Achieving ROI from your Enterprise Archiving

The volume of enterprise information is increasing exponentially, leading organizations to look to new enterprise archiving strategies to ensure content is

being managed both appropriately and holistically, according to policy. In this paper, we explore the factors that define the return on investment for archiving strategies and review the questions you should ask to determine cost savings and benefits.

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Table of ContentsIntroduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

Evolution of Archiving . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

Rush to the Cloud. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Intensifying pressure for compliance . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Manage and Protect Your Information with Information Governance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

About OpenText . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

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Achieving ROI from your Enterprise Archiving

IntroductionThere are many factors that come into play when trying to understand and forecast your return on investment from Enterprise Archiving: Some are fixed while others depend on your appetite for risk and the market in which your organization conducts business. This white paper will explore the various factors within Enterprise Archiving methodologies you should consider when deriving return on investment over time.

Evolution of ArchivingEmail managementFor years, organizations have been archiving email in order to offload expensive storage, improve performance, and reduce legal risks and the potential for fines stemming from non-compliance. Email archiving has been primarily deployed following two methodologies: envelope journaling to capture unaltered copies of corporate email and ensure 100 percent legal compliance, and mailbox management, which is selective archiving/stubbing where content is collected and archived and a link is left behind for users to retrieve and restore messages from the archive.

Both approaches have their merits and concerns:

n Journaling ensures complete capture of all inbound, outbound, and internal mail. However, journaling alone can lead to inconsistent information management across your organization (e.g. if you selectively journal only C-level), over-retention, and bloated storage.

n Mailbox management scenarios capture and stub content based on policy (e.g. after 30 days) and enable users to maintain control over their content, ensure ready access for collaboration, and seamlessly access all emails including those stored in an archive. The concern here is two-fold. First, since archiving only occurs after a set period of time, messages can be deleted or moved and missed during collection. Second, asking users to manage their information in accordance to corporate policy can prove to be inconsistent at best, and with the advent of bigger mailboxes and cloud-based systems, users have access to more content than ever before.

Managing a broader set of enterprise sourcesFirst-generation archive architectures could easily handle the volume of data created by email and files back in 2005, but as email volumes continue to grow—exceeding 143 billion by 20161 —and as enterprise content creation and consumption soars—exceeding 40 zetabytes by 2020—many organizations are faced with increased costs to manage and store the content associated with the volume. Gartner estimates that, at this rate, spending on Information Governance programs will need to increase by five times over the next few years to keep pace. As a result, new strategies are required to ensure your content is being managed both appropriately and holistically, according to policy.

Spending on information governance programs will need to increase by five times over the next few years to keep pace with the growth of information.

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Achieving ROI from your Enterprise Archiving

In response to this, many organizations are weighing the benefits of either upgrading to a new version that can handle the scale, volume, and new content sources (ERP data, machine to machine communications, web and social content), or selecting a new vendor altogether.

Consider different strategies to build defensible information governance practices:

n Look for ways to automate the process where possible to improve consistency and defensibility of information governance practices.

n Document and stand by your retention and records policies and practices.

n All businesses are different. Look for flexibility and multi-tiered approaches to identifying and classifying business-relevant content and take reasonable steps to dispose of that content (including transient and non-business-related content).

WHEN CONSIDERING YOUR ARCHIVING PRIORITIES AND ASSOCIATED COST SAVINGS AND ROI ASK:

1. What are the costs of the status quo?n What are your human costs in managing and operating your current systems?n What are your storage and recurring costs associated with your current systems?

2. What lead applications are the most expensive to manage and maintain?

3. Have you evaluated the amount of redundancy, age, and relevancy of legacy content?

4. What other sources are you required to capture and govern over (e.g. social, web, IM, VoIP)?

5. How prolific is SharePoint®? Is SharePoint sprawl, inactive content and data duplication a problem?

6. How bloated is your ECM with inactive, redundant, and seldom-accessed content and versions?

7. Is it important to capture business process outputs and outcomes (e.g. customer communications, marketing campaign outreach, HR, Finance, and LOB business process approvals)?

