301.840.6264 – Space, Document Management & Asset Tracking (RFID) Professional.
Published Apr 16, 2020
Research firm Gartner estimates that as much as 3% of a company’s revenue is spent on paper. Copy paper, note paper, invoices, letters, file folders…it all adds up, and it’s easy to quantify. But that’s just the hard costs. What is rarely calculated are the hidden costs all that paper generates.
A few statistics from a PriceWaterhouseCoopers study:
· 8 hours – the amount of time an employee spends managing paper documents each week
· $122 – the cost of finding a single lost document
· 750 – the number of lost paper documents per year, per mid-size business
There’s a dollar figure attached to this kind of lost productivity. Even though the math may not show up on a P&L spreadsheet, lost documents alone can be calculated to cost the average mid-size business $91,500 per year.
And that’s before calculating the cost of office space to store all those documents. Paper is undeniably bulky. Just 250 standard file cabinets take up 2,500 square feet. That adds up to a significant sum, too: $135,000 per year, on average.
Knowing those costs could make you think twice about using – and retaining – all that paper. But do you have a choice?
Imaging is the alternative. Converting paper documents to digital documents saves businesses the cost of all that storage space for physical documents. The contents of those 250 file cabinets, after conversion, will fit onto a single hard drive. With imaged documents safely stored on a drive, lost documents are a thing of the past, as is the cost of finding those lost documents.
Even better, businesses can take advantage of the cost savings of a remote workforce. Digital documents, unlike paper documents, can be shared readily with members of a distributed team. And remote teams require less office space, adding to the cost savings.
Of course paper still provides a valuable function even in the digital era. People have a positive response to information presented on paper, and they absorb and retain that information longer. Sales and marketing materials, for example, have a greater impact if they’re presented on paper.
But for many other areas of business operations, imaged documents present a significant value in the form of reduced real estate costs and improved productivity. Take a look at how your enterprise uses paper, uncover the hidden costs, and make a profitable move to imaging.
Joe Alvarez, president of National Office Systems Inc., has over 20 years’ experience helping companies and government agencies to bridge the gap between an organization’s processes and technology when considering storage and asset management systems. Since 1976, National Office Systems (NOS) has been the leading provider of the most affordable and comprehensive storage solutions (high density mobile shelving, automated storage and retrieval, stationary shelving, biometric secure access cabinets) and document management systems. NOS saves money for businesses when they move to a new space, showing them how building smaller spaces and leasing less space provides rapid return on investment for capital equipment projects.