Governing the Chaos

Governing the Chaos

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  The Convergence of IT,Legal and Records Managers to Address Unstructured Data GOVERNING THE CHAOS
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  The challenges associatedwith managing data have multiplied by previously- unfathomable degrees in recent years. Prior to the ubiquitous utilization of computers and mobile devices, physical records were the only form of data most organizations dedicated any resources toward organizing. With more legislative attention to data privacy and enacted compliance regulations, such as the Data Protection Directive (EU, 1995), HIPAA/HITECH (U.S., 1996) and Sarbanes- Oxley (U.S., 2002), there were stringent standards organizations must meet or be subject to fines and other penalties. A common view of data asserts that physical and digital assets are two very distinct entities, but in terms of compliance and business continuity, the two formats should be considered equally valuable. Why? The laws that govern the management of physical records and digital data are the same, so the real “data distinction” should be whether it is managed or unmanaged, irrespective of format. That said, most unmanaged data rests on the digital side for two very clear reasons. Today, organizations of all kinds must adhere to numerous compliance regulations across industries and around the world when managing both physical and digital data.
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  First, understanding andadhering to privacy and data compliance regulations is a relatively new job description for IT managers. Secondly, digital data is expanding at a rate that outpaces the speed at which IT practitioners are becoming compliance experts… As a result, Information Governance (IG) practices pertaining to digital data are still largely undefined and difficult to enforce. The rate of unstructured data growth per year: 62% Perhaps the most perplexing and pressing challenge related to IG is governing unstructured data, which is not found within an organized database. Unstructured data typically includes Word documents, PowerPoint presentations, PDFs, media text files, emails, audio files and images. According to reports from IDG and Gartner, unstructured data is growing at a rate of 62 percent per year, and by 2022, 93 percent of digital data will be unstructured.
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  Information Governance policiesare still trying to catch up with unstructured data in many companies, and creating effective policies requires the three groups responsible for IG strategy—records managers, IT and legal—to come to the same table and create rules and processes that reduce, classify and organize it in a manner that easily integrates into the workflow of business users. Accomplishing this goal will promote easier buy-in and create an organizational culture with IG adherence in its DNA. Further complicating the issue is that this data is often created and saved over a multitude of repositories like ECM systems, shared drives, desktops, cloud environments, etc. Records Managers LegalI.T.
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  Understanding the PolicyMakers Records managers, IT and legal perform very different functions and approach data management with distinct priorities, based on how that data impacts their department. For Information Governance cooperation between the three to succeed, it is important to better understand each other’s point of view. Records Managers Partly due to the changes in the nature of records themselves, the traditional role of a records manager (RM) has changed dramatically in recent years. No longer are RMs admins who reside solely over paper documents. Instead, they are well-versed in the intersection of physical and digital data, and their expertise is vital in creating IG initiatives because the same rules and regulations apply to both. IT professionals don’t often have a “rules and regulations” background, so records managers can offer critical insight into more effective governance over all data.
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  IT departments arefaced with a universal dilemma: space and security. Given the expanse of data, it’s no surprise that companies are strapped for storage. Further, unstructured data has limited rules around classification, Beyond the space requirements, holding on to unnecessary information poses a greater security risk. All companies are open to potential security breaches and the possibility of sensitive information being leaked or stolen. Limiting the amount of content that can be hacked through proper IG can minimize the impact if a breach were to occur. I.T. Practitioners storage and retention, so IT practitioners would rather purchase more space than to accidentally clear out swaths of data that could place the organization out of compliance. While cloud storage is relatively inexpensive, the savings are quickly overcome by the increased amount of data they need to store. Because IT is concerned with deleting the wrong data, documents that have outlived their usefulness remain on the system, serving no other purpose than taking up valuable space. Additionally, retaining certain types of data beyond their legal hold can also place organizations outside of compliance.
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  The ever-expanding andoften complicated nature of compliance regulations and global consumer privacy laws have required organizations that weren’t concerned about data management to make it a priority. As a result, the relationship between legal and RMs—and now IT—has Legal become a necessity to avoid fines, lawsuits and inefficiencies. It is their responsibility to be aware of current compliance regulations and keep an eye out for new laws that could impact data management. Legal is also required to track information for discovery and e-discovery purposes. Retaining unnecessary information opens up documents to more legal holds and contributes to the problem of needing more space to store the information should it become necessary for a trial.
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  Bringing Information ExpertsTogether Records managers, IT and legal perform The old theory was that once a record was created, it could never be changed; today, the only constant around data is change. In the digital world, documents can be resaved and transported easily and quickly. New regulations are continuously emerging and existing ones are frequently amended, making compliance increasingly challenging. With so many moving parts, information experts must work together and speak the same language to achieve the common goal of successful Information Governance. different functions and approach data management with distinct priorities, based on how that data impacts their department. For Information Governance cooperation between the three to succeed, it is important to better understand each other’s point of view. Records managers, IT and legal all have a stake in the outcome of better governing information for an organization. Each is experienced in managing data and information, but approaches it from a different point of view. The collaboration of these three groups is the best way to solve the unstructured data challenge. With so many moving parts, information experts must work together
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  What Each RoleBrings to the Table Records managers are expertly aware of the damaging impact mismanaged data can have on the business. Because records managers understand the importance of security and infrastructure that IT practitioners value and are fluent in legal issues, such as compliance and discovery, they are the most qualified to bring IT and legal into the IG discussion. When collaborating on IG strategies, IT can offer critical insight into storage capacity, how to best protect data and the impact unstructured data can have on security and infrastructure cost. Perhaps the most important bit of information IT can assist with is determining which departments are creating the most unstructured data and help determine ways to proactively reduce that amount. In creating new IG initiatives, the legal department is best suited to impact rules and processes by offering guidance based on what may or may not put an organization outside of compliance. Additionally, their expertise is crucial in determining which IG strategies require an update. As mentioned, laws change and new laws are introduced, and being ahead of new regulations that impact how data is managed is key to avoiding non-compliance.
