The Ultimate Guide to Document Management Workflow

A properly implemented document management workflow ensures that documents are accessible to the people who should see them and inaccessible to those who should not, according to any relevant compliance and regulatory standards. 

Find out more about other types of workflow management here.

Why are Document Management Workflows Important?

Document management workflows are very important for these reasons: 

• Efficiency: Streamlining the creation, storage, retrieval, and management of documentation reduces the time and effort spent on document handling. When done well, everyone who should know about the project knows where to access the documents and doesn’t need help finding every item. 
• Access and retrieval: Document management workflows are a godsend when looking for information, especially when you need it quickly! Avoid the headaches associated with searching high and low for documents by implementing a document management workflow. These benefits are most consistently achieved by implementing a document management system that standardizes how files are stored, retrieved, and protected.
• Regulatory requirements: As mentioned above, there are significant regulatory requirements that impact many industries and projects. Industries like pharmaceuticals, healthcare, finance, and government have strict regulatory requirements regarding document handling, retention, and privacy. A robust and often rigid document management workflow helps ensure these regulations are met, and projects and organizations can avoid legal or financial penalties.
• Audit trail: It’s critical to have an audit trail everyone can trust. Document management workflows should be designed to create a clear history of document revisions and access control records which are useful in tracking a document through the workflow and ensuring compliance and operational efficiency. 

Benefits of Document Management Workflows

Document management workflows are not only important to your company overall; they also make your life as a project manager or stakeholder easier. 

• Increased productivity: According to a study by IDC, 45% of businesses said that document management workflows would improve productivity. Better yet, you can take this to the next level by using AI to automate routine tasks like data entry and document retrieval, or implement workflow orchestration to coordinate these automations across tools and teams—so employees can focus on more strategic activities.
• Consistency and standardization: When implemented effectively and upheld by all, document management workflows provide a consistent method for managing all documents, ensuring that every document is processed in the same manner, which minimizes errors and inconsistencies (i.e. less rework and less time spent fixing mistakes). 
• Enhanced collaboration: When used consistently, document management workflows facilitate better collaboration across all involved parties by setting clear expectations for how things should happen and how it should be documented.
• Clarity on who did what, when: Do you ever wonder who changed your document? Who changed a price, or why a term got removed from a project charter? Document management workflows can combat this by keeping track of exactly who changes what, when. 
• Better security: Proper document management workflows include security protocols that prevent sensitive information from being accessed by unauthorized people. Be mindful about security to avoid the headaches that come with data breaches.
• Improved Compliance: Document management workflows streamline compliance with regulatory requirements by creating and maintaining proper records (via a tool like Jotform for example) and ensuring easy access to documents during audits.

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Document Workflow Process

In general, these are the steps in an effective document workflow process: 

1. Create the document

The first step in the workflow is document creation. A good practice here is to use templates or standardized formats with document management software to help with consistency across different types of documents. For example, a contract might use a template with standard terms and formatting to ensure that all legal requirements are met, without needing to talk to the legal team each time the document is used. 

2. Keep track of versions

Version control ensures that changes to documents are tracked and recorded. Every time a document is edited or updated, the system saves a new version, often tagging it with the editor's name and the edit date along with other important document metadata.

On fast-paced projects, multiple changes sometimes happen at once in real-time, making document version control, and using some kind of document version control software or document comparison software, critical. 

3. Get approval on the document

A document approval workflow involves review and getting sign-off from authorized people before the document can be finalized and used operationally. In some cases, there may be multiple levels of approval required.

The approval process for your documents will depend on your organization’s culture and rules surrounding the distribution of documents.

Expert Tip

People love to ignore requests for approval when they are sent without context or a human touch. If you want people to approve things in a timely manner, try to send the approval requests when you are with the approver, either in-person or virtually. This way, the approver can review the document and ask any questions they might have immediately, reducing back and forth.

4. Distribute the document

Distributing the new document involves providing, sending, or otherwise making it available to the people who need access to it. Train your team on where to find documents and set permissions correctly.

