Record management

Subject: Business Studies

Find Your Query
Kaspersky total security

Overview

Record management is the combination of record and management. A record is written matter which is prescribed for future reference and management is related to the way or the technique which are used to manage the different types of records. Therefore, record management is the management and control of records. Letters, invoices, cheques, vouchers, price lists, personnel records, tax records, costing records are examples of records.

Record management

Concept of Record Management

    www.laserfiche.comwww.laserfiche.com

 

Record management is the combination of record and management. The record is written matter which is used for future reference and management is related to the way or the technique which are used to manage the different types of records. Therefore, record management is the management and control of records. Letters, invoices, cheques, vouchers, price lists, personnel records, tax records, costing records are examples of records.

According to Little Field, "Record management broadly defined, includes forms, reproduction of written materials, filing records, retention, microfilms, and related services."

According to S.P Arora, "Record management in its broadest sense concerns itself with the records creation, distribution, maintenance, retention, preservation, retrieval, and disposal."

Scholarships after +2 Abroad Studies Opportunities

According to J.C. Denyer, "Modern record management involves much more than the methods of the filing or the system of classification, important though these are: indexing, central filing, records retention, follow-up, and microphotography, all these receive attention in the present day office."

In conclusion, record management is the systematic process of collecting, utilizing, preserving and disposing of the records of the office.

 

Importance of Record Management

source:slideplayer.com
source:slideplayer.com

Record management is important for all types of office. Some of the importance of record management are as follow:

  1. Helpful to make progress report:
    Record management helps to make progress report of an organization. It helps to record the reports by writing and preserving various papers, letters, documents, and memorandum of different types of records.

  2. Used as an evidence:
    Records management helps to maintain evidential proof in the court of law for the settlement of disputes and misunderstanding between individuals and organizations.

  3. Basis for decision making:
    Decision making is a very important function of management. It is an important tool for decision making. Without the necessary facts and data obtained from the records, the management cannot take the right decision.

  4. Help in planning:
    Planning is one of the most important project management and time management techniques. An organization should prepare the plans and policies of the business. The plans and policies are the guidelines of the business.

  5. To detect errors and wastages:
    Record management helps to eliminate errors and wastages. So, record management helps to increase the efficiency of an organization. It also helps to maintain an internal control system.

Types of Records

Records can be collected from two sources i.e. internal and external sources. The records can be classified into the following types:

  1. Correspondence record:
    Correspondence record includes letters, circular, notice, memo, inquiries, order etc. which are either sent by the organization or received by it. It is the written matter of office.

  2. Personnel record:
    The records which are related to the personnel or employees of the organization are known as personnel records. Personal history, admission, salary, grade, promotion, retirement and other relevant information of the employees are kept in such record.

  3. Accounting record:
    The records which are related to financial aspects of the organization is called accounting records. Invoices and cash memos of different departments and units are included under it.

  4. Legal records:
    The records which are kept to meet the legal formalities as per the government rules and regulation are called legal records. A copy of a contract, mortgage deed, business commencement letter, income tax, sales tax are included under it.

  5. Miscellaneous records:
    The records which are not covered by the above type of records are included in the miscellaneous records. Record of social activities, advertisement campaign, and new product feasibility report are included under it.

Principles of Record Management

Source:slideplayer.com
Source:slideplayer.com
  1. Principles of Purpose:
    Principles of purpose help to keep the record for future reference and decision making so that it should be maintained with a justifiable and clear purpose. Hence, record management must be based on managing the records having certain objectives.

  2. Principles of Verification:
    There must be evidence of all documents which are preserved in an office. The maintenance of records without any evidential proof will be worthless because they cannot fulfill the legal requirement.

  3. Principles of Retention:
    The main objective of record management is to preserve the required document for future reference. Therefore, all the records should be maintained in a proper way.

  4. Principles of Flexibility:
    The flexibility of principle states that an accounting information system should be able to adapt to changes in the company based on its needs, operations, and management.

  5. Principles of Cost:
    The accounting principle that goods and services purchased should be recorded at their historical costs and not at their current market value. So, only needy records are kept for future reference.

