Wadih founded PairSoft and PaperSave, and he currently advises non-profits on business process improvement and technology.View all posts by Wadih Pazos
Wadih Pazos • August 11, 2015
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Increasing electronic workflow has proven to be very effective for businesses, as they continually seek to improve productivity rates and streamline operational processes. The growth that the document management industry is seeing worldwide is being facilitated by technological advancements—namely the popularization of cloud computing.
A Future Market Insights study found that outsourcing of document management to offsite providers is expected to grow steadily until 2020 due to increased demand for virtual solutions. Document management software converts text into electronic versions that allow users to manage them from remote locations.
Future Market Insights projected that the U.S. market for document management outsourcing will grow at a compound annual growth rate of about 3% during each of the next five years.
The source attributed this consistent expansion to several factors, including decreases in usage of print products, persistent consumer interest in new technological products, and an increase in focus on reducing operating expenses.
The research organization noted that throughout the business world, companies are beginning to gain a clearer understanding of the paramount importance of streamlining daily processes. If an organization is not maximizing its productivity through its technology, it is likely to fall behind its competition.
The source added that third-party service providers are growing in popularity to assuage operating costs, since cloud vendors charge relatively inexpensive subscription fees in comparison to owning and operating an on-premise data server.
The study identified mature economies—Western Europe, North America and Asia Pacific—as the regions that are investing most heavily in document management systems. This should come as no surprise, as these markets are generally leading the way in terms of cloud advancement and adoption.
Future Market Insights estimated that the global industry was worth $30 billion in 2014, a number that is expected to grow another $5 billion over the course of the next five years.
A recent study conducted by InfoSource found that document imaging is helping businesses streamline their expensive and time-consuming paper-oriented processes. In fact, the extent to which organizations are adopting such strategies is reflected in the industry-wide sales figures, reported by InfoSource to have exceeded $1.19 billion in revenue in 2014.
The market also boasted high shipment volumes, moving 900,000 units in the Americas alone last year. The source pointed out that the cost-effectiveness and productivity improvements that document imaging can offer are compelling to many decision-makers.
InfoSource also remarked that document imaging is growing beyond U.S. and Canadian borders, though the domestic market has proven to be the dominant force within the sector thus far. Latin American shipments are increasing in volume, as this region is emerging as an economic force.
Given the proximity to the well-established North American powers, the allure of distributing products to these developing markets is clear. For businesses in countries like Brazil, document imaging—among various other cloud functions—is a way to catch up to the established economic powerhouses quickly and effectively.
Document management and processing are rapidly expanding across the globe due to their ease of use, expanded flexibility and relatively inexpensive natures. Even emerging markets can take advantage of these useful services. The industry is growing steadily around the world, and this is a trend that does not appear headed for a reversal anytime soon.