Three out of four organizations have serious concerns about faulty document processes

A study commissioned by IDC, Ricoh Company Ltd., highlighted the fact that low-efficiency document-based processes have caused serious incidents in three of the four organizations over the past five years. The study is the first product of Ricoh’s new Document Process Imperative initiative.
The good news, however, is that proactive handling of errors can prevent significant material damage. IDC calculates that the total cost of faulty processes (including lost time and lost revenue due to lost customers) is at least ten times the direct costs generated by faults.

Errors in the document process had serious consequences: 36% of companies surveyed failed to meet compliance requirements, 30% lost key employees and 25% lost important customers. Other consequences included significant IT vulnerabilities, unnecessary audits, PR crises and lawsuits.

“What both business leaders are concerned about is how much document-driven business processes affect an organization’s risk profile: these processes have a high risk of failures that have higher real costs than many managers think.” - states IDC in its report “It’s Worse Than You Think: Poor Document Processes Lead to Significant Business Risk” commissioned by Ricoh. While most companies devote significant resources to eliminating low-probability - high-damage events, the dangers of faulty document processes tend to escape their attention. ”

Ricoh Document Process Imperative is an ongoing initiative designed to help companies understand the risks associated with documents that control their critical business processes, learn about opportunities, and apply best practices.

The first results are based on a global survey of 1516 process owners and information workers from medium and large companies. Respondents were randomly selected from eight countries: USA, Canada, UK, France, Germany, Australia, China and Japan.

Source: Press release