ictus consulting, llc - document retention / destruction · 2008. 11. 12. · ictus consulting, llc...

Document Retention / Destruction

Presented by Barbara E. Nye, CRM

Lorman Education Service Seminar - February 15, 2005

February 15, 2005Ictus Consulting, LLC 2

Presentation Overview

Part 1What is Records Management?Why is Records Management necessary?What is a record?How do I design an effective RMP?Your Questions Answered


Presentation Overview (2)

Part 2What is records retention?What is the records life cycle?What is records disposition?What is the current environment for Records Management?How do professional ethics affect Records Management?What have we learned?Your Questions Answered


What is Records Management?

Records Management DefinedApplying systematic controls to recorded informationControlling organizational information throughout record life cycleKey to successful management of information assetsKey business function within the organizationInternal consultant


What is Records Management?

Five basic principlesIdentify records to be managedManage records based on life cycleSchedule records for maintenance and dispositionMove inactive records to low-cost storageDisposition records in the normal course of business


What is Records Management? (2)

RMP ComponentsRecords Retention ScheduleActive Records ManagementInactive Records ManagementVital Records ManagementHistorical (Archives) Records ManagementProgram ComplianceForms / Reports ManagementLitigation SupportDocument Control


What is Records Management? (3)

RMP Tools / ResourcesRecords CentersFiling EquipmentFiling / Classification Systems / Color codingBar-code technology / tracking/ circulationE-formsImaging / MicrographicsEDMSEnterprise Content ManagementWeb sites


Standards

StandardsISO 15489-2001 Parts 1 and 2DoD 5015.2MoReqISO 9000: Quality Assurance documentationISO14000: Environmental documentationNFPA 252 “Protection of Records”ANSI/ARMA TR-01 “Records Center Operations”


Why is Records Management Necessary?

Records Management PurposeSupport the organization mission and operationsEstablish accountability of the organizationEnsure compliance with applicable regulationsReduce costsAvoid costsLimit liabilityIncrease productivity


Why is Records Management Necessary?

Records Management PurposeImproved access to informationControl growth of records storageImprove customer serviceIndustry best practice

ISO 15489ISO 9000


It’s not just a good idea....

...it’s the law!Federal law

Fair Labor Standards ActOSHAIRS

State LawWage and Hour LawsCal-EPA

Local LawSCAQMDFire, Health and Safety


What Is A Record? (1)

Records DefinedContemporaneous evidence of a business transaction / decisionInformation created, received and maintained as evidence and information by an organization or person, in pursuance of legal obligation or in the transaction of businessMultiple formats:

PaperPhotographic (microfilm, motion pictures, photos)Electronic (audio / video tape)Physical Samples



ISO 15489 characteristicsA complete record includes:

ContentContextStructurePresentationBehavior



A complete record is:TrustworthyAccurateAuthenticUseableComplete / Unaltered


Electronic Records

Defined:Records that contain machine-readable information and require machine translationSame principles applyDifferent methods required


Legally Acceptable Records

Made at or near time of event recordedBy a person with knowledge of the eventIn the course of regularly conducted businessAs a regular business practiceRecords must fulfill the criteria as shown by competent witness (records custodian)


Records v. Documents

Compare:DOCUMENTS

RECORDS


Records and Non-Records

Non-RecordsExtra copies of publications; “stock” or “supplies”Phone messages that document a missed callReference materialsWork in progress / preliminary draftsCatalogs, trade journalsIncorrect version of documentsMeeting notices


Personal records

Personal records v. corporate recordsOwnership based on content / purposeEvidence of business activityEvidence of personal activityDiscoverability issues


Official / Duplicate Records

Official records v. duplicate recordsOfficial version is expression of organizationRelied upon in decision making and providing evidenceDuplicate version is convenience onlyAnnotated duplicate becomes new version of the official record


Record Storage Media

Record Storage MediaHardcopy / PaperPhotographicElectronicPhysical samples / objects

Record Storage Media (format) does not affect status as a recordHybrid environment


Declaring / Classifying Records

Declaring Draft (work-in-progress) must be “issued” or “rendered”Establish process for each type of recordDeclaration includes meta-data

ClassifyPlace into appropriate category / seriesEnsures maintenance and dispositionSupports retrieval and use


How Do I Design an Effective RMP? (1)

