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Document Management System vs. Document Collaboration System

Document Management System vs. Document Collaboration System

Document Management System or Document Collaboration System. Which one should you be using? What’s the difference, anyway? There’s quite a few differences between the two when it comes to how they can both help your business.  So, let’s take a closer look at both these systems and check out how they differ from one another and what factors need to be considered before you select one or possibly both systems.

Document Management System (DMS)


Data has always been the most crucial factor for organizations across the globe. Companies spend  considerable time and money filing and maintaining business related documents. In the days where data only existed as hardcopies, storage and repossession was very limited. But as the electronic age came into existence and with the introduction of MS office and MS Windows, these limits have long been erased. With companies generating colossal amounts of data and storing it physically as well as electronically, there has emerged a major need for document management systems. Basically, a Document Management System is the system that helps companies manage their electronic data. The key role of a document management system is to help organizations manage creation, storage, repossession and expired data with ease and efficiency.

Benefits of Document Management Systems:

As more and more organizations look to adopt the much encouraged paperless office concept, Document Management Systems play a very vital role in its success. Some of the benefits of Document Management Systems are:

  • Easy access to stored data
  • Cost Reduction
  • Improved Data Security
  • Flexible Indexing
  • Better archiving
  • Increasing effectiveness of internal operation
  • Reducing process time

Document Collaboration System (DCS)


As discussed above, there is no doubt companies generate a huge amount of data on a regular basis. When it comes to big companies with a nationally or globally distributed workforce there may be a need for something more than a document management system which stores, retrieves and manages data. There is a need for a smart, tech-savvy system where documents can be shared, viewed, worked on and edited in real time. With different teams working on the same project, such a system will help individual members of the team to transcend any geographical barriers and communicate better with each other, thereby ensuring cohesion of thought and purpose as an organization, while assuring better quality.

In simple terms, document collaboration system allows multiple users to work on a single document from different terminals (computer or mobile device). Different teams located in different offices can work together on a single document via internet or cloud based collaboration system.

Benefits of Document Collaboration System:

Win More Business

Creating a business proposal is a very hectic and time consuming task; more so if there is more than one team involved. Merging documents received from various teams and adding content (received usually at the last minute) to the file, and then when you are done with the final draft you realize that there’s information still missing.

With a document collaboration system, many of these issues can be solved. Better content management, ease of merging content and better text and graphic compatibility. This reduces the time you spend on creating a proposal without compromising on quality which is what will help you win more business.

Grow Your Business

Creating a marketing campaign to promote your latest product can be a daunting task. With different teams like designing, writing, external contractors and agencies working on the same project, there is a high chance of missing something due to lack of communication. Add to it the emails and documents that come pouring into your inbox with ‘minor adjustments’ and you’ll be tearing out your hair in a minute. With a document collaboration system you can have all the teams involved in the project working on the same document seamlessly and add to that the benefit of automatic format and layout.

Apart from the benefits mentioned above, document collaboration systems also gives you complete control of the document creation process right up to publishing. By helping you take care of the process involved in document creation, a document collaboration system helps you focus on making sound decisions. It also helps you restrict access to authorized personnel. You are also kept on top of new comments added to the document and helps you check if there is any absolute data that needs to be filtered.

Both systems are a vast improvement over how we all worked 20 years ago and both will help your business become more efficient. Although it is important to understand the differences between the two systems to ensure you give yourself everything you need to push your business to greatness.

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