Retention of Records

Records retention is the process of creating, preserving, transferring the inactive records for storage and destructing the death records to minimize cost and maximize the benefit of the organization. Records are written documents in the form of letters, bills, vouchers, books of accounts, minutes etc. They are necessary for making a prompt decision.

According to Littlefield, “Record retention is the activity designed to control the life cycle of the record from its creation to its disposition.”

Importance of Record Retention

  • It preserves active records for future reference.
  • It helps in taking a prompt decision.
  • It provides written legal evidence in the court.
  • It enhances the efficiency of the office as essential records are readily available.

Disposal of Records

Disposal of records means the process of destroying the death records. It involves the collection, preservation, classification, and protection of records for future reference. Such records can be maintained in files, computers, pen drives etc. It is also a major part of record management.

 

 

 

 

 

 

References;

Khanal, Soma Raj, Surendra Thapa Aslami and Sitaram Dhakal. Business Studies. Kathmandu: Taleju Prakashan, 2067.

Pant, Prem R., et al. Business Studies. Kathmandu: Buddha Academic Publishers and Distributors Pvt. Ltd., 2010.

 

 

 

Things to remember
  1. Record is written matter which is prescribed for future reference and management is related to the way or the technique which are used to manage the different types of records.
  2. Record management is the management and control of records.
  3. Letters, invoices, cheques, vouchers, price lists, personnel records, tax records, costing records are the examples of records.
  4. Records can be collected from two sources i.e. internal and external sources.
  • It includes every relationship which established among the people.
  • There can be more than one community in a society. Community smaller than society.
  • It is a network of social relationships which cannot see or touched.
  • common interests and common objectives are not necessary for society.
Questions and Answers

Record management is the combination of record and management. It is an art of handling and maintaining office records. The record is written matter which is prescribed for future reference and management is related to the way or the technique which are used to manage the different types of records. Therefore, record management is the management and control of records. Letters, invoices, cheques, vouchers, price lists, personnel records, tax records, costing records are the examples of records. It also helps to remove unnecessary files and preserves all important files and documents safely.

According to Little Field, "Record management broadly defined,includes forms, reproduction of written materials, filing records, retention, microfilms and related services."

According to J.C. Denyer, "Modern record management involves much more than the methods of the filing or the system of classification , important though these are: indexing, central filing, records retention, follow-up and micro photography, all these receive attention in the present day office."

In conclusion, record management is the systematic process of collecting, utilizing, preserving and disposing of the record of the office.

The importance of record management are mentioned below:

  • Source of decision-making
  • Help to make progress report
  • Helps in planning
  • Helps to detect errors
  • Help to evaluate the performance

 

The importance of records management are described below:

  •  Source of decision-making: 
    Decision making is a very important function of management. It is important tools for decision making. It provides the fact and reliable information which helps for effective decision making.

  • Helpful to make progress report:
    Record management helps to make a progress report of an organization. It helps to record by writing and preserving various papers, letters, and documents, memorandum of different types of records.

  • Helps in planning:
    Planning is one of the most important project management and time management techniques. Plans and policies of business should be prepared by the organization. A good management system provides the  information which helps for preparing plans and policies.

  • Helps to detect errors:
    Record management helps to eliminate errors and maintain internal control system. So, record management helps to increase the efficiency of an organization.

  • Helps to evaluate performance:
    It helps to evaluate the performance of an organization. It provides the financial, human resources, and other information which helps to compare the actual performance with the standard performance of an organization.

Records can be collected from two sources i.e. internal and external sources.The records can be classified into the following types:

On the basis of Nature

On the basis of nature of document, the records can be classified as below:

  • Correspondence record:

Correspondence record includes letters, circular, notice, memo, inquiries, order etc which are either sent by the organization or received by itIt is the written matter of office.

  • Personnel record:

The records which are related to the personnel or employees of the organization are known as personnel records. Personal history, admission, salary, grade, promotion, retirement and other relevant information of the employees are kept.

  • Accounting record:

The records which are related to financial aspects of the organization is called accounting records. Invoices, cash memos of different departments and units are included under it.