8. What sorts of retention and storage requirements exist for these content types? Do they require compliant WORM media?

9. Do users prefer to classify/file messages on their own? Is mobile growing in importance?

Rush to the CloudAs organizations look to stem the tide of content growth and the ever-increasing sources to manage, they have been taking advantage of the economic and operational benefits of cloud solutions. It’s becoming commonplace to move email systems, enterprise archives, and even CRM applications to the cloud.

n Microsoft estimates nearly 1 in 5 Exchange mailboxes will be in the cloud with Office365™1

n 32% of corporations will archive in the cloud1

Clearly this trend is here to stay and growing. Whether you join the rush to the cloud depends on your views around risk, data sovereignty, and long-term storage requirements.

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Achieving ROI from your Enterprise Archiving

Take note of cloud Service Level Agreements. The public cloud does not come with assur-ances that your content will be stored in the country your business operates in, nor do SLAs absolve vendors (for instance, Microsoft, Google, and Dropbox) from any data loss or security breach.

Along these same lines, some nation states have raised red flags around data sovereignty, privacy, and security in the public cloud, extending from revelations around the U.S. National Security Agency’s (NSA) PRISM program. Many countries have regulated new compli-ance requirements by amending their current laws or enacting new legislation that requires customer data to be kept within the country in which the customer resides. Switzerland, Uruguay, and Brazil have even either implemented or planned to implement “nationalized” clouds in attempts to secure citizens’ personal information and provide alternatives to businesses looking for cloud solutions.

WHEN LOOKING AT THE ROI AND BENEFITS OF THE CLOUD ASK:

Storing data in the public cloud can be inexpensive and very effective. Just be aware that there are risks that need to be mitigated and addressed.

1. What is the current cost of operations for running your mail environment today (storage, resources to manage and maintain)?

2. What is the current cost of operations for running your current archive (resources to manage and maintain, cost of storage plus future data growth estimates, number of electronic investigations and estimated average cost of the related disruption/productivity loss)

3. Would a hybrid model for archiving make more sense—e.g. storing confidential/propri-etary content or Intellectual Property (IP)?

4. Has the legal department reviewed and blessed the cloud providers’ Service Level Agreement (SLA)?

5. Do your corporate retention policies on enterprise content align with your compliance obligations and risk threshold?

6. What security measures are in place to safeguard corporate information in the cloud—e.g. encryption and security policies to be implemented in the data center?

7. What’s the cloud vendor’s process for supporting eDiscovery and output formats?

Intensifying pressure for complianceMeeting organizational, legal, and regulatory compliance obligations is a direct advantage of enterprise archiving. Your notion of compliance may differ based on the market, geographic regions where you do business and, if you are considering adding cloud into your information management strategy, compliance even touches the physical location where you archive your corporate content.

Enterprise archiving and information governance practices help organizations comply and meet regulatory requirements as they continue to evolve and intensify.

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Achieving ROI from your Enterprise Archiving

Organizational compliance Even if your organization is not bound by the same regulations as industries such as financial services, pharmaceuticals, or the various levels of government, keeping too much content or over-retention is not a viable strategy. Business-relevant content needs to be managed and readily accessible to your users; content such as contracts, legal agreements, human resources documents, and more need to be classified as business records while content of a non-business nature, or “transient” content, should be managed and disposed of appropri-ately under policy as well.

Compliance doesn’t need to be complex: Build straightforward policies for your business-relevant content and policies on how to handle both business records and non-business content, and stick to them. Adherence to policy is the best way to provide the evidence you’ve taken reasonable efforts to manage your enterprise content and met the duty to safeguard against sanctions or fines.

