An Essential File Management Guide For Businesses

Are you having trouble locating the file you need? If so, that's a compelling reason to improve your company's file management strategy. 

File management, or document management, is the process of storing, organizing, and managing physical and electronic data. These include hard (e.g., printed files) and soft copies (e.g., videos, images, spreadsheets, and word-processing documents).

Efficient file management is a systematic approach to handling files and documents. It aims to encourage productivity, improve efficiency, ensure fast delivery of products and services, and increase business output.

Improving your file management will help you find the specific piece of information you need in an instant. It'll also reduce the risk of losing or misplacing files, saving you time and money in the long run. But the question is how? 

How To Improve Your File Management?

If you and your employees have trouble finding documents, you might need to revamp your file management. When done correctly, the following tips will ensure you'll never lose a file again. This could help reduce operating expenses by thousands of dollars per year.

1. Digitize Documents

The first step to improving file management is importing physical data into your computers. With this, you'll never have to waste time digging piles of documents just to find the information you need. 

To get started, scan printed documents one by one with a scanner into your document management software. Keep in mind that accuracy is crucial when scanning files. You want to ensure that every detail, no matter how trivial, is captured. This is where quality control comes in.

Check the settings of your document management system and set a 'custom confidence rate' (CCR). This means the software will only accept scanned files that meet the threshold you specify. 

For example, if a scanned document is only 90% accurate, but your CCR is 95%, it wouldn't be accepted unless you review and approve it manually.
 

2. Fax From A Computer

Electronic faxing (eFaxing), or online faxing, is another way to keep your files and documents digital. Unlike traditional faxing, eFaxing sends a fax from a computer via the internet, email, and an eFax service provider. 

With eFaxing, you don't need a bulky device to deliver a message to your recipients. This is a convenient way to send a fax quickly! But how does it work?

First, look for an eFax provider and set up an account. Afterward, open your account and compose an email. Then, address it to your recipient using their fax number followed by your eFax provider's email server and domain (e.g., @efaxing.com).

That's how easy eFaxing is! So, consult a service provider right away and revolutionize how you send messages to your recipients through eFaxing.
 

3. Organize Digital Files

Once you've digitized all your physical records, it's time to organize them accordingly for easy retrieval. Here are some simple tips you can follow:

• Naming Your Folders: When naming a folder, it's best to use words that describe them (e.g., 2022_Accounting_Records or Q1_2022_Accounting_Records).
• Categorizing Your Files: Divide your documents into different categories (e.g., taxes, internal finances, and suppliers). 
• Subcategorizing Your Files: After categorizing your files, divide your files into subcategories (e.g., human resources – payroll) for easier retrieval.
• Storing Your Data: Choose between on-premise and cloud-based solutions. For vast amounts of data, cloud-based is better; otherwise, opt for on-premise solutions.
• Retaining Crucial Data: Determine which documents must be retained to free up storage space. It's best to get rid of files seven years old and above.

Follow these simple file organization tips, and you'll never have to waste your time over a chaotic digital archive.
 

4. Establish A File Naming System

Establishing a logical file naming system will help you find the document you need in seconds. You can choose between these commonly used naming systems, including:

• Date-first (e.g., 2022-Parks-Resume.doc)
• Creator-first (e.g., Parks-Resume-2022.doc)
• Content-first (e.g., Resume-Parks-2022.doc)

With a logical file naming system, finding the information you need will be much easier.
 

5. Choose A File Management System

A file management system, or file manager, is a software solution that allows you to manage files in a digital system. It's designed to handle group and individual files, such as office records and documents. 

When choosing a file management system, make sure you consider the following:

• Integration: This feature allows you to combine multiple software solutions into a single platform.
• Offline Use: This feature allows you to save and retrieve files without the internet. It's most useful during blackouts and internet connectivity issues.
• Easy-To-Use Interface: Setting up the system should be smooth, and your team should be able to use it without any hassle.

Follow these tips to find the right file management system for your company.

6. Take Advantage Of Shortcuts

Shortcuts are another way to improve and speed up retrieving essential files and documents. But first, what is a shortcut?

A shortcut is a link or an icon on the desktop to access a particular item instantly. All you need to do is double-click that shortcut to open the file or folder you need. There's no need to search or browse your vast data library.

So, how to create a shortcut icon? First, find the original copy of the file you always open. Then, right-click your mouse, hover your cursor on the 'Send to' option, and click 'Desktop.' To check if it works, go to your desktop and see if the file you need appears.
 

7. Track Document Versions 

Documents often undergo multiple revisions, especially those coming from team-based projects. Problems may arise if you can't determine who revised a particular file and when. You may be working on an earlier version instead of the latest one. So, what should you do to prevent this from happening?

The only way to prevent such problems is by making use of version control features when available in your chosen file management system or software. Many file management systems and collaboration tools offer built-in version control features that automatically track changes and revisions. These features are more efficient and less prone to human error.

If your file management system does not offer built-in version control, you can manually track document versions by renaming the file whenever a new version is created. For example, you can update the file by adding something like 'Ver.2' at the end of the filename.

Final Thoughts

File management is an integral part of any business operation. Efficient file management allows you and your team to locate a specific file or document without wasting time and money. This encourages productivity and increases business output. Use this guide at your disposal to establish an efficient file management strategy.