RECORDS MANAGEMENT

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RECORDS MANAGEMENT
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• WHAT ARE RECORDS?
• Records are the memory of any business
  organization.
• A record may be any material thing which serves
  to perpetuate or preserve knowledge of acts,
  events, facts, or ideas.

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• WHAT IS AN IMPORTANT CHARACTERISTIC OF RECORDS?
• An important characteristic of RECORDS is that
  they usually consists of material that can be
  classified and arranged in a methodical manner
  for preservation and ready reference.

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WHY MUST RECORDS BE MANAGED

• 1. To regulate the great volume and variety of
  documents and papers currently received and
  created in transacting business.
• 2. To accommodate and control natural increase in
  volume and variety due to growth of population,
  new function, and related activities.
• 3. To provide methods to ensure prompt attention,
  rapid movements, guide finding, safe storage, and
  proper disposal of documents and papers.
• 4. To control and reduce cost of paperwork.

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• WHAT IS FILING?
• Filing is the process of classifying and
  arranging of records in a systematic way so they
  will not only be safely stored but also quickly
  retrieved or located when needed.

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(No Transcript)
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The Principles of Indexing and Filing, a 1932
text, provides the following retrospective on
filing equipment "Filing is the disposing of
papers in such a manner that they may be found
easily. The early methods of storing
correspondence cannot be called filing, as we use
the term today. In former times, letters were
often folded, with the name of the correspondent
or subject on the outside, and stored in
pigeon-holes in desks or cabinets.
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Spike or spindle files were also used. Papers of
various kinds were hooked on a spike placed on
the wall or on a desk. When the spike or spindle
became full, the papers were removed, tied
together, and stored. The box file was an
improvement. In the box file papers were laid
flat between sheets of stiff paper, each sheet
having a tab. A letter or a division of the
alphabet was printed on the tab.
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A filing cabinet with shallow drawers or trays
was later used instead of many different box
files. Each drawer or tray was labeled with a
letter or division of the alphabet, and the
papers were laid flat in the drawer. This method
of filing often made it necessary to lift up many
papers before the one desired could be found. The
old methods of filing papers flat often led to an
endless search and the waste of valuable time.
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The flat file, therefore, has been discontinued
for general correspondence filing. The result was
the development of the various systems of
vertical filing in use at present. The bellows
file was an improvement on the box file when only
a few papers had to be filed. Papers were placed
upright in the bellows file and were more easily
located. Papers in a modernly equipped office are
put in folders and placed behind guides in a
vertical filing cabinet.
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• Records Management is the systematic control of
  records over the record life cycle.
• This life cycle has 5 distinct phases
• Creation of the record
• Distribution of the record to internal and
  external users
• Use of the record
• Maintenance of the record (filing and retrieving)
• Disposition (retain or destroy)

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IMPORTANCE OF MANAGING FILES

• 1. In filing, the emphasis is more upon the
  finding rather than the storing aspect.
• 2. Since the written information is being
  retained or filed for future possible use, the
  so-called finding aspect is essential in
  paperwork management.
• 3. The safekeeping of records is important, but
  being able to find them promptly, when needed, is
  more important.

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• 4. Remember needed paper when lost or misplaced
  can delay the work of a dozen employees or even
  the entire office.
• 5. Management is not only interested in the files
  as such, but more in the information which can be
  obtained from them.
• 6. Establishing and managing an effective system
  and arranging the records that an office must
  maintain, and placing them at their proper
  locations, will help promote operational
  efficiency in the office.

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OBJECTIVES IN FILING

• 1. Efficiency
• 2. Economy
• 3. Simplicity

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PURPOSES OF FILING

• 1. To make records available when they are needed
  whether for reference or evidence.
• 2. To keep all related materials together so that
  the history of the dealings of one office with
  other offices or individuals will be available in
  one place.
• 3. To provide a permanent and safe place for
  records of business information and transactions
  during the time the records are not in use.

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HOW ARE RECORDS BEING FILED?

