In today’s digital era, technology plays a big part in managing a business.
One of the biggest changes from the last decade is the digitising of paper based processes.
The same trend has emerged in the fitness industry with many health clubs and leisure centres “digitising” key paper based processes such as their fitness consultations and workout programs over the last 6 years.
Despite this change, a percentage of health clubs is yet to make the transition from this paper based process to an up to date electronic approach.
In spite of the obvious benefits of an electronic approach to managing health club member’s exercise programs and fitness consultations, such as eliminating lost information, increased convenience and a more consistent member experience, many health club managers overlook the financial benefits of transitioning to an electronic system.
It is important that managers consider the hidden costs of using a paper based process.
So, what really goes into estimating the costs of managing paper? These estimates and figures include a host of items that relate to paper management—the cost of purchasing paper, printing costs, fax/copier equipment and supplies, distribution, filing supplies and cabinets, storage space as well as staff time spent in handling, managing and filing paper.
Paper management costs vary from one company to another, depending on how each company is configured and which costs that particular company associates with paper. Companies that are considering paperless systems need to know not only the costs associated with implementation of such systems, but also the current costs of managing data in paper format.
Here are some interested facts that highlight the true costs of maintaining a paper based system in your health club.
Filing and retrieving paper documents manually takes time. Research shows that it can cost as much as:
1. $20 to file a document in a folder or filing cabinet
2. $120 to find a misfiled document (if you can find it at all)
3. $220 to reproduce a document that was lost
Research has shown that on average:
It can cost about $25,000 to fill a file cabinet with documents.
Once filed, it takes $2,000 per year to maintain and safeguard the information in a single file cabinet archive. This includes the cost for floor space, secure access, and so on.
If we consider the figures above and apply this to a health club.
If you have 500 new members over the course of a year that you write a program card for and complete a fitness consultation with. A cost of $20 per filed document that would result in a total cost of $20,000 (500 members, 2 documents each at $20 per document).
Now, the $20 per document may be at the high end of a per document cost however, even if we take a conservative approach and halve the 20 dollars to 10, it would still result in a significant cost of 10,000 per year to manage your paper based member processes.
Implementing paper-reduction measures could save your health club more money than you might think!
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