Outsourced document distribution is where the company who send you your invoices and statements are not the company with whom you have made a transaction. You will not be aware of this outsourced document distribution, but it is a well known method used by large companies to handle their mass document distribution.
Alternative to this is the use by companies of a simple business invoicing software package to handle business-customer interactions. Simple business invoicing is a step by step computer package which explains the requirements of mass mailing and helps the company to create a structured system.
Which is more secure: Outsourced Document Distribution or Simple Business Invoicing?
In terms of document sending, outsourced document distribution and simple business invoicing are much the same. The security of your invoice information could be in danger from the staff processing your invoices, or from someone violating your post. Both simple business invoicing and outsourced document distribution will lead to staff viewing your files in order to process them. In both cases these staff will have been required to sign a data protection form to ensure they keep you information private. The only difference between simple business invoicing here and outsourced document distribution is that the staff at the outsourced document distribution company will work with sensitive information all the time, from a variety of large companies. Those handling your data at a company using simple business invoicing will do this less regularly.
The second stage at which your data could be at risk is during its transit to you. Whether the company sending your invoice has used a simple business invoicing package or has used outsourced document distribution is irrelevant at this stage if you receive invoices by post. Postal invoices are liable to be tampered with as they pass through many hands in the postal service before they get to you. Your e-mail invoice will be available to you via an internet portal. This should only be accessible to you when you enter your answers to security questions; however, the safety of the database your company has used will come into play. A company who has outsourced document distribution is more secure here because providing invoices is what their company is based around. If they used a hack-easy system they would very quickly go out of business.
A company using simple business invoicing may be newer to systems of internet security and might not protect your data as effectively. To ensure this does not happen, companies are advised to view the Netsend website for further advice on outsourcing document distribution or an effective simple business invoicing package.