• 1. By the name of individual or organization
• 2. By the subject matter they contain
• 3. By the location or geographical area a record
  may cover
• 4. By the number assigned to a record
• 5. By the date

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WHAT ARE THE DIFFERENT KINDS OF FILING SYSTEM

• 1. ALPHABETIC NAME FILE (by name of individual or
  organization)
• Records that are referred to by name of an
  individual organization be arranged by name in
  strict alphabetic sequence or successive
  continuity.
• 2. ALPHABETIC SUBJECT TITLE (by subject)
• Records which are referred to by the subject
  matter they contain should be arranged
  alphabetically by subject title or caption.
• All records on a particular subject should be
  kept together in as much as each related fits
  somewhere to complete a story.

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• 3. ALPHABETIC LOCATION FILE (by geographic
  location)
• Records which are referred to by geographic
  location should be alphabetically arranged by
  location name which may be by country, region,
  province, city/municipality, barrio, or barangay.
  
• 4. NUMERICAL FILE (by the number assigned to
  record)
• Record which are identified by numbers assigned
  to them and are referred to by their respective
  number should be arranged in numerical sequence.
• A numerical file is often used for records
  pertaining to bank checks, invoices, insurance
  policies, presidential decrees, tax declaration
  and the like.

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• 5. CHRONOLOGICAL FILE (by the date of records)
• Records to which primary reference is made by
  date of the record should be filed
  chronologically (in the order of time) by year,
  month, or day as reference indicates.
• The chronological filing system simply arranges
  material according to its time sequence, that is,
  month or weeks are its main division with days
  for its subdivisions.
• Some correspondence, bills, and pending accounts
  payable can be handled on a chronological plan.
• The advantage of this plan are
• 1. It is very simple.
• 2. Filing is easy.
• 3. It is convenient reminder of unfinished work.

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Alphabetic storage

• It is a direct access system
• Dictionary arrangement is simple to understand
• Misfiling is easily checked by alphabetic
  sequence
• Less costly
• Only one sorting is required
• Papers relating to one originator are filed in
  the same location

• Misfiling may result when rules are not followed
• Similarly spelled names may cause confusion
• Related records may be filed in more than one
  place
• Expansion may create problems
• Excessive cross-referencing can congest the files
• Confidentiality of the files cannot be maintained.

ADVANTAGES
DISADVANTAGES
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numeric storage

• Expansion is unlimited
• It is confidential (a card file is consulted
  before papers are located)
• Once an index card is prepared and a number is
  assigned, filing is quicker
• Misfiled folders are easily located because
  numbers out of place are easier to locate

• It is an indirect method the card file must be
  consulted before a paper can be filed
• More equipment is necessary, so the cost is higher

ADVANTAGES
DISADVANTAGES
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subject storage

• Records about one subject are grouped together
• The system can be expanded easily by adding
  subdivisions

• It is difficult to classify records by subject
• Liberal cross-referencing is necessary since one
  record may contain several subjects.
• The system does not satisfactorily provide for
  general records
• It is necessary to keep an index of subject
  headings contained in the file
• It is most expensive method to maintain
• Preparation of materials fro the subject files
  takes longer than other methods

ADVANTAGES
DISADVANTAGES
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Geographic storage

• It provides for grouping of records by location
• The volume of records within any given geographic
  area can be seen by glancing at the files
• It allows for direct filing if the location is
  known
• All the advantages of alphabetic filing are
  inherent in this method

• Multiple sorting increases the possibility of
  error and is time-consuming
• The arrangement of guides and folders make filing
  difficult
• Reference to the card file is necessary if the
  location is not known
• It takes longer to set up

ADVANTAGES
DISADVANTAGES
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• TYPES OF OFFICE RECORDS TO BE FILED
• 1. ADMINISTRATIVE FILES a file material related
  to overall policy mission of organization,
  direction of the office, including management
  improvement programs, formal rules and
  regulations, guides, maintenance of service,
  supplies and other administrative matter which
  have no direct bearing on the operation of the
  office.
• 2. PERSONAL FILES any paper containing the
  service appointment and the other records related
  to the individual employees.
• 3. LEGAL FILES consist of administrative case
  of personnel land cases, civil cases,
  investigation records and the like.
• 4. SUPPLY FILES consist of records of supplies,
  equipment, purchases, contracts, etc.
• 5. FISCAL FILES materials on budget
  preparation, submission of allotments, and
  control of funds.

