Physical Records in the Era of Digital Transformation
Management
has become a common term used in C-suites across industries, and it is trickling down into all areas of the business.
“Digital transformation”
businesses today are operating in a volatile competitive environment, facing new digital disruptions and business realities:
We depend on technology more than ever
Digital natives are dominating the modern workforce
Organizations must learn to adapt to digital disruption
of Americans check their smartphone before they get out of bed.
More than
46
%
1
2
account for 1 out of 3 employees.
Millennials
About 17 million (born after 1996) entered the workforce in 2018.
3
Gen Zers
4
of organizations are still in the early or developing stages of their journey towards digital maturity.
69
As a result, 70% of organizations say that their companies either have a digital transformation strategy in place or are working on one.
5
Perhaps your organization is also reimagining its workflows and processes to better capitalize on digital innovations designed to increase efficiencies, enable agility, help employees be more productive, support business models, and ultimately improve the customer experience and your bottom-line results.
70
Top 5 Digital Transformation Challenges
6
Inability to experiment quickly
53
52
Legacy systems
51
Inability to work across silos
49
Inadequate collaboration between IT and lines of business
47
Risk-averse culture
The Surprising Role of Records and Information Management in Digital Transformation
When thinking about the boundless opportunities that digital transformation could bring, records and information management (RIM) may seem like a drop in the bucket.
While paper documents are still present in many organizations, departments are implementing new systems and technologies that digitize processes, which in turn generate an abundance of natively digital information, from HR documents and IoT data to work chat logs and social media posts.
This data is critical for maintaining compliance, optimizing operations, growing the business, differentiating from competitors, and more.
Digital content will grow over
between 2010 and 2020.
50 times
7
of data is unstructured information such as emails, documents, and video.
90
2010
2020
While this may seem overwhelming, the digitization of records, machine learning, and cloud solutions provide a number of advantages, allowing organizations to:
Automate the classification and retention of records and unstructured data for improved searchability and management throughout the information lifecycles.
Ensure information is searchable and securely shareable on any device.
Quickly and efficiently pull critical information for legal discovery, audits, or other critical initiatives — and place legal holds on records due for deletion or destruction, if needed.
Allow employees and business partners with the correct permissions to seamlessly access information when and where they need it.
Integrate systems and aggregate data so it can be sliced- and-diced for trend analysis, business projections, marketing planning, and much more.
Maintain data security, chain of custody trails, and compliance throughout the entire document lifecycle, even as regulations are updated or passed into law.
Some companies look at records management and information governance as separate entities. However, in the age of digital transformation, organizations should consider ways to converge the two by integrating digital tools and capabilities into their processes. As you make this transformation, you must build a program that not just accounts for the abundance of record types today, but also to be adaptable as new business models evolve, and new information and types of records (and even means of accessing them) come into view.
to learn why it’s time to digitally transform your records management, and how you can get started.
Select your industry below
LEGAL
HEALTHCARE
HIGHER EDUCATION
MANUFACTURING
RETAIL
Some companies look at records management and information governance as separate entities. However, in the age of digital transformation, organizations should consider ways to converge the two by integrating digital tools and capabilities into their processes.
As you make this transformation, you must build a program that not just accounts for the abundance of record types today, but also to be adaptable as new business models evolve, and new information and types of records (and even means of accessing them) come into view.
Records and information management (RIM) is critical to the success of your organization’s digital transformation journey. It’s a vital component to improving back-end processes, maintaining compliance, and supporting employees as they strive to capture, manage, and extract maximum value from business data.
Records Management Best Practices in the Age of Digital Transformation
Digital tools have granted legal teams the ability to share information quickly, internally and externally, saving countless hours of valuable time. Making critical information accessible via mobile devices adds polish to the courtroom and improves productivity, but firms must also ensure that records are accessible for audits and eDiscovery, adherent to mandated retention schedules — and are completely secure.
Legal
As a firm size grows, so too does the number and complexity of records depending on the industries and regulatory environments in which clients operate.
Some key records include:
Employee records Financial records Client records Client-driven retention policies Case files and litigation records
• • • • •
TOP CHALLENGES FOR LEGAL
Tasked with managing such an intense assortment of internal and client records, firms like yours face challenges and pain points that will only be solved with the digital transformation of your records and information management practices.
