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Will You Add? - Compliance and Regulation: Impacting on the Global Business Community
When I'm traveling to someplace new, I like to get directions beforehand. Sure there's something to be said for the proverbial "scenic routes" and "roads less traveled," but, as Yogi Berra noted, "You've got to be very careful if you don't know where you're going, because you might not get there."A business plan serves a similar purpose. It's like MapQuest®, except that you choose both the destination and the route you want to take. And, like MapQuest®, it needn't be overly detailed, drawn in pretty colors, or able to fit in your pocket; it just needs to give you a good sense of where you're going and how you intend to get there. If you're serious about starting or growing your business, M.A.P. out your route by following these three steps:Make a Master Plan. One of the benefits of a written plan is that it forces you to think carefully and with focus about what you are providing, how, to whom and, significantly, why you want to do this. What is the vision in your mind's eye for who you can help and how they will benefit? To build a successful business, it helps to answer the following questions, among others (which you would do in your Master Plan):-Who will buy your product/service? -How will you distribute your product or deliver your services? -What is the size, maturity, and competitive nature of your industry? -Who is your competition and what makes your products/services better?
• Are procedures clear and consistent, with a requirement to document procedures? This is often referred to as a document policy.
• Are the procedures enforced? This is a shared responsibility between management and the selected document management system's access and privilege controls.
• Can the claims be substantiated? This relies heavily on the document management system’s audit trail.
Compiling a Document Policy
After establishing which regulations have to be complied with, a document policy is required covering the following:
o Scope of information covered
o Security classifications
o Storage media
o File format and version control
o Standards (compliance and regulations)
o Retention and destruction
o Responsibilities
A document policy defines how information is stored, and is therefore central to ensuring compliance. It should serve these main purposes:
o Ensure everyone knows what they can do
o Define the business practice at the time
o Demonstrate why a given action was undertaken, e.g. explains why a document was destroyed
o Reinforce documents’ evidential weight
o Help authenticate documents to increase legal weighting
o Improve the court’s view of the evidence presented
Consideration also needs to be given to how long documents should be stored. This depends on the type of document and industry-specific regulations.
This raises an interesting question. What is the legal position if the original document is electronic? This can best be answered in three steps.
• Civil Evidence Act 1995
o Authenticated copies will be accepted with equal weighting to the original
o Later revisions are given greater weight than superseded revisions
• Admissibility
o Does the court accept this evidence?
o With what weight?
• Appropriate procedures must be followed if documents are to be taken to court
Therefore, when considering compliance, the legal weight given to a document als
A supply chain consists of three parts – procurement of raw materials and semi-finished products, converting them into finished products, and distributing them for sale. In this context, supply chain inventory management implies that the inventory should be managed in such a way that the supply chain can function without any shortages or excess burdens of large supplies.Supply chain inventory management starts with the chain of suppliers who supply raw materials and semi-finished products. A person who is managing the supply chain is supposed to forecast the demand and supply of various products of the firm; the inventory management is done accordingly.If the forecast indicates a higher demand in the near future, greater supplies of raw material and finished products have to be procured. Also, the process must be completed in time and without resulting in cost overruns.A crucial part of supply chain inventory management involves managing warehouses. It helps in the proper storage and transportation of raw materials to production units, as well as the distribution of finished products through a chain of retailers and wholesalers. Supply chain inventory management ensures that the finished products are delivered at specific locations according to the pre-determined schedule.Keeping in view the dynamic state of markets all over the world, supply chain inventory management has become a crucial factor in deciding the overall profits of a fir
The latest compliance standards focus on greater accountability and control in key business processes – most importantly document flows and data management.
There are two central aspects to enforcing compliance:
• The corporate duty of care in enforcing standards
• The need for legal protection in the event of litigation or a dispute
Non-compliance is not an option, companies risk stiff fines and executives can be held personally liable if information is not in order. Therefore, it is important that the business examines all regulations, not just those affecting their specific area of operation, but also generic legislation affecting general business activities.
The consequences of non-compliance are extremely serious; in December 2002 the SEC fined five Wall Street brokerages a total of $8.25m for improperly storing e-mail communications (Forrester Research).
