Information Management disasters are not uncommon. They have existed since the time humans began ‘documenting’ things. From natural factors beyond our control to human-errors (unintentional or deliberate), archived information can be destroyed beyond recovery given the spectrum of risks. However, not all industries will have the same risk-exposure to Information Management Disasters. It all depends upon the operational dynamics of the organizations working in that particular sector, the amount of information they have to deal with, and the extent to which the sector has adopted modern Record Management practices.
We bring to you 4 High-risk sectors prone to information management disasters more than the other sectors.
Let us get started!
#1. Finance Sector
Finance sector deals in more paperwork than any other sector as far as the volume of ‘critical’ records is concerned. While the modern record management systems and digitization have made the Record Management in financial sector much more seamless and secure, it is still prone to malicious intents of cyber-criminals. For instance, in 2017, an average firm lost $18.28 Million as cost of lost/stolen records, a rise of 40 percent since 2014! Moreover, investment banks are more prone to such attacks as compared to retail banks because of their less sophisticated records management systems. Records managed by financial organizations are not just vulnerable to external malicious intents, but also to other mishaps like fires, data corruption and no backup, human-error while storing or retrieving the information, etc.
#2. Legal Sector
When it comes to loads of paperwork, Legal sector stands out in terms of sheer volume of the records it has to deal with cumulatively. Be it corporate law, civil law or criminal suits, there are always multiple parties involved, cycles of applications, files, writs, judgements, investigations, reports, etc. And, this is exactly the reason why the physical records in this sector are highly prone to damaging risks. Firstly, the nature of the sector that deals with justice-penalty-compensations exposes it to espionages and malicious intents. Secondly, this is a traditional industry across the majority of nations. That means that the legal sector is yet to adopt deeper technology for automation & efficiency along with the best Record Management practices in most of the countries. These factors make legal as one of the high-risk sectors prone to Information Management Disasters.
#3. Healthcare Industry
The Healthcare Industry is one of the most technologically advanced sectors where information and records are mostly digitized. This industry is just opposite to legal sector in terms of technological adaptation and deployment of modern Record Management Systems. Though, it does not necessarily make it any safer than the others in terms of records security. Stats have it that of all the healthcare record breaches, 49 percent are intentionally or unintentionally exposed by business associates or office employees. Moreover, records pertaining to research, patient history, confidential information, etc. are also widely stored as physical records. In such a case, the physical records are vulnerable to an extent similar to any other sector.
#4. Government Sector
Between 2017 and 2018, 114 Government portals were breached for information heist. Government, be it of any nation, operates some of core industries and national functions. Naturally, governments and authorities associated with them (administration, proposals, city departments, etc.) have to deal with both digital and physical records. And, when it comes to mapping the risk exposure of government records, only digital format is not prone. For example, the Indian Defense Ministry lost an important file corresponding to an international weapons deal. The physical file was later declared to be stolen! Moreover, technological advancements like RIM system or other advanced security measures take time to penetrate the government’s established systems, making them high-risk targets.
Be it any industry, Record & Information management is the key to avoiding Information Management Disasters. It is imperative that an organization adhere to best RIM practices (Physical or digital) to mitigate any financial, reputational or legal loss in the long run. If your organization falls into any of the categories mentioned in the above post, diligence and employee training can help you keep your information intact and secure.