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  Understanding Unstructured Data’s Impacton Information Governance The goal of Information Governance is to prevent organizational assets from becoming a risk through lack of compliance, resulting in legal fees and other burdens. According to Gartner, IG is “the specification of decision rights and an accountability framework to encourage desirable behavior in the valuation, creation, storage, use, archival and deletion of information. It includes the processes, roles, standards and metrics that ensure the effective and efficient use of information in enabling an organization to achieve its goals.” In short, Information Governance is the process for better managing information – in both physical and digital forms – through its entire lifecycle, which is no easy task, when examining how quickly information expands today. Consider this: as much information is created every two days than was created from the dawn of civilization through 2003, according to Google’s Eric Schmidt. Add to the mix that so much of this data is unstructured that isn’t properly classified or secured, and you have a ticking time bomb of risk inside your database. valuation creation storage use archival deletion
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  Impact of UnstructuredData With most businesses’ data doubling almost every two years, and much of it being created in a multitude of repositories, it is exponentially more difficult for organizations to properly govern information. About 90 percent of information created and used by an organization is unstructured data, according to IDC. The vast amount of unstructured data makes it even more challenging to keep up with compliance regulations. The nature of unstructured data makes it is difficult to structure and categorize the information to logically apply rules. As the recent Sony data breach illustrated, organizations are often unaware of where sensitive data resides, and are putting themselves at risk by having no effective structure to find them. Unstructured data is also expensive. In 2011, the Ponemon Institute identified “an average cost of $2.1 million per year to organizations who fail to properly manage their corporate intellectual capital.” Typically, business users are asked to categorize unstructured data themselves. This exercise results in varied accuracy and prompts the need for a smarter, better way to start the structuring process. Because the same rules apply to both digital and physical records, there is an opportunity for different groups – each experienced in information management – to combine approaches to implement governance.
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  IG Initiatives withthe Business User in Mind Business users and C-Level both desire efficiency and productivity, so it is critical that IG implementations impacting unstructured data do not make everyday tasks more cumbersome or they run the risk of being ignored. Very often, employees will find a work-around that allows them to do what they need to do in a way that does not disrupt workflow. Initiatives also need to incorporate input from those who will be responsible for the early stages of data management. 1 document, it is critical to embed data regarding its purpose, location and lifecycle. Systems that allow business users to input that information in an easy, intuitive manner—through simple drop-downs, for example—will ensure that other stakeholders have the necessary information to determine where data is and when it needs to be removed. Make the Process Simple and Intuitive The goal is to increase the probability of IG success, and creating applications that are simple and quick to implement is key. Upfront metadata encoding is a perfect example of how organizations can manage data without compromising efficiency. When creating a new
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  2 3 Offer Email Alternatives Emailsrepresent the most challenging form of unstructured data, as they often contain critical information that is back and forth and take up sizable storage space. Instant message tools, for example, can give business users an even quicker way to getting information they need, while drastically reducing internal emails. File, synch and share systems, with enterprise grade security, allow business users to securely collaborate without sending large files via email. Better Communicate Data Policies Very often, business users may inadvertently contribute to the mismanagement of data for fear of making a mistake. For example, legal matters require organizations to put a hold on deleting emails or other files that contain information relating to a current or pending case. Because of the consequences business users face for accidentally deleting a piece of discovery, they are more likely to stop deleting emails altogether. Further, the end of legal holds are often not communicated to employees who continue to retain almost all emails. With better communication and defined parameters about legal holds, the amount of saved emails can be reduced.
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  4 Request and IncorporateInput One of the best ways to get voluntary buy-in for IG policies from business users is to gain input from those creating unstructured data. Get a better understanding of why they create, file, delete/not delete data. Examine the pros and cons of potential processes, and create an environment where supporting IG is part of the corporate DNA. Not all rules can be created with every need in mind, but if employees don’t feel like they’re a part of the process or that rules are created without their day-to-day in mind, IG plans simply will not succeed. The expanse of unstructured data continues with no sign of stopping, and forward-thinking organizations are pooling the expertise of records managers, IT and legal to institute IG initiatives that are not only supported by business users, but are maintained with very little additional effort.
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  Future of UnstructuredData In the age of Big Data, the need to wrangle, measure and make sense of information is critical for businesses to gain a competitive advantage. In a 2012 Forrester study, 70 percent of respondents said that Big Data is or will be a collaborative effort between business and IT. Emerging technologies make it easier for IT departments to quickly and efficiently manage data in all its forms. Working with records managers and legal departments, IT can have the information necessary to create processes that manage information instead of simply storing it. Information Governance’s role will become more critical as the expansion of data continues. Likewise, there is no reason to believe that global and industry-based privacy laws will become less prevalent any time soon. The costs associated with lax IG practices (fines, legal costs, loss of business, etc.) will only continue to increase.
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  The task ofmanaging and governing unstructured data will grow more complicated for organizations of all sizes and industries. Businesses that bring all three information expert groups together – records managers, IT and legal departments – and create an environment that promotes collaboration between them will have greater success in creating and implementing effective governance strategies. To learn how Recall can help solve your Information Governance challenges CLICK HERE