Paperless board management software: 6 reasons why you need to switch
In a recent survey from EY, 64% of directors ranked innovation and evolving technologies among the top five board priorities. This focus is as much about generative AI as understanding how emerging technologies can overlap to enhance board effectiveness. Paperless board management software is just one example of technology working in concert.
Paperless board management has taken the place of more traditional approaches. This technology offers tools for collaboration, videoconferencing, and secure document sharing, keeping boards connected in ways that paper board books just can’t match.
Here, we’ll explain why paperless board management software has become an indispensable part of today’s board rooms, including:
- The difficulties of traditional board management methods
- The advantages of paperless board management
- How to choose the right software solution
- Essential tips for software implementation
- Why switch to Diligent Boards
What are paperless board meetings?
A paperless board meeting uses digital solutions to facilitate board meeting processes virtually. Rather than printing board books and other meeting materials, paperless board meetings leverage board management software and video conferencing tools like Zoom or Google Meet to help board members collaborate anywhere on any device.
The transition to paperless board management software has been years in the making. Many boards adopted digital-first policies to maintain operations during the COVID-19 pandemic. That shift has persisted in the post-COVID boardroom, leading to an increasingly widespread adoption of digital board solutions.
Difficulties of traditional board management methods
Paperless board management software has also emerged as an alternative to the long-standing challenges of traditional methods, including:
- Sustainability concerns: Traditional board books have a significant carbon footprint. Producing, printing and distributing materials emit carbon, contribute to deforestation and produce waste. These processes are also at odds with boards’ environmental, social and governance (ESG) priorities.
- Limited accessibility: Board members are increasingly dispersed. Those living in close proximity often need to travel for other commitments. The mobile nature of board members today makes physical board books not only cumbersome — but also prohibitive if boards need easy access to specific documents not already printed.
- Security risks: Physical board documents are easy to forget on a plane or leave exposed during a trip to the bathroom. These vulnerabilities increase the risk of loss, breaches or unauthorized access — risks that are difficult to mitigate without encryption, password protection or secure sharing.
- Time inefficiency: Managing physical board books requires manual updates, printing and distribution — all of which increase administrative burden. Manual management can also boost the time it takes for critical insights and information to reach board members.
- Lack of collaboration: Traditional methods make real-time collaboration difficult. Board members may struggle to annotate documents, share insights or track which board book is the most up-to-date. Without paperless board management software, discussions can become siloed and inefficient.
The advantages of paperless board management
Shifting away from paper board books to paperless tools has resolved many of the above difficulties. However, there are also distinct advantages to adopting a more modern board management strategy.
A few advantages of paperless board management include:
- Centralized document management: A paperless system consolidates all board materials into a single governance platform. This eliminates the need for corporate secretaries to manage multiple versions of the same documents, ensuring everything is accurate, organized and searchable.
- Real-time updates: Corporate secretaries and executive teams can immediately change board materials. Board members get automatic notifications of those updates rather than waiting for administrative teams to print and mail new documents.
- Scalability: Board management needs to expand along with the organization. While growth can add significant expense to paper board books, digital systems can quickly scale to accommodate more board members, meetings, documents or a more complex entity structure.
- Integration with other tools: Boards today rely on vast amounts of data to make key decisions and leverage productivity and meeting tools to stay on track. Paperless board management software integrates with the mission-critical tools boards use, creating a connected ecosystem that simplifies workflows.
- Smoother audits and compliance: Paperless systems make it easier to demonstrate compliance with regulations. With secure archives, activity tracking and access logs, boards can quickly retrieve the records they need to redefine governance processes.
How to choose the right paperless board management software
Choosing board management software requires careful consideration.
While free versions are attractive, they often lack the features most boards need. Most boards should:
- Assess their needs: Evaluate your board’s challenges and the features you need to address them. For example, is security a top priority? Collaboration? Understanding your requirements will narrow down software options.
- Focus on user-friendliness: A recent Deloitte study found that only a third of boards were tech-savvy. This means the software should be intuitive and easy for board members of all technical skill levels. Look for platforms with simple navigation, customizable dashboards and comprehensive training.
- Explore collaboration tools: One advantage of paperless board management software over traditional approaches is real-time collaboration. Select software that enables comments and discussions to be directly included in documents.
- Ensure accessibility: Many modern board members work on the go. Software must provide seamless access across desktop, tablet and mobile devices, including offline capabilities if a board member’s connectivity is limited.
- Evaluate integration capabilities: What tools do you already use to send emails and conduct meetings? Identifying software solutions that integrate with existing tools ensures a smooth workflow without switching or disrupting current systems.
- Consider scalability: Successful boards will oversee a growing organization. Choosing a platform that can grow with you without requiring a significant overhaul is essential.