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• TOOLS IN FILES OPERATION
• 1. Folders and fasteners
• 2. Charge-out cards
• 3. Requisition slip
• 4. Tickler file or follow-up file
• 5. Sorting table and racks
• 6. Stapler
• 7. Filing cabinets and
• shelves
• 8. Tapes

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Sorting Table with Rack
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Letter Folding Machine
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SELECTING THE APPROPRIATE FILING SYSTEM

• CHARACTERISTICS OF A GOOD FILING SYSTEM
• A filing system can only be good on if it is
  tailor-made to fit the condition or situations
  prevailing in a particular organization.
• Filing system is good if it can meet the three
  points success formula of efficiency, economy,
  and simplicity.

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• Filing system is good if it can meet the three
  points
• Filing system is good if it fills the needs of
  the operating personnel and serves them
  satisfactorily.

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REQUISITIES OF A GOOD FILING SYSTEM ARE

• 1. It serves the needs of the office
• 2. It has the simplest identification of file
  contents
• 3. It use minimum indexes and codes.
• 4. It has maximum safeguard against filing errors
• 5. It is not dependent on the memory of the clerk.

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GUIDES IN SELECTING APPROPRIATE FILING SYSTEM

• A certain amount of creativeness is necessary in
  adapting a filing system to the situation at
  hand. There are many different types of filing
  procedures ranging from manual to mechanical to
  electrical.

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• The following guidelines are suggested in
  choosing a filing system
• 1. Know the types of records and files created
  and maintained by the office.
• 2. Know how the records are requested from the
  files.
• 3. Know why, how, and where the materials to be
  filed originates.
• 4. Know the procedure steps from post of origin
  to files.

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STEPS IN FILINGHOW TO PREPARE THE MATERIAL TO BE
FILED

• Incoming correspondence once received should be
  time and date stamped and given to proper person
  for action.
• 1. INSPECTING
• Inspecting the material to make sure it has been
  released for filing.
• Look for a special mark as release signal like
  the word FILE plus the initials of the person
  releasing it.

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• 2. INDEXING (process of determining the name to
  be used in storing)
• the name by which correspondence or record is
  most likely to be requested from files.
• Determine the most likely the heading under the
  paper to be filed.
• The possibilities are
• name of on the letterhead
• name addressed
• name in the signature
• name or subject included in the paper
• file or reference number
• There are rules for alphabetic indexing that
  should be followed.

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• 3. CROSS-REFERENCING
• Cross-referencing is used when it is difficult to
  know which of two or more name is important
• Cross-referencing is accomplished by filing the
  original under one name and cross reference sheet
  under the other
• For cross-referencing, you may use
  cross-reference sheets, or plain sheets of paper,
  or a paper with distinctive color.

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Cross-referencing using MS Word
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• You may consider cross-referencing under the
  following situations
• a. When some word other than the first in a
  company of situation name clearly identifies the
  organization. For example, University of San
  Carlos would be filed as written but should be
  cross-referenced to San Carlos University.
• b. When it is difficult to decide which part of
  an individuals name is the surname. In the case
  of Manolo Herbert you might index the name as
  normally written and use a cross-reference under
  a transposition of the name.

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• c. When an organization is better known by
  initials than by its complete name, material
  should be filed under the complete name and then
  cross-reference to the explanation, like
• NATIONAL COLLEGE (of) BUSINESS AND ARTS
• Cross Reference
• NCBA
• See National College of Business and Arts
• d. When a record is likely to be called for most
  often by subject, should be filed under the
  subject caption but cross-referenced to
  individual or company name.
• e. When a difficult name is indexed, you may use
  a cross-reference.
• f. When a married woman is indexed, you may use
  the maiden name as the original file but
  cross-referenced it under the married or legal
  name.

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• 4. CODING (marking the units of the filing
  segment by which the record is be stored)
• Underline or encircle the caption to be used on
  storing.
• This is marking the file to indicate how they
  have been indexed
• Coding highlights the indexing caption and thus
  speeds up filing
• For alphabetic coding, the indexing caption may
  be check marked, encircled, or underlined on the
  record being coded.

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• For numeric coding follow these three steps
• 1. Selecting the name under which a paper is to
  be filed
• 2. Referring to the card index to determine the
  number to be assigned.
• 3. Marking the number in the upper margin of the
  paper
• For subject coding follow these steps
• 1. Write the subject in the margin of each
  record.
• 2. Re-sort in each category for more exact
  sequence.
• 3. Assemble all the materials in proper sequence.

