By classifying similar paper or papers belonging to a particular head or subject, office staff are able to trace out the paper or documents required at any time with minimum delay and trouble. Dewey Decimal System This system is very popular in libraries. It is also possible that the same data item may have different names in different files, or the same name may be used for different data items in different files. Proper training must be given to filing clerks. Manual filing is the process of actually handling a physical piece of data. Index should be referred before ascertaining the location of a file.
Advantages and disadvantages of manual. For small concerns, alphabetical method seems to be more practical and natural because in all offices the staff members are more or less accustomed to the dictionary arrangement and grouping of words. If you have a simple return, this is no big deal. Brought to you by Disadvantages One disadvantage of this system is that documents are frequently misfiled because of the letters. About the Author Fraser Sherman has written about every aspect of business: how to start one, how to keep one in the black, the best business structure, the details of financial statements.
Since no miscellaneous files are kept it is not easy to arrange files for miscellaneous papers. . What Are the Various Filing Classification Systems? System developers and database designers often use data normalization to minimize data redundancy. In todays work environments where is the norm, dedicated filing space for paper documents often doesnt exist. Besides, numerical-sequential classification, numerical-subject classification, alpha-numeric sequential classification etc. If your people are well trained, that in itself reduces the drawbacks of electronic data storage.
Faster data access time can increase the productivity of managers, analysts, accountants and other workers who use data on a regular basis. Two-thirds of data breaches are caused by human failure. Thus, if a customer, is allotted the number 14, all papers and documents connected with him will be found in folder number 14. This system is not suitable for filing miscellaneous papers. Leffingwell suggests 27 questions to be answered while analyzing the suitability of a particular filing system.
This is no good if they are out to lunch or only work part time. All papers relating to a particular customer or supplier or subject are placed in one folder bearing its distinctive number. Goodwill A good filing system enables the office staff to handle correspondence correctly and quickly. Applications are developed independently in file processing systems leading to unplanned duplicate files. Paper takes up space, no doubt about it.
Both formats have advantages and disadvantages. Each new application requires the developer to start from scratch by designing new file formats and descriptions 5. Preparation and frequent revision of office manuals involves high cost in terms of time, labour and money. The Advantages of Vertical Filing. If someone accidentally puts a file in the wrong place, or takes a file out of a cabinet and forgets to put it back, it can lead to lost data or the creation of additional copies of files. Emailing is rarely secure, so attaching a bank statement or tax return to an email without additional security is putting information at risk, notes McCray.
Smoother Workflow Retrieving hard copies of documents filed and stored physically can be a lengthy process that is open to human error, security problems and physical loss. Especially for those who employ an outside or third party service to do the electronic filing for them, you are providing identifiable information that the service may keep on file for a long period of time. Editing and Communication A traditional file system is cumbersome in that it does not allow users to easily edit files or send information to others. Moreover gathering of information is quite difficult and time consuming. Check out this summary of the pros and cons of paper vs. The advantages include multiple simultaneous users and complex reporting ability. Any employee can find a needed document as long as the vendor name is known.
In the days before computers, a person made a folder of data and kept it in a filing cabinet, alphabetized or according to category. Numeric- filed by numeric sequence, used for confidential records used by legal offices. Moreover they can be stored in different areas like shelves, cupboards and in a file room etc. A manual filing system cannot be destroyed by an accidental power loss. Advertisement Comparison Chart Computer File Manual File Type Computer files are transferred electronically.
Office manuals bring a number of bottlenecks in the effective performance of work instead of bringing free flow of work. Unlike paper files that must be searched manually and often by memory, electronic files can be retrieved using keywords included in either the file name or the content, no matter where the document is located. Security Disadvantages Technology has shifted practically everything businesses and individuals do to the digital realm. While any accounting system is as effective or ineffective as the quality of its data, manual accounting systems offer facility and ease but may fall short when it comes to compiling reports and connecting dots. Reporting and checking that data is robust can be timely and expensive. This results in reduced overall disk storage cost and administration overhead.
All the incoming and outgoing letters are properly checked and quick disposal of letter is possible if immediate attention is required by any letter. This system ensures efficient operation of follow up activities. It cost them years worth of important legal and financial documents. And dont forget to password-protect thumb drives containing sensitive information as well. Need to access documents quickly while on the move? It can be easy to forget about tax documents since so many months pass between the time you file them and start preparing them again. It helps in simplifying communication procedure i.