Another way to handle document distribution is to build a process to send specific documents to people at defined intervals. An example of this might be setting up an automation for a project management workflow that distributes project update documents to all project stakeholders at a specific time each week. 

5. Retain the document

Once you have distributed your document, you may be subject to specific document retention rules that require you and your organization to hold onto documents for a predetermined period of time for operational or compliance reasons. The rules about document retention vary by industry. 

For example, lawyers and accountants generally need to retain documents for seven years (you can also use legal project management software or accounting project management software for this purpose). In Human Resources, the Fair Labor Standards Act (FLSA) requires employers to keep records for at least three years so that they can be readily available in the event of a Department of Labor dispute. 

6. Archive the document

Archiving a document involves moving the documents that are no longer being used actively into a secure storage location designed for long-term retention, allowing access when needed. Archiving documents can help in decluttering the active storage space while still keeping all of your documents secure and available in case you need them for a future project or compliance request. 

Your document workflow process can really become dependent on the features and structure of your document management tool. For a more flexible tool, we recommend trying an open source document management system.

Types of Document Workflows

Not all document workflows function the same way—some follow a strict order, while others allow multiple tasks to happen at once. Here are several common types of document management workflows:

• Sequential Workflow: Documents progress through a predefined, linear path where each step must be completed before moving to the next. This method ensures thorough review and approval but can be time-consuming.
• Parallel Workflow: Multiple tasks or approvals occur simultaneously, allowing different stakeholders to work on a document at the same time. This approach accelerates processes but may lead to version control challenges.
• Dynamic Workflow: Also known as ad-hoc workflows, these are flexible processes that can change paths based on specific conditions or decisions made during the workflow. These workflows are adaptable but can become complex to manage.
• Rules-Based Workflow: Automates document routing based on predefined rules and criteria, ensuring consistency and reducing manual intervention. While efficient, this process requires thorough planning to set up appropriate rules.

Document Management Workflow Use Cases

Here are a few use cases where document management workflows can make your life easier: 

• Project documentation: A document management workflow ensures that documents are correctly versioned, stored, and accessible by team members, enabling efficient project tracking and updates. 
• Strategy documents: Document management workflows help keep strategy documents organized while providing clarity on what changed, when, and who approved it. Workflow management also helps distribute strategy documents to the right folks for review and feedback securely and efficiently (think automated notifications and tracked approvals). 
• Statements of work (SOWs): When you create a statement of work, it is essential that someone signs off and officially approves the SOW before you begin work. Document workflow automation helps keep this process organized and tracks changes and approvals along the way so the project’s terms are known and accessible. 
• Legal documentation & contracts: Legal documentation and contracts are often highly sensitive, and document workflows support secure storage, timely review, and tracked revisions to these documents. This maintains compliance and legal standards and provides easy access for auditing or litigation purposes.
• Human resources documentation: Human resources documentation is typically both sensitive and legally-binding. Employment agreements, separation agreements, job applications, benefits paperwork, and performance evaluations are ripe for document management processes to ensure accuracy, confidentiality, and compliance.

Learn more about other use cases and document management system benefits.

How to Set Up a Document Workflow

Now that you're ready to implement a document workflow, it’s essential to know where to begin. Follow these steps to create a system tailored to your team's specific needs:

1. Gather Requirements: Consult with stakeholders to identify document types, processes, and compliance needs. This understanding will inform your workflow design.
2. Map Existing Processes: Analyze current document handling procedures to identify bottlenecks, inefficiencies, and overall areas for improvement.
3. Define Workflow Steps: Outline each stage a document will pass through, from creation to archiving. Specify actions, responsible parties, and decision points.
4. Select Appropriate Software: Choose a document management system or document collaboration tool that aligns with your requirements and supports the defined workflow. Ensure it offers necessary features like version control and access permissions.
5. Set Up Automations: Implement process automation rules for repetitive tasks such as document approvals, notifications, and categorization. Automating routine processes reduces errors, improves efficiency, and ensures consistency.
6. Configure the System: Set up the software to for your organization's specific custom workflows, including metadata fields, user roles, and automated notifications.
7. Train Your Team: Provide comprehensive training to ensure all users understand the new system and their roles within the workflow. This will help facilitate smooth adoption and consistent usage.
8. Monitor and Optimize: Regularly review your new workflow's performance and gather feedback from users. Make adjustments as needed to improve efficiency and address any issues.

