OBM247 CHAPTER 2

The definition of record management is the practice of identifying, classifying, archiving, preserving, and sometimes destroying records.

A record is often identified strongly with a documents, a record can be either a tangible object or digital information which has value to an organization.

The ISO defines records as "information created, received, and maintained as evidence and information by an organization or person, in pursuance of legal obligations or in the transaction of business". 

To ensure records are managed efficiently and at low cost.

To ensure the right records are used in making decisions.

To ensure records with value are transferred to the archives and those without value are eliminated.

Filing

The action of arranging records in a predetermined sequence.

Retrieval

The process of finding record and/or information and always using alphabetic indexing rules in order to make the filing accurate.

The set of procedures used to make filing and retrieval reliable and systematic processes.

To control records, users must know why records are kept and which phase records pass through from creation to disposition.

The person responsible for the records management program is usually the records manager.

Records are kept and used because they have administrative value, fiscal value, legal value and historical value. 

Administrative

Fiscal

Legal

Historical

Administrative

Help employees to perform office operations and example of administrative such as organization’s policy, procedures, manuals, handbooks and organizational charts.

Legal

Provide evidence of business transactions and example of legal value records such as contracts, financial agreements, and articles of incorporation.

Fiscal

Conduct current or future financial business and example of fiscal value records such as tax returns, records of financial transactions, sales orders and income statements.

Historical

Furnish a record of the organization’s operations and example of historical value are minutes of meetings, corporate charter, public relations.

Reduce the volume of records.

Improve storage and retrieval systems.

Increase efficiency of records processing.

Identify and protect vital records.

Meet legal requirements

Protect the organization, customers, personnel and stockholders.

Improve productivity.

Cut cost.

Improve profits.

Vital

Important

Useful

Nonessential 

Vital records

The crucial an important document that used for an organization continuing operation and examples are:

· inventory lists

· contracts

· patents

formulas 

Important records

important records assist in performing an organization’s business operations and if destroyed can replaceable but in a greater cost and also must be protected and examples are:

· personnel records

· sales records, payroll records

Useful records

Limited, but helpful and reference value it also may be replaced at some inconvenience, but their loss would not seriously impair daily operations and examples are: 

· bank statements

· general correspondence

Nonessential records

Have no predictable value to the organization after its use and should be destroyed after use and examples are:

· phamplet

· brochure

5 STEPS IN RECORD LIFE CYCLE

Creation

Distribution

Use

Maintenance

Disposition

Creation

Records are created inside a business through dictation, handwritten drafts, voice mail, electronic mail (email) or by using computers and word processors.

Records created outside the business are received through the mail, personal delivery, fax machines, voice mail, email and other communication delivery system.

Distribution

To be useful, records must be distributed to persons requiring the data. Records must be sent to users within the company or outside the company.

Use

Records are used for making and documenting decisions, for answering questions, for reference or for tax or legal reasons.

Records are used most often shortly after they are created. Usually, the older the records, the less they are used.

Maintenance

Filing and retrieving records occur during the maintenance phase.

An organization selects a filing method (alphabetic, subject, numeric or geographic) and designs a filing system for efficient retrieval of records.

Disposition

Records that are no longer frequently used are kept in long-term storage, discarded or destroyed

Active

Inactive

Long Term

Active record

Used frequently, three or more times a month.

Inactive record

Use less than 15 times a year

Long-term record

Kept for legal or historical purposes and are stored indefinitely or for specified period of time as archives.

Perpetual transfer method

Periodic

Periodic

Records continuously transferred from active storage to inactive storage when no longer needed for reference.

Perpetual transfer method is not recommended for business correspondence or records that are referred to often and must be available quickly

Example:

• Students records after graduation

• Legal cases that are closed

Periodic

A method of transferring active records at the end of a stated period of time usually one year to inactive storage.

Records are moved from current files into inactive storage sites on a scheduled basis.

All folders in the active records system are transferred to inactive storage at the end of the specified period.

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