What is Electronic Document Management Software? Features, Benefits & Top Tools

Gone are the days when offices were filled with grey filing cabinets and the smell of old paper. Modern workplaces instead run on electronic document management software (EDMS) that stores and secures information with just a few clicks.

For teams today move fast and do not have the time to manually keep track of the varied business papers, including contracts, reports, so on and so forth. Having an electronic documentation system in place, as such, is the need of the hour, and so is being aware of its sundry functionalities.

Let’s learn more about the same here and while at it, also give the top 7 e-document management systems a detailed look, so document handling does not only become fast but also smart.

What is Electronic Document Management Software (EDMS)?

Electronic document management software, as the name suggests, is a is a specialized document management software that lets you create, store, manage, and track documents. It manages both electronic files and scanned copies of paper documents, all in one secure system.

But EDMS software does more than just store files. It helps control how information moves across your business. These systems manage version control, so you always work on the latest document, not the wrong draft. They also provide strong security, ensuring sensitive information is accessed only by the right people, and support compliance requirements to meet legal and audit standards.

Key Features of Electronic Document Management Software

When looking for an electronic records management system, certain features are non-negotiable. These include…

• Centralized Storage: EDMS software stores all documents in one secure place, instead of spreading them across emails, hard drives, or shared folders. This means employees don’t have to waste time searching in multiple locations and can collaborate more efficiently.
• Advanced Search: The software for electronic document management helps quickly locate documents by searching not only file names but also the text inside them. Using Optical Character Recognition (OCR), it can read scanned documents and images, so one wastes time digging through the files.
• Version Control: It keeps a tab on every change made to a document. You can see who edited what and when, and restore an earlier version if needed, so there is no risk of working on the wrong draft.
• Access Controls: With permissions in place, the system only lets authorized people work on certain documents, keeping sensitive information safe and reducing errors.
• Audit Trails: These electronic file management systems keep a detailed log of everything that happens, including uploads, edits, and downloads. This makes it easy to see who did what and when. It also adds an extra layer of security, improving transparency and helping organizations stay prepared for reviews or audits.
• Automated Workflows: Once a document is uploaded, the software automatically sends it for approval, helping teams complete work faster without delays.

Benefits of Electronic Document Management Software

Switching to an e‑office file management system offers more than just a cleaner desk. It changes how your business operates every day. For starters, paper files will no longer take up your valuable office space. Besides, digital files are easier to protect with backups and security that these tools offer.

Finding documents becomes quick and simple too, taking seconds instead of minutes. These also help businesses save money by cutting down on paper, ink, postage, and storage costs. At the same time, teams too get to securely access files from anywhere in the world, making remote work easier and more productive.

Limitations of Electronic Document Management Software

No system is perfect. Even the best electronic file management systems have challenges to overcome. These include…

• Learning Curve: Your team will need some time to get comfortable using the new tools. While most systems are designed to be user‑friendly, people still need training and practice before they feel confident using them every day.
• Initial Setup: Moving thousands of old files into a new system takes time and effort. Documents need to be scanned, organized, and correctly labeled so everything is easy to find later. Though this setup work usually happens once, it does require planning.
• Internet Reliance: Most modern file management systems are cloud‑based, which means they rely on a stable internet connection. If the connection is slow, access to files may be limited.
• Subscription Costs: Unlike buying a filing cabinet once, electronic document management software usually comes with ongoing monthly or yearly fees. While this adds a regular expense, it also covers updates and support.

Top Document Management Tools: Side-by-Side Comparison in 2026

Explore key differences between top document management software to make a smarter buying decision.

Top 7 EDMS Software Tools in 2026

Explore top EDMS software solutions designed to streamline document workflows, enhance productivity, and reduce manual paperwork.

1. Microsoft SharePoint

Microsoft SharePoint is a web‑based electronic document management platform by Microsoft that organizations use to handle official files, records, and business content in a controlled digital environment.

It is designed to support formal document use within organizations, rather than personal file storage, and is commonly adopted as an enterprise document system within Microsoft 365.

Microsoft Sharepoint Online

4.4

Starting Price

₹ 3475.55 excl. GST

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Key Features of Microsoft SharePoint:

• Provides centralized document storage through structured libraries and sites
• Supports automatic version control with full change history
• Allows role‑based access management using Microsoft Entra ID permissions
• Facilitates document approvals and review workflows via Power Automate
• Enables metadata tagging and content types for organized file management
• Applies retention policies and labels through Microsoft Purview
• Offers sensitivity labels and DLP for regulated or confidential documents
• Maintains audit logs for document access and activity tracking
• Supports legal hold and eDiscovery for compliance and investigations
• Integrates tightly with Microsoft Teams, OneDrive, and Office applications

Pro and cons of Microsoft SharePoint:

Microsoft SharePoint Pricing & Plans:

2. M-Files

M‑Files is an e-document management software that helps organizations manage and control business documents in one organized system. Instead of relying on folders, it focuses on what a document is and how it is used. This approach helps organizations handle information more consistently and avoid confusion when working with large volumes of files.

M-Files

4.0

Starting Price

Price on Request

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Key Features of M-Files:

• Provides context‑first document management using metadata instead of folders
• Organizes documents by what they are, not where they are stored
• Supports automatic version control with check‑in and check‑out mechanisms
• Enables workflow automation for approvals, reviews, and document routing
• Applies role‑based access controls and permission rules across content
• Maintains audit trails for document access, modification, and compliance needs
• Integrates natively with Microsoft 365 apps including Teams, Outlook, Word, and SharePoint
• Offers AI‑driven metadata extraction and classification through M‑Files Aino
• Supports regulated industries with built‑in governance and lifecycle controls

Pro and cons of M-Files:

M-Files Pricing & Plans: Price on request

3. Folderit

Folderit is a popular cloud‑based electronic documentation system used by organizations to store and manage business files securely online. It keeps documents organized in a central system instead of scattered folders or local drives.

