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Few business owners or professionals have not uttered, "One day we really need to get organized," but purging files, organizing computer files, developing records retention guidelines, organizing graphics, updating your database, or tackling piles of unread journals frequently gets pushed to the bottom of your list of priorities while you handle today's crisis. Can you, however, afford to ignore overstuffed files, unidentified computer files, unlabeled media, stuffed storage rooms and cluttered offices?

The demand from customers and prospective customers for receiving information in a timely manner is increasing. In order for a business to compete in our increasingly complex society, they need information quickly. The litigious nature of our current society increases the possibility of audits and lawsuits. Workloads increase while the workforce decreases with the resulting demand for increased productivity. The ability of an employee to accomplish any task is directly related to his/her ability to find the right thing at the right time, while the ability of a company to reach any goal is directly related to the ability of employees to do the right thing at the right time. Research shows the average worker spends 150 hours/year looking for information - and is a statistic which doesn't account for the time spent recreating information which already exists somewhere in the company, or lost opportunities resulting from misplaced or uncollected information.

If I ask any business owner, "What are your human resources?" they would produce an organization chart. If I ask "What are your financial resources?' I would get a budget. If I ask "What are your information resources?" I'm likely to get a blank stare -- or a look of desperation! But stop and think about it. Human resources come and go -- someone is out of the office, or leaves the organization; financial resources continually change, but through all of that change, the information flow must continue or your business will suffer in productivity!

Here are some questions every business owner should ask:

• Are you comfortable that your employees are spending an appropriate amount of time finding the information they need to do their job?
• Are you maximizing available information to sell additional products and services to existing customers and to acquire new customers?
• Do you have a plan for keeping your company running in case of a major disaster?
• Are you confident you could find what you needed in the case of an audit?
• Have you developed and executed a records retention program for paper and electronic files that would serve you well in case of a lawsuit?
• When employees leave your company, are you comfortable that key information will be transitioned smoothly?
• Are you comfortable that information is appropriately available so people are not recreating information that already exists?
• Have you thought about what information would be important to have if someone wanted to write a history of your company?
• Are you confident you are providing employees with a workplace environment which will minimize stress-related diseases?

Paper or Electronic?

Although computers once promised us the paperless office, research predicts that by the end of 2005 there will be 50% more paper in offices than there was in 1995. Even more significantly, a study by University of Washington School of Information found that only 10% of the people surveyed were happy with their ability to access electronic information.

Since the arrival of computers, the majority of the information management budget is spent on technology, while a large part of their information remains on paper. At the same time, businesses discovered that "going paperless" did not result in "instant organization" - and involved far more expense for hardware, software, and human resources that they ever dreamed.

In years past, businesses had "central filing systems" and "Mabel" - someone who was responsible for keeping the system organized, and most executives had personal secretaries. When a professional no longer needed information, it was put in the "Out" box to be filed in the central system. Then "Mable" was fired, and administrative assistants support a pool of people. The central file room is gone, and file cabinets are scattered in various areas around the office - with no one person who can identify what they contain. Meanwhile, individual offices pile up with paper - which could be utilized by other members of the organization if only they knew it was available and could access it, and IT departments are constantly warning employees to clean up their electronic files so they don't take up so much disk space.

While it is not practical or desirable to go back to a central filing system, it is possible and highly desirable to use today's technology create a "centrally understood" filing system. The ratio of administrative support to management requires that people at all levels in a company be able to access information.

The demand from customers and prospective customers for receiving information in a timely manner is increasing. In order for a business to compete in our increasingly complex society, they need information quickly.

If the answer to any of the questions at the beginning of this article is "No," here are six suggestions to help you get started on the road to organization:

1. Implement a reliable database system for keeping track of contact information for clients, prospects, vendors, consultants. Software programs such as Outlook, Act, Goldmine, or Salesforce will eliminate wasted time looking for contact info. One of the most valuable assets of any business is relationships. The more you know about your clients and your prospects, the greater your prospects for increasing the value you provide to them. The more you know about your suppliers, the greater your chance for reducing cost.
2. Treat information in your company as the valuable asset it is. Create and maintain a records management program for paper and electronic information. Identify what information you should keep, in what form, by whom, for how long. One of the major sources of clutter in offices is employee's lack of knowledge of what they are expected to keep. Check with the accounting and general counsel's office to determine tax and legal liabilities. Determine what documents are important from a historical aspect -- one copy of every newsletter, for example.
3. Choose the most appropriate methodology and technology to manage your information. Do not assume that the most expensive technology is always the best choice. Sometimes "less is more" - even when it comes to technology. If employees are wasting time looking for electronic files, your company is wasting money and opportunities. Programs such as Enfish and Google allow you to find any electronic document in your network in seconds.
4. Eliminate unnecessary duplication of information. Implement what I call the "The Originator's Rule^TM: Whoever originates a document is responsible for its retention." Other people may keep it as long as they want it, but when they no longer need it, they are not responsible for keeping it. The trash generated in most organizations with the implementation of this rule is staggering!
5. Create a paper filing system that works -- easily and consistently! After consulting in hundreds of offices, I have observed that a filing system is much like the foundation of a building. It may not be very exotic, and you can build a great building on top of it, and even decorate it magnificently -- but sooner or later, the building will begin to suffer -- or even collapse. The same can be said for a filing system. The key to the least labor intensive and most reliable filing system is a File Index - a "chart of accounts" for your files. A filing program such as The Paper Tiger software allows you to find any physical resource in an entire department in a matter of seconds.
6. If your filing system is not working, it may be easier to start over than to try and fix it. Empty the old stuff out of your most accessible file space, and put it into less accessible space. Begin your new system. As you need information from the old files, incorporate it into the new system. Eventually, the two systems will be combined -- or more likely 80% of the old system can be tossed or put in storage.

So, you have decided to get organized! "Where do you start?" I have discovered that a good place to start in any business is with a "File Clean-Out Day." Ask any 100 employees, "If you had the time, are there things in your office you could comfortably get rid of?" Nine out of ten people will say "Yes!" So, give them time -- and not on Saturday! In many businesses, we have turned it into an "event." Wear comfortable clothes, provide lunch, and offer prizes. In the beginning, employees may be reluctant, but as one executive told me three years after they started such a program: "I'd have a hard time getting them to give it up now!"

People often ask, "How long will it take to get organized?" One thing is for sure, the longer you wait, the longer it will take - and the more difficult and costly it will be!! Can you afford the risk?

SIDEBAR

The Art of Wastebasketry®

Research shows that 80% of what we keep we never use, and the more we keep the less we use! To decide whether you should keep something, ask these questions:

• Does this require my action?
• Does it exist elsewhere or in another form?
• Would it be difficult to get again?
• Are there any tax or legal implications?
• Is it recent enough to be useful?

If all the answers are "No," but you are still not sure, ask one last question: "What's the worst thing that could happen if I didn't have this information?" If you can live with the results - recycle it, shred it, or toss it!

©2005 Barbara Hemphill

05 January 2009