- Check customer support and training: Reliable customer support is crucial, especially during onboarding and implementation or if you encounter an error. Look for software with 24/7 support, a training library and live demos.
- Test with a free trial or demo: Most providers offer free demos. These demos allow you to explore the platform firsthand and assess its usability for your board and whether it has the features it needs.
The software your board needs
Simplify your search by downloading our software buyers’ guide. Get key considerations and criteria to help you evaluate solutions effectively.
Discover moreTips for implementing paperless board management software
The effectiveness of your paperless board management solution is closely tied to your implementation.
“It’s not just about adopting new technology but ensuring every board member understands how it improves workflows and enhances security. A well-executed implementation process transforms the software into a strategic asset for the entire organization.”
A streamlined and effective implementation process requires:
- Securing leadership buy-in: Ensure leadership is on board with the transition to paperless. Present the benefits — improved efficiency and sustainability, for example — to gain their support and active participation in the process.
- Providing comprehensive training: Offer training tailored to board members and administrators. Explain the key features they’ll use, like annotations or document access, to ensure they feel confident using the platform.
- Piloting the platform: Test the software with a small group of board members before rolling it out to the entire board. This will help you identify and remediate any challenges before implementing the software.
- Customize the platform for your board: Most software solutions have customizable features. Tailor the platforms to your board’s workflows to reduce friction as they acclimate to the new approach.
- Communicate the benefits: Help your board understand why the transition is happening and how it will make their role more manageable. Highlight how the software solves challenges they’ve been having to build greater enthusiasm.
- Digitize and organize existing documents: Before finishing the software rollout, migrate important paper-based and digital files into the platform. Organize materials logically so boards can easily find what they need.
- Set clear expectations: Establish guidelines for how boards should use the software, including sharing, annotating and storing documents. Clear protocols ensure everyone adopts paperless board management software consistently.
Why you should switch to Diligent’s paperless board management software
The first step is to decide to switch to paperless board management software. However, it is equally important to choose the right solution.
Diligent’s paperless board management software is designed to transform paper-based approaches and make directors’ and administrators’ jobs easier.
Paperless board management software benefits
Boards that adopt paperless solutions can benefit from:
- Workflow optimizations: Diligent streamlines board management processes by automating document distribution, agenda preparation and meeting scheduling. This saves time for administrators and ensures board members have the latest materials at their fingertips.
- Enhanced collaboration: With Diligent, board members can annotate documents, share notes and participate in real-time discussions — all within a secure platform. These tools improve engagement and make decision-making more efficient.
- Top-tier security: Diligent prioritizes data protection with features like end-to-end encryption, secure document storage and access controls. These safeguards solve the security concerns that come with traditional methods, keeping sensitive board information confidential.
- Access anytime, anywhere: Board members can access meeting materials on any device, whether they’re in the office or traveling. Offline capabilities make Diligent even more convenient, eliminating the need to rely on physical documents or unreliable connections.
- Sustainability: By eliminating the need for printed board books and materials, Diligent helps organizations reduce waste and align with their ESG goals. This switch advances environmentally conscious governance practices in line with broader sustainability commitments.
- Improved meeting preparation: With centralized document management, Diligent gives board members the latest agendas, meetings and reports in a fraction of the time. “Diligent has removed the need to manually search for paper-based archived materials while also making the production of board books easier and now a one-person task,” says Jermaine Joynes, compliance program manager at CRICO. Features like version tracking and reminders improve board member preparation and keep meetings productive.
The future of paperless board management
Just as paperless board management software reshaped the board management landscape, artificial intelligence (AI) tools are poised to unlock greater efficiency and productivity. How boards operate, make decisions and manage their workflows will likely change as AI becomes more widely adopted.
AI-powered board software is already analyzing past meetings, priorities and board member feedback to create optimized agendas; many boards also leverage AI tools to analyze large volumes of enterprise data and provide real-time insights. Intelligent document management has also become more popular as AI can organize, tag and make documents easy to search.
But most boards have only scratched the surface of AI. Predictive analytics, which simulates scenarios and predicts outcomes based on historical data, could further fuel board performance. Boards may soon turn to AI for a clearer picture of risks and opportunities to drive strategic decisions.
Find the right paperless board management software for your board
Selecting the right software solution is critical to enhancing governance, improving efficiency and staying ahead in the rapidly evolving business landscape. Diligent Boards, part of the Diligent One Platform, is designed to cement your competitive edge, but it’s essential to explore your options before choosing a solution.
Diligent’s board portal buyers guide will help you make an informed decision by shedding light on the key criteria to consider as you identify key features for your board’s needs, compare options on the market and prepare for a smooth transition to paperless board management.
Download the buyers’ guide now and empower your board to work smarter, not harder.