The platform supports access control and version tracking too, which helps teams know who can view documents and which file is the latest. This makes everyday document handling more reliable.

Folderit

4.2

Starting Price

₹ 4000.00 excl. GST

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Key Features of Folderit:

• Provides centralized document storage with encrypted cloud infrastructure
• Supports document version control with full history and rollback
• Enables approval, review, acknowledgement, and e‑signature workflows
• Offers OCR‑powered full‑text search across PDFs and scanned files
• Applies role‑based access controls with granular permission levels including preview‑only access
• Maintains audit trails for document access, edits, and compliance tracking
• Integrates with Microsoft Office 365, Outlook, and DocuSign
• Supports Single Sign‑On using Microsoft Entra ID, Okta, and Google
• Applies retention policies and lifecycle automation for records management
• Supports compliance‑driven use cases including GDPR, HIPAA, and ISO 27001

Pro and cons of Folderit:

Folderit Pricing & Plans:

4. Zoho WorkDrive

Zoho WorkDrive is a cloud‑based document and file management platform designed for teams and businesses. It provides a shared online space where files are created, stored, and accessed for everyday work.

The software supports team folders and real‑time collaboration, making it easier for multiple users to work on the same content. It is built for organizations that want structured file sharing within the Zoho ecosystem.

Zoho WorkDrive

4.5

Starting Price

₹ 170.00 excl. GST

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Key Features of Zoho WorkDrive:

• Provides a centralized space where teams store, organize, and manage documents together
• Uses team folders so files belong to the organization instead of individual users
• Controls document access through role‑based permissions at file and folder level
• Maintains detailed version history with options to restore older versions
• Records user actions through activity logs and file timelines
• Enables real‑time collaboration using Zoho’s built‑in document editors
• Allows secure external sharing with password protection and link expiry
• Supports OCR search to find text inside PDFs and scanned files
• Integrates with Zoho applications and tools like Microsoft Office and Outlook
• Meets GDPR, HIPAA, ISO 27001, and SOC 2 Type II requirements when configured properly

Pro and cons of Zoho WorkDrive:

Zoho WorkDrive Pricing & Plans:

5. Laserfiche

Laserfiche is an enterprise-grade electronic records management system used by organizations to manage records, files, and business content digitally. It is built for handling formal documents used in operations, compliance, and governance.

The platform also supports workflow automation and records management, making it suitable for organizations that need structured document control and consistent handling of information across departments.

Laserfiche

4.4

Starting Price

Price on Request

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Key Features of Laserfiche:

• Centralizes documents and records in a secure digital repository
• Uses AI tools to classify, extract, and summarize document information
• Automates document‑driven processes through built‑in workflows and approvals
• Stores files with detailed version history and change tracking
• Controls access using role‑based permissions and security rules
• Maintains full audit trails for compliance and transparency needs
• Supports electronic forms for structured data capture and submissions
• Connects with business systems through APIs and prebuilt integrations
• Enables records management with retention rules and legal holds
• Protects content using enterprise‑grade security and encryption standards

Pro and cons of Laserfiche:

Laserfiche Pricing & Plans:

6. Google Drive (Workspace)

Google Drive is the most recognizable e-file management system on the list. It allows organizations to keep work files online instead of on local computers. It supports shared folders and real‑time collaboration, so multiple users can work on the same files at once. The platform, all in all, is commonly used for everyday document storage, teamwork, and file access across devices.

Google Drive

4.5

Starting Price

₹ 193.38 excl. GST

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Key Features of Google Drive (Workspace):

• Stores business files securely in the cloud for teams and organizations
• Supports shared drives where files belong to the team, not individuals
• Allows real‑time collaboration on documents, spreadsheets, presentations, and PDFs
• Controls file access through view, comment, and edit permissions
• Tracks changes using version history and activity details
• Finds documents quickly using AI‑powered search and filters
• Integrates tightly with Google Docs, Sheets, Slides, Gmail, and Meet
• Supports secure external sharing with expiry dates and download restrictions
• Scales storage from small teams to large organizations
• Protects data with encryption and administrative security controls

Pro and cons of Google Drive:

Google Drive (Workspace) Pricing & Plans:

7. DocuWare

DocuWare is a veteran in the electronic file management systems space. It is built for organizations that handle structured business documents. It is used to manage digital records such as contracts, invoices, and forms in a controlled system.

The tool also supports workflow automation and secure document access, which helps organizations streamline document‑based processes while maintaining regulatory control.

DocuWare

4.0

Starting Price

Price on Request

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Key Features of DocuWare:

• Centralizes business documents in secure digital file cabinets
• Captures documents from paper, email, scanners, and digital sources automatically
• Indexes content using AI‑based intelligent indexing and full‑text search
• Automates document workflows for approvals, reviews, and task routing
• Stores files with version control and complete document history
• Controls access with role‑based permissions and user rights
• Tracks document activity using audit trails and logs
• Integrates with Microsoft Office, Outlook, ERP, and business applications
• Supports web forms and digital data capture for structured processes
• Protects data through secure archiving and encryption standards

Pro and cons of DocuWare:

DocuWare Pricing & Plans: Price on request

Conclusion

Electronic document management software does more than just store data; it gives you back your time. This, so you can stop searching through folders and start focusing on your business.

Pick one of the aforementioned tools right away and make the switch today itself. Let Techjockey be your guide as you do so. Trust us, your future self (and your sanity) will thank you!