What is DMS in banking?

For any organization, be it banking or large enterprises, documents are very significant and have to be dealt with effectively. The pile of physical paperwork can be badly frustrating, resulting in misplaced files, disorganization, and inefficiency. It is here that the EDMS comes into play, revolutionizing the way that businesses store, manage, and retrieve their documents. Whether yours is a small business or a large corporation, it is very important to understand how an EDMS manages to simplify the cycle of enterprise functions in order to enhance productivity and security. This tutorial will lead you through what you will perceive as key advantages of an EDMS, showing how EDMS facilitates the searching and retrieval by describing features to look for, the major types of EDMSs available, and giving some advice concerning the selection of an appropriate EDMS for your organization. The main advantages of using an EDMS The core purpose of an EDMS is to centralize document management by digitizing, storing, and organizing documents. The whole concept of DMS has many benefits for any industry: Efficiency and time-saving: One of the most notable benefits of an EDMS is that it saves time. Employees no longer need to manually sift through stacks of paper or multiple file folders to find what they need. Digital documents are stored in a centralized system, accessible in seconds through a quick search. Cost reduction: By reducing the requirement for physical storage facilities, such as filing cabinets, paper, and ink, an organization is able to reduce many operation-related expenses. Moreover, with increased work speeds, less employee time is required to manage documents, which can be utilized in other essential areas of work. Enhanced security: Paper documents easily get misplaced, stolen, or destroyed. An EDMS provides high-level security across the enterprise with features like encryption, access controls, and audit trails that put your sensitive documents in front of authorized eyes only, safeguarding your critical data. How does an EDMS improve the search and retrieval of documents? One of the major pain points in document management is the difficulty of finding specific information in a timely manner. A robust EDMS solves this by optimizing the search and retrieval process. Metadata and indexing EDMS allows users to assign metadata (e.g., tags, keywords, author, creation date) to documents, making them easier to search for and retrieve. Instead of relying on file names or folders, metadata enhances the search capabilities by allowing users to filter through multiple criteria. Full-text search Full-text search capabilities are also provided by many EDMS systems, wherein they peer inside the complete text of a document for keywords or phrases. This is quite useful when long documents, such as contracts or research papers, are being searched, wherein the title or metadata does not include the information that is sought. Quick retrieval from multiple locations Whether stored in the cloud or on local servers, an EDMS centralizes document access. Workers aren't required to switch between several platforms or locations to find what they need; the system pulls information from all storage points. Version control An EDMS creates the conditions whereby the users are always working with the most recent version of any document. It does this by regulating any confusion brought about by the use of copies. The system keeps tabs on changes, stores previous versions of documents, and allows the users to revert to any of its earlier iterations when they feel so. Key features of electronic document management systems When evaluating different EDMS options, it’s important to look for key features that ensure efficient document management. These include: User-friendly interface: This will make the system very easy to understand and use immediately, by making it intuitive so that employees get used to the system in the shortest time possible. Integration with other tools: Their compatibility or assimilation with other software tools that your organization uses, which involve CRM, ERP, or setting up email systems, is crucial. Document scanning and OCR: The general expectation from any EDMS is to have strong scanning features combined with OCR capabilities for converting scanned documents into fully searchable and completely editable text. Mobile accessibility: With the growing trend of remote work, having a mobile-friendly EDMS is vital. It allows employees to access, upload, and edit documents from their smartphones or tablets. Security features: Look for features such as role-based access control, encryption, and secure sharing options to protect sensitive information. What are the main types of EDMS? There are different types of EDMS available, each catering to specific organizational needs: 1. On-premise EDMS This type of EDMS is located on your organizational servers. You have full control over the system and data within but with the added care for its security and hardware updation. On-premises EDMS will suit those organizations that deal with very sensitive pieces of information, required to take stringent security policies into consideration. 2. Cloud-based EDMS Cloud-based EDMS stores the documents on third-party servers, usually over the Internet. This solution is scalable, very low maintenance, and accessible remotely. This is a solution that will ideally suit businesses needing flexibility, trying to reduce the upfront cost associated with it, or whose workforce goes mobile. 3. Hybrid EDMS Hybrid EDMS represents the ultimate of both on-premise and cloud-based systems combined. This means that it will enable an organization to store the most sensitive documents on-premise while the non-critical files use the cloud services. It's flexible and thus allows companies to tailor their document management strategy based on the nature of the data they handle. 4. Industry-specific EDMS  For instance, an EDMS meant for such industries as healthcare or legal may need industry-specific customizations with preloaded special tools for document management in accordance with the regulations of those sectors. How do you choose the right EDMS for your organization? Identify precisely what problems you want to solve with the EDMS you're selecting for your organization. Examples might be that it will make document searches faster or reduce clutter. Still, some thought is to be given to your needs in the future, the system should grow with your business. When it comes to the time to decide on an EDMS for your organization, KORTO should be your go-to. KORTO will be a secure anchor for record management ensuring that compliance is realized smoothly and with no disruption.  If it is integrated with a system like Microsoft SharePoint, KORTO will be able to understand document metadata and convert it into record classification, further enhancing organization through AI-driven categorizations.;

