Archiving Documents: What Your Business Needs To Know

Most companies discover the importance of archiving documents too late: before an audit, after a compliance breach, or when staff have wasted hours looking for a single piece of paper.

In the business world, where there are thousands upon thousands of documents moving around, keeping them safe once they reach the end of their lifecycle is a crucial archiving process businesses must adhere to. Terminating a document's active phase doesn’t diminish its importance. Instead, it elevates the significance of secure and responsible management. Whether you deal with digital documents or physical copies, we discuss the importance of correctly archiving documents and disposing of them in this blog post.

• What is document archiving? 
• Why is archiving documents important?
• The legal requirements of document archiving 
• Frequently asked questions about archiving documents 
• What software is suitable for secure archiving? 

What is document archiving?

Archiving documents meaning: document archiving is the process of placing inactive documents into long-term storage while ensuring they’re easily retrievable at a moment's notice. Not only is archiving documents needed for easy access to old documents, but it also provides security and legal protections regarding documentation while adhering to compliance legislation.

How to archive documents

We break document archive systems into two categories: electronic (digital) document archiving and on-premise (physical) document archiving. The difference between the two is simple to understand. Electronic document archiving refers to any digital document form, while on-premise refers to physical or hard copies. There’s a diverse range of documents that you may choose to archive for various purposes, and the specific documents archived depend on your organisation's needs, industry regulations and the nature of your operations, but could include:

Essential elements for effective document archiving

As we've established, the types of documents that need to be archived change for every organisation, which means the information contained within documents changes, too. However, several key elements are commonly included in archived documents to ensure completeness, clarity and compliance. Here are some essential pieces of information that you should consider in the archiving of documents:

• Document title: This should clearly state what the document is about
• Date of creation: This should specify when the document was created for visibility on relevance and the document lifecycle stage 
• Author/creator information: This should identify the individual or entity responsible for creating the document for accountability purposes
• Version control: If the document undergoes revisions, indicate the version number or date of the latest revision to help track changes and ensure that the most recent information is used
• Recipient information: This should specify the intended audience or recipients of the document to help understand the document's context
• Purpose or objectives: This should clearly articulate the purpose or objectives of the document 
• Content and body: This should include the document's main body with all relevant information, details, analysis, findings or any other content as applicable
• Attachments or appendices: If there are supporting materials, attachments or appendices, include them or reference their location
• Signatures and approvals: If applicable, include signatures or e-signatures of authorised individuals or approvals related to the document 
• Metadata: Capture metadata such as document type, keywords and categories to aid in organising and searching for archived documents efficiently
• Related documents: Reference any associated documents or cross-references that might be relevant for a more comprehensive understanding
• Security and access controls: If the archive documents contain sensitive information, outline security measures and access controls so only authorised personnel can view or modify the document
• Compliance information: Include information regarding compliance with relevant laws, regulations or industry standards, which is critical for legal and regulatory purposes.
• Retention period: Specify the document's recommended or mandated retention period to help determine how long the document must be retained before disposal
• Disposal instructions: If applicable, provide instructions for the eventual disposal or destruction of the document, mainly if it contains sensitive or confidential information

Why is archiving documents important?

Documents keep your organisation running, so keeping them safe using a structured archiving process and procedures is a top priority. Other than the overarching benefits of staying compliant with legal regulations and keeping all documents in a centralised place, archiving documents offers various benefits for organisations like yours.

Digital document archiving has evolved significantly beyond electronic storage. Today's solutions transform how organisations operate, turning static document repositories into dynamic information assets that can drive business value. 

Achieve a paperless office

If your documents are already digital or you’re looking to digitise them, electronically archiving your important documents can help you reduce paper usage and waste in the office, and prevent the loss of documents and printing inefficiencies. 

Save time

1 in 10 employees spend more than four hours per week searching for files. Digital document archiving addresses this issue with AI-powered capabilities. For example, automatically categorising documents based on their content, properties or characteristics. 

Save costs

Efficient archival of documents can lead to cost savings associated with reduced physical storage requirements, streamlined document retrieval processes and minimised risk of data loss. This is also true for avoiding fines for not staying compliant. 

Be ready for anything

Archive documents contribute to business continuity by providing a backup of essential information. Organisations can recover critical files from the archive in the event of a disaster or data loss, minimising downtime and disruptions.

Meet client expectations

Document archive systems help organisations meet customer service expectations and comply with SLAs by providing quick access to customer-related documents and records.

Meet compliance requirements

With GDPR fines reaching €20 million or 4% of annual turnover, structured archiving procedures are critical to avoiding penalties. Digital document archiving systems can support your GDPR compliance; for instance, by exporting and deleting personal data to meet 'right to be forgotten' rules. 

Improve workflow efficiency

Streamline document workflows by automating processes such as document categorisation, indexing and retention scheduling with document archiving systems. This improves overall workflow management and reduces manual intervention.

Make better business decisions

Having a historical record of activities can be invaluable for retrospective analysis, 
decision-making and learning from past experiences. 

Harness collaborative working

Archiving documents facilitates efficient collaboration and knowledge sharing within organisations. Team members can access archived documents and share information without wasting a great deal of valuable time endlessly searching for them. 

Preserve data

Safeguarding data is a top priority. Secure document archiving systems often employ measures such as encryption and checks to ensure the integrity of stored data.

We suggest investing in a digital system to preserve this crucial data, as keeping it on the cloud would prevent damage to physical documents. 

