Record management is an activity of creating, distributing, preserving and disposing of office records. Record management is very essential in every type of organizations. The main importance of records management are to fulfill legal requirements, to provide future reference, cost saving, enhance efficiency etc.
The importance of record management can be discussed as under:
1. Future reference
Records are memory of business. Records management preserves records for future references. Such records are essential for smooth running of office. They provide history of business.
Records management is needed to fulfill legal requirements. Various laws require records retention for specified period of time. The company act requires retention of memorandum and articles of association till the life of the company. Land ownership deed also needs to be retained until the land is sold.
Records management is important to provide legal evidence in courts. Documents are needed in cases of disputes and conflicts. Business claims cannot be settled without records.
Also Read: Principles Of Records Management
Records management ensures safe storage of inactive records. They are kept in files, microfilm or computer disc. Protection is ensured against destruction by fire, dust, water, theft etc.
Records management ensures disposal of dead records. Useless or out-of-date records are destroyed. Disposal ensure better utilization of office space.
Records occupy office space. They involve maintenance costs. Record management saves costs by destroying dead records. Space is available for preservation of new records and costs are saved.
Efficiency is another importance of record management system because it enhances office efficiency. The cost of storage goes down. Needed records are readily available. Plans and policies can be speedily formulated.
Records management enhances image of the office. Active records are readily available for quick decisions and actions. Customers satisfaction increases.
The importance of record management can be discussed as under:
1. Future reference
Records are memory of business. Records management preserves records for future references. Such records are essential for smooth running of office. They provide history of business.
2. Legal requirements
Records management is needed to fulfill legal requirements. Various laws require records retention for specified period of time. The company act requires retention of memorandum and articles of association till the life of the company. Land ownership deed also needs to be retained until the land is sold.
3. Legal evidence
Records management is important to provide legal evidence in courts. Documents are needed in cases of disputes and conflicts. Business claims cannot be settled without records.
Also Read: Principles Of Records Management
4. Protection
Records management ensures safe storage of inactive records. They are kept in files, microfilm or computer disc. Protection is ensured against destruction by fire, dust, water, theft etc.
5. Disposal
Records management ensures disposal of dead records. Useless or out-of-date records are destroyed. Disposal ensure better utilization of office space.
6. Cost saving
Records occupy office space. They involve maintenance costs. Record management saves costs by destroying dead records. Space is available for preservation of new records and costs are saved.
7. Efficiency
Efficiency is another importance of record management system because it enhances office efficiency. The cost of storage goes down. Needed records are readily available. Plans and policies can be speedily formulated.
8. Image
Records management enhances image of the office. Active records are readily available for quick decisions and actions. Customers satisfaction increases.
