How to Decide What to Scan: Paper vs. Digital Records

Table Of Contents:

• Paper vs. Digital Records: What’s the Real Difference?
• Should You Scan Everything?
• What Records Should Be Scanned?
• What Records Should Be Stored Instead of Scanned?
• Compliance Considerations When Deciding to Scan
• The Cost Comparison: Scanning vs Storing
• The Hybrid Records Management Model
• Decision Framework: How to Evaluate Each Record Category
• How Corodata Helps You Decide What to Scan
• Frequently Asked Questions
  • Is it cheaper to scan or store documents?
  • Should businesses digitize all records?
  • Do regulations require scanning?
  • How long should paper records be kept?
  • Can I combine scanning and offsite storage?

When it comes to paper vs. digital records, the “just scan everything” approach isn’t always the best one to take. It’s a common misconception that all paper records should be scanned for digital storage, but the truth is, not all records should be digitized. 

The right approach is a hybrid strategy that includes scanning frequently used documents while securely storing long-term or low-use records offsite. 

Knowing what to scan versus what to store as paper is the foundation of a successful hybrid records management strategy. Getting that balance right saves time, money, and compliance headaches down the road.

Paper vs. Digital Records: What’s the Real Difference?

Whether stored in boxes down the hall or in an offsite storage facility, paper records require physical space. Along with the infrastructure that paper storage requires, physical documents present challenges related to:

• Cost
• Environmental risk
• Deterioration

Unlike digital files, paper files must be physically located and pulled by staff, which can slow down workflows and introduce human error into the equation. With paper storage, you must also factor in the risks of mislabeling or misfiling important documents, as well as the value of storage space that could be put to better use. 

By contrast, digital records are instantly searchable, shareable, and accessible remotely. While this makes them a better fit for shared workflows and distributed teams, digital storage comes with its own set of challenges and risks. 

• Cybersecurity threats
• Access controls
• Backup requirements 
• Long-term infrastructure costs

Paper vs. digital records is not a one-size-fits-all decision, and there’s no single right answer when it comes to hybrid records management. 

Should You Scan Everything?

Scanning every paper record in your organization is rarely the right approach when you’re considering paper vs. digital records management. With scanning, upfront costs, and quality control requirements hit even before a single file is usable, with document prep, indexing, labor, and handling, costs. And because digital storage is neither free nor passive, files still need to be stored, backed up, and maintained once they’re digitized.

Over-digitization creates its own clutter, with bloated systems and low-value files taking up storage space of a different kind, making high-access files harder to search, manage, and keep compliant. Because storing rarely accessed files digitally adds cost without adding value, inactive records don’t belong in active systems. 

Instead of taking a reflexive, automatic approach to digitizing your records, scanning decisions should be driven by how a record is used, not just a simple desire to go paperless. 

What Records Should Be Scanned?

While not every document is a good fit for digitization, some records are clear candidates. When evaluating your paper vs. digital records strategy, the strongest contenders for scanning are the files your team depends on most for day-to-day operations and quick decision-making across your organization.

• Records your team reaches for regularly, such as active client files and current contracts
• Shared files that multiple people need to view and edit, including HR documents and project records
• Collaborative documents that employees need to access from outside the office, like onboarding materials and policy manuals
• Documents that need to be retrieved and delivered quickly, such as financial statements and compliance reports
• Records that may be needed in a legal proceeding or audit, including transcripts, agreements, and briefs

When determining what records should be scanned, making files like these a priority helps avoid the pitfalls of over-digitization. It all comes back to how a record is used, and the records your team uses, shares, and relies on most are the ones worth scanning first.

What Records Should Be Stored Instead of Scanned?

Just like some records are a better fit for digital storage, some are better candidates for physical storage. In building your paper vs. digital records strategy, the best files for offsite storage are the ones that your organization rarely touches but still needs to keep. 

• Records that need to be kept for years but are rarely accessed, such as closed case files and expired contracts
• Original documents where format carries legal weight, like signed agreements, notarized forms, and property deeds
• Historical records that serve as a permanent record of your organization’s history, such as board minutes and founding documents
• Low-use records with long retention requirements, such as tax filings and corporate formation documents

Not every record needs to be at your fingertips. For the ones that don’t, offsite storage is the smartest, most cost-effective solution for hybrid records management. 

Compliance Considerations When Deciding to Scan

Different industries have different record retention requirements that dictate how long records must be kept and in what form. Scanning a document doesn’t automatically satisfy file retention obligations, since the original may still be required in some cases. 

Industries like healthcare, legal, and financial services face the strictest expectations around how long records have to be stored and remain accessible. On top of that, in some sectors, audit readiness means being able to produce records quickly, in the right format, and with a clear chain of custody. In cases like these, digital records can support this process only when the underlying retention rules are met. 