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• 4. A folder chargeout may be either be an
  out-folder or an out-guide.
• 5. The OUT-FOLDER is a folder with a tab marked
  OUT and ruled spaces on the front for recording
  chargeout information. It replaces a removed
  folder. Incoming items are filed in it until the
  regular folder is returned.
• 6. The OUT-GUIDE has a pocket into which a copy
  of the requisition slip made out by the borrower
  may be inserted. When out guides are used,
  incoming items are accumulated in a For File
  Folder until the regular folder is returned.

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REQUISITION SLIP

• 1. To control requests for files, use a special
  form called the REQUISITION SLIP.
• 2. Prepare the slip in triplicate to save time
  and control safe return of files.
• 3. These slips become the chargeout record.
• 4. The original is put into the pocket of the OUT
  GUIDE.
• 5. Copy 2 goes into a follow-up file box where it
  is filed by date.
• 6. Copy 3 goes clipped to the items that were
  taken from the files to identify them to remind
  the user of the due date.

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HOW TO SEARCH FOR MISSING FILES

• The following clues help to uncover many misfiled
  papers.
• 1. ON SOMEONES DESK?
• Look first through your own desk when tracking a
  misplaced record. Then the executives desk.
  Still not there? Look in the FOR FILING
  folder.
• 2. THE FOLDER BEFORE OR THE ONE BEHIND THE RIGHT
  FOLDER?
• Look into the folder immediately ahead of or
  immediately behind the folder in which the paper
  belongs. This type of filing error usually
  occur.
• 3. BETWEEN OR UNDER FOLDER?
• Look between the folders on either side of the
  folder in which the missing paper should be. Not
  there? Then look under the folders. Single
  papers and even folders have been known to slip
  gradually under the other folders when the guides
  are not attached by a rod.

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• 4. TRANSPOSITION OF NAMES
• Some names such as Santos Ricardo, are easily
  transposed. A letter to Danilo Manuel
  Enterprises may turn up in the Danilo folder.
• 5. SIMILAR NAMES
• Look under similarly spelled names. The Joana
  paper may be in Jones, Johns, Joens, or even
  folder.
• 6. CROSS-REFERENCES
• Look under the cross-references. Original may
  sometimes filed with cross reference folder.

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• 7. PAPER CLIPS
• Paper clips have a way of picking up neighboring
  papers. This is one of the reasons you are
  advised from the start not to use paper clips.
• 8. ASK YOUR BOSS
• If all the solutions were made and still you
  cant find the record, ask your boss. He might
  have taken it and brought home without informing
  you.

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TRANSFER AND RETENTION

• Transferring files is the process of removing
  old and inactive items from files. However,
  transferred materials are not automatically
  destroyed. You may do the transferring of files
  during free times when the boss is away.

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TWO GENERAL TRANSFER METHODS

• 1. PERPETUAL TRANSFER
• moves records to the inactive area as they become
  inactive.
• 2. PERIODIC TRANSFER
• files are moved at stated intervals, once or
  twice a year.
• REMEMBER See to it that you get the approval of
  your boss before you transfer any record.

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SOME DOS AND DONTS OF FILING

• DO
• 1. Do staple papers neatly together in upper left
  hand corners. If you must fasten you can use a
  fastener folder.
• 2. Do file papers in an orderly fashion in
  folder.
• 3. Do use individually tabbed folders with typed
  labels for ready reference.
• 4. Do type all labels on folders. They are so
  easily read.
• 5. Do lift the folder out to insert papers in
  proper place. You will be accurate and your file
  will be neat. Be a good housekeeper.
• 6. Do file them in date order, keeping the latest
  date on top.

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• 7. Do split the papers up according to date,
  customer, or subject so that no folder contains
  more than the capacity it is designed for
  (generally ½ to 1)
• 8. Do file material in one folder, placing a
  cross-reference sheet in folder for any other
  subject or customer include in the material.
  This will save many minutes in locating materials
  when the boss is in a hurry.
• 9. Do keep all files in proper alphabetical
  sequence.
• 10. Do file in back of guide. After all guide
  is what the name implies a guide indication the
  proper place to locate a folder.
• 11. Do pre-arrange or sort your papers in exact
  order according to your file index. Then start
  to file.