Distributing documents for approval, whether in hard copy or electronic form, raises security issues. Who is authorised to access documents, and what information can they access within them? This is particularly important to ensure compliance with legislation such as the Sarbanes Oxley Act, which applies to US companies and their foreign subsidiaries; and in the UK, the Data Protection Act and the Freedom of Information Act.
Document processing software such as Tokairo’s TokOpen system addresses these challenges and automatically enforces compliance. Every action relating to individual document access is audited, access is limited to specified personnel, and actions they can undertake are also controlled. Software can also restrict access to different information within a document, to different specified users or groups within an organisation.
This ability to allow different information in a document to be seen by different users means that the divergent needs of the Data Protection Act and the Freedom of Information Act can both be met automatically, without the need to make copies of documents.
This flexibility can also extend to the hierarchy of approval based on the value of an invoice. So if a member of staff is not allowed to approve payment of an invoice of over ?500 for example, it can still be checked by them, but then can automatically be escalated to a superior for payment sign-off.
The following are some of the most recent regulations, and the effects they can have on corporate document management strategies:
Sarbanes Oxley Act 2002
This is a key driver of compliant corporate document management systems. In the US non-compliance is now a Federal offence, carrying a penalty of up to 20 years in prison. US subsidiaries in the UK are also required to comply with this legislation. The European Union is expected to introduce similar rulings for member countries.
Under section 302, the CEO and CFO must certify that reports accurately show the company’s financial condition and results. In addition, they must certify that they have established and evaluated internal controls to ensure accurate recording and reporting of performance. Any deficiencies in these controls as well as any fraud at management level must be reported.
Section 404 requires annual reports to detail internal controls that are in place to ensure accurate financial reporting, as well as an assessment of their effectiveness.
This can have a significant impact on a document management system. For example, a company without clear control and visibility of approving invoices for payment could be in breach of the Sarbanes Oxley Act.
Data Protection Act 1998
Regardless of what document management system may be in place, personal information for business use needs to be handled in compliance with the Data Protection Act 1998. A secure document management system such as TokOpen can help with compliance, as it reduces the scope for theft or accidental loss of personal and confidential data. It can also facilitate the execution of valid requests for such data.
The Act enshrines eight principles:
1. Personal data shall be processed fairly and lawfully.
2. It shall be obtained only for specified lawful purposes, and shall not be further processed in any manner incompatible with those purposes.
3. It shall be adequate, relevant and not excessive in relation to the purposes for which it is being processed.
4. It shall be accurate and, where necessary, kept up to date.
5. It shall not be kept for longer than is necessary.
6. It shall be processed in accordance with the rights of data subjects under the Act.
7. Appropriate technical and organisational measures shall be taken to prevent unauthorised or unlawful processing of personal data, and to prevent accidental loss, destruction or damage to personal data.
8. Personal data shall not be transferred to a country or territory outside the EU unless an adequate level of protection for the rights and freedoms of data subjects is ensured.
Freedom of Information Act
This gives people a general right of access to information held by, or on behalf of, public authorities. It is intended to promote a culture of openness and accountability amongst public sector bodies, and to increase public understanding of how public authorities work, why they make the decisions they do, and how they spend public money.
Good document management should be a key objective for all organisations, public and private, in the drive to achieve business efficiency, and ensure that information is easily retrievable and properly documented. As a result of this, public authorities will then be able to comply more easily with legislation that affects them, such as the Freedom of Information Act.
The principles underlying records management – creation, retention, identification and retrieval – apply equally to both electronic and paper media. This means that procedures for e-mail and other information held on shared and personal hard drives have to be as robust and detailed as those for other records.
Conflictions in Compliance
Document management systems are challenged when different data in the same document relates to both the Data Protection Act and the Freedom of Information Act, since one is geared for confidentiality, the other for accessibility.
Leading document management systems such as TokOpen, control who can view different parts of a document, meeting the conflicting needs of both pieces of legislation.
In a typical document, such as a Wire Transfer Application form, some of the information falls under the Freedom of Information Act, and other parts of the document are private meaning access must be restricted and audited in accordance with the Data Protection Act. Certain data must not be disclosed to anyone outside the bank as it is private and for internal use only.
Document management software overcomes this problem by hiding the internal information when the document is viewed by someone outside the bank. Users with authorised access are still able to view the whole document.
