One of a Business owner’s worst nightmares is a fire, flood or some other natural disaster that wipes out the Business. Insurance can replace the building, the desks, the file cabinets, the computers, etc., but does not replace the data and the paper files that are at the heart and the history of the years of the Business. How does a Business recover from that?
Setting potential tragedies aside: What happens in the daily course of business and customer service when your employees are delayed in finding or never find a document? Coopers Lybrand reported that 3% of paper documents are misfiled and another 4.5% become totally lost—that’s up to 7.5% of your business that could be affected! And according to the Gartner Group, the loaded cost of one misfiled document could cost $125.00 and one lost document $525.00 to the Business.
What does that mean to you and your Business?
• If your Business handles only 1,000 documents per year (which would be Very low), then 7.5% would be 75 documents that could get misfiled and/or lost—30 at $125.00 each, plus 45 at $525.00 each—potentially costing you $27,375 .00 each year.
• If your Business handles 10,000 documents per year, then that’s 750 documents that could get misfiled and/or lost—potentially costing you a whopping $273,750.00 each year—which is a large penalty to pay for a small to mid-sized Business.
• If your Business handles 100,000 documents per year, then that’s 7,500 documents that could get misfiled and/or lost—potentially costing you a whopping $2,737,500.00 each year.
These are eye-opening numbers! Whether your Business realizes 7.5% loss each year or not, the average can catch up with you, if and when, those documents become needed. Even if your Business only realized half that loss, the cost is still unacceptable!
How many documents does your Business handle each year?
What are misfiled and/or lost documents potentially costing your Business?
In light of these numbers, what would the cost be to recover your Business information after a disaster? Astronomical? Could your business survive such a loss? Some do not.
How can you protect your business and your assets from these type losses? You need a comprehensive reliable Workflow Management System and Document Management System, such as BridgeSmart WMS, that can help make your Business efficient and, of course, paperless.