Electronic Document Management or Electronic Records Management?

Electronic Document Management or Electronic Records Management?

Written by Ana Canteli on 14 August 2025

Differences in Scope, Compliance, Retention, Examples, and Recommendations for Choosing

A document management system focuses on documents—especially active documents—covering creation, editing, versioning, collaboration, and integration with the rest of the software suite. A records management system, on the other hand, focuses on documents with evidential value. A draft is a document but can never be a record.

For records, a specialized management system applies retention and final disposition, preserves the chain of custody, and ensures legal and regulatory compliance. In day-to-day practice, a document management system boosts productivity, while a records management system reduces risks and penalties.

Document Management vs Records Management: The 8 Key Differences

Although document management and records management may appear similar—and in many cases, are related or even need to be applied simultaneously—there are several differences that can help correctly identify each approach.

Purpose and Scope

A document management system aims to improve collaboration, productivity, and document lifecycle efficiency, while preventing the creation of “orphan” documents through centralized repositories. A records management system ensures legal and regulatory compliance and safeguards the evidential value of documents. It guarantees that mandatory information is retained for the required period and destroyed according to defined rules and timelines.

Lifecycles and Governance

In document management software, the cycle is: creation → review → approval → publication → archiving. In records management software, the lifecycle is: record declaration, event-based retention (e.g., end of a contract), legal holds, and final disposition or destruction.

Legal and Regulatory Compliance

Document management systems have simpler retention rules and some discretionary flexibility. Records management software requires retention schedules by document type, defining jurisdiction, specifying who approves and how disposition occurs, and establishing defensible legal hold protocols for litigation or audits.

Metadata and Traceability

In document management, metadata is mainly used to organize information by multiple criteria and improve search, enhancing operational audits. In records management, metadata has evidential value: it records who/what/when/why, captures signature data, and preserves authenticity and integrity evidence.

Version Control and Official Copy

Document management systems use sequential versioning from multiple authors (v1, v2, v3…). Records management establishes the official version (declared as a record), controls what is set, how it is evidenced, and what is destroyed (intermediate versions may not need to be kept).

Security and Access Controls

In document management, security policies serve the needs of work teams, departments, and projects. In records management, minimum privilege principles are enforced, with segregation of duties, periodic access audits, and policy reviews for sensitive data.

Integrations and Automation

Document management systems are expected to offer features such as editing, email archiving, electronic signatures, OCR, and integration with other software like ERPs or CRMs. Records management systems must automate processes according to legal frameworks, applicable archival rules, retention schedules, disposition or legal hold workflows, and provide automated evidence to support audits and inspections.

Costs and ROI

Document management focuses on saving time, reducing errors, and maximizing the value of created information. Records management focuses on minimizing litigation and penalty risks, lowering storage costs, and maintaining trust with public administrations and authorized auditors.

Document Management or Records Management? It Depends on Your Industry

As mentioned earlier, document management and records management are different but can also be complementary—or even mandatory—depending mainly on your industry. If you work in a regulated sector, you will likely need both.

Legal and Public Sector

Law firms, advisory services, and public administrations must comply with retention periods, transparency requirements, restricted access policies, custody, auditing, and legal holds. In this case, you need an electronic records management system, possibly complemented by document management for proper repository organization.

Healthcare and Finance

These sectors handle large volumes of sensitive information, requiring strict audits. Records management helps establish expiration schedules and disposition protocols, while document management ensures traceability, avoids duplicates, and preserves confidentiality.

Logistics and Manufacturing

These organizations need quality records, real-time traceability, and multi-platform access to technical documentation. Document management supports simultaneous collaboration and interaction with third parties (clients and suppliers), while records management ensures certification acquisition and preservation.

Human Resources and Back Office

This includes fiscal, legal, and internal-use documentation: social security registrations, payrolls, permits, grants, and subsidies. Document management supports daily operational tasks, while records management ensures compliance with local labour activity schedules and other use cases like profile cancellations and personal data deletion.

OpenKM: Document and Electronic Records Management System

As you can see, it’s often the case across many industries that document management and records management are not just options but necessities.

OpenKM is a document and electronic records management software. With this platform, you can implement the record retention policy and document automation you require; analyse audit trails by author, content, or event; generate reports on any aspect of interest; and even perform eDiscovery activities if needed. It also facilitates user collaboration and integrates with third-party applications, including AI, OCR engines, IDP, and workflows.

To get the most out of such a powerful platform, OpenKM offers specialized training courses through OpenKM Academy. Contact us to request a personalized online demo tailored to your needs.