In the same example, the applicant’s name and address are protected by the Data Protection Act, and should therefore only be seen by the staff members dealing with that client, such as HR or Accounts. Remaining staff do not have access to these specific document details. TokOpen document management software can ensure compliance with this.
Document Management: the Way Forward
The increasingly complex demands of legislation underline the need for businesses to implement document capture and document management systems. However, even though a document management system is an important component, alone it will not ensure compliance. A wider view is needed to ensure businesses maintain their compliance with changing legislation.
In a court of law, the judge will consider the evidence based on several criteria:
• Are procedures clear and consistent, with a requirement to document procedures? This is often referred to as a document policy.
• Are the procedures enforced? This is a shared responsibility between management and the selected document management system's access and privilege controls.
• Can the claims be substantiated? This relies heavily on the document management system’s audit trail.
Compiling a Document Policy
After establishing which regulations have to be complied with, a document policy is required covering the following:
o Scope of information covered
o Security classifications
o Storage media
o File format and version control
o Standards (compliance and regulations)
o Retention and destruction
o Responsibilities
A document policy defines how information is stored, and is therefore central to ensuring compliance. It should serve these main purposes:
o Ensure everyone knows what they can do
o Define the business practice at the time
o Demonstrate why a given action was undertaken, e.g. explains why a document was destroyed
o Reinforce documents’ evidential weight
o Help authenticate documents to increase legal weighting
o Improve the court’s view of the evidence presented
Consideration also needs to be given to how long documents should be stored. This depends on the type of document and industry-specific regulations.
This raises an interesting question. What is the legal position if the original document is electronic? This can best be answered in three steps.
• Civil Evidence Act 1995
o Authenticated copies will be accepted with equal weighting to the original
o Later revisions are given greater weight than superseded revisions
• Admissibility
o Does the court accept this evidence?
o With what weight?
• Appropriate procedures must be followed if documents are to be taken to court
Therefore, when considering compliance, the legal weight given to a document als
If you are looking to save money then look no further than electronic billing or online billing--sometimes referred to as EBPP. National averages per call received in a call center or by a customer service rep can be as much as $5.00. Reduce this by 50% and you save a significant sum of money. The question is how to reduce the number of calls flowing to your call center? The answer: short and sweet, electronic billing or online billing.National statistics show that 60% of all calls to a call center are billing related. Questions such as, "Can you send me another copy of the bill?" "Why did my bill increase?" "I didn't get my bill" can send your customer service reps over the edge; however, when you use an electronic bill or online bill solution you will save not only your customer service rep, but also you will save your customers the pain of having to call and ask. You can also use your call center personnel for other more pressing issues. Overall online billing saves you money.A recent study found, "Between now and 2010, the number of users who pay their bills electronically will grow, by 75 percent, to about 47 million households, says Forrester Research Inc., an independent research company that analyzes and forecasts technology's impact on business and consumers." With this information you are armed to take advantage of the cost savings that comes from online billing.A clarification may be in order...what is an online bill? You may say pa
This flexibility can also extend to the hierarchy of approval based on the value of an invoice. So if a member of staff is not allowed to approve payment of an invoice of over ?500 for example, it can still be checked by them, but then can automatically be escalated to a superior for payment sign-off.
The following are some of the most recent regulations, and the effects they can have on corporate document management strategies:
Sarbanes Oxley Act 2002
This is a key driver of compliant corporate document management systems. In the US non-compliance is now a Federal offence, carrying a penalty of up to 20 years in prison. US subsidiaries in the UK are also required to comply with this legislation. The European Union is expected to introduce similar rulings for member countries.
Under section 302, the CEO and CFO must certify that reports accurately show the company’s financial condition and results. In addition, they must certify that they have established and evaluated internal controls to ensure accurate recording and reporting of performance. Any deficiencies in these controls as well as any fraud at management level must be reported.
Section 404 requires annual reports to detail internal controls that are in place to ensure accurate financial reporting, as well as an assessment of their effectiveness.
This can have a significant impact on a document management system. For example, a company without clear control and visibility of approving invoices for payment could be in breach of the Sarbanes Oxley Act.