Designing an effective Records Management Program

Develop strategyDevelop documentationComplete inventoryPrepare RRSImplement Active Records ManagementImplement Inactive Records Management


How Do I Design an Effective RMP? (2)

Designing an effective Records Management Program

Protect Vital RecordsProtect Historical (Archival) RecordsDevelop Records ComplianceTrain Staff


Strategy

RM StrategyEstablish RM Executive CommitteeDetermine scope of RMPAnalyze existing documentationAnalyze business functionsDetermine priorities for developing resourcesObtain resources externally / internally?Determine resource requirements (budget, staff, schedule)Obtain approvalInitiate RMP development project


RMP Documentation

Records Management PolicyStatement of intent

Records Management ProcedureDescription of roles and responsibilities

Records Management PracticesDetailed instructions for records management activities


Records Inventory / Survey

Establish ScopeEstablish PrioritiesDetermine ApproachConduct InventoryConduct InterviewsAnalyze ResultsPrepare RRS


Retention Schedule Development (1)

Retention Schedule DefinitionPolicy defining scope of records to be managed

and approach to managing; foundation of RMPComponents:

Records series nameDefinitionRetention PeriodCharacteristicsOwnership


RRS (Text-based)

(1) Annual Reports Series provides a record of the primary functional activities and accomplishments of the museum and historical society for the previous year. Reports may include narratives, statistics; graphs; diagrams; member lists; descriptions of programs; events and exhibits; and annual financial statements. (Retention: permanent.) (2) Board Member Personnel Records Series documents the appointment or election and subsequent personnel actions for board members. Records may include appointment letters, resumes, applications, personnel action forms, job descriptions, and employee data sheets. (Retention: 10 years after final term expires.) (3) Board of Director's Records Series documents the activities and decisions of the board responsible for governing museum and historical society operations or for advising its operations. Records may include minutes, agendas, tape recordings, and Board Committee records. Records may also include constitution and by-laws, intergovernmental agreements, organization charts, draft and approved budgets. (Retention: (a) Minutes, agendas, constitution and by-laws, policy records, approved budgets, and organization charts: permanent; (b) Audio recordings: 1 year after transcribed; (c) All other records: 5 years.)


RRS Sample (Table format)

Retention Period Event Codes: Characteristics:

AR - Annual Review EX - Expired RV - Revised SU- Superseded V - VitalAU - After Audit LI - Life SA - Sale, Disposition H - HistoricalCL - Closed, Completed PE - Permanent ST - Settlement C - Confidential

Item No. Records Series Records Series Definition Office of Record

Duplicate Retention

Official Retention Citation / Authority V H C

1Accounts Payable Records Records that serve as the basis for payment of bills,

including copies of bills paid, checks, invoices, purchase orders, receiving reports, and vendor correspondence.

Accounting 1 6 Administrative Decision

2

Agreements and Contracts Records that document some form of agreement that is enforceable by law between the organization and other parties, including joint venture agreements, memoranda of understanding, franchise agreements, lease agreements, professional services agreements.

Legal EX EX+6 CA CCP 337

x

3

Budget - Final Adopted Final financial plan for the budget period established by the organization as approved by the governing body for the allocation of all expenditures.

Finance SU LI

x x

4

Expense Records Records maintained to document travel, mileage, claims for reimbursement and other expenses of municipal officials while on organization business, including requests, authorizations, and reimbursements.

Accounting 1 AU

TE - Termination

Note: All retention periods are listed in years, or as events, in addition to the current year. Retention periods apply to all record storage media.


RM Program Benefits

Ensuring availabilityEnsuring complianceReducing labor requirementsPreventing arbitrary destructionPreventing unwarranted retentionMinimizing storage requirementsReleasing storage equipmentUsing offsite storage appropriatelyIdentifying historical records


Retention Schedule Development (2)

RRS TypesDepartmental (Detailed)Functional HybridText formatTable format


Legal Research

Legal ResearchOperating retention requirementsLegal retention requirementsStatute of LimitationsLegal ConsiderationsLegal Requirements


Active Records Management (1)

Filing Systems (color coding)Circulation Control (bar coding)Imaging / MicrographicsEDMSDocument Control



Active Record DefinitionA frequently consulted record that is readily available, providing quick access to information to support business

