Chapter 21

Records Management

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
1 Upper Saddle River, NJ 07458
 Records

Refer to informational documents in both paper

and electronic formats that are used to carry out
various functions.
Includes forms, letters, e-mail messages,
memoranda, reports, and manuals.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
2 Upper Saddle River, NJ 07458
 Records Management

Refers to the activities involved in controlling the

life cycle of a record, beginning with its creation
and ending with its final disposition.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
3 Upper Saddle River, NJ 07458
 Filing

Refers to the activities involved in rough sorting

of paper-based documents, locating the proper
folder for the document, and placing the
document in the folder.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
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 Advantages of an Effective
Records Management Program
(1 of 2)

1. It better serves its clients or customers.

2. It increases employee productivity.
3. It accomplishes its workload with fewer
employees.
4. It centralizes its records and information,
thus making them readily available to all
employees who need them.
5. It eliminates duplicate records and information.
Administrative Office Management, 8/e ©2005 Pearson Education, Inc.
by Zane Quible Pearson Prentice Hall
5 Upper Saddle River, NJ 07458
 Advantages of an Effective
Records Management Program
(2 of 2)

6. It reduces its records storage space.

7. It complies with reporting regulations at the
federal, state, and local levels.
8. It keeps better track of and control over its
records and information.
9. It avoids costly litigation and liability issues.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
6 Upper Saddle River, NJ 07458
 Image Processing

Refers to storing information electronically on a

magnetic medium or an optical disk.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
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 Micrographics

Refers to the process of making miniature film

images of paper documents.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
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 Situations that Contribute to the
Vulnerability of an Organization’s Records

1. Failure to provide data backup.

2. Failure to store backup copies of vital records off
site.
3. Failure to maintain information security or system
access.
4. Failure to maintain physical security where needed.
5. Failure to provide adequate fire protection and
suppression system.
6. Failure to provide adequate managerial control over
the program.
Administrative Office Management, 8/e ©2005 Pearson Education, Inc.
by Zane Quible Pearson Prentice Hall
9 Upper Saddle River, NJ 07458
 Steps in the Life Cycle of a Record

Creation
Utilization
Storage
Retrieval
Disposition

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
10 Upper Saddle River, NJ 07458
 Creation

Is concerned with developing efficient methods of

entering data on documents as well as determining
the length of time that records should be used
before they are destroyed.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
11 Upper Saddle River, NJ 07458
 Utilization

Is concerned with developing efficient procedures

for use in retrieving and delivering desired records
to their desired location at the desired time.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
12 Upper Saddle River, NJ 07458
 Storage

Is concerned with developing efficient procedures

for using filing equipment and the space occupied
by the filing equipment as well as protecting
records against disaster.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
13 Upper Saddle River, NJ 07458
 Retrieval

Is concerned with locating requested records and

making them available to the individual who
requested them.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
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 Disposition

Involves preserving valuable documents,

transferring records to low-cost storage areas,
properly destroying records, and microrecording.

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by Zane Quible Pearson Prentice Hall
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 Components Involved in Organizing a
Records Management Program
1. Objectives
2. Policies
3. Organization of the program
4. Filing systems
5. Personnel
6. Records retention
7. Storage and retrieval of records
8. Records retrieval
9. Disposition of records
10. Program evaluation
Administrative Office Management, 8/e ©2005 Pearson Education, Inc.
by Zane Quible Pearson Prentice Hall
16 Upper Saddle River, NJ 07458
 Objectives of the Program
(1 of 2)

1. To provide control over the records cycle; that

is the creation, utilization, storage, retrieval,
and disposition of records.
2. To develop efficient procedures for each stage
of the cycle.
3. To eliminate needless storage of duplicate
records.
4. To reduce costs in each stage of the cycle.
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 Objectives of the Program
(2 of 2)

5. To develop realistic standards for employee

performance and program evaluation.
6. To develop employee appreciation for the
value of a records management program.
7. To standardize procedures and equipment used
in the records management program.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
18 Upper Saddle River, NJ 07458
 Policies of the Records
Management Program
(1 of 2)