Data Protection Act 1998
Regardless of what document management system may be in place, personal information for business use needs to be handled in compliance with the Data Protection Act 1998. A secure document management system such as TokOpen can help with compliance, as it reduces the scope for theft or accidental loss of personal and confidential data. It can also facilitate the execution of valid requests for such data.
The Act enshrines eight principles:
1. Personal data shall be processed fairly and lawfully.
2. It shall be obtained only for specified lawful purposes, and shall not be further processed in any manner incompatible with those purposes.
3. It shall be adequate, relevant and not excessive in relation to the purposes for which it is being processed.
4. It shall be accurate and, where necessary, kept up to date.
5. It shall not be kept for longer than is necessary.
6. It shall be processed in accordance with the rights of data subjects under the Act.
7. Appropriate technical and organisational measures shall be taken to prevent unauthorised or unlawful processing of personal data, and to prevent accidental loss, destruction or damage to personal data.
8. Personal data shall not be transferred to a country or territory outside the EU unless an adequate level of protection for the rights and freedoms of data subjects is ensured.
Freedom of Information Act
This gives people a general right of access to information held by, or on behalf of, public authorities. It is intended to promote a culture of openness and accountability amongst public sector bodies, and to increase public understanding of how public authorities work, why they make the decisions they do, and how they spend public money.
Good document management should be a key objective for all organisations, public and private, in the drive to achieve business efficiency, and ensure that information is easily retrievable and properly documented. As a result of this, public authorities will then be able to comply more easily with legislation that affects them, such as the Freedom of Information Act.
The principles underlying records management – creation, retention, identification and retrieval – apply equally to both electronic and paper media. This means that procedures for e-mail and other information held on shared and personal hard drives have to be as robust and detailed as those for other records.
Conflictions in Compliance
Document management systems are challenged when different data in the same document relates to both the Data Protection Act and the Freedom of Information Act, since one is geared for confidentiality, the other for accessibility.
Leading document management systems such as TokOpen, control who can view different parts of a document, meeting the conflicting needs of both pieces of legislation.
In a typical document, such as a Wire Transfer Application form, some of the information falls under the Freedom of Information Act, and other parts of the document are private meaning access must be restricted and audited in accordance with the Data Protection Act. Certain data must not be disclosed to anyone outside the bank as it is private and for internal use only.
Document management software overcomes this problem by hiding the internal information when the document is viewed by someone outside the bank. Users with authorised access are still able to view the whole document.
In the same example, the applicant’s name and address are protected by the Data Protection Act, and should therefore only be seen by the staff members dealing with that client, such as HR or Accounts. Remaining staff do not have access to these specific document details. TokOpen document management software can ensure compliance with this.
Document Management: the Way Forward
The increasingly complex demands of legislation underline the need for businesses to implement document capture and document management systems. However, even though a document management system is an important component, alone it will not ensure compliance. A wider view is needed to ensure businesses maintain their compliance with changing legislation.
In a court of law, the judge will consider the evidence based on several criteria:
• Are procedures clear and consistent, with a requirement to document procedures? This is often referred to as a document policy.
• Are the procedures enforced? This is a shared responsibility between management and the selected document management system's access and privilege controls.
• Can the claims be substantiated? This relies heavily on the document management system’s audit trail.
Compiling a Document Policy
After establishing which regulations have to be complied with, a document policy is required covering the following:
o Scope of information covered
o Security classifications
o Storage media
o File format and version control
o Standards (compliance and regulations)
o Retention and destruction
o Responsibilities
A document policy defines how information is stored, and is therefore central to ensuring compliance. It should serve these main purposes:
o Ensure everyone knows what they can do
o Define the business practice at the time
o Demonstrate why a given action was undertaken, e.g. explains why a document was destroyed
o Reinforce documents’ evidential weight
o Help authenticate documents to increase legal weighting
o Improve the court’s view of the evidence presented
Consideration also needs to be given to how long documents should be stored. This depends on the type of document and industry-specific regulations.
This raises an interesting question. What is the legal position if the original document is electronic? This can best be answered in three steps.
• Civil Evidence Act 1995
o Authenticated copies will be accepted with equal weighting to the original
o Later revisions are given greater weight than superseded revisions
• Admissibility
o Does the court accept this evidence?
o With what weight?