Maintaining data security as sensitive information is shared digitally, including via mobile devices
Keeping pace with new regulatory requirements for clients across multiple industries and for the law firm itself
Navigating disparate processes and siloed data associated with multiple office locations, or tools and systems that don’t “talk” to each other
Minimizing storage costs (digital and physical) as records grow within the firm and with every new client
Efficiently managing document retention schedules and legal holds
BEST PRACTICES
Potential regulatory noncompliance and litigation issues when records are kept beyond their lifecycle, destroyed too quickly, or not pulled for legal holds because manual filing processes are too onerous
Profit erosion due to increased spending on in-office and offsite storage
Productivity wasted by manually pulling, copying, and managing records, and time lost spent searching for information to build a client’s case
Increased fines and risk of legal penalties due to non-compliance
Damaged firm reputation and fragmented client relationships, due to data leaks and security breaches, which ultimately hurts profitability
TOP CHALLENGES FOR HEALTHCARE
Billing and insurance information Medical provider information Employee records Financial documents Inventory and supply records Pharmacy and drug records
• • • • • •
However, it’s likely your work is not complete. Many other types of records may still need digitization:
The move to electronic health records (EHR)/ electronic medical records (EMR), as mandated by the HITECH Act, provides a more comprehensive view of patient health and treatment, and real-time status updates on test results, prescriptions, and other forms of care. When paired with tablets, smartphones, and RFID, these changes are setting facilities on a path to digital transformation.
Healthcare
Improving facility efficiencies while minimizing costs
Protecting facility and patient data from security threats and unauthorized access
Hiring and retaining top-notch physicians and medical staff and tracking their records
Maintaining regulatory compliance
Transitioning from legacy tools and processes to modern processes that digitize all patient and facility records
Inefficient use of expensive real estate that could be used to support patients and deliver care
Increased likelihood of data breaches due to data being misplaced, misfiled, stolen, or inappropriately accessed
Overburdening physicians and medical personnel with inefficient administrative duties, increasing the risk of inaccurate, outdated patient information and noncompliance issues
Greater risk of fines and litigation due to inability to comply with key healthcare regulations, such as HIPAA and the HITECH Act
A poorly planned tech rollout could lead to poor employee adoption, patient confusion, record loss, and increased inefficiencies
Simultaneously, you’re likely facing a number of other challenges and pain points that are only amplified by poor records management practices.
The transition to Population Health Initiatives
Lack of available data to measure performances and outcomes
TOP CHALLENGES FOR HIGHER EDUCATION
Admissions information Student records, including transcripts Financial data, including banking and loan information Curriculum information Faculty and course assessment data Faculty and administration employment information Operational data, including project management Institution accounting information
• • • • • • • •
A university generates a diverse array of records, ranging from financials to faculty and staff employment records to student data. In its day-to-day operations, the documents a college or university must manage usually include:
Higher Education
Minimal real estate to store records and archival materials for preservation; multiple locations and distributed records collections
Maintaining compliance for regulations such as the Family Education Rights and Privacy Act (FERPA)
Disparate systems that silo department-level data
Limited technology budgets and IT resources
Largely paper-based processes
Increased storage costs, less classroom space, and greater likelihood of information risk if the proper security protocols aren’t in place
Greater data security risk and increased likelihood of litigation and fines
Increased time spent pulling data to build critical reports for finance, HR, institutional research, the provost’s/academic dean’s office, and other divisions
Slow adoption of cutting-edge technology and minimal focus on digital transformation
Inefficiencies in administrative offices, which could spark campus-wide operational issues and data inaccuracies
Beyond navigating typical day-to-day operations, universities are fighting to differentiate in an increasingly competitive climate. They must not only attract high-quality students and faculty members, but also ensure a seamless, digitally enabled experience from application to graduation to transcript requests years later. However, many institutions are still in the early stages of this journey and are grappling with a myriad of challenges and implications:
TOP CHALLENGES FOR MANUFACTURING
Supplier and distributor information Inventory information Employee information Financial records, including client contracts and
• • • •
The inner workings of the typical manufacturer are complex at best, and the variety and need for accurate data is expanding by the day. The standard roster of paperwork being managed paints a jarring picture for records managers and employees alike:
Manufacturing
sales receipts
Client information/records Production information, such as materials,
batches, inputs, and sources
Shipment information Machining and technology information
(warranty and repair information, IoT data, etc.)
• •
Boosting employee engagement and productivity
Maintaining ISO compliance and keeping pace with other regulatory requirements
Optimizing internal processes and infrastructure
Adapting to new customer preferences and behaviors
Improving operational agility and transparency
Poor performance and increased time looking for information
Risk of litigation and fines due to lack of compliance
Increased real estate and storage costs as a result of “keep-all” practices
Inability to extract valuable data from records and data and, in turn, truly understand customer needs
Slow and inefficient production and order fulfillment processes due to documents spread across locations and systems
Inefficient — or nonexistent — records and information management practices can lead to a number of issues, especially when paired with new manufacturing realities.
TOP CHALLENGES FOR RETAIL
Employee records across multiple locations Customer credit card numbers Customer information in Customer Relationship
• • •
Despite the retail industry’s focus on innovation and digital transformation, brands are largely behind the curve when it comes to records management. Data is flooding in from a multitude of systems and commerce touch points, but many organizations are still relying on inefficient, paper-based processes for managing critical business data, such as:
Retail
Management systems and Marketing Automation systems, among others
Pricing data Enterprise-wide inventory data and assortment
information
Store-level details, such as supplies, store-level inventory, lease information, and more
•
Increasingly savvy and malicious cyber threats
Limited space to store records
Varying employee technology savviness and limited IT resources
Decentralized systems and data
New disruptive business models and shifting customer behaviors
Greater risk for data breaches, which will significantly impact on brand perception and customer loyalty
Higher storage costs to house store-level records that managers and employees should be able to access at a moment’s notice
Increased inefficiencies and productivity stalls due to inconsistent practices
Slow turnaround on record retrievals for extracting and analyzing data
Inability to leverage data that allows the organization to compete and differentiate among new and existing competitors, ultimately impacting bottom-line results
Retailers’ complex operations and legacy of disparate tools and systems spark a host of other issues, especially when it comes to data accessibility and transparency.
