What do healthcare, social services, financial and insurance services, legal services, and academics have in common? They’re still heavily relying on physical documents for their ongoing operations. Despite these industry’s reluctance in going digital, there is a business case for document scanning and cloud storage.
Why Are Some Industries Still Paperless?
While it might seem like a no-brainer to go paperless in 2025, when solutions like Folderit make it incredibly simple to manage documents, some industries still rely on physical documentation for a variety of reasons, including:
- Regulatory Requirements
Some industries like healthcare and finance are governed by strict regulations (e.g., HIPAA for healthcare) that mandate the maintenance of physical records. These requirements often necessitate wet signatures and hard-copy documentation. - Cost Considerations
The financial burden of digitizing systems can seem substantial, especially for businesses with established paper-based processes. - Cultural Inertia
Long-standing habits and resistance to change play a role in the continued reliance on paper. - Technological Limitations
Older systems may not integrate seamlessly with modern digital tools. - Perceived Trustworthiness of Paper
Some businesses consider physical presence of documents as more reliable and less prone to loss or forgery compared to digital files. - Hybrid Models
Some organizations adopt hybrid models that combine digital tools with physical documents.
Business Case For Document Scanning And Cloud Storage
There is no better time than today to go completely digital, as it makes perfect business sense for a variety of reasons, including:
Cost Savings
A survey found that by going digital, a company saves $7,500 per year, per employee in paper management costs, which means it is incredibly cost effective for large organizations to go digital.
On top of that, companies can save on the costs associated with managing the physical space for file storage and allocation.
Scanning and storing the documents in the cloud eliminates the need for on-premise solutions, saving costs on utilities and rent.
More Efficient
Working with physical documents requires someone who knows the system well enough to track and manage labels, security, and usage, while any collaboration is limited to physically looking at the document, with no means of controlling who gets to see what.
Digital document management allows employees to quickly search for and retrieve documents, acquire approvals, conduct audits, assign access rights, and collaborate through a web interface accessible from anywhere on the planet.
Better Security
On-premise systems can be vulnerable to cyber threats and natural calamities as they are bound by their hardware and location.
A cloud-based document management solution, however, is secured under 256-bit bank level encryption which is functionally impenetrable. Going digital has the added advantage of protecting documents against natural disasters like fires or floods, as the storage facilities for cloud servers are purpose built to protect against these outcomes.
Environmental Benefits
The yearly global production of paper and cardboard is 400+ million tonnes, which is equivalent to two sheets of paper per person each hour.
The paper industry consumes 13%-15% of the global wood production, contributing to rapid deforestation.
Going digital is more sustainable, does not consume natural resources, and is generally more efficient.
Compliance and Accessibility
Fully digital organizations find it easier to comply with industry regulations that ensure documents are easily searchable and retrievable, especially when trying to meet the legal requirements for retention periods.
Also, having quick access to digital records, such as powerful OCR-enabled search that makes it easy to track any document from the archive instantly coupled with audit trails, makes it easier to conduct and navigate an audit.
Scalability
Scaling up a business based on physical documents incur astronomical costs in infrastructure and human resources. However, a cloud-based solution can scale up or down by simply clicking a button.
Flexibility for Remote Work
Digital documents are accessible via cloud storage anywhere on the planet with a working internet connection and a web browser. It is platform, OS, and hardware agnostic, allowing employees to work remotely, and flexibly without compromising security or efficiency.
Training and Implementation
Transitioning to digital systems requires an investment in training, technology adaptation, and possibly hiring relevant professionals or consultants. However, a comprehensive training programs ensure a smooth transition to new tools and processes.
Through document scanning and cloud storage, businesses can go paperless, and minimize their reliance on physical documents as a benefit to their own bottom line, and the environment in the form of hours and resources conserved.
Folderit makes a compelling case for document scanning and cloud storage as it ensures that you can fully go paperless.