When in doubt, the safest approach is to store the original and scan it. However, since compliance guidelines can vary, professional guidance is recommended for determining which records your organization needs to preserve in the original format and which can be safely digitized. 

The Cost Comparison: Scanning vs Storing

Cost is one of the most practical factors in any records management decision. Both scanning and storing carry real costs, and understanding where those expenses come from can help you make smarter, more defensible choices about hybrid records management.

Scanning costs are often underestimated. When calculating costs and weighing the pros and cons of scanning versus storing paper documents, consider cost factors such as prep labor, indexing, and quality control. Digital storage infrastructure, including servers, backup systems, and maintenance, incurs costs that scale as the volume grows.

Physical costs look different but are equally real. Offsite storage often involves rented space with environmental controls to protect records. Retrieval services must also be accounted for, although for rarely accessed records with long retention requirements, these costs are typically far lower than the upfront investment of scanning. 

Framing your hybrid records management decisions around a return-on-investment model helps clarify which option delivers better value for a given type of record.

The Hybrid Records Management Model

A hybrid records management model brings together the most practical elements of both paper and digital records storage. This strategy is based on scanning active, high-use documents and storing inactive, long-retention records. It also includes another element that we haven’t touched on yet, which is destroying records when they are eligible for disposal, which helps keep long-term costs in check. 

This three-pronged approach of scanning, storing, and destroying puts records where they can be reached when they’re needed and keeps costs low by moving inactive files out of active systems. Because holding onto records longer than required creates unnecessary risk and cost, destroying records when they reach the end of their retention period is just as important as the other two components of this hybrid records management model.

Certified shredding services ensure that destruction is documented, compliant, and traceable. With this hybrid model, records move through each stage as their status changes, and an active file may become an archival record tomorrow. 

Following a 12-month compliance roadmap is one way organizations balance access, cost, and compliance without taking an all-or-nothing approach to going paperless.

Decision Framework: How to Evaluate Each Record Category

The best decision framework for paper and digital records management is a simple rubric. Evaluate each record category using these five questions before making a call about whether to digitize or store a paper document.

• How often is it accessed? Scan high-access records and store rarely accessed files offsite.
• How long must it be retained? Use physical storage for longer retention periods with low access requirements.
• Is the original legally required? If the original format is legally required, you
• What is the cost to scan? Weigh the upfront investment of scanning against the operational benefits. 
• What is the risk if lost? Give the highest level of protection to hard-to-replace records or those that carry legal exposure.

Answering these five questions can help you determine which records to scan and which to keep in paper form. When in doubt, store the original and scan it. 

How Corodata Helps You Decide What to Scan

To help you make the scan vs. store decision, Corodata brings over 75 years of experience as a strategic advisor and offsite storage provider. Offering services for every stage of the records management lifecycle, Corodata is a secure scanning partner helping California businesses evaluate their hybrid records management strategy. 

Frequently Asked Questions

Is it cheaper to scan or store documents?

Whether it’s cheaper to scan or store documents depends on the record type. Scanning carries higher upfront costs, including prep labor, indexing, and quality control, while offsite storage costs are typically lower for rarely accessed records with long retention requirements. The most cost-effective approach is a hybrid records management strategy that matches how you actually use your records. Compliance requirements can also influence your decision, as some records must be retained in their original format for extended periods.

Should businesses digitize all records?

Not all business records should be digitized, and blanket scanning often increases the cost and complexity of records management without improving outcomes. The decision is best made using a simple rubric that asks how long a record must be kept, how often it is accessed, and whether the original format carries legal weight. Frequently accessed, collaboration-heavy, and litigation-sensitive documents are strong candidates for scanning, while long-term, low-use records are better stored offsite.

Do regulations require scanning?

Regulations generally govern how long records must be kept and in what form, and some industries require original documents to be preserved even after scanning, such as healthcare providers storing patient records under HIPAA. Understanding the records compliance requirements of your industry is essential before making any decisions about digitization. 

How long should paper records be kept?

Retention periods for record storage vary by industry, record type, and applicable regulations. Long-term document retention requirements can range from a few years to permanently for certain record categories. 

Can I combine scanning and offsite storage?

Yes, you can combine scanning and offsite storage as part of a hybrid records management strategy. For most organizations, this is the recommended approach, with audit-ready records management programs combining digital access for active files with secure offsite storage for inactive, long-retention records. Corodata supports all aspects of hybrid records management strategies, helping businesses in diverse industries manage the full records lifecycle, from scanning to shredding and secure record destruction.