Tools For Document Management Workflows

Gone are the days of interoffice mail envelopes and big green approval stamps. Cloud-based document workflow software tools are a huge help with document management, and include features for authoring electronic documents, making changes, facilitating approvals, setting retention rules, and archiving documents. 

Here’s a list of the best workflow management software tools. These can be used for document management as well as for other workflows.

1. 1. monday.com — Best for automating manual processes
2. 2. Wrike — Best for reconnecting siloed teams
3. 3. Smartsheet — Best for spreadsheet-based workflows
4. 4. Adobe Workfront — Best for project process templates
5. 5. TaxDome — Best for setting dependencies
6. 6. Qntrl — Best for workflow orchestration
7. 7. Miro — Best for flowcharts and mind maps
8. 8. Quickbase — Best for dynamic work management
9. 9. Jotform Workflows — Best for no-code workflow creation
10. 10. Quixy — Best for drag-and-drop workflows

The above list of tools are each great at managing documents, but what if you need more? You can try these more specific options: 

• Powerful document management systems (DMS) for businesses that need extensive storage, intelligent organization, and quick retrieval of files to prevent clutter and inefficiency.
• Digital asset management software for managing assets like marketing collateral, logos, and product photos, with advanced tagging and metadata tools to ensure digital documents are easy to locate.
• Enterprise document management systems for enterprise-level businesses that need enhanced security, scalable storage, and intelligent search indexing capabilities.
• File sharing software that teams can use to send and receive files amongst themselves and with clients while maintaining proper version control and access management
• Project workflow software for coordinating tasks, tracking progress, and managing documents within the context of broader project goals
• Open-source workflow software for teams that need customizable, budget-friendly tools with complete control over features and integrations.
• Enterprise workflow software designed for large-scale organizations to manage complex workflows, streamline document handling, ensure compliance, and integrate with ERP systems.
• Document control software for managing document permissions, versions, and storage.

Document Management Workflow Best Practices

These best practices will improve your processes to help you avoid re-work, confusion, and headaches:

• Don’t overlook the importance of document security. Certain documents don’t need to be seen by everyone on the team. Do you really need your employees seeing the contracts and rates for your contract-based employees? Nothing good can come of this, so be sure you are effectively managing the security of all of your documents, even those within the project team. 
• Always consider automation. Use workflow automation to manage document control, version updates, routing, and approvals. A great way to start is to use workflow automation software to automate alerts and reminders for reviews and approvals. Reminder: Documenting your workflows from the beginning will streamline the process of automating them.
• Pick the right tool for the job. Consider a solid DMS that manages the life cycle of your documents and can support your various use cases. They can also streamline repetitive tasks such as data entry while ensuring correct access control and document security. For example, a health clinic might need a DMS that supports both electronic and paper documents and integrates capabilities for scanning paper documents into a computer system for long-term storage.
• Try to integrate document management with other business systems and processes. This will help facilitate the smooth transfer of information through systems and departments. This is not a set-it-and-forget-it type of thing. Integrations require maintenance to keep running as each provider’s tool evolves, so be ready to make adjustments along the way. Common document management integrations include CRMs, cloud-based document management and storage, process workflow software, and other business process apps. 
• Embrace continuous improvement. In addition to keeping up with integration changes, document management requires ongoing adaptation to leverage new technologies and align with evolving business practices. Ask your colleagues and stakeholders for feedback on the process and monitor advancements in document management technologies to refine and update your processes and systems continually. 

In addition to workflow-specific tips, following broader document management best practices, like centralized storage, clear access permissions, and consistent naming conventions, can elevate your entire documentation ecosystem.

For more best practices, try these document management courses.

Stay Up-to-Date On Document Management Best Practices

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