  • Legal records:

The records which are kept to meet the legal formalities as per the government rules and regulation are called legal records. A copy of a contract, mortgage deed, business commencement letter, income tax, sales tax is included it.

  • Miscellaneous records:

The records which are not by the above type of records are included in the miscellaneous records. Record of social activities, advertisement campaign, new product feasibility report is included under it.

On the basis of Retention

On the basis of records, record may be classified as follow:

  1. Permanent records:
    The records which are preserved over a long period of time are called permanent records. the following documents fall under permanent records:

    Memorandum of association
    Articles of association
    Registration certificate
    Permanent Account Number certificate
    Documents of properties

  2. Most important  records 
    The records which can be destroyed after 20 years of the  job competition are called the most important records.

  3. Important records
    The records which can be destroyed after 10 years of the job competition are called important records. The following documents fal under important records:
    Annual report
    document related to employee's vacancy
    contract etc.

  4. Most useful records
    The records which can be destroyed after 5 years of the job competition are called most useful records. The following documents fall under most useful records:
    Circulars and copy of letters sent for general information.

  5. Useful records
    The records which destroyed after 3 years of the competition is called useful records. The following documents fall under useful records:
    Documents relating to contracts and donations.
    Ordinary letters, inter-office letters, banking statements, etc.

  6. Less useful records:
    The records which can be destroyed after 1 year of the job competition is called less useful records.

The following are the basic principles of record management:

  • Principle of purpose
    Records should be maintained with justifiable and clear purpose. Principles of record help to kept a record for future reference and decision making so that it should be maintained with a justifiable and clear purpose. Hence, records management must be based on managing the records having certain objectives. 

  • Principles of verification:
    There must be evidence of all the documents which are preserved in an office. The maintenance of records without any evidential proof will be worthless because they cannot fulfill the legal requirement.

  • Principles of retention:
    The main objective of record management is to preserve the required document for future reference. Therefore, all the records should be maintained.

  • Principles of flexibility:
    Record management should be flexible. The flexibility of principle states that an accounting information system should be able to adapt to changes in the company based on its needs, operations, and management.

  • Principles of cost:
    The accounting principle that goods and services purchased should be recorded at their historical costs and not at their current market value. So, only needy records are records for future reference.

Record management is the combination of record and management. It is an art of handling and maintaining office records. The record is written matter which is prescribed for future reference and management is related to the way or the technique which are used to manage the different types of records. Therefore, record management is the management and control of records. Letters, invoices, cheques, vouchers, price lists, personnel records, tax records, costing records are the examples of records. It also helps to remove unnecessary files and preserves all important files and documents safely.

According to Little Field, "Record management broadly defined,includes forms, reproduction of written materials, filing records, retention, microfilms and related services."

According to J.C. Denyer, "Modern record management involves much more than the methods of the filing or the system of classification , important though these are: indexing, central filing, records retention, follow-up and micro photography, all these receive attention in the present day office."

In conclusion, record management is the systematic process of collecting, utilizing, preserving and disposing of the record of the office.

The following are the basic principles of record management:

  • Principle of purpose
    Records should be maintained with justifiable and clear purpose. Principles of record help to kept a record for future reference and decision making so that it should be maintained with a justifiable and clear purpose. Hence, records management must be based on managing the records having certain objectives. 

  • Principles of verification:
    There must be evidence of all the documents which are preserved in an office. The maintenance of records without any evidential proof will be worthless because they cannot fulfill the legal requirement.

  • Principles of retention:
    The main objective of record management is to preserve the required document for future reference. Therefore, all the records should be maintained.

  • Principles of flexibility:
    Record management should be flexible. The flexibility of principle states that an accounting information system should be able to adapt to changes in the company based on its needs, operations, and management.

  • Principles of cost:
    The accounting principle that goods and services purchased should be recorded at their historical costs and not at their current market value. So, only needy records are records for future reference.

 

The importance of records management are described below:

  •  Source of decision-making: 
    Decision making is a very important function of management. It is important tools for decision making. It provides the fact and reliable information which helps for effective decision making.

  • Helpful to make progress report:
    Record management helps to make a progress report of an organization. It helps to record by writing and preserving various papers, letters, and documents, memorandum of different types of records.

