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Tag: Document Management Solutions

  • Repost: GST may add to India Inc’s documentation burden

    India gears up for GST to be rolled out from July 1. However, have we thought of the documentation needed for compliance? Here is an interesting article.

    Industry is worried it might face increased compliance burden due to rules under the proposed goods and services tax (GST) regime.

    Companies would have to upload three returns every month – by the 10th, 15th and 20th of the month after a sale happens, said M S Mani, senior director, indirect tax, Deloitte.

    According to rules on returns, companies would have to submit details of its supplies or invoices by the 10th of the subsequent month. They have to upload details of purchases of inputs by the 15th of the subsequent month.

    GST returns, carrying details of taxes paid and input credit taken, have to be filed by the 20th of the next month, said Mani. Besides, by the next year-end, companies would have to upload annual returns as well.

    This would burden industry with too much compliance. Service companies such as Infosys, Tata Consultancy Services (TCS) and Airtel, among others, would be particularly hit.

    Service providers would have to file 37 returns each a year, said Mani, from two returns – one every six months – now.

    Besides, service tax is a central duty. So service providers do not have to file returns in each of the state where they have offices. This will, however, change under the GST regime and they would have to file 37 returns for each state they have an office in, besides the central government.

    Currently, goods companies, on their part, have to file returns every month for value-added tax (VAT) and excise duties.

    The GST Council is to discuss pending rules and changes to the already approved norms this month-end. The Council will work out rules on composition, valuation, input tax credit and transitions on March 31.

    It has already approved rules on refunds, invoices, returns, payments and registration. The government had made public rules on five categories before taking these to the Council. But it would not do so in case of pending rules, said officials.

    Industry is worried that online marketplace players such as Flipkart and Amazon will have to pay up to one per cent tax collected at source (TCS) – rules for which have not yet come — on behalf of vendors and this would add too much procedural work.

    S S Gupta of Taxmann said these marketplaces have thousands of vendors and to exactly match TCS of each would be extremely difficult. If anything goes wrong while matching, the input credit would go to another and the vendor would be asked to pay more, he said.

    If a customer returns a product purchased via an online marketplace, it will take time to reach the supplier. By then, TCS might have been paid by the online company. If that vendor does not supply to the online company again, the marketplace would have to bear the burden, explained Gupta.

    Though a cap on TCS has been reduced from two per cent in draft GST Bills to one per cent in the revised drafts approved by the Council, the tax is not aimed at revenue generation but to keep a track of vendors by the tax authorities.

    The government’s logic has been that as it can’t go after every vendor, it would ask the marketplace to deduct TCS. Keeping track of the vendors and not revenues was the concern here, said the expert with Taxmann.

    Mani said the government was basically burdening industry with compliance, even in areas where the authorities should take the responsibility.

    The other issue relates to input tax credit, rules on which are yet to come. However, rules would not contradict the Bills. A buyer would not get input tax credit unless the supplier concerned paid tax. In state-level VAT, input tax credit would be given as soon as the invoice was uploaded, he added.

    Archit Gupta, founder & chief executive officer of ClearTax.com, said there might be issues around pre-existing VAT credit in the earlier regime when these goods are exempted in GST. “So we hope this is covered under the inputs credit and transition rules.”

    For a truly unified structure, he said, the government must focus on greater fungibility of credit.

    “Exempted excise manufacturers and exempted VAT manufactures may have to face GST rates and taxes, and most of these are state-specific exemptions. So it needs to be seen how these concerns can be uniformly addressed,” added Gupta.

    The Council has cleared all GST Bills and most of these will go to the Cabinet and be tabled in Parliament. Similarly, state GST Bills will be moved to the respective state Cabinets and Assemblies. Only rules and item-wise rates have to be decided.

    While we would have electronic filing, we still have to maintain the pdf files for records. Do give a thought to managing so many files which may be pdfs or maybe hard copy. A Document Management System can help overcome these challenges. Contact sales@rincon.co.in on how we can help achieve your goals and overcome your obstacles.

    The original article appears on rediff.com and is available here. 

