Success factors for digital document management

In every organization, there are a multitude of documents relevant to the business. Often, paper-based documents are filed in folders or binders and either physically stored within the company or outsourced to external providers. Finding and processing such original documents is a tedious process, especially when dealing with large volumes of documents. A digital Document management is the solution.

But on the road to a paperless office, companies, banks and public institutions face significant challenges. The introduction of a Document management system (DMS) assists in solving problems by digitally archiving, indexing, locating and editing documents.

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What is document management?

Document management refers to a system or process in which, in particular, electronic documents such as PDF files, Word processing files and digital images are captured, monitored, stored, and managed by organizations, institutions, and businesses. Depending on business requirements, document management exists in varying degrees: from individual stand-alone applications to large-scale enterprise-wide configurations.

The development of document management

The development of the first software systems for paper document management took place in the 1980s. These systems dealt with paper records, which included printed documents as well as images. Due to the progressive Digitization over time, the need to be able to manage electronic documents developed as well: The birth of digital document management. With the help of new software systems, it was now possible to manage all documents and files - even those created on computers and stored in local file systems or on global servers.

Document Management System - The Basis for Digital Document Management

An effective and up-to-date approach to document management requires the implementation of a document management system (DMS). A document management system is software that provides an automated way to store, manage and track electronic documents. Originally, a DMS was used to scan or read paper documents and convert them into digital images. Today, a DMS has many more functions.

The most important features of a document management system

The software detects Automatically documents and captures the most important data from it. Diverse document types such as text documents, spreadsheets, PDF files, images, videos and emails can be digitally managed and cataloged to ensure their easy retrieval and accessibility.

Digital capture and storage of documents, metadata, version control, security, indexing and query functions thus form the core of the application.

Advantages of digital document storage

The digital document repository supports organizations, institutions and companies in keeping all documentable workflows in an intelligent way. Workflows are facilitated by the automated capture and provision of documents of all types. The implemented DMS eliminates the need for multiple programs for process handling, as all necessary functions are combined under a single interface.

Combined with powerful AI-powered technology, optimizations for lean and efficient workflows are guaranteed, resulting in many benefits for immediate day-to-day business and equally leading to long-term improvements:

  • Increase efficiency: The DMS allows documents to be stored and structured in a central repository, enabling employees to effortlessly retrieve the documents they need in a digital manner. The need for a manual document search is eliminated, which consequently reduces the error rate.
  • Time savingAutomated indexing of documents simplifies searching within the digital document repository and represents a significant time advantage.
  • Improved transparency: A DMS enables multiple users to access and edit documents in parallel. This promotes collaboration and improves communication.
  • Privacy and security: By granting access rights to authorized persons only, secure storage of digital documents is guaranteed.
  • Cost savings: Companies need to spend less time and resources on manual document management. This reduces paper costs and the space needed to store paper documents.
  • Compliance: Many organizations must comply with certain legal or regulatory requirements. A DMS helps to comply with these requirements by storing and archiving documents accordingly.
  • Scalability: DMS represents a scalable solution that allows digital document management to be continuously adapted to changing requirements and expanded as needed.

7 steps to the right document management system

The choice of DMS determines successful digital document management or electronic clutter. The following guide will help you analyze fundamental aspects and thus keep a clear view when making a decision:


What needs can you identify in the company, where are the problem areas? What do you think the DMS should do and improve? Which technical requirements must be met in advance?


Even if you should only need a limited range of functions at the beginning, be sure to consider what developments you expect in the future. The needs of the company and thus the requirements for the system will increase over time. It is important to set up a precise schedule with corresponding goals and milestones.

Integration points

Decide which workflows the DMS will map, which existing processes should be optimized and what the desired DMS structure should look like. Prepare all affected areas and departments for the full implementation.

Document Management Systems Vendor Comparison

A customized solution not only saves you costs at the time of purchase, but also unnecessary effort later on. Unused functions make the system work harder and can lead to delays and crashes. It is also important that the software is compatible with existing systems.

Define schedule

How quickly should the DMS be implemented in your company? It is important to consider that enough time is planned for technical upgrades, employee training, testing and quality control. A realistic schedule is essential.


To create order in digital document management, rules must be established for document creation. These include setting up templates for standard business documents, following an internal style guide, dating or time-stamping documents, and procedures for sharing or reviewing documents.


Once you have answered the above questions, you can implement the DMS. Make sure all employees are familiar with the new processes and follow the appropriate steps when creating, storing and retrieving digitized documents.

Automate workflows and processes with artificial intelligence

The introduction of the DMS is an extremely important component in the effective management and organization of documents. However, there are challenges in the context of digital document storage that a DMS alone cannot solve. This is where Konfuzio comes into play - a software that, through the use of. Artificial Intelligence (AI) and machine learning (ML) supplements and improves the DMS:

  • Easy document storage and search: Konfuzio classifies and tags documents automatically. This means that users can find documents quickly and easily by searching for specific tags or categories.
  • Document archiving: Konfuzio automatically categorizes and archives documents in a GoBD-compliant manner. This means that users can create workflows that allow documents to be processed automatically based on rules and procedures.
  • Joint document processing: Using optical character recognition (OCR), Konfuzio can automatically identify and extract relevant data. This allows companies to automatically correct documents to eliminate errors and improve document quality.
  • Mapping digital business processes with workflows: Konfuzio can automatically create workflows to automatically process documents based on rules and procedures.
  • Process optimization with DMS: By using machine learning and AI, Konfuzio improves document quality and reduces processing time. This enables automated processing of documents, which in turn leads to greater efficiency and productivity.
  • Low-code email automation: Automatically extract and classify data from emails. So you never have to search for emails manually again.
  • Data Privacy: Automatically identify and classify sensitive data so that it is protected and stored.

Konfuzio is intelligent enough to understand files of a similar nature in terms of content and process them comparably to the human intellect when reading documents. In addition, the solution allows seamless interaction with other programs such as Salesforce, Google Docs and numerous other RPA-, ERP or CRM systems. Such integration significantly increases the usability of the document management system.

Data extraction with AI support

Konfuzio acts as an AI-based platform for extracting unstructured data from diverse documents and sources.

Read more about data extraction with Konfuzio here.

Application areas of a digital document management

When it comes to the question of which documents can be stored and managed with a DMS, there are no limits to the possibilities. All business areas that work with documents or correspondence (on paper or electronically) can be included in the document management system. This includes, among others:

  • Invoice processingThe DMS enables digital invoices to be processed quickly and securely. The software identifies incoming invoice documents and forwards them automatically.
  • Contract management: Managing numerous contracts with different durations, payment terms, and notice periods is one of the biggest challenges for an organization's internal financial management. With the help of digital contract management, comprehensive control over deadlines can be ensured.
  • Vacation management: Before the vacation season, vacation requests regularly accumulate on the desks of team and department managers and in HR. A time-consuming process for review and approval follows. The DMS provides a quick overview of remaining vacation entitlement and informs about requested, approved and rejected vacation requests.


Digital document management influences the possibility of smooth business processes and contributes to the optimization of processes. The DMS and the use of AI make capturing, digitizing and labeling documents fast and uncomplicated. This leaves more time to focus on core business areas. The interaction of several technologies creates an ideal basis for handling diverse workflows automatically.

Are you planning to implement a digital document management system and would like to receive more information about Konfuzio? Contact us at any time Contact on. Our experts will be happy to advise you.

Maximilian Schneider Avatar

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