• Appropriate procedures must be followed if documents are to be taken to court
Therefore, when considering compliance, the legal weight given to a document als
Talk! Talk! Talk! We are in a business where talk reigns supreme, and the boldest talkers are always at center stage. Claims run rampant about everything from ad responses - to phenomenal product results - to bodacious income projections.Sometimes this talk sways the uninitiated, and if they fail to seek any type of verification before taking action, they might find that they have based their decisions and plans on pipe dreams and smoke screens.However, before I leave the impression that talk is always cheap (and therefore frivolous), I need to emphasize the legitimate role of responsible talk in MLM. Responsible talk in our industry accomplishes a number of things:It speaks public commitments into existence which then create the forum for public accountability that is so helpful to those who need a support structure for continuous production;It helps people design a time frame for success (i.e., I’m going to lose 20 more pounds before Easter);It excites and motivates others to think bigger;It sets a climate for accomplishment in the organization which stimulates others to make commitments;It intensifies focus for everyone so they can evaluate their goals, large and small.We consider this type of talk to be positive because it results in benefits like those listed above. However, empty rhetoric, or worse yet, distorted testimonials and promises spoken, but not kept, have damaged our industry tremendously.
The Act enshrines eight principles:
1. Personal data shall be processed fairly and lawfully.
2. It shall be obtained only for specified lawful purposes, and shall not be further processed in any manner incompatible with those purposes.
3. It shall be adequate, relevant and not excessive in relation to the purposes for which it is being processed.
4. It shall be accurate and, where necessary, kept up to date.
5. It shall not be kept for longer than is necessary.
6. It shall be processed in accordance with the rights of data subjects under the Act.
7. Appropriate technical and organisational measures shall be taken to prevent unauthorised or unlawful processing of personal data, and to prevent accidental loss, destruction or damage to personal data.
8. Personal data shall not be transferred to a country or territory outside the EU unless an adequate level of protection for the rights and freedoms of data subjects is ensured.
Freedom of Information Act
This gives people a general right of access to information held by, or on behalf of, public authorities. It is intended to promote a culture of openness and accountability amongst public sector bodies, and to increase public understanding of how public authorities work, why they make the decisions they do, and how they spend public money.
Good document management should be a key objective for all organisations, public and private, in the drive to achieve business efficiency, and ensure that information is easily retrievable and properly documented. As a result of this, public authorities will then be able to comply more easily with legislation that affects them, such as the Freedom of Information Act.
The principles underlying records management – creation, retention, identification and retrieval – apply equally to both electronic and paper media. This means that procedures for e-mail and other information held on shared and personal hard drives have to be as robust and detailed as those for other records.
Conflictions in Compliance
Document management systems are challenged when different data in the same document relates to both the Data Protection Act and the Freedom of Information Act, since one is geared for confidentiality, the other for accessibility.
Leading document management systems such as TokOpen, control who can view different parts of a document, meeting the conflicting needs of both pieces of legislation.
In a typical document, such as a Wire Transfer Application form, some of the information falls under the Freedom of Information Act, and other parts of the document are private meaning access must be restricted and audited in accordance with the Data Protection Act. Certain data must not be disclosed to anyone outside the bank as it is private and for internal use only.
Document management software overcomes this problem by hiding the internal information when the document is viewed by someone outside the bank. Users with authorised access are still able to view the whole document.
In the same example, the applicant’s name and address are protected by the Data Protection Act, and should therefore only be seen by the staff members dealing with that client, such as HR or Accounts. Remaining staff do not have access to these specific document details. TokOpen document management software can ensure compliance with this.
Document Management: the Way Forward
The increasingly complex demands of legislation underline the need for businesses to implement document capture and document management systems. However, even though a document management system is an important component, alone it will not ensure compliance. A wider view is needed to ensure businesses maintain their compliance with changing legislation.
In a court of law, the judge will consider the evidence based on several criteria:
• Are procedures clear and consistent, with a requirement to document procedures? This is often referred to as a document policy.
• Are the procedures enforced? This is a shared responsibility between management and the selected document management system's access and privilege controls.
• Can the claims be substantiated? This relies heavily on the document management system’s audit trail.