Changes in employment and privacy regulations
Poor or complete lack of regulatory compliance, which increases risk of litigation and/or fines
Below are the foundational elements to a successful initiative that digitally transforms your RIM program:
8
9
Record classification
In the modern digital climate, data is created and shared in completely new ways. Admissions forms are now submitted via email, customer feedback is shared through social media, and Instagram posts can be used to support a court case. And the reality is, new types of data will only continue to emerge. Organizations should determine how they define a record, what types of records they should collect, and how they will be captured promptly and consistently.
The first, and perhaps most critical, step in the digital transformation journey is to limit and optimize the creation of paper records. Then organizations must plan the transition of some or all of their physical records to digital. The right information management partner can help you prioritize scanning based on which physical records are active or widely used. Develop a phased schedule so records can gradually be converted, and physical records can either be shredded or stored securely offsite. The digitization process enables your team to easily extract information and value from documents, making them searchable and retrievable across devices.
Digitization
Implement metadata standards and taxonomies, and automate the application of that metadata to ensure efficient indexing. Collaborate with the departments that collect records and determine optimal ways to categorize them.
Indexing
Focus less on filing and more on access, so employees can seamlessly search for information they need to do their jobs well.
Access
Having an established retention schedule will help reduce costs, increase security, and promote compliance. A best-in-class retention schedule should be integrated into business processes and include an inventory of all records and corresponding descriptions; the department or business unit of origin; how records should be disposed once they reach the end of their lifecycle; and how to deal with events that interrupt the retention schedule (i.e., legal holds). Consider implementing a digital document management solution with retention embedded to automate this process.
Retention
Data privacy and security are critical to maintaining regulatory compliance and avoiding expensive, brand-damaging data breaches. Reduce the likelihood of litigation or financial penalties with a strong, defensible approach to digital record management, retention, and destruction. Look for a document management solution that includes permissions-based access and chain-of-custody audit trails.
Digital Data Security and Access
Certain documents must be easily accessible in the event they’re required for an audit or legal discovery. Others can be stored away for preservation. You should have practices in place for both scenarios: seamless digital access for the former and secure offsite storage in a PRISM- and RAID-certified facility for the latter, protecting precious objects, media, and data from the elements and natural disasters.
Secure Offsite Storage
When records reach the end of their lifecycle, ensure secure destruction and deletion — whether they’re paper documents, data in the cloud, or on a hard drive. This will only grow increasingly difficult as the volume of records born digital and being digitized increases. Have an automated process in place for tracking and managing retention schedules, so information is disposed of as needed.
Destruction and Deletion
Ensure thorough implementation of the prior steps by leveraging a RIM partner who is well-versed in your industry compliance needs and particular document types. Look for a partner who can assess your current practices, provide recommendations, and offer digital and physical solutions built with best-in-class security standards. In addition, your partner should run internal audits periodically to ensure records are being managed compliantly.
Risk Mitigation
These nine action items lay the foundation for reimagining your information management program for the digital era in order to meet regulatory and legal requirements, improve productivity and customer experiences, and ultimately, reduce costs and increase business profitability. If the past decade has taught us anything about the digital landscape, it’s that it is constantly evolving.
Begin Your Digital Transformation Journey
Creating a program that meets today’s needs isn’t enough; you must have processes in place for keeping pace with new business realities and future scalability. Regularly scheduled audits can uncover gaps in processes as operations are digitized. Work closely with IT and other affected departments when new systems are being implemented that may create new types of records and requirements for accessing data.
Only by working cross-functionally and with consistent checks will you be able to establish a holistic information governance strategy that supports your organization’s much broader digital transformation vision today and in the future.
Access can help develop your RIM program and IG policy to meet your digital transformation goals.
Schedule time with an expert to walk through your current practices and plans for the future.
Contact us today.
SOURCES
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ReportLinker, “For Most Smartphone Users, It’s a ‘Round-the-Clock’ Connection,” January 26, 2017 Pew Research Center, “Millennials are the largest generation in the U.S. labor force,” April 11, 2018 Advisory Board, “Move over, millennials : Gen Z is entering the workforce. Here are 9 key things employers need to know,” September 13, 2018 MIT Sloan Management Review, Coming of Age Digitally, Summer 2018 Ibid. TechRepublic, “The top 10 barriers to digital transformation,” June 29, 2017 IDC, Extracting Value from Chaos, June 2011
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