  • ISO Certification – Can a Document Management System help?

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    ISO 9001 certification is a must-have for most manufacturing and service companies.  The certification is increasingly required in subcontracts, especially by European multinationals.
    It helps in:
    • Increased marketability
    • Reduction of operational expenses
    • Better management control
    • Increased customer satisfaction
    • Improved internal communication
    • Improved customer service
    • Reduction of product-liability risks
    • Increased attractiveness to investors
    To achieve ISO 9001 certification, a manufacturer must collect, update and share its large library of ISO documents with single point access to the latest documentation.  This is a humongous task using paper-based documents and processes. Digitising the document processes would help simplify and streamline the certification process.
    Some of the processes that must be standardized and documented in ISO 9001 include:
    • Quality Manual – The quality manual defines how each requirement of the rather generic ISO 9001:2008 standard is applied at the company.
    • Quality Procedures – The quality procedures are the essence of the ISO 9001 documentation. The ISO 9001 quality procedures explicitly describe how certain key processes within the company must be performed and who is responsible for them.
    • Quality Policy – The quality policy is the company’s policy defining its stance towards quality and customer satisfaction.
    • Quality Objectives – The quality objectives define measurable goals relative to the company’s quality management system.
    • Process Flowchart – The process flowchart is a description of how the various processes of the ISO 9001 QMS interact with each other.
    • Work Instructions – Work instructions are the most detailed and most company-specific of all ISO 9001 documents. Work instructions describe in detail how particular tasks must be performed. Work instructions are typically written by the people who perform the actual work.
    • Records – Records are different from the above documents, all of which provide directions on how to conduct business. Records, on the other hand, are evidence of things done. ISO 9001:2008 contains numerous explicit requirements on records plus requirements for many more undefined records.
    Most organizations are unaware that even if they previously went through the ISO 9001 certification process, things are changing. A new ISO 9001 standard has been published in September 2015. This means that the ISO 9001:2008 standard will become obsolete on September 14, 2018, and that all ISO 9001:2008 certifications issued in late 2015 and beyond bear an expiry date of September 14, 2018.
    There has never been a better opportunity than now to examine the underlying document management practices associated with ISO 9001 certification. Certifying against the new standard provides an opportunity to view ISO 9001 not only as a paper documentation exercise, but as an opportunity for digitizing document processes – and in the process transforming the business. Leading organizations are increasingly realising that if approached strategically through a document management system, compliance-mandated digital documents can provide a foundation for more effective processes throughout the business and provide insights that are critical to digital transformation.
    If you are considering the implementation of a document management system for your business, but you are still on the fence when it comes to selecting the right solution, please e-mail us on sales@rincon.co.in and we will be glad to assist you.

  • Why do Housing Finance Companies use Document Management Systems?

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    A Housing Finance Company (HFC) processes loans at multiple locations, and retains all related documents at the local / zonal office. Each files received consists of multiple documents and should be filed and processed swiftly considering the competitive environment.
    In the manual process, documents need to be stored physically in the office resulting in wastage of expensive real estate. Additional paperwork needs to be stored in the right place with the other documents so as to make it easily accessible. This results in a lot of time and money spent on handling paper. Finding the correct document is akin to finding a needle in a haystack especially at the time of audits or at the time of a default.
    With a document management system in place,
    • All documents are scanned and archived on a central server thereby making it available to users anywhere (provided they have the requisite rights and permissions).
    • Expensive real estate can be put to better use and documents can be stored off site.
    • The concerned people have access to the records from anywhere they work using the web or mobile interface.
    • Improve workflow, response times and efficiency
    • Reduce costs
    If you are considering the implementation of a document management system for your business, but you are still on the fence when it comes to selecting the right solution, please e-mail us on sales@rincon.co.in and we will be glad to assist you.

  • Document Management system for Property Management organisations

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    A Property Management organisation is one that looks after the management of personal property, equipment, tooling and physical capital assets that are acquired and used to build, repair and maintain end item deliverables. Property management involves the processes, systems and manpower required to manage the life cycle of all acquired property as defined above including acquisition, control, accountability, responsibility, maintenance, utilization and disposition.