To analyze, understand and explain any concept, I’ve always reverted to analogies / used conceptual thinking. I love finding similarities in complete opposite concepts and I’m excited to invite you on my storytelling journey of exploring, verifying, and disseminating records management.  The logical start would be to look at information, and if you’re anything like me, you might have thought of “data” automatically, but you’re wrong, and of course, so was I.  What are the Types of Information? Information can be classified into several types based on its nature and use. Some of the primary categories include: Descriptive Information: Provides details and descriptions about various entities. Procedural Information: Outlines processes, methods, and procedures. Predictive Information: Used for forecasting and making predictions based on historical data. Directive Information: Gives instructions and guidelines. Analytical Information: Analyzes and interprets data to derive insights. Understanding these types of information helps in better managing and utilizing them for various purposes. If you are looking for a software to help you out with managing information, you should take a look at KORTO. Importance of Information Information is crucial in various aspects of life and business. It drives decision-making, enhances knowledge, and facilitates communication. Let's delve deeper into its significance. Why is Information Important in Decision-making? Information plays a pivotal role in decision-making processes. Here's why: Provides Context: Well-processed and structured information gives context to raw data, making it understandable and actionable. Reduces Uncertainty: Reliable information helps reduce uncertainty and risks associated with decisions. Improves Efficiency: Access to accurate information streamlines processes and improves operational efficiency. Supports Strategic Planning: It enables organizations to make informed strategic plans and long-term goals. Information in the Digital Age In the digital age, the nature and handling of information have evolved significantly. Digital transformation has led to: Increased Volume: The amount of information generated and stored digitally has grown exponentially. Enhanced Accessibility: Information is now more accessible through digital devices and the internet. Data Security: Protecting information from breaches and unauthorized access has become paramount. Advanced Analytics: Digital tools and technologies enable advanced data analytics, providing deeper insights and predictive capabilities. Managing Information Effective information management involves several practices and strategies: Data Collection: Gathering data from various sources. Data Processing: Converting raw data into a usable format. Storage: Ensuring data is stored securely and is easily retrievable. Distribution: Making information available to the right stakeholders. Disposal: Properly disposing of outdated or unnecessary information. Implementing these practices ensures that information is accurate, secure, and available when needed.  Information Lifecycle The information lifecycle outlines the stages information goes through from creation to disposal: Creation: Information is generated or collected. Storage: Information is stored for future use. Usage: Information is accessed and used for various purposes. Archival: Information that is no longer actively used is archived for long-term storage. Disposal: Information is securely disposed of when it is no longer needed. Managing the information lifecycle effectively ensures data integrity and compliance with regulatory requirements. Data vs. Information Think of data as the raw materials, in a painting process. Frames, canvas, oil paint, brushes, turpentine, a glass jar and rags for cleaning, a palette and easel. Using those raw materials then allow us to create paintings. Now keep in mind, the painting cannot exist without the raw materials used to create it, but those raw materials on their own, still have purpose. In the end though, the painting becomes much more valuable than the total cost of the collection of raw materials.  Now that’s exactly the relationship between data and information, with one exception to my analogy. We are talking actual completed paintings as well as photos and prints of it, videos, written descriptions, brochures, appraisals, and valuations. This means that physical as well as digital data is recognized as information.  Data processed, analyzed, placed in sequence, and or remodeled, and then structured becomes information. The most valuable benefit is that it provides context and if done right, enables decision making. ;

As you might know, I’m on an interesting journey to make sense of Records & Information Management. In the article about understanding data and information, I took a step back to first understand data and information. For your convenience, I’ll recap my findings: Data processed, analyzed, placed in sequence, and or remodeled, and then structured becomes information. The most valuable benefit is that it provides context and if done right, enables decision making. In its simplest form, information can be divided into 3 categories: Records Business Value Information Nonvalue Information Today I want to gain a better understanding into differentiating between records and “other types of business information”. As I’m looking around my office right now, I’m realizing that most of the content I’ve gathered over the last 25 year, would not be seen as records. And even more shocking is that I’ve been storing it on multiple expensive storage devices which I’ve not looked at for years. And yes, there’s more. I have many boxes filled with physical documents as well. The task ahead of me would be to determine which are vital for business continuity (records) and, whether I consider them to be organizational or operational records. Although records make up a small percentage of the information in your company, they do hold the most value. ISO 15489 (Information and documentation – Records Management) states that records are: “Information created, received and maintained as evidence and as an asset by an organization or person, in pursuit of legal obligations or in the transaction of business.” Organizational records These records refer to your business structure and includes information that concerns the legal status, obligations as well as the company information that defines your organization. It serves as evidence and proves the existence and purpose of your business. Regulatory, compliance and governance documents reside here as well. My company’s registration certificate, details of directors, permits, licenses, mission and vision statement, policies, tax registration etc. would be considered organizational records. Operational records Operational records are all about “how you get things done”. On this level I start identifying information that is involved in my functions and transactions. Although the above organizational records confirm my business, I cannot conduct business without the operational records. These records are the outputs of transactions within the various processes in my company from beginning to end to deliver a service and support my revenue stream. First to mind would be accounting records such as proposals, invoices, statements, progress and personnel records.Records can be physical or digital. In the next article I’ll take a look at the information not considered records, and how to determine their value. ;

