15 of April, 2025

Organizing company documentation is a real challenge. HR and corporate management both must follow the correct protocol to properly store any document.

We cannot spend hours searching for a contract or an invoice because we are unaware of its location. It would be a waste of time and an effort that does not get us anywhere. It even adds nothing to the company. Therefore, it is essential that we have a clear understanding of how to organize the documentation of the organization.

How to organize a company’s documentation

Without a doubt, the digitalization of document management has become our best ally for organizing documents. The act of digitizing them greatly facilitates our work, doing away with physical files. Besides, any document can be digitized.

To effectively organize these documents, it is essential to follow a series of key steps:

Identification and classification. The first thing is to identify all types of documents that your company deals with. Classify them according to their nature and relevance, such as labor contracts, financial statements, employee records, etc.
Creation of a filing system. Define a filing system that is consistent and easy to follow. You can opt for an alphabetical, numerical, by date, or by specific categories system.
Creating folders and access passwords for each file. In addition to different levels of authorization, thus reinforcing security. You can divide the folders by projects, clients, departments, etc. Each company operates differently. The important thing is to know where each document is.
Document digitization. In the digital age, the digitization of documents is crucial. Use high-quality scanners and document management software to convert physical documents into digital files.
Performing backups. It is recommended to carry out backups regularly.
Implementation of document management software. Investing in good document management software can make a difference. These systems allow storing, organizing, and retrieving documents efficiently and safely.
Security and privacy. Make sure to comply with the Organic Law on Personal Data Protection and guarantee of digital rights (LOPDGDD). Implement security measures to protect the confidential information of your employees and customers.
Staff training. Everyone in the company should be familiar with the document organization system. Provide regular training to ensure everyone knows how to file and retrieve documents correctly.

How to organize physical documentation in the company

Although digitalization is key, many companies still manage a significant amount of physical documentation. Here are some tips for keeping these files in order:

1. Create a dedicated filing space

Allocate a specific area of your office to store physical documents. This space must be accessible but also secure, protecting the files from physical damage, theft, or unauthorized access.

2. Use appropriate storage systems

Things get complicated when it comes to how to organize the physical documentation of a company. We have a significant volume of paper documents, and they take up a lot of space. In this case, we will organize ourselves with boxes, folders, and file cabinets.

This way, we can dedicate a folder to each type of document. Provider invoices, customer invoices, work contracts, orders, delivery notes, projects, reports.

3. Establish a classification system

An effective classification system is vital. You can organize the documents by type, date, department, or any other category that suits your company’s needs. You can sort them numerically, for instance, indicating on the outside what it contains and the date: “Supplier bills January-March 2023“.

Another interesting option is to organize the folders by colors. Each color can correspond to a concept or a client.

Don’t forget to file past documents. We can place them at the most difficult access points, leaving at hand those documents that we are going to need.

4. Control access

Limit access to physical files to authorized personnel. This not only protects confidential information but also prevents the loss or misplacement of important documents.

5. Implement a review and removal schedule

Establish a schedule to review and eliminate obsolete documents. According to Spanish regulations, certain documents must be kept for a specific period (e.g., payrolls for five years). After this time, they can be safely destroyed.

Tips for better document organization

Once you have a basic system in place, these tips will help you improve and maintain the organization of your company’s documentation:

Use a document manager. Programs like Sesame HR help us organize company documentation efficiently and professionally.
Use of collaborative tools. Tools like Google Drive, Dropbox, or Microsoft SharePoint allow storing documents in the cloud and facilitate real-time access and collaboration. These tools are especially useful for companies with remote work teams.
Organization from minute 1. From the very first moment, any document must be properly managed.
Backups. It is essential to make backups. Both digital and physical, whether on CDs, USB drives, or a specific external hard drive for this purpose.
Take advantage of the furniture. To organise the company’s physical documents, the furniture can help us. We will place at the back what we do not need, leaving at hand or in the front row the current folders.
Documentation access control. It will allow us to establish different levels of access. This way, it is easier to check who has accessed the documents.
A clear desk is best. It doesn’t matter if we’re talking about your computer’s desktop or your desk. The desk cannot be full of documents pending filing.
Conduct regular audits. Conducting regular audits of your filing systems helps identify and correct problems before they become a stumbling block. These audits also ensure continuous compliance with current regulations.
Keep documentation updated. Regularly review and update your company’s documents. This includes not only eliminating obsolete documents but also updating records and revising internal policies.
Continuous training. Make sure everyone is up to date with the best practices and new technologies available.

Advantages of organizing documents

Now that you know how to organize company documentation, let’s look at its advantages.

1. Improves operational efficiency

A good document organization system reduces the time that employees spend looking for documents, which in turn increases productivity and workday efficiency.

2. Regulatory compliance

Keeping documentation well organized helps to comply with laws and regulations, avoiding possible sanctions. In Spain, compliance with the LOPDGDD is critical to protecting personal data and ensuring digital rights.

3. Facilitates decision-making

It provides us with immediate access to any document, so we do not waste time searching for it. An efficient organization system allows executives and managers to access needed information at any time, quickly attending to any consultation request. This can come from workers but also from clients or the Labor Inspection itself.

4. Reduces the risk of information loss

A well-structured and secure filing system minimizes the risk of losing important documents. This is especially relevant in situations of audits or litigation, where accurate documentation can be crucial.

The fact of working more efficiently also ensures us that we will not lose important data or documents. Cases of key documents lost due to poor document management are not rare. In this sense, organizing company documentation is a way to protect ourselves.

5. Improves internal communication

The proper organization of documents facilitates internal communication, as employees can access the information they need without delay. This is vital for inter-departmental collaboration and project management.

6. Saves space

Digitalization and efficient organization of physical documents can free up office space, creating a more orderly and pleasant work environment.

In conclusion, the organization of business documentation is a task that requires planning and discipline, but the benefits it brings justify the effort. From improving operational efficiency to regulatory compliance, a good document management system is an investment in the future of your company. If you have not yet implemented these steps in your business, now is the perfect time to start and take your document management to the next level.

Want to know more about organizing company documentation? On the Sesame HR blog, you have more information on the topic. Visit it and discover how your document manager helps you with this task.

Customer-oriented, both internally and externally, specializing in the definition and implementation of HR policies, as well as talent management, recruitment, and retention. Strong leadership, communication, negotiation, organization, and team coordination skills. Over 12 years of experience in Human Resources.

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iriserrador

HR Content Specialist

Steps to achieve good organization of work documentation