(800) 676-4261

 
 

Why Record Retention? 8 Quick Answers.

    June 14, 2018 Leave a comment content management software, ocr, cloud first, digital transformation, Document Management Solutions, Paperless, document management software, Digital Documentation, Going Paperless, SaaS, record retention, retention schedules, record disposition, automated record retention, disposition schedule, records retention schedule ICM Admin

    Why-Record-Retention-blog-banner
     

    In April of 2018, an AIIM member posted a question to the AIIM Open Forum, “Why not keep everything (electronic) forever? What followed was a rousing discussion shared between 18 AIIM members on the various reasons why Record Retention policies are so important. This blogs intends to respectfully summarize the answers which spanned across job titles, industries and document types.

    Legal Risk

    Did you know all documents must be delivered if your business is given a subpoena for production of evidence? That means your business could be exposed to risk through misinterpretation, or exposure of prior mistakes from old documents that could have been legally deleted. Further, it is cheaper to pay your attorneys and paralegals to go through fewer documents for legal discovery; should you face this task.

    Reputation

    Here’s a phrase no one wants to hear; data breach. Make sure there are fewer documents – not more –that could be jeopardized should your business ever encounter a data breach. Reduce possible damage by exposing fewer records. Minimize the possibility of stolen information, reputation damage and costly remediation.

    Document Classification

    The risk is in NOT knowing. Do you even know the types of records/documents your business has? Record retention policies force your business to categorize your data. If you know what you have then you can classify it. If you classify it then you can more easily apply it to a record retention schedule. Remove the guesswork and know what to keep, why and how long.

    Storage Cost

    Yes storage is cheap - although not as cheap as some may think. Adding storage is not simply a case of adding a few cheap hard drives and you're done. There is an infrastructure behind storage which manages your backups. Plus the cost of migrating data when needed. Information that no longer has business or historical value should be destroyed.

    Statutory or Regulatory Requirements

    Statutes and regulations are often geared toward actions, and the need to provide evidence of a particular action creates the necessity for retaining a record.

    Retrieval (or eDiscovery) Cost

    There is a retrieval cost, too. At minimum, the cost of the individual's time who has to search and discover whatever they are looking for. If that becomes too difficult, then the cost of keeping the content has exceeded any potential value. Employee time is expensive and it takes more time to open 500 documents, 497 of which could have been destroyed, to find the information you need than it does to open three documents.

    Disaster Recovery

    Backups are for when the unthinkable happens. Hopefully, the location of your critical business records won’t be subjected to catastrophic loss. However, many companies are not as prepared as they think they are when it comes to disaster recovery. Should the unthinkable occur, it’s better to restore terabytes of well-managed, relevant, accurate and up to data information.

    Audit Requirements

    These requirements apply to financial or fiscal records related to financial transactions, accounting functions, budgeting actions, and auditing processes. The Code of Federal Regulations (CFR) lists federal requirements that are used as regulatory requirements for most of these documents.

    The Role of a Document Management Solution

    Some documents must be retained for a specified number of years, while others must never be destroyed. By creating a records retention schedule and converting your paper into electronic documents stored on a document management software solution, your can centralize and manage vital information, which increases staff efficiency, allows instant access to documents, and provides a safe and secure method for storing documents. When coupled with an automated workflow module, your business can streamline their records retention and disposition schedules to become more compliant to laws, regulations and policies.

    Conclusion

    Records should never be retained because “someone might need them someday.” The process of making good records retention decisions requires every records series to be evaluated in a similar manner. Your evaluation process will determine when a record has significant value and should not be destroyed or when a record no longer has value and should be disposed. The results are then electronically managed within a cloud-based document management solution for access anywhere at any time on any device.

     

    New Call-to-action

     

    content management software, ocr, cloud first, digital transformation, Document Management Solutions, Paperless, document management software, Digital Documentation, Going Paperless, SaaS, record retention, retention schedules, record disposition, automated record retention, disposition schedule, records retention schedule

    About the author
    Related posts

    Subscribe to Email Updates