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• 12. Do keep your filing rough sorted from A to
  Z if you cant take care of it immediately. You
  will be able to locate papers so must faster.
• 13. Do charge out papers removed and place the
  OUT card in the file. Think of the arguments
  this will save.
• 14. Do type labels in capital letters so they may
  be easily read and keep one on every drawer.
  Even you might forget which is which if you are
  busy.
• 15. Do close each drawer as you finish with it.
  Open file drawer may cause a serious accident.

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• DONT
• 1. Dont use pins, paper clips or rubber bands on
  file papers.
• 2. Dont file papers loose in a drawer.
• 3. Dont write captions on folders by hand.
  Perhaps you can read your writing but can the
  other person read your handwriting? You can
  write caption if your hand writing is very
  readable.
• 4. Dont jam papers down into folders. You cant
  be sure they are in the correct place and anyway,
  think how messy they will look.
• 5. Dont allow papers to be all mixed as to dates
  within a folder.
• 6. Dont allow your folders to become cluttered
  and overcrowded.

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• 7. Dont allow your folders to become so full
  that they bulge, or the back sags down out of
  sight.
• 8. Dont allow your files to become confusing
  when letters contain two or more subjects or
  customers.
• 9. Dont flounder around spending precious
  moments looking for a folder which had been filed
  under another name.
• 10. Dont pull a folder out of place
  alphabetically just because it may be large.
• 11.Dont file in front of guides.
• 12. Dont start to file with papers in haphazard
  arrangement.

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• 13. Dont let your new filing pile up. Update
  your files.
• 14. Dont leave your new filing in a disorganized
  file.
• 15. Dont lend papers and then depend upon your
  memory to tell you who took them. Keep a record
  of borrowed file folder.
• 16. Dont allow the labels on your file drawers
  to be handwritten dirty or torn off.
• 17. Dont pull out more than one file drawer at a
  time.

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FOUR CATEGORIES OF RETENTION SCHEDULES

• RECORDS KEPT PERMANNETLY Two broad classes of
  business record are generally retained
  permanently those that provide evidence of
  corporate and individual rights and those with
  historical implications. Such records are
  generally irreplaceable and are considered
  essential to the existence of the business.
  Photocopy duplicated of them should be stored in
  several locations as a precaution against
  destruction. Old documents may require special
  restorative or preservative methods to protect
  them against deterioration.

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• Some records that should be kept permanently
  are
• 1. Capital stock and bond ledgers and registers
• 2. Partnership papers
• 3. Stockholder and director minutes
• 4. Deeds and other title papers and mortgages
• 5. General ledgers, journals, and cashbooks
• 6. Records of cost and inventory value of plant
  equipment and fixtures
• 7. Tax backup records

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• 8. Audit reports
• 9. Records relating to bills and accounts payable
• 10. Paid drafts, checks, and cash receipts
• 11. Correspondence about stop-payment orders and
  duplicate checks.
• 12. Payrolls paychecks, and other evidences or
  payments of services
• 13. Employee applications.

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• RECORDS KEPT SIX OR SEVEN YEARS. Records in
  this category facilitates routine business
  operations and are replaceable only at
  considerable cost and delay. They should be
  transferred when inactive to secure storage.
  They include the following
• 1. List of security holders present at meetings.
• 2. Records of interest coupons, paid and unpaid.
• 3. Contracts, leases, and agreements (seven
  years after expiration)

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• 4. Accounts receivable ledgers
• 5. Schedules of fire and other insurance and
  papers substantiating claims
• 6. Deposit book and record stubs
• 7. Inventories of materials with adjustment
  records
• 8. Sales records
• 9. Collection records
• 10. Record of uncollectable accounts

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• RECORDS KEPT FOR THREE OR FOUR YEARS. Many
  business papers are temporarily useful and
  replaceable at slight cost. They may be safely
  destroyed after three or four years. The
  following illustrate this category
• 1. Proxies of holder of voting securities
• 2. Employee fidelity bond records
• 3. Insurance records changes and cancellations
  of policies
• 4. Records about employee salary adjustments and
  assignments