Legal ComplianceHistorically speaking, the Federal Rules of Civil Procedure (FRCP) and U.S. regulators like FINRA have given rise to compliance-driven archiving. There are clear signs, however, that sanctions, fines, and growing legal threats are intensifying compliance concerns outside the U.S. as well. At the end of the day, regardless of your geographic region or market, it’s not a matter of if a legal event will occur, but when—and inadequate information management practices will cost you.

Legal compliance issues can arise simply by not employing proper retention policies, which can be seen as negligent in the eyes of the court and result in spoliation sanctions. Some striking examples include:

n In 2009, MetLife was fined $1.2 million for improper monitoring of email archiving obligations under FINRA

n In 2010, Piper Jaffray was fined $700,000 for improper retention of email

n In 2010, LPL Financial was fined $9 million for email system failures and compliance with FINRA.

n In 2013, ING was fined $1.2 million for improper email retention and failure to comply with FINRA.

n In 2013, Barclays was fined $3.5 million for email retention failures.

n In 2013, Boehringer Ingelheim was fined $931k for losing files including text messages related to Pradaxa drug trials.

n EU Data Protection Regulation: fines up to €100m proposed

n In 2013, a federal court sanctioned the government for failing to meet its duty to preserve website content advertising for a $32 million Department of Veterans Affairs procurement.

This list highlights the need for proper information governance across not just email but all enterprise sources. The savings in fines, along with the damage to your brand, shareholder value, and reputation make the deployment of enterprise archiving an imperative investment for any organization.

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Achieving ROI from your Enterprise Archiving

Regulatory complianceThere’s a growing list of regulatory standards that are being enforced across markets and regions. Enterprise archiving and information governance practices help organizations comply and meet regulatory requirements as they continue to evolve and intensify.

WHEN DETERMINING ROI RELATED TO COMPLIANCE ASK:

1. What obligations is your organization bound by in terms of compliance?

2. What sanctions for information management have you or your peers been hit with?

3. Can you easily preserve potentially relevant and responsive content?

4. Does your organization feel over-retention is a concern or is a necessary price to pay for compliance?

5. If you’re considering a move to the cloud, can you meet data sovereignty needs and compliance under one roof?

6. What other sources should be archived to ensure full compliance?

HIPAA

BASEL IIPERSONAL INFORMATION PROTECTION LAW

DODD FRANK BASEL III

FDA 21 CFR

PIPEDA

US PATRIOT ACT DOD 5015.2

SARBANES-OXLEY/ SAS 70

FRCP

SEC 17A-4

FISMA FINRA 07-59

HITECH ACT SSAE-16

EU DATA PROTECTION DIRECTIVE

GRAMM-LEACH-BLILEY ACT

FOIA EXPANSION

100,000+REGULATIONSWORLDWIDE

More than 100,000 rules and regulations worldwide and growing

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Manage and Protect Your Information with Information GovernanceEstablishing an information governance practice helps organizations meet compliance obligations, reduce storage and operational costs, and mitigate legal risks. Establishing a tangible return on investment, however, is not easily quantifiable and depends on many factors—some unique to your organization.

Information governance is about managing and protecting your information to make sure it’s working for—not against—your organization. Information Governance from OpenText is a proven solution that makes it easy for your organization to maximize the value, minimize the risks of your information, and develop a blueprint for achieving return on investment.

For more information on deriving ROI blueprints from enterprise archiving and information governance visit www.OpenText.com/Archive.

About OpenTextOpenText provides Enterprise Information Management software that enables companies of all sizes and industries to manage, secure, and leverage their unstructured business information, either in their data center or in the cloud. Over 50,000 companies already use OpenText solutions to unleash the power of their information. To learn more about OpenText (NASDAQ: OTEX; TSX: OTC), please visit www.opentext.com.

1 Radicati - Information Archiving Market, 2012-2016

At the end of the day, it’s not a matter of if a legal event will occur but when--and inadequate information management practices will cost you.