Policies are designed to guide decision making

about various program aspects.
Kinds of policies typically include:
1. The records management program, which has
management’s support, is considered to be an
integral organizational function.
2. Each record created in the organization comes
under the jurisdiction of the records management
program and is subject to centralized control.
Administrative Office Management, 8/e ©2005 Pearson Education, Inc.
by Zane Quible Pearson Prentice Hall
19 Upper Saddle River, NJ 07458
 Policies of the Records
Management Program
(2 of 2)

3. The records management program shall operate

under the procedures outlined in the records manage-
ment manual.
4. Records must receive adequate protection at all
times.
5. The administrative office manager has primary
responsibility for the records management program.
6. Efficiency will have precedence over cost when
making decisions about workflow.
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 Organization of the Program

1. Centralized control

2. Decentralized control

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by Zane Quible Pearson Prentice Hall
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 Centralized Control

Overall authority and responsibility for the program are

vested in one person.
Records can be stored centrally or decentrally.

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by Zane Quible Pearson Prentice Hall
22 Upper Saddle River, NJ 07458
 Advantages of Centralized Control
(1 of 2)

1. The number of duplicate records that are stored

is reduced considerably.
2. The equipment is used more efficiently, resulting
in the need for fewer file storage units.
3. The organization can take advantage of the cost
savings that accrue from the use of standardized
equipment and procedures.
4. The program uses trained employees who file
documents accurately.
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 Advantages of Centralized Control
(2 of 2)

5. The retrieval, retention, and transfer of records are

better controlled.
6. The records pertaining to a particular subject are
stored in one place.
7. The program operates continuously and is not
hampered by employee absence.
8. Obscure records are obtained more quickly because
their whereabouts are known.
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by Zane Quible Pearson Prentice Hall
24 Upper Saddle River, NJ 07458
 Disadvantages of Centralized Control

1. The records may be more vulnerable because they

are stored in one central location.
2. The time spent transporting frequently used
records to and from the central storage area may
delay their immediate use.
3. If records cannot be immediately obtained, those
who need them may be inconvenienced.
4. The confidentiality of records may be more
difficult to maintain.
Administrative Office Management, 8/e ©2005 Pearson Education, Inc.
by Zane Quible Pearson Prentice Hall
25 Upper Saddle River, NJ 07458
 Decentralized Storage

Involves storing records within the various work units

until the time has arrived to transfer or destroy them.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
26 Upper Saddle River, NJ 07458
 Advantages of Decentralized Storage

1. Confidential records are stored in work units

throughout the organization and, therefore, are
less vulnerable.
2. Because the records are stored on site, valuable time
is not consumed in transporting records.
3. Because each work unit is primarily responsible for
the storage of its own records, flexible procedures
should be developed.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
27 Upper Saddle River, NJ 07458
 Disadvantages of Decentralized Storage

1. Some work units are likely to develop their own

procedures rather than using those of the system.
2. Duplicate filing equipment may be required.
3. Filing equipment may not be efficiently used.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
28 Upper Saddle River, NJ 07458
 Factors to Consider in Deciding Whether to
Store Records Centrally or Decentrally

1. Attitude of top management regarding records

storage.
2. Competence of personnel.
3. Size and type of organization.
4. Philosophy of organization with regard to
centralization and decentralization.
5. Number of different kinds of records stored.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
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 Decentralized Control

Gives each work unit responsibility for the management

of its own records.
Generally results in duplication of equipment,
records, and personnel effort.
Also results in lack of consistency of procedures used
in maintaining records.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
30 Upper Saddle River, NJ 07458
 Filing System

Involves classifying, coding, arranging, and placing

records in storage, and facilitating their quick and
easy retrieval.
Two types of systems:
1. Alphabetic
2. Nonalphabetic

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 Alphabetic Filing Systems

Name
Subject
Geographical area

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 Nonalphabetic Filing Systems

Numerical
Chronological

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 Personnel

Personnel needs are determined by the type of

program structure used and the size of the
organization.
Centralized storage-uses employees who work
full time with records management.

Decentralized storage-likely uses employees

who work part-time with records management.
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 Job Titles of Employees Who
Work in Records Management

File Clerk

Records Requisitions
Manager Clerk

File Supervisor Messenger

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 Certified Records Manager

Is a certification program.
Program involves:
Passage of a 5-part test.
3 years’ experience.
Bachelor’s degree.
Recommendation from a CRM.