Compiling a Document Policy
After establishing which regulations have to be complied with, a document policy is required covering the following:
o Scope of information covered
o Security classifications
o Storage media
o File format and version control
o Standards (compliance and regulations)
o Retention and destruction
o Responsibilities
A document policy defines how information is stored, and is therefore central to ensuring compliance. It should serve these main purposes:
o Ensure everyone knows what they can do
o Define the business practice at the time
o Demonstrate why a given action was undertaken, e.g. explains why a document was destroyed
o Reinforce documents’ evidential weight
o Help authenticate documents to increase legal weighting
o Improve the court’s view of the evidence presented
Consideration also needs to be given to how long documents should be stored. This depends on the type of document and industry-specific regulations.
This raises an interesting question. What is the legal position if the original document is electronic? This can best be answered in three steps.
• Civil Evidence Act 1995
o Authenticated copies will be accepted with equal weighting to the original
o Later revisions are given greater weight than superseded revisions
• Admissibility
o Does the court accept this evidence?
o With what weight?
• Appropriate procedures must be followed if documents are to be taken to court
Therefore, when considering compliance, the legal weight given to a document als
When the first generation of women entered the workforce in earnest in the 1970s, they succeeded in the only way they could – by imitating men. Authoritarian leadership and tight control was the hallmark of that day's businessman, and women were not exactly welcomed into the ranks of management. Well ladies, that was yesterday, and today is today!Forget what your mama or your boss told you, because following the rules can be bad for your career. Today's CEO/entrepreneur can no longer tap his/her company's full potential using a "command-and-control" style. The 21st century business woman needs to be able to build a vision based on the awareness of economic transformation, then help her partners and staff fulfill that vision. She must draw on a wide range of skills to get to the top and stay there. Following are 7 Key Characteristics that are essential:1. Sell the Vision: A leader with a fresh, independent plan for her company's growth and future has a distinct advantage in luring and keeping great talent and investors. Vision is not some lofty ideal, but an obtainable concept that is easy to understand and will make the company grow to another level.2. Reinvent the Rules: While women have traditionally been socialized to please others, the 21st century leader knows that good girls rarely post great returns. The strong managers/owners today not only anticipate change, they create entirely new organizations that respond to shifts and se
Conflictions in Compliance
Document management systems are challenged when different data in the same document relates to both the Data Protection Act and the Freedom of Information Act, since one is geared for confidentiality, the other for accessibility.
Leading document management systems such as TokOpen, control who can view different parts of a document, meeting the conflicting needs of both pieces of legislation.
In a typical document, such as a Wire Transfer Application form, some of the information falls under the Freedom of Information Act, and other parts of the document are private meaning access must be restricted and audited in accordance with the Data Protection Act. Certain data must not be disclosed to anyone outside the bank as it is private and for internal use only.
Document management software overcomes this problem by hiding the internal information when the document is viewed by someone outside the bank. Users with authorised access are still able to view the whole document.
In the same example, the applicant’s name and address are protected by the Data Protection Act, and should therefore only be seen by the staff members dealing with that client, such as HR or Accounts. Remaining staff do not have access to these specific document details. TokOpen document management software can ensure compliance with this.
Document Management: the Way Forward
The increasingly complex demands of legislation underline the need for businesses to implement document capture and document management systems. However, even though a document management system is an important component, alone it will not ensure compliance. A wider view is needed to ensure businesses maintain their compliance with changing legislation.
In a court of law, the judge will consider the evidence based on several criteria:
• Are procedures clear and consistent, with a requirement to document procedures? This is often referred to as a document policy.
• Are the procedures enforced? This is a shared responsibility between management and the selected document management system's access and privilege controls.
• Can the claims be substantiated? This relies heavily on the document management system’s audit trail.
Compiling a Document Policy
After establishing which regulations have to be complied with, a document policy is required covering the following:
o Scope of information covered
o Security classifications
o Storage media
o File format and version control
o Standards (compliance and regulations)
o Retention and destruction
o Responsibilities
A document policy defines how information is stored, and is therefore central to ensuring compliance. It should serve these main purposes:
o Ensure everyone knows what they can do
o Define the business practice at the time
o Demonstrate why a given action was undertaken, e.g. explains why a document was destroyed
o Reinforce documents’ evidential weight
o Help authenticate documents to increase legal weighting
o Improve the court’s view of the evidence presented
Consideration also needs to be given to how long documents should be stored. This depends on the type of document and industry-specific regulations.