Now that I’ve identified the small percentage (and most important) of my company information as records, I need to look at the information that’s left. It makes me think of the Pareto Principle & the 80/20 Rule. 20% Of my company information holds 80% of the value. Sadly, I still need to clean up and make decisions regarding the 80% that’s left, although it only contributes to 20% of the value. Painful I know, but perhaps if I do this, I can get rid of many boxes and repurpose old storage devices. This process also helps me to have more empathy for the many cleanup and migration projects I’m involved in. When asking employees which important content to migrate, they’ll respond with “everything please”. When asking employees to cleanup and identify content first before migration you’ll seldom get the same answer. Importance & value definitely changes when linked to effort and the challenge is that the bulk of content created is not what we would consider valuable. ephemerapl. n. (ephemeron, sing.) Materials, usually printed documents, created for a specific, limited purpose, and generally designed to be discarded after use. Business information with no value The easiest way for me to determine whether information has value to me, is to ask myself the following: “If I lose that folder with documents or box with files, will it have a negative impact on me and my business?” If the answer is ‘No’, then it truly has no value. Think of emails not related to your work and duties, newsletters, copies and drafts of documents and informal content created. For me the challenge is, that I do not go back, to cleanup and delete content and this information becomes the majority of the information I hoard. Business information with value If I answered ‘Yes’ to the above question, then the information has value to me. Although not considered as records and having limited lifespans, this content adds value, especially for reference and even reusability. Examples for me would be training manuals and videos I create, project related emails, formal communications, budgets, and sales projections. In summaryI hope this has helped you gain a better understanding around the information in your company. The difference between data and information, how to define a record and understanding the value of your ‘non record’ information types.;

Records Life Cycle Definition The records life cycle is a concept that describes the various stages through which records pass, from their creation and active use to their final disposition. Understanding this cycle is crucial for effective records management, ensuring that records are properly maintained, accessible, and legally compliant throughout their existence. Stages of the Records Life Cycle Let's dive into 3 stages of records.  Creation and Capture of Records During the creation phase, records are generated or received by an organization. This can include various documents such as contracts, invoices, emails, and reports. Capturing records involves ensuring they are properly documented and stored in a way that they can be easily retrieved and used when needed. For example, when creating articles of incorporation, extensive collaboration among partners and legal advisors is often required. Employment contracts might involve using templates with minor adjustments, while a restaurant bill simply needs to be handed over to the financial department for processing.During this phase, documents are still considered living information that can be amended until they are finalized. Storage and Maintenance Once records are finalized, they enter the storage and maintenance phase. At this point, they become business and/or legally relevant and should not be altered. Accompanying information or metadata, such as the date of signing or the duration of a contract, is also recorded.This metadata is essential for managing and retrieving records efficiently. For instance, a restaurant bill must be retained according to financial regulations, while articles of incorporation and employment contracts need to be preserved in their original form for legal and business purposes. Proper storage ensures records are protected and accessible throughout their retention period. Disposition and Destruction Disposition involves the final stage of the records life cycle, where records are either archived for long-term preservation or destroyed if they are no longer needed. This process must be handled with care, especially for records containing sensitive information. For example, restaurant bills may only need to be kept for a few years, while employment contracts and articles of incorporation might require longer retention. Once the retention period expires, records must be disposed of securely and irreversibly, such as by shredding paper documents or securely deleting electronic files. This ensures compliance with legal obligations and protects sensitive information. And you can do it with KORTO.  Why is Records Management Important? Effective records management is vital for several reasons: Compliance: Adhering to legal and regulatory requirements to avoid fines and legal issues. Efficiency: Streamlining access to important records, improving productivity and decision-making. Security: Protecting sensitive information from unauthorized access and breaches. Cost Management: Reducing storage costs by disposing of unnecessary records. Historical Preservation: Maintaining a reliable record of the organization's history and activities. Best Practices for Managing the Records Life Cycle Develop a Records Management Policy: Establish clear guidelines for handling records at each stage of their life cycle. Train Employees: Ensure staff understand their roles and responsibilities in records management. Use Technology: Implement electronic records management systems to streamline storage, retrieval, and disposition processes. Regular Audits: Conduct periodic reviews to ensure compliance with policies and regulations. Secure Storage: Protect records from unauthorized access, loss, or damage. We found a great video of how to learn what life cycle of records is, take a look:  ;