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by Zane Quible Pearson Prentice Hall
36 Upper Saddle River, NJ 07458
 Records Retention

Refers to the length of time records must be

kept by the organization.
Records retention schedule specifies the length
of time specific records are to be kept.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
37 Upper Saddle River, NJ 07458
 Benefits of Records Retention

1. Considerable cost and space savings result from

transferring inactive records to low-cost storage
areas, and from ultimately destroying records no
longer useful to the organization.
2. Retrieval of records is simplified because fewer
active-status records are stored.
3. Systematic destruction of records prevents their
being destroyed prematurely.
4. Equipment for storing records-both active status
and inactive status-is more efficiently used.
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by Zane Quible Pearson Prentice Hall
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 Records Inventory

Determines the nature and volume of all records

created.
Is done prior to developing a records retention
schedule.
Involves classifying records.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
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 Records Retention Schedule

Steps involved in designing an effective program:

1. Get authorization to develop the schedule.
2. Conduct an inventory to determine the kinds,
volume, and location of records.
3. Develop a classification scheme to determine the
value of each kind of record.
4. Develop a tentative retention schedule.
5. Secure top management’s approval of the schedule.
6. Distribute the approved schedules to appropriate
individuals.
Administrative Office Management, 8/e ©2005 Pearson Education, Inc.
by Zane Quible Pearson Prentice Hall
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 Records Retention Schedule

Is generally developed by a committee.

Uses input from The Guide to Records
Retention Requirements, which is published
annually by the U. S. Government Printing
Office.
Committee is also responsible for keeping the
schedule updated.
Administrative Office Management, 8/e ©2005 Pearson Education, Inc.
by Zane Quible Pearson Prentice Hall
41 Upper Saddle River, NJ 07458
 Storage and Retrieval of Records

Are another determinant of the success of a

records management program.
Storage equipment is critical to program’s
success.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

by Zane Quible Pearson Prentice Hall
42 Upper Saddle River, NJ 07458
 Factors to Consider in Deciding Upon a
Particular Kind of Storage Equipment
(1 of 2)
1. Nature of the records being stored,
including size, quantity, weight, physical
composition, and value.
2. Frequency with which records are retrieved.
3. Length of time that records are stored in both
active and inactive status.
4. Location of storage facilities (centralized and
decentralized.)
Administrative Office Management, 8/e ©2005 Pearson Education, Inc.
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 Factors to Consider in Deciding Upon a
Particular Kind of Storage Equipment
(2 of 2)
5. Amount of space allocated for storage and
the possibilities for expansion.
6. Type and location of storage facilities for
inactive records.
7. Layout of the organization.
8. Degree to which stored records must be
protected.

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 Categories of Storage Equipment

Vertical
Lateral
Power

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 Vertical Equipment

Is the most commonly used category of equipment.

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 Types of Vertical Equipment

Four-, five-, and six-drawer cabinets continue to

be the most commonly used.
Open-self files are another type of widely used
equipment.
Vertical rotary files facilitate fast and easy
retrieval of documents.

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 Types of Lateral Equipment

Drawers in lateral equipment pull out by their side

rather than by their end.

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 Power Files

Use power assist in records retrieval.

Types of power files:
Rotary power files.
Structural power files.
Mobile files.

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 Records Retrieval

Refers to the activities involved in locating and

removing tangible records from the files.
Steps:
1. A request slip is completed.
2. Retrieval is approved by the requisition clerk,
and the record is retrieved by the file clerk.
3. Record is transmitted to individual who
requested it.
4. Record is returned to central storage area
when no longer needed.
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 Retrieval Uses a Charge-Out System

An inventory of all checked-out records is

maintained on a desktop computer.
Inventory identifies:
1. Who checked the record out.
2. Date the record was checked out.
3. Names of individuals waiting to use the
record upon its return.

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 Disposition of Records

Refers to the ultimate fate of records.

Some records are stored permanently.
Others are stored for a certain length of time
and then are destroyed.
Some are destroyed immediately.

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 Types of Disposition

Protection
Transfer
Microrecording
Digitizing
Destruction

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 Protection

Value attached to a record determines

what type of protection it receives.
Vital records are stored in fire-proof safes
or vaults.
Off-site storage is also a possibility.

