In Q4 2025, SMART business — a Microsoft Solutions Partner — conducted an international survey of executives from mid-sized and large companies to explore key challenges and current trends in electronic document management (EDM).
The survey included executives from more than 50 companies, including C-level leaders and heads of functional areas from global, international, and local organizations.
The study aimed to identify:
- the level of document workflow digitalization across companies of different sizes,
- the main operational and organizational challenges in implementing EDM and document management systems,
- business priorities for document workflow automation in the coming years,
- executives’ expectations of modern IT solutions in document management.
The survey results showed that, despite ongoing business digitalization, document workflow remains an area with significant potential for optimization. Many companies still operate with fragmented or partially automated processes, which directly affects their operational efficiency and competitiveness.
At the same time, the study indicates that demand for document workflow digitalization is growing — along with its role in transforming and modernizing business processes.
Key Insights from the Study
Based on the respondents’ answers, SMART business experts identified consistent patterns in how companies approach document workflow management, as well as the key factors influencing the speed and quality of transformation in this area.
The study results show that:
1. Most companies still operate in a hybrid document workflow model
As of the end of 2025, 79.5% of companies combine paper-based and digital processes. Only 20.5% of respondents reported having fully transitioned to a digital document workflow.
From an operational perspective, a hybrid model typically introduces risks such as longer document processing cycles (due to parallel handling of different formats), duplication of efforts, and limited process transparency.
2. The level of digitalization directly depends on company size
- Among global companies, 44% have fully digital document workflows.
- Among local companies, this figure is only 6%.
These figures highlight differences in operational efficiency: larger organizations gain advantages through faster and more standardized processes, while local businesses more often face scalability constraints.
3. Key challenges are process-related rather than technological
According to surveyed executives, the main challenges in implementing electronic document management are operational and organizational, including:
- large volumes of paper archives — 45.5%
- duplication of processes and repeated data entry — 36.4%
- lack of a centralized document repository — 34.1%
These findings indicate that transforming document management approaches is essential to ensure successful implementation of EDMS.
4. Expectations of EDM vary depending on the level of digital maturity
Companies’ priorities for digitalization depend on the current state of their document workflows:
- For companies using a hybrid model, key priorities include ease of use, integration with other business systems, and basic process automation.
- For companies with fully digital workflows, priorities shift toward advanced automation, the use of AI tools within DMS solutions, and compliance with security requirements.
These expectations demonstrate that the focus of digitalization is shifting from initial implementation to optimization and further development of system capabilities.
5. EDM is a foundation of digital transformation
Survey respondents rated the role of electronic document management in business digital transformation at 4.32 out of 5.
This score confirms that document workflow is now one of the key drivers of operational efficiency in modern organizations.
Why This Study Matters for Business Leaders
The survey results provide a clear view of the current state of document workflow digitalization and help define key technological directions for further business transformation. For executives, these insights serve as a practical tool to validate their current approaches and set development priorities in line with market trends.
In summary, the SMART business study confirms the following:
- Document workflow digitalization is not yet complete for most companies, meaning there is still significant potential to improve process efficiency.
- Business competitiveness is increasingly dependent on the speed of information processing, process transparency, and the level of technological maturity.
- Over the next 2–3 years, key drivers of development will include the adoption of AI (and its transition from an experimental technology to a standard business tool), workflow automation, and the integration of document management with ERP and CRM systems.
