File management: more beneficial than you think

You desperately need a document to be forwarded on before you can leave work, but you can’t find it anywhere on your computer. You curse your cluttered desktop and downloads folder, where it takes 30 minutes to find the correct file. Unfortunately, it’s too late — you’ve missed the deadline, and the issue will have to wait another day.

While it may be quicker to just save files to your desktop, it doesn’t take long until your screen looks as if it was hit by a hurricane. Having a proactive attitude to file management can yield many useful results for both large organizations and individuals.

What is file management?

Short definition:

File management is creating an organized structure for the storage of data.

File management is a critical aspect of organizing files on a computer system. It includes storing, managing, and manipulating data. Common processes included in file management are organizing files in folders, backing up data files, compressing files in order to save space, and creating permissions associated with access and security.

Many businesses or organizations implement file management systems to streamline these tasks. These systems sort and archive files, documents, and other data and can organize them in a way that makes it easy for relevant individuals to find and access them.

The database of files for a management system has a search function so users can quickly retrieve documents. Seems simple enough. So why is file management important, and what kind of benefits can be reaped from it?

Why do you need a file management system?

Numerous benefits can be derived from a good file management system. File management can play a critical role in streamlining processes, reducing costs, and improving productivity. Organizations with large amounts of administrative data will particularly benefit from the structure that file management delivers.

But what about small operations? Fortunately, the benefits of having a file management system can be felt on a smaller scale, too. Implementing a file management system for your home network will help with organization. This is especially true for people working from home, who have a particularly pressing need to keep on top of their files, data, and information.

What are the 3 basic types of file management?

The three basic types of file management are outlined in the table below:

Why is file management important?

File management is important because it defines how easily and quickly an organization can locate and access files. Every digital file that you generate or receive has to be dealt with appropriately, and file management can be beneficial in this process.

It can often be difficult to identify and store business data files within a coherent structure consisting of directories and subdirectories. File management can make this process easier and more efficient and ensure that data and information are always on hand when required. This can be valuable for organizations of all sizes, but is particularly vital for larger organizations that generate vast amounts of files.

Benefits of file management

Whether you’re running a business or starting a new work project, here’s how keeping on top of your file management using appropriate software is of benefit:

• Streamlines office processes. With a file management system to help with storage and organization, many admin processes can be streamlined.
• Maintains project uniformity. A project may need multiple team members working on a single document. So long as that document remains linked to your file organizer software, all versions of it will remain up to date. Similarly, if you want to go back and check previous versions, a file manager keeps older iterations archived.
• Protects sensitive documents. Any file management system that’s worth its salt will let you keep documents restricted from certain individuals. This could be information such as employee payroll information or more sensitive work files that are for members of the board only. Either way, a file manager should allow you to password protect whatever documents need it.
• Everything in one place. File management systems function as pseudo archives. All the information you need for a topic, subject, or project is centralized in one useful location. Furthermore, many types of file management software will allow you to establish file hierarchy. A hierarchical file system is a great way to compartmentalize a selection of files into one overarching topic folder.
• Saves resources. Many employees have to recreate pre-existing documents simply because they can't locate them on corporate systems. Recreating documents can sometimes take a matter of minutes, but for more complicated documents, an employee may waste days. File management systems help keep files and documents well-organized, meaning that existing files can be located more easily, saving time in the process.
• Reduces the number of emails. Vast, unwieldy email chains are common in many organizations. Effective file management is a great way to help avoid this undesirable and time-consuming form of communication. Instead of employees being forced to email files back and forth, file management can make important documents accessible in one place.
• Easy review and approval. Personnel are often required to review and approve documents, which can be time-consuming. By implementing file management effectively, contributors and approvers can gain access to required files more easily, which saves time and improves the efficiency of content review.
• Improved in-house communication. Many file management systems have communication features that aid an organization’s communication. Threaded discussion and commenting capabilities can help involved parties keep track of conversations and further improve the way that files and information are dealt with. File management systems can also store conversation histories, keeping track of changes so that those accessing the document can understand and recall why changes were made.
• Maintains document versions. When numerous people across an organization are accessing the same document, the latest version of the file may be unclear. People may even attempt to update the same document simultaneously, which may create conflicting changes. However, when you implement a file management system, it automatically controls the version of documents published, removing this consideration from your teams.

The following ten handy tips can help you put file management into practice effectively.

10 tips for effective file management

1. Avoid saving unnecessary documents. It can be tempting to save every file that you receive. But doing so can be counterproductive when it comes to implementing file management, creating a needlessly convoluted and complicated system. Removing unnecessary documents makes it far more likely that file management can be implemented effectively.
2. Use consistent labeling. Consistently implementing a file- and folder-naming system makes locating information easy. Another useful technique is using color coding to categorize files and folders.
3. Store related documents together. Typically, people and organizations that require file storage have many documents of the same type that can be grouped together. Documents such as word processing files, spreadsheets, graphics, video files, images, and reports can each be stored together.
4. Separate ongoing and completed work. Make a distinction between ongoing and completed work. Move files that you've dealt with into storage folders so that you can separate them from files that remain relevant. This helps ensure that file management is more efficient.
5. Use logical hierarchies. Using logical hierarchies may be less important depending on the type of file management used, but it is still a good general practice to create folders and sub-folders in a logical hierarchy. For example, you may wish to store all financial documents together rather than having one huge folder with an array of different files. Avoid multi-layered folder structures.
6. Always use metadata. While the creation metadata is often bypassed, it is a critical element that enables additional information about a file to be stored. Metadata can aid the location of information by making files more recognizable to system storage.
7. Index files clearly. Most modern operating systems can index files and documents for future searches. There will usually be a simple operating system option that can be used to turn indexing on. Indexing will prevent having to manually filter through what could be millions of files, enabling files to be identified in a much shorter time period.
8. Check files periodically. Periodically sift through your files and remove those that aren’t needed. This will not only save space but also make your hierarchy more accessible. However, it is important to be prudent with this process and ensure that you only archive files that are no longer required. It can often be necessary to store documents for a considerable period for legal reasons, so please bear this in mind.
9. Organize files as you work with them. Whenever you create a new file or document, or whenever you acquire a file that needs to be stored for access at a later date, ensure that it is saved to the appropriate folder and titled correctly.
10. Back up files. Issues with information technology systems and electronic equipment emerge frequently, and this means you should back up your files on a regular basis. File management software can often make this process easier, and there are a variety of applications available for this process.

How can NordLocker help?

Any file management system will contain sensitive information. So how will you keep all that data secure? Simple — with NordLocker’s secure cloud storage for business, one of the most useful cybersecurity tools available.

NordLocker Business allows you to store all your files in a vault protected by next-level encryption — our technology offers an industry-leading level of security. Our protection doesn’t discriminate: any type of file that you place in your NordLocker vault will be protected. All you need to do is drag and drop files into your NordLocker folder. File encryption has never been easier.

Especially helpful for those who are always on the move, NordLocker’s encrypted cloud storage allows you to access your files wherever you are in the world, from any device.