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 Transfer

Involves transferring the status of a

record from active to inactive status.
Then they are transferred from high-
cost to low-cost storage.
Frequency of records’ use determines
when to transfer records.

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 Transfer Methods

Perpetual-records are transferred

continuously.
Periodic-records are transferred on an
occasional basis.

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 Microrecording

Is a useful disposition technique

because:
1. It significantly reduces amount of
storage space needed.
2. It allows the preparation of a duplicate
set of records.

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 Digitizing

Involves scanning documents and “burning”

the output onto a CD-ROM or a DVD.

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 Destruction

When a record has outlived its life, it is

ready for destruction.
Several destruction methods are used.

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 Methods Used to Evaluate the
Records Management Program

Finding ratio
Use ratio
Performance ratio

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 Finding Ratio

Used to determine how many requested records

are actually found.
A ratio less than 97 percent can signal a problem.
Possible problems:
1. Records are misfiled.
2. Records are not properly indexed or coded.
3. Records are not properly returned for refiling.
4. Whereabouts of records are not known because
of improper charge-out procedures.
Administrative Office Management, 8/e ©2005 Pearson Education, Inc.
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 Use Ratio

Used to assess the frequency of record use as well

as to determine whether too many unused records
are filed.
A ratio higher than 20 percent is generally considered
satisfactory.
Low ratios may signal these concerns:
1. Too many records are maintained in active
status when they should be transferred to
inactive status.
2. Individuals are using personal copies of
duplicate records rather than obtaining records
from the central records area.
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 Performance Standards

Used to apply program cost and employee

performance against generally accepted
standards.

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 Records Management Manual

Is a vital document in the program.

Should be updated periodically.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

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 Appropriate Content Sections
(1 of 2)

1. Objectives of the program.

2. Statement of policy of the program.
3. Organizational structure of the program.
4. Filing systems used and types of records
filed under each system.
5. Personnel structure of the program.
6. Records retention schedule.

Administrative Office Management, 8/e ©2005 Pearson Education, Inc.

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 Appropriate Content Sections
(1 of 2)

7. Procedures for retrieving records and

information.
8. Disposition of records, including
protection, transfer, microrecording, and
destruction.
9. Procedures for evaluating the program.
10. Document management systems (if used.)
11. Image systems (if used.)

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 Document Management Systems

Involves giving records an identification

(such as a bar code) that aids in their
management.
Helps in tracing the movement of records
in and out of the depository.
An integral part of document management
is indexing of documents and/or key
words within documents.

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 Imaging Systems

Refers to scanned images, micrographics, and

digital images.
Before “burning” electronic files onto CD-ROM, a
backup copy is often maintained on a RAID
(Redundant Array of Independent Disks.)
Some organizations are now contracting with a
SSP (Storage Service Provider) to facilitate
storing and accessing documents using the
Web.
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 Scanned Images

Are prepared using optical scanning

equipment that scans paper documents.
Once scanned, a digital image is
available.
The digital image can then be stored
electronically.

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 Micrographics

Results in significant space savings.

Contents of 100 standard file drawers can
be reduced to two drawers when stored as
microimages.

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 Factors to Consider in Determining
the Feasibility of a Micrographics System

1. Size of documents.
2. Physical condition of documents.
3. Readability of documents.
4. Financial feasibility of installing a system.
5. Convenience of using a system.

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 Microimage Formats

Roll film
Aperture cards
Jacketed film
Microfiche
Film strips

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 Computer-Assisted Retrieval (CAR)

Refers to the retrieval of microimages using

computer technology.

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 Computer Output Microfilm (COM)

Generates microfilm rather than paper as the

output of computer processing of data.

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 Computer Output to Laser Disk (C.O.L.D.)

Output to laser disks.

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 Equipment Used in Micrographics

1. Rotary camera
2. Planetary camera
3. Processor camera
4. Record processor
5. Front-projection readers
6. Rear-projection readers

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 Factors to Consider in Determining
Which Records to Microrecord

1. How long is the record to be kept?

2. Will the physical characteristics of certain
records prevent their being microrecorded?
3. Will the microimage be admissible as evidence
in legal courts?
4. Does a sufficient volume of certain records
exist to warrant their being microrecorded?
5. Considering the frequency of use, would the
original record be more convenient to use than
a microimage?
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