Automation is a big dream especially in service industry. All of us want smooth flow of data. Whole cycle should be paper free. Data from customers , vendors, employee should flow automatically. Despite having so many computers, tons of paper being created for accounting purpose, processing purpose , or legal purpose. There are many challenges in digitization. System does not flow as we wish. Lets discuss 3 major hurdle ..
- IT limitation : Despite huge advances, data flow from one company system to another is a major hurdle. Fields are not standardized. Although all companies uses same kind of jargon and terms. Still “I am unique” syndrome make smooth flow of data impossible. EDI flow of data is a very distant dream. Some companies are doing but limited success.
Technology changes so fast. Even using android applications would be a reality for data capturing. However at present, digital data capturing through OCR (Optical character reader) is still not very healthy.Some company thinks storing data is a digitization. It hardly saves anything.
- Standardization : Every bank has different requirement for same transaction. Tons of paper is getting waste. Underlying for foreign transactions is a hell. A new company may take months to know whole framework. Even in digitised world, banks want signed copy with will legal document to process a small transaction.
Other than process, formats are bigger mess. Why a simple invoice or purchase orders can’t be standardized.?
- Legal Framework: Preserve the hard copy data for 8 years. All companies are preserving useless bills for 8 years. Why they can’t change law. Transactions should be captured at both places simultaneously. Account should be credited and debited at same time. However, legal issues crops up. Big tax complexities, data security issues hold up digitization dream.
Digitization end to end chain of data is a big dream. Have you seen any live digital factory?
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