WHY ERRANT PROCESSES CAN ENDANGER COMPLIANCE AND OVERALL BUSINESS PERFORMANCE
According to the Association of Information and Image Management (AIIM), on average, over half of data stored by organisations has no intrinsic business value. In fact, industry analysts state that the presence of redundant, obsolete or trivial (ROT) information is a common problem and can account for as much as 70 percent of computer files stored by companies either on shared platforms such as an intranet or on an employee’s own PC, laptop or other device.
The presence of process ROT is ubiquitous. It occurs when established business processes become hampered by the accumulation of too much data with no clearly defined use or purpose. It is a widespread issue, yet many organisations are not aware that it is occurring, nor are they aware of the potential risk and compliance implications.
The situation is exacerbated because humans tend to be natural hoarders, collecting and storing excessively large volumes of documents and other materials over time with a strong reluctance to destroy them. Over time the mountain of redundant and unstructured information can become overwhelming, inhibiting the deployment of effective business processes and risk management.
So why exactly is this a threat for corporates, and why should risk and compliance officers be concerned?
Jan-Mar 2017 Issue