Paper-based conceptOn-site retentionShort-term retentionFocus on organizing recordsCentralized v. decentralized


Records Usage



Filing: physical arrangement of related records

Subject HierarchicalGeographicAlphabeticNumericChronologicalPhonetic



Index: list of descriptive terms with pointersNameDateID NumberSubjectGeographic areaProduct



Equipment / SuppliesCabinets (paper and media storage)ShelvesFoldersLabelsColor-coding / Bar-codingHigh-density movable shelvingElectronic storage (online, offline)


Inactive Records Management (1)

Inactive Record DefinitionInfrequently consulted record, retained for legal, operating or scholarly research purposes

Cost-effective reliable storage for long-term retentionAnticipated future (but infrequent) reference



Records Transfer / RetrievalRecords Centers

Specially designed warehouseIn-house facilityCommercial facilityCustody only, not ownership

Inventory Control



MicrofilmingCost-effective for very long-term storageVital records protectionStable mediumLegally acceptableMinimal system dependence


Vital Records Management (1)

Protecting vital recordsVital records defined

Indispensable to mission-critical operationsEssential for the survival of the organization if a major disaster occursRecreate legal and financial statusDetermine organization’s rights and its obligations to employees, customers, stockholder or citizens



After a disaster (on average):

40% do not survive 1 year 43% do not re-open for business20% close within 2 years15% have vital records programs that work



Examples:Articles of formation / incorporationAccounts receivableProperty ownership documentationMeeting Minutes of governing bodyContractsPayrollGeneral LedgerTax returnsInsurance Policies


Historical Records Management (1)

Protecting historical /archival recordsDefined

Records documenting significant accomplishments / milestones

Archives take custody and ownership of historical records



Examples:Formation documentsEphemera (intrinsic value)Strategic plansMajor capital projectsExecutive correspondenceMerger and acquisition recordsNewsletters



Preservation factorsEnvironmental

SunlightTemperatureHumidity

MoldDustVermin


Records Program Compliance

DefinitionPeriodic assessment of the level of compliance with RMP requirements

Annual compliance reviewChecklistInternal audit functionCorrective actionIdentify improvements to RMP


Records Management Training

Records Manager trains departmental Records CoordinatorsRRS Implementation / MaintenanceAppraisalFiling SystemsRecords TransferLegal HoldsRecords Destruction


Your Questions Answered (part 1)


What is Records Retention?

Records Retention DefinedTime period record maintainedEvent-basedDuration-basedRetention suspensionPlanned, documented, consistentNo “ad hoc” retention decisions


Credibility

RMP provide credibility during litigationMemories fade, records do not“The faintest ink is better than the strongest memory”


Retention Period Considerations

Business (operating) requirementsMost retention periods

Legal RequirementsFederal, state and local statutes and regulations applyLaw is sometimes specific:

“Retain OSHA Form 100 for 4 years”Law is often vague:

“Retain records that are material to IRS audit”No turnkey retention schedules


Records to be Retained (partial list)

AccountingTaxRecruiting / Hiring / DismissalPayrollSafetyEmployee BenefitsEnvironmental ComplianceFormation / OrganizationProcurement


Records to be Retained (partial list)

General Corporate records (formation, dissolution, bylaws, M&A)SECOSHAERISAINS / ImmigrationWage and HourIntellectual Property


Select appropriate storage medium

ConsiderLength of retentionInitial formatDistributionRetrieval Longevity of storage medium


What is the Records Life Cycle?

Records Life Cycle v. Records ContinuumLife Cycle

Records creation – use – disposition

ContinuumRecords creation – use – re-use


Record Life Cycle


What is Records Disposition? (1)

Records DestructionPerpetual MaintenanceRecords Destruction Defined

Safe, confidential and complete destruction of storage medium and content


Electronic Records Storage Costs

1966 – 1 bit chip costs $8,192*1976 – 16 KB chip costs $1,0241985 – 1 MB chip costs $5121997 – 256 MB chip costs $1282006 – 16 GB chip costs $64



Protect privacyEnsure consistent approachDocument destruction activities (certificates)



Policy and proceduresPrivacy and confidentialityConsistency and documentationRetention Suspension (“Legal Hold”)



Long-term PreservationAppropriate formatArchival descriptionCollection processingControlled accessEnvironmental controlsResearch facility


What is the Current Environment?

