Document shredding and disposal policies are critical for businesses that deal with sensitive information. Credit card data, medical records and credit reports must be protected at all times. Otherwise, your company may face legal liability if data is lost. When deciding whether to outsource document destruction or keep it in-house, you need to evaluate several key factors.
Storage & Disposal Costs: Time to Outsource
Storing paper documents requires space, which in turn drives operational costs. Secure filing cabinets and other equipment is needed to keep records organized and safe. All of this can detract from the efficiency and effectiveness of operations. The cost is compounded by the sheer volume of paper documents kept on premises. Accounting records and financial information must be kept for varying periods of time. However, many records can be shredded immediately once they are no longer of any practical use.
Personnel Time For Document Shredding
Document shredding requires you to place a significant amount of trust in the personnel performing the task. If an employee decides to keep sensitive information versus destroying it, unfortunate things can occur. Outsourced firms screen their personnel thoroughly to ensure sensitive information does not find its way into the hands of deviants. Shredding also requires manual labor, and it is often-times beneficial for employees to focus on value-added activities versus document disposal. Personnel and available resources greatly impact the outsourcing decision.
Protection of Sensitive Data
Payment Card Industry (PCI), Personally Identifiable Information (PII) and similar provisions make it clear that your business needs to protect sensitive data. The Federal Trade Commission notes the Fair and Accurate Credit Transactions Act of 2003 (FACTA) stipulates specific rules for the protection of consumer report data. You need to evaluate all of the different risks associated with these laws and provisions to plan effective document retention policies. Outsourced specialists have the space and tools to dispose of sensitive documents in a cost-effective and safe manner.
Document destruction and disposal are important for the continued well-being of your business. Outsourcing or keeping these processes in-house is a decision that requires careful evaluation. Properly disposing of sensitive data will help your business mitigate risks and avoid legal liability.