To allow an organization’s employees to utilize their full competence, they must be given seamless access to the necessary information and records. This shall only be possible with an in-house Records management system or an archiving partner. However,
the story of Records management is not just limited to enhanced productivity of the workforce and reduced lead time for tasks. Records Management holds large potential for cost balancing, organizational security in terms of reputational and compliance risks besides overall efficiency.
In this post, we will delve deeper and re-evaluate the potential of records management in terms of value it offers to any organization vis-a-via Cost, Security & Efficiency.
Let us get started!
Records Management for Balancing Cost
Here are 4 ways through which Records Management can help an organization to balance costs;
1. Storage Costs
A properly designed Records Management System can save a lot of money for a company. One can view this in terms of expensive cabinets and lockers that are required to store hard copies of the records, especially of the requirements are not forecasted. Records management will ensure optimum utilization of your physical space and careful archiving of the digital copies with least possible cost.
2. Per Employee Work Efficiency
Records management allows for enhanced employee efficiency that indirectly translates into cost reduction. Firstly, a Record management system saves search and retrieval time of records that saves time and demands least number of record management personnel. Secondly, when the employees can retrieve any information rapidly, they accomplish the tasks without any hindrance. Hence, record management boosts per employee work efficiency.
3. Business Process Costs
Records Management allows for streamlining business processes and promoting better workflow coordination between various departments. With optimized workflows, tasks like invoicing and payment collection, customer retention, employee retention, legal support, HR Functions, etc.
4. Risk Costs
A business can only fathom the cost it will have to bear in the event of a disaster where all the crucial records obliterate. A record management system ensures the continuity of a business with backups in such an event. This can be rightly labelled as the risk cost that RMS saves.
Security Potential & Cost Savings
A Records Management System not just boosts the efficiency of business processes and other infrastructural costs, but also aids in multiple benefits when it comes to organizational security. Consider the following pointers to evaluate an RMS for security benefits;
1. Litigation Support
In the corporate arena, lawsuits and litigation are a common occurrence. However, a lawsuit can leave a severe settlement dent in the company’s bank accounts. To keep the lawsuits at bay, the legal department can work only with the right litigation support. A records management systems or partner service will ensure the timely litigation support with admissible pieces of business evidence if the need arises.
2. Reputational Risk
Theft identity and leakage of confidential information can place a brand name at jeopardy. Any such incident, if made public, can dampen the organization’s reputation at a heavy cost.
3. Compliance Risk
Audits and compliance are mandatory to be followed on every part of this planet where society functions. A record management system will keep your compliance in check and serve you timely during routine audits, thus, saving you costs associated with non-compliance.
How an RMS boosts Organizational Efficiency?
Information is only useful if the required piece of it is available at the right time to the right person at the right place. Record management does exactly that. Companies plagued with over regulation or under-regulation experience ‘unidentified’ hindrance in their workflow. And, this happens despite the right business processes and procedures followed in the company. Record management tackles such workflow related hindrances that eat up personnel time without being evident.
Record management’s potential seems to be favorable to all the organizations post re-evaluation. Its cost-benefit analysis reflects massive direct and indirect cost savings for the companies across the globe. See you next time with more insights into RMS!