Why is it so difficult to get rid of paper in an org?• Will the paper‐free office ever come?• What will it take to use less paper?• What is the impact of smart phones/mobile devices on not needing paper any longer?

• What can tablets teach us about the future of paper?• Is manual indexing what kills a good capture solution?

• PDF or Tiff, ‐ does it really matter?

More things to Consider

• Will pads and electronic media kill the newspaper and books on paper?

• What is the real balance with green IT ‐ growing natural resources like wood versus electricity from firing oil, coal and other non‐renewable resources 

• What can I personally do after WPFD to save unnecessary paper?

• What can everybody do to promote the use of electronic information management on WPFD to create more awareness?

• What is the impact of the dependency on electronic media when all paper is gone and power supplies break down?

• Can an electronic device ever replace the subtle tactile feeling of soft paper and turning the pages manually?

Methods to Go Paperless

Document Imaging

Enterprise Content 

ManagementeForms

Digital Signatures

Report Capture Paper Archival

Print to PDF Workflow

Methods to Go Paperless

Document Imaging

Enterprise Content 

ManagementeForms

Digital Signatures

Report Capture Paper Archival

Print to PDF Workflow

Introduction to Document Imaging

Document Imaging

• Scan• Index• Store• Search• Retrieve• Archive

Capture Devices

• Scanner• Copier• Fax• Camera• Mobile Device and Smart Phones

Capture Environments

• Centralized• Distributed• Various Models

Branch

Branch

Branch

Headquarters

Paper Capture Options

• Ad‐Hoc Scanning– Expense Report – One off, random times– Your office

• Transactional– Hiring Process – Series of documents

• Resume, cover page, application, 1099, Drivers License, etc.– Front office

• Batch Scanning– Accounts Payables – Large volume of similar type documents: 

• Invoice, Purchase Order, Packing Slip– Back Office

Document Types

• Structured– Structured Data– Know Page Layout– Consistent Format– Limited Fields

Document Types

• Semi Structured– Structured Data– Predictable Layout– Tabular Data– Multi page documents

Document Types

• Unstructured– Complex Pages– Variable Formats– Tabular Data– Multi page

Document Indexing Methods

• Key from Entry– Fully manual classification and entry of the data– Select the document type, type in the indexes

Document Indexing Methods

• Automation– Page Classification

• Cover Sheets

– Document Separation• Patch Codes

Barcodes can really help in both areas

Document Indexing Methods

• Index Automation– OCR– ICR– OMR– Barcodes– Pick Lists– Database Lookup– Full Text OCR

Advanced Capture

• Semi Structured– Structured Data– Predictable Layout– Tabular Data– Multi page documents

• Unstructured– Complex Pages– Variable Formats– Tabular Data– Multi page

Software will be more complex setup and operations, more expensive and usually only used in high volume or heavy indexing situations.  

It can provide a excellent ROI in the right environments. 

Examples: Accounts Payable Invoice Processing – Semi Structured ‐ InvoiceHuman Resources – Unstructured – Cover Letter, ResumeMortgage Loan Processing – Unstructured, multipage, mixed batch.

Document Indexing Methods

• Index Usage– Metadata ‐ How much is enough– What is goal for the data

• Search indexes• Population of Line Of Business application

Storage

• Enterprise Content Management System– Search, Retrieve and View

• Pure Document Management or Document Imaging System

• File System (no, no!)

Application Best Bets

• Paper Intensive• Lots of Process Steps• Distributed Environment• Great Starting Points

– Accounting, Human Resources, Contracts, Claims, Applications, Records – Healthcare, Government

– Just look in your office for where the paper is moving around and it’s impacting productivity

Don't Create Paper

• Pre‐process– eForms, Digital Signatures, EDI

• Post Process– Print Stream Capture– PDF, TIFF or XPS output

Resources for more information

• http://aiim.org/Resources• http://aiim.org/Resources/Publications/ECM‐Toolkits

Thank You