The legal requirements of document archiving 

A running theme throughout this article is that robust document archiving procedures are needed to comply with regulations. We can't highlight this importance without giving visibility to the things you need to be aware of:

Data Protection Act 2018 (DPA 2018) and General Data Protection Regulation (GDPR)
The DPA 2018 and GDPR mandate is the responsible handling and storage of personal data. Organisations are required to implement measures to protect the rights and privacy of individuals, including the secure archiving of relevant documents. Retention periods for personal data must also be adhered to.

Freedom of Information Act 2000 (FOIA)
Public authorities in the UK are subject to the Freedom of Information Act, which grants the public the right to access information held by public bodies. Archiving ensures that organisations can respond to information requests in a timely and organised manner.

Financial Services and Markets Act 2000 (FSMA)
Financial institutions are subject to the FSMA, which includes requirements for record-keeping and archiving. This is crucial in the financial services sector to maintain transparency and accountability and to facilitate regulatory oversight.

Companies Act 2006
The Companies Act 2006 sets out various requirements for companies regarding record-keeping, including the retention of accounting records, minutes of meetings and other important documents. Archiving is essential to meet these legal obligations.

Health and Safety at Work Act 1974
The Health and Safety at Work Act obligates organisations to maintain records related to health and safety in the workplace. Archiving such records is essential for compliance with health and safety regulations.

The Electronic Commerce (EC Directive) Regulations 2002
These regulations impose certain record-keeping obligations on service providers engaged in e-commerce. Secure document archiving helps ensure compliance with these regulations.

Sarbanes-Oxley Act (SOX)
While the Sarbanes-Oxley Act is a US legislation, it can impact UK-based companies with listings on US stock exchanges. SOX mandates strict record-keeping and archiving practices to enhance financial transparency and accountability.

Pensions Act 2004
Organisations providing workplace pensions in the UK must comply with the record-keeping requirements outlined in the Pensions Act 2004. Archiving is crucial for maintaining accurate and accessible pension-related documentation.

Regulatory compliance in specific industries
Various industries like healthcare, law and telecommunications have specific regulatory bodies and compliance requirements. Archiving procedures are often necessary to meet industry-specific record-keeping obligations.

Frequently asked questions (FAQs) about archiving documents

What are the different methods of archiving documents?

Document archiving solutions typically fall into three categories:

Each document archiving method offers different advantages in terms of accessibility, security, cost and scalability. The best approach depends on your organisation's needs, industry requirements and document volumes.

Can I archive both physical and digital documents?

Yes, many organisations maintain both physical archives for certain original documents and digital archives for day-to-day access and disaster recovery.

What is the difference between backing up data and archiving it?

While both processes preserve information, they serve fundamentally different purposes:

Backing up data:

• Purpose: Short-term protection against data loss

• Frequency: Regular, frequent intervals (often daily or hourly)

• Retention: Shorter timeframes with newer backups replacing older ones
• Search capabilities: Limited, focused on recovering entire systems or folders

Archiving documents:

• Purpose: Long-term preservation, compliance and strategic information management

• Frequency: Usually when documents move from active to inactive

• Retention: Based on regulatory requirements, often years or decades

• Search capabilities: Advanced with specialist document management software, allowing detailed search across content and metadata

Effective documentation and archiving needs both processes. Backups protect against data loss and system failures, while archiving ensures long-term preservation and accessibility of important business information.

How long do I have to retain documents for?

Document retention periods vary by document type, industry and regulatory requirements. Here are some general guidelines:

• Business and financial records: Generally, financial records should be kept for 6-7 years for tax purposes
• PAYE and payroll records: Must be retained for at least three years from the end of the tax year they relate to
• VAT records: Must be kept for at least six years
• Trade documents: Should be kept for a minimum of four years, though 10 years is recommended for potential legal investigations
• Medical records: GP records should be kept for 10 years after a patient's death
• Legal documents: Some legal documents may need to be retained for up to 50 years after case closure

It's important to develop a clear records management policy that outlines retention periods for all document types relevant to your organisation.

What types of documents should my company archive?

Organisations should archive documents that:

• Are required by law to be kept for specific periods
• May be needed for future reference or historical purposes
• Contain information that may be required for legal proceedings
• Document important business decisions and transactions
• Contain intellectual property or other valuable information
• Provide evidence of compliance with regulatory requirements

How does document archiving help with compliance?

Document archiving supports compliance by:

• Ensuring required records are available when needed for audits or investigations
• Maintaining document integrity and preventing unauthorised alterations
• Providing evidence of adherence to regulatory requirements
• Enabling quick responses to information requests from regulatory bodies
• Supporting data protection and privacy compliance
• Facilitating the implementation of retention and disposal policies

How can I organise my document archive?

Ultimately, it’s up to you how to archive documents. But effective organisation requires a clear structure for documentation and archiving:  

DocuWare's intelligent indexing technology learns from user behaviour, progressively improving automated classification accuracy over time.

Can document archiving help if my company is audited?

When auditors request specific records, a well-indexed archive enables you to immediately retrieve information instead of time-consuming searches. Document archiving systems can also maintain comprehensive audit trails of who accessed, modified or printed each document, providing tamper-evident version histories. Advanced document archiving solutions can also generate custom compliance reports, showing document retention and policy compliance. 

Some document management software can provide temporary, restricted access for external auditors to review necessary documents (without compromising security or disrupting operations).

What software is suitable for secure archiving?