Change – Rapid and ConstantLegislationStandardsTechnologyCultural – records in the news


What is the Current Environment? (2)

Legislation (partial list)Transparency:

Sarbanes-Oxley

Confidentiality: HIPAAGramm-Leach-Bliley

Efficiency / Legal Status: GPEAE-SIGNUETA



StandardsISO 15489DoD 5015.2MoReqNFPA 252ANSI / AIIM / ARMA



Technology (partial list)EmailInstant messagingWeb sitesContent managementElectronic Document Management SystemsPDAsElectronic Notebooks


Electronic Records – Challenges (1)

Volume: 35 billion emails / dayLimited controlLack of systematic indexing / classificationEase of duplicationEase of distributionInstant change / update



Continuous software / hardware migrationInformation processing systems (ERP) are not recordkeeping systemsDocument management systems are not recordkeeping systems



EDMSIneffective classificationIneffective indexingBackup is not retentionNo functionality for destructionNo functionality for legal hold



Storage tapes are duplicated without destruction process based on contentPortable computer devices information not managed



Cultural – records in the newsEnron / Arthur AndersonWorld ComMicrosoft email records

Information AccessFOIA


Intro to Ethics

Framework for making sound decisionsDefines right and wrong behaviorAccountability


Records Management Ethics (1)

Social PrinciplesSupport free flow of information / oppose censorshipSupport creation, maintenance and use of accurate informationCondemn unethical or immoral use or concealment of informationPromote right to privacySupport compliance



Professional PrinciplesPursue educationRepresent education accurately Provide high level of professional competenceInform employer of illegal or unethical situationsAvoid personal interest / improper gain



Professional PrinciplesMaintain confidentialityEnrich professionCommit to recruiting new records managers



Responsibilities toEmployersStaffShareholdersCitizensCustomers

Custodial / Trust Aspects of RM


What Have We Learned?

SummaryDefined recordsDefined Records ManagementDefined RetentionDefined DestructionDescribed Electronic Records ChallengesDiscussed Records Management Ethics


Your Questions Answered (part 2)

Document Retention / Destruction

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Document Retention / DestructionPresentation OverviewPresentation Overview (2)What is Records Management?What is Records Management?What is Records Management? (2)What is Records Management? (3)StandardsWhy is Records Management Necessary?Why is Records Management Necessary?It’s not just a good idea....What Is A Record? (1)What Is A Record? (2)What Is A Record? (3)Electronic RecordsLegally Acceptable RecordsRecords v. DocumentsRecords and Non-RecordsPersonal recordsOfficial / Duplicate RecordsRecord Storage MediaDeclaring / Classifying RecordsHow Do I Design an Effective RMP? (1)How Do I Design an Effective RMP? (2)StrategyRMP DocumentationRecords Inventory / SurveyRetention Schedule Development (1)RRS (Text-based)RRS Sample (Table format)RM Program BenefitsRetention Schedule Development (2)Legal ResearchActive Records Management (1)Active Records Management (2)Records UsageActive Records Management (3)Active Records Management (4)Active Records Management (5)Inactive Records Management (1)Inactive Records Management (2)Inactive Records Management (3)Vital Records Management (1)Vital Records Management (2)Vital Records Management (3)Historical Records Management (1)Historical Records Management (2)Historical Records Management (3)Records Program ComplianceRecords Management TrainingYour Questions Answered (part 1)What is Records Retention?CredibilityRetention Period ConsiderationsRecords to be Retained (partial list)Records to be Retained (partial list)Select appropriate storage mediumWhat is the Records Life Cycle?Record Life CycleWhat is Records Disposition? (1)Electronic Records Storage CostsWhat is Records Disposition? (2)What is Records Disposition? (3)What is Records Disposition? (3)What is the Current Environment?What is the Current Environment? (2)What is the Current Environment? (3)What is the Current Environment? (4)Electronic Records – Challenges (1)Electronic Records – Challenges (2)Electronic Records – Challenges (3)Electronic Records – Challenges (4)What is the Current Environment? (5)Intro to EthicsRecords Management Ethics (1)Records Management Ethics (2)Records Management Ethics (3)Records Management Ethics (4)What Have We Learned?Your Questions Answered (part 2)Document Retention / Destruction