RECORDS
MANAGEMENT
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.
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.
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.
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.
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.
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.
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.
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.
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)
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.
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.
OBJECTIVES IN FILING
1. Efficiency
2. Economy
3. Simplicity
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.
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
WHAT ARE THE DIFFERENT KINDS
OF FILING SYSTEM:
1.
2.
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.
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.
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.
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.
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
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
SUBJECT STORAGE
• Records about one
subject are grouped
together
• The system can be
expanded easily by
adding subdivisions
ADVANTAGES
• 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
DISADVANTAGES
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 timeconsuming
• 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
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.
TOOLS IN FILES
OPERATION
1. Folders and fasteners
2. Charge-out cards
3. Requisition slip
4. Tickler file or followup file
5. Sorting table and
racks
6. Stapler
7. Filing cabinets and
shelves
8. Tapes
Sorting Table with Rack
Letter Folding Machine
SELECTING THE APPROPRIATE
FILING SYSTEM
CHARACTERISTICS OF A GOOD FILING
SYSTEM
A filing system can only be good on if it is tailormade 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.
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.
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.
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.
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.
STEPS IN FILING
HOW 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.
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.
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 crossreference sheets, or plain sheets of paper, or a
paper with distinctive color.
Cross-referencing using MS Word
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
individual’s name is the surname. In the
case of Manolo Herbert you might index the
name as normally written and use a crossreference under a transposition of the name.
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 crossreferenced it under the married or legal name.
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.
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.
4. A folder chargeout may be either be an outfolder 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.
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.
HOW TO SEARCH FOR MISSING FILES
The following clues help to uncover many misfiled papers.
1. ON SOMEONE’S DESK?
Look first through your own desk when tracking a
misplaced record. Then the executive’s 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.
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.
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
can’t find the record, ask your boss. He might
have taken it and brought home without
informing you.
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.
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.
SOME “DO’S AND DON’TS 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.
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 crossreference 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.
12. Do keep your filing “rough sorted” from A to Z
if you can’t 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.
1.
2.
3.
4.
5.
6.
DON’T
Don’t use pins, paper clips or rubber bands on file
papers.
Don’t file papers loose in a drawer.
Don’t 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.
Don’t jam papers down into folders. You can’t be sure
they are in the correct place and anyway, think how
messy they will look.
Don’t allow papers to be all mixed as to dates within a
folder.
Don’t allow your folders to become cluttered and
overcrowded.
7. Don’t allow your folders to become so full that
they bulge, or the back sags down out of sight.
8. Don’t allow your files to become confusing
when letters contain two or more subjects or
customers.
9. Don’t flounder around spending precious
moments looking for a folder which had been
filed under another name.
10. Don’t pull a folder out of place alphabetically
just because it may be large.
11.Don’t file in front of guides.
12. Don’t start to file with papers in haphazard
arrangement.
13. Don’t let your new filing pile up. Update your
files.
14. Don’t leave your new filing in a disorganized
file.
15. Don’t lend papers and then depend upon your
memory to tell you who took them. Keep a
record of borrowed file folder.
16. Don’t allow the labels on your file drawers to
be handwritten dirty or torn off.
17. Don’t pull out more than one file drawer at a
time.
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.
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
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.
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)
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
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