This raises an interesting question. What is the legal position if the original document is electronic? This can best be answered in three steps.
• Civil Evidence Act 1995
o Authenticated copies will be accepted with equal weighting to the original
o Later revisions are given greater weight than superseded revisions
• Admissibility
o Does the court accept this evidence?
o With what weight?
• Appropriate procedures must be followed if documents are to be taken to court
Therefore, when considering compliance, the legal weight given to a document als
Why is building a business foundation important to marketing?It will not matter how slick or effective a marketing program is if the business foundation is not in place. As a consultant the tendency is to look after other people’s business and not our own. It is like the proverbial cobbler and the shoes. Only the cobbler’s children go barefoot. This is very true for most consultants. The structure used quite often will not lead to effective execution of a marketing plan and to also follow-through on the results of the campaign.Look at the current structure for your consulting business. Do you have an organizational chart based on job function? This does not mean hiring others to do work, it simply means there needs to be a basic understanding of the jobs that are necessary for the company to move forward profitably.Here is a structure that may fit a small one person consulting firm:Business Overseer – drives the direction of the company, determines what the best course of action may be when taking a look at the big picture.Business Development – researches potential markets and analyzes feasibility of these markets. Marketing – creates and uses tools to drive the corporate message to existing and potential business. Puts together an effective plan with a timeline and rollout dates. Project manages each step through development of collateral to client interest.Sales – follows-up on marketing efforts to connect with new pros
• Are procedures clear and consistent, with a requirement to document procedures? This is often referred to as a document policy.
• Are the procedures enforced? This is a shared responsibility between management and the selected document management system's access and privilege controls.
• Can the claims be substantiated? This relies heavily on the document management system’s audit trail.
Compiling a Document Policy
After establishing which regulations have to be complied with, a document policy is required covering the following:
o Scope of information covered
o Security classifications
o Storage media
o File format and version control
o Standards (compliance and regulations)
o Retention and destruction
o Responsibilities
A document policy defines how information is stored, and is therefore central to ensuring compliance. It should serve these main purposes:
o Ensure everyone knows what they can do
o Define the business practice at the time
o Demonstrate why a given action was undertaken, e.g. explains why a document was destroyed
o Reinforce documents’ evidential weight
o Help authenticate documents to increase legal weighting
o Improve the court’s view of the evidence presented
Consideration also needs to be given to how long documents should be stored. This depends on the type of document and industry-specific regulations.
This raises an interesting question. What is the legal position if the original document is electronic? This can best be answered in three steps.
• Civil Evidence Act 1995
o Authenticated copies will be accepted with equal weighting to the original
o Later revisions are given greater weight than superseded revisions
• Admissibility
o Does the court accept this evidence?
o With what weight?
• Appropriate procedures must be followed if documents are to be taken to court
Therefore, when considering compliance, the legal weight given to a document also needs to be taken into account. In addition to ensuring that documents and information are managed in accordance with compliance legislation, document management software also plays a key role in ensuring that optimised legal weighting is given to documents, should they be presented in a court.
Improving documents’ legal weighting depends on three key factors:
• Information management
o System management (duty of care, audits, etc.)
o Operational issues (good management practice)
• Legal issues
o General (e.g. Data Protection Act, invoice storage, etc.)
o Industry-specific (compliance/regulations etc.)
o Organisation-specific (internal regulations etc.)
• Need for clearance permissions
Companies therefore have a duty of care responsibility to ensure they are compliant with legislation. This is best described as information security and can be summarised with the following questions:
• Can a court be assured that information (evidence) has not been inadvertently or maliciously altered, or some of it lost?
o i.e. due care has been taken of the data
• Basic criteria can be met
o Confidentiality (who has had access?)
o Integrity (is it reliable?)
o Availability (can it be retrieved?)
Summary
Ensuring compliance with legislation is a responsibility shared between:
• The staff, following clearly defined document procedures
• The management enforcing these procedures
• The document management system policing and enforcing duty of care responsibilities
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