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Organizations rely on document scanning to simplify business operations, improve information accessibility, and maximize sensitive data security. Converting physical files into digital documents frees up office space and boosts operational efficiency.
However, many businesses make costly errors during the scanning process. Such mistakes can lead to security risks, compliance issues, compromised information, and wasted resources. Avoiding these five document scanning mistakes will help keep your records management system organized, efficient, and legally compliant.
Document scanning is the process of converting paper files into electronic records for easy storage, retrieval, and management. Industries such as finance, law, healthcare, government, and education utilize scanning to digitize files.
Modern business operations depend on document scanning for many reasons, including:
Additionally, scanned documents make collaboration and data-sharing easier while protecting vital data from disasters like fires or floods.
Sounds great, right? So where is the downside?
Let’s explore the five biggest document scanning mistakes businesses make, what kinds of problems they cause, and how to avoid committing them.
One of the biggest mistakes your business can make when scanning documents is failing to obey records retention and compliance laws. Federal, state, and industry-specific regulations dictate how long companies must retain certain records and the protocols for their storage or destruction. Every business has a legal responsibility to store its records according to these regulations. Noncompliance can result in legal penalties, data breaches, and a loss of credibility.
Noncompliance with records retention regulations can lead to significant financial penalties and legal consequences.
For example, in the healthcare industry, the Health Information Technology for Economic and Clinical Health (HITECH) Act of 2009 significantly increased the consequences of Health Insurance Portability and Accountability Act (HIPAA) violations. In addition to increasing monetary penalties, HITECH made medical providers’ business associates directly responsible for HIPAA violations.
HIPAA violations in healthcare can result in fines reaching hundreds of thousands of dollars or more. At the same time, financial institutions risk severe fines, penalties, and reputational damage for failing to comply with SEC and FINRA regulations. Mastering compliance in electronic records management and observing proper retention practices is crucial to avoid legal trouble for you and your business.
While managing document scanning in-house may seem like a cost-effective solution, it often results in inefficiencies, errors, and security risks. Many businesses lack the equipment, expertise, time, and manpower necessary to scan and store large volumes of documents accurately.
A mid-sized law firm attempted to go paperless by scanning thousands of client files in-house using basic office scanners. The process stretched over months, resulted in misfiled records, and cost thousands of dollars in lost productivity. After switching to a professional scanning service, the law firm completed the project in weeks with efficiently indexed, fully searchable, high-quality digital files.
A poorly organized scanning process can lead to further headaches. Common document scanning mistakes, such as misplaced and mislabeled files, result in wasted time and difficulty retrieving critical documents. Without a proper labeling system, you might find it impossible to locate specific digital documents when you need them. That undermines the entire purpose of scanning in the first place!
OCR technology allows you to convert scanned documents into searchable text. When you can search your indexed documents’ full text instead of just their file names, you can quickly and easily locate specific information or documents within your company’s digital archive. Investing in OCR-based document management software—or partnering with a professional scanning provider who fully digitizes your documents into searchable images—can save significant time and improve efficiency.
Relying solely on onsite backups exposes your business to risks such as data loss due to natural disasters, cyberattacks, fires, or equipment failure. Without secure offsite or cloud-based backups, companies risk losing essential information permanently.
With the rise of AI-powered automation, you can now schedule and encrypt backups automatically, which reduces the risk of human error. AI-driven storage solutions provide predictive analytics to monitor data integrity and alert organizations to potential risks before failures occur.
Choosing the wrong document scanning provider can result in poor-quality scans, substandard indexing, security breaches, and project delays. Many businesses fail to properly assess a provider’s security measures, technology, and industry experience before outsourcing their scanning needs.
A trustworthy scanning provider should offer the following:
Avoiding these document scanning mistakes is crucial for your business to maintain regulatory compliance and data security. Let us help you digitize your files, manage your electronic records, and implement a foolproof records retention process. Contact us today to discover more about our scanning services.
Strong records management protects companies and reduces risk. Your roadmap to confident, compliant records management starts here.