    These organisations have to manage leases, contracts, notices, and other property records in a property document management system that keeps important property documents secure and makes them easily retrievable.

    With a document management system in place, property managers, property owners, and property management staff can use it to improve efficiency and make informed decisions regarding the leasing and ownership of property.

    A document management system keeps all records, including important plans and facilities documents, ready for access. Authorised persons can access files outside the office using Web and Mobile access. Users are able to search and retrieve documents on the fly thereby enabling them to make faster and more accurate decisions.

    If you are considering the implementation of a document management system for your business, but you are still on the fence when it comes to selecting the right solution, please e-mail us on sales@rincon.co.in and we will be glad to assist you.

  • Document Management System for Accounts Payable

    Accounts Payable (AP) is a basic function of every organisation. Whatever be your business, you will have invoices to pay, processes to adhere to and accountability to document. Missed early payment discounts, late fees, lost invoices, dozens of calls, emails, faxes, and other inefficiencies can substantially drive up your operating costs.

    Beyond invoices and payments, there are compliance issues surrounding accounting. Auditors require an ability to keep track of and report all aspects of your accounting system and processes including Accounts Payable. Failed audits resulting from lost documents or poor documentation can result in large fines, or a range of other penalties.

    With a Document Management System (DMS) in place, you can ensure processes are being adhered to and are fully auditable. It allows you to:

    • Secure and keep track of all incoming invoices and related documents (PO’s, notes, GRNs, etc.)
    • Ensure early payment discounts and eliminate late payment fees
    • Reduce data entry errors
    • Compare approved purchase order amounts to invoices and eliminate overpayment
    • Ensure all your accounting procedures and approvals are adhered to using automated routing for review, approvals, and processing

    If you are considering the implementation of a document management system for your business, but you are still on the fence when it comes to selecting the right solution, please e-mail us on sales@rincon.co.in and we will be glad to assist you.

  • Document Management Solutions (DMS) for the Freight Management sector

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    The freight management sector is innudated with tonnes of documentation for consignments they handle. Rail, sea and air freight handlers have to manage documents for each consignment they handle, ranging from shipping notes to dangerous goods notes, waybills and bills of lading to name a few.

    Every document is important and should be available when required by receipting agents, customs or other parties. Having correct documentation on hand allows efficient loading, unloading, clearance through customs, shipping and tracking – minimising delays, storage charges, fines and lost shipments.

    Shipping containers more often than not handle multiple consignments each of which must be handled and documented separately. Non-availability of documents could lead to potential delays in clearance, demurrage and other penalties.

    With a Document Management system in place, freight management organisations can capture all shipping and delivery documentation as it is created and be made instantly available when required facilitating problem free transit. It provides instant and simultaneous access to documents for people across the organisation, accelerating reconciliation and improving cash flow.

    It gives the organisation an advantage when it comes to managing their core activities. It helps locate documents in a jiffy and is accessible and affordable. It helps improve the department efficiency by reducing the time spent managing paperwork and approvals.

    If you are considering the implementation of a document management system for your business, but you are still on the fence when it comes to selecting the right solution, please e-mail us on sales@rincon.co.in and we will be glad to assist you.

  • Document Management Solutions for the Logistics sector

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    Logistics operations generate and need to manage a large amount of documentation including but not limited to customer records, invoices, Proof of Delivery documents, Goods Received Notes, vehicle tax certificates, vehicle preparedness reports, incident reports and HR documentation.

    With a Document Management system in place, organisations can capture documents generated all over the organisation and archive them centrally. It provides instant and simultaneous access to documents for people across the organisation, accelerating reconciliation and improving cash flow.

    It gives the organisation an advantage when it comes to managing their core activities. It helps locate documents in a jiffy and is accessible and affordable. It helps improve the department efficiency by reducing the time spent managing paperwork and approvals.

    If you are considering the implementation of a document management system for your business, but you are still on the fence when it comes to selecting the right solution, please e-mail us on sales@rincon.co.in and we will be glad to assist you.