See which myths about information management solutions keep cropping up, and learn the truth you need to know.

Myth: When it comes to retaining records, more is better – and saving everything scores extra points.

This is Thelma. A few years ago, she was assigned the task of coming up with some information management solutions options for her employer. Thelma was a meticulously organized person at home, down to alphabetizing her spice rack, stacking linens by hue in the correct rainbow order, and even rotating the entire contents of her closets according to season.

It was no different at work. Thelma was the natural choice for this project, as everyone knew she had a mind like a steel trap, and could, on command, locate a specific Post-It note that might have had a notation scribbled on it thirteen months ago and adhered to some surface, somewhere. She approached this new responsibility with the gusto and dedication you might only expect to see in a curator at a fine art museum. She saved everything. Everything. It was neatly arranged, catalogued, and stored in the file room, retrievable near-instantly by her and her alone.

So, Thelma has achieved the ultimate in information management solutions, right?

It’s easy to see why so many believe this myth. Think back to your days in school. The straight-A students showed up with pencils sharpened, sat in the front row of class, and alphabetized their notebooks by subject. They kept every notebook from every class for their entire academic career. Fast-forward to the corporate world, and these are the employees beaming with pride because they know where every paper ever created since the doors opened is stored. Nothing has ever been destroyed – not by accident, and certainly not on purpose.

Truth is…

Retaining all records adds unnecessary infrastructure and storage costs. Now, before you boast that yours is a completely paperless organization, wait. It’s true that electronic storage is cheaper than paper archives, but nothing is free. Even e-copies take up memory, add electronic clutter, and need the physical support of a server room. Retained files also require security to prevent a breach. And remember, anything saved is discoverable—that’s a hard truth that may hurt you in the event that you need to defend your organization against a lawsuit.

Here are some statistics for thought. Executives waste six weeks a year looking for lost documents (Fast Company Magazine, 8/04) and employees spend 15% to 35% of their time searching for the information they need to do their jobs. Two hours a day looking for information is a scary time suck. If they do find the information, they wasted two hours getting there. If they don’t, they’ll spend more time recreating it and risk duplication.

On the other hand, it’s also important to note that intentional destruction can be tracked and used in court. Enron certainly learned this the hard way in 2001. What about records that are truly missing? In many cases, the data exists but gets buried in unorganized, overstocked archives.

What if executives and employees had just 100 documents to go through instead of 1000? With information management solutions, you shorten the search for important missing documents and increase productivity.

Status: Busted. Sorry, Thelma.

Myth: Save everything for seven years, and you’re safe.

Dave started ABC Company in 2007 in his garage. He still shakes his head in wonder when he realizes that his big dream has become a reality. ABC now employs 317 employees, has customers in 23 countries, and occupies some of the nicest commercial real estate in Atlanta.

ABC just hired some new salespeople and space is tight. Dave decides it’s time to use his office space more efficiently, so he can make room for growth. This means a long weekend purging old documents from his files so he can consolidate his records in storage and get some much-needed breathing room. He’s a smart guy, and knows that even though a bonfire would be a lot more fun, shredding is the way to go to ensure anything older than seven years is destroyed.

Dave has got this whole information management task down! Yes?

This myth rings true, too. Seven years. Everyone knows you’ve got to keep your important papers for seven years, after all. Except that it’s not true. For some documents, seven is the magic number. But for many other sorts of information, the timeframe is completely different. There are established retention schedules that must be followed. They vary by industry and information type – and the schedules sometimes change.

Truth is…

Retention schedules can and should change over time based on business needs, mergers, product launches, practicality, new threats, and legal action. What was eligible for destruction yesterday could change today. And, while the ubiquitous seven-year rule might apply to some of your documents, chances are, the retention schedule for most of your documents is not seven years.

Retention schedules can be quite complex. In fact, trying to keep on top of what needs to be kept and for how long can be a nearly unmanageable task to perform manually. That’s one reason Cadence Group developed our Records Schedule and Research Management Tool. Information management solutions like this tool allow us to create customized retention schedules based on industry best practices and extensive legal research. The tool turns a complex body of information into a database that is easy to edit, display, and integrate.

Status: Busted. Sorry, Dave.

Myth: Disaster recovery is for facilities and inventory, not records.

Meet Pete. Pete has recently inherited a business that’s seen it all. Good times, bad times, times when they could hardly keep enough inventory in stock to send to retailers who couldn’t keep the products on the shelves. He’s heard people in his networking circles talking about disaster recovery plans, which makes sense to him. After all, he knows that being based in a coastal area has its perks – there’s nothing like dinner on his deck, overlooking the water – and its downsides, as his area has taken direct hits from storms over the past few years. So, Pete’s made a plan for protecting his inventory and warehouse. It’ll take a lot of work to secure these assets in advance of a storm, but he sleeps a lot better knowing he’s got everything covered.

Pete, you’ve forgotten something very important – your information needs protection, too!

This is a myth many businesses fall for, and only recognize when it’s too late. The goal of making a disaster recovery plan is to restore your ability to do business as quickly as possible after a disaster. If you sell physical goods, your plan should protect them. If you have a commercial or warehouse space, your plan should include measures for securing and repairing your space quickly. You might think that planning for the protection and recovery of these parts of your business are enough, but losing your information can be just as devastating as a flood or fire.

Truth is…

Just like your physical production space and raw materials, your information needs a disaster recovery plan. What information is mission critical? Often, records store the secret sauce to run your business should disaster strike. Records to do your job, serve your customers, and meet your legal commitments are mission critical. An information recovery strategy is inexpensive compared to how priceless it could be in an emergency.

It’s understandable if you haven’t given a whole lot of thought to the intricacies of the document management solutions available to you. It’s equally understandable if you’ve bought into the myths that circulate in the business world about best practices, legal requirements, and industry-wide mandates. After all, how can you know what you don’t know?

However, those who want to succeed in business need to know the truth about information management. The best way to shine a spotlight on your blind spots is to ask for help. Contact the Cadence Group to find out which document management solutions your organization needs to investigate further.