Do organizations really have formal information disposal processes…I think NOT!
Do organizations regularly dispose of information in a systematic, documented manner? If the answer is “sure we do”, do they do it via a standardized and documented process or “just leave it to the employees”?
If they don’t…who cares – storage is cheap!
When I ask customers if they have a formal information disposal process, 70 to 80 percent of the time the customer will answer “yes” but when pressed on their actual process, I almost always hear one of the following:
1. We have mailbox limits, so employees have to delete emails when they reach their mailbox limit
2. We tell our employees to delete content after 1,2, or 3 years
3. We store our records (almost always paper) at Iron Mountain and regularly send deletion requests
None of these answers rise to an information governance and disposal process. Mailbox limits only force employees into stealth archiving, i.e. movement of content out of the organization’s direct control. Instructing employees to delete information without enforcement and auditing is as good as not telling them to do anything at all. And storing paper records at Iron Mountain does not address the 95%+ of the electronic data which resides in organizations.
Data center storage is not cheap. Sure, I can purchase 1 TB of external disk at a local electronics store for $150 but that 1 TB is not equal to 1 TB of storage in a corporate data center. It also doesn’t include annual support agreements, the cost of allocated floor space, the cost of power and cooling, or IT resource overhead including nightly backups. Besides, the cost of storage is not the biggest cost organizations who don’t actively manage their information face.
The astronomical costs arise when considering litigation and eDiscovery. A recent RAND survey highlighted the fact that it can cost $18,000 to review 1 GB of information for eDiscovery. And considering many legal cases include the collection and review of terabytes of information, you can imagine the average cost per case can be in the millions of dollars.
So what’s the answer? First, don’t assume information is cheap to keep. Data center storage and IT resources are not inexpensive, take human resources to keep up and running, and consume floor space. Second, information has legal risk and cost associated with it. The collection and review of information for responsiveness is time consuming and expensive. The legal risks associated with unmanaged information can be even more costly. Imagine your organization is sued. One of the first steps in responding to the suit is to find and secure all potentially responsive data. What would happen if you didn’t find all relevant data and it was later discovered you didn’t turn over some information that could have helped the other side’s case? The Judge can overturn an already decided case, issue an adverse inference, assign penalties etc. The withholding or destruction of evidence is never good and always costs the losing side a lot more.
The best strategy is to put policies, processes and automation in place to manage all electronic data as it occurs and to dispose of data deemed not required anymore. One solution is to put categorization software in place to index, understand and categorize content in real time by the conceptual meaning of the content. Sophisticated categorization can also find, tag and automatically dispose of information that doesn’t need to be kept anymore. Given the amount of information created daily, automating the process is the only definitive way to answer ‘yes we have a formal information disposal process’.