I never this is a thing.
Our go to solution for this usually a kanban board in jira and confluence for the doc.
Honestly would like to know what do I miss with this approach?
you're probably not missing anything, a DMS is useful when you have thousands/millions of documents that need to be organized and searchable, like if you had 100k customers and you needed to keep a bunch of onboarding paperwork from them for your support & ops teams to reference.