  • Helps in planning:
    Planning is one of the most important project management and time management techniques. Plans and policies of business should be prepared by the organization. A good management system provides the  information which helps for preparing plans and policies.

  • Helps to detect errors:
    Record management helps to eliminate errors and maintain internal control system. So, record management helps to increase the efficiency of an organization.

  • Helps to evaluate performance:
    It helps to evaluate the performance of an organization. It provides the financial, human resources, and other information which helps to compare the actual performance with the standard performance of an organization.

Record management is the combination of record and management. It is an art of handling and maintaining office records. The record is written matter which is prescribed for future reference and management is related to the way or the technique which are used to manage the different types of records. Therefore, record management is the management and control of records. Letters, invoices, cheques, vouchers, price lists, personnel records, tax records, costing records are the examples of records. It also helps to remove unnecessary files and preserves all important files and documents safely.

According to Little Field, "Record management broadly defined,includes forms, reproduction of written materials, filing records, retention, microfilms and related services."

According to J.C. Denyer, "Modern record management involves much more than the methods of the filing or the system of classification , important though these are: indexing, central filing, records retention, follow-up and micro photography, all these receive attention in the present day office."

In conclusion, record management is the systematic process of collecting, utilizing, preserving and disposing of the record of the office.

Records can be collected from two sources i.e. internal and external sources.The records can be classified into the following types:

On the basis of Nature

On the basis of nature of document, the records can be classified as below:

  • Correspondence record:

Correspondence record includes letters, circular, notice, memo, inquiries, order etc which are either sent by the organization or received by itIt is the written matter of office.

  • Personnel record:

The records which are related to the personnel or employees of the organization are known as personnel records. Personal history, admission, salary, grade, promotion, retirement and other relevant information of the employees are kept.

  • Accounting record:

The records which are related to financial aspects of the organization is called accounting records. Invoices, cash memos of different departments and units are included under it.

  • Legal records:

The records which are kept to meet the legal formalities as per the government rules and regulation are called legal records. A copy of a contract, mortgage deed, business commencement letter, income tax, sales tax is included it.

  • Miscellaneous records:

The records which are not by the above type of records are included in the miscellaneous records. Record of social activities, advertisement campaign, new product feasibility report is included under it.

On the basis of Retention

On the basis of records, record may be classified as follow:

  1. Permanent records:
    The records which are preserved over a long period of time are called permanent records. the following documents fall under permanent records:

    Memorandum of association
    Articles of association
    Registration certificate
    Permanent Account Number certificate
    Documents of properties

  2. Most important  records 
    The records which can be destroyed after 20 years of the  job competition are called the most important records.

  3. Important records
    The records which can be destroyed after 10 years of the job competition are called important records. The following documents fal under important records:
    Annual report
    document related to employee's vacancy
    contract etc.

  4. Most useful records
    The records which can be destroyed after 5 years of the job competition are called most useful records. The following documents fall under most useful records:
    Circulars and copy of letters sent for general information.

  5. Useful records
    The records which destroyed after 3 years of the competition is called useful records. The following documents fall under useful records:
    Documents relating to contracts and donations.
    Ordinary letters, inter-office letters, banking statements, etc.

  6. Less useful records:
    The records which can be destroyed after 1 year of the job competition is called less useful records.

Records retention is the process of creating,preserving,transferring the inactive records for storage and destructing the dead records to minimize cost and maximize the benefit of the organization.  It is created with storage of required records for future reference. Such records can be maintained in files, computers, pen drives and microfilms.

According to Littlefield,"Record retention is the activity designed to control the life cycle of the record from its creation to its disposition."

Disposal of records

Disposal of records means the process of destroying the dead records. It is created with storage of required for future reference. It involves collection, preservation, classification and protection of records in future reference. Such records can be maintained in files, computers, open drives etc. It is also major parts of record management.

 Importance of Record Retention

  • It preserves active records for future reference
  • It helps for taking prompt decision
  • It provides written legal evidence in the court
  • It enhances the efficiency the efficiency of the office as essential records are readily available

 

Quiz

© 2019-20 Kullabs. All Rights Reserved.