Records and information management practices among SMEs in Tororo district, Uganda

Records and informationmanagement practices among

SMEs in Tororo district, UgandaConstant Okello-Obura

Makerere University, Kampala, Uganda andDepartment of Information Science, University of South Africa (UNISA),

Pretoria, South Africa

Abstract

Purpose – The realization of the significant roles played by small and medium enterprises (SMEs) ineconomic development and the crucial values attached to efficient and effective records and informationmanagement in decision making, and the fact that little seems to be done to improve on the managementof records and information among the SMES in Uganda, necessitated this study. The study thereforeaims to investigate the management of records and information among the SMEs in Tororo district inUganda.

Design/methodology/approach – The paper adopts a quantitative approach in which a structuredquestionnaire was used as the main data collection method and supplemented with a telephoneinterview. Snowball sampling strategy was applied in identifying the respondents. A total of 61 SMEscould be identified. Off this 61, 42 (69 percent) participated in the study. Data were analysed using theExcel program.

Findings – The findings indicate that the SMEs have many issues and challenges related torecords and information management. The paper concludes that a concerted effort should be madeand proposes that SMEs managers be trained on key skills for records and information management.

Originality/value – The Government of Uganda, in a bid to improve on the SMEs sector, have mainlyfocused on provision of advice on business practices and counseling for entrepreneurs who seek toaccess credit and new markets ignoring the crucial component of records and information management.This study thus closes this gap and makes key recommendations regarding improvement of records andinformation management among SMEs.

Keywords Information management, Records management, Developing countries, Uganda

Paper type Research paper

1. Contextual backgroundSince 1986, the Government of Uganda – with the support of foreign countries andinternational agencies – has acted to rehabilitate and stabilize the economy of Uganda byundertaking currency reform, raising producer prices on export crops, increasing pricesof petroleum products, and improving civil service wages (Okello-Obura et al., 2008, 2009).The policy changes are aimed especially at dampening inflation and boosting productionand export earnings (Central Intelligence Agency, 2011). Oil revenues and taxes willbecome a larger source of government funding as oil comes on line in the next few years.In 2007, Uganda’s growth rate reached 8.9 percent (Uganda, Ministry of Finance, Planningand Economic Development, 2008). These developments have created a vibrant privatesector and active government departments. Ultimately, there are many more businessdocuments generated in both private and public sectors today than before, calling forefficient and effective records and information management (RIM):

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Received 7 August 2012Accepted 18 September 2012

Library ReviewVol. 61 No. 6, 2012

pp. 447-469q Emerald Group Publishing Limited

0024-2535DOI 10.1108/00242531211284357

It is estimated that SMEs in Uganda constitute 90 percent of the private sector, with80 percent being located in urban areas and, are largely involved in trade, agro-processing,and small manufacturing (Hatega, 2007).

“SMEs contribute approximately 75 percent of the gross domestic product (GDP) andemploy approximately 2.5 million people, signifying their importance in the economicdevelopment of Uganda” (Hatega, 2007; Okello-Obura et al., 2008). Beyene (2004) andMutula and Brake (2007) argue that there is no universally accepted definition for small-and medium-scale enterprises (SMEs) in Africa. This paper adopts the government ofUganda’s classification of SMEs as business firms employing 5-50 people (small scale)and 51-500 people (medium scale) (Kasekende and Opondo, 2003; Schiffer and Weder,2001, p. 13; Uganda Bureau of Statistics, 2003; Okello-Obura et al., 2009). Irrespective ofthe size of the workforce, SMEs will produce and use information in conducting theirbusiness operations. Much of the information is a direct byproduct of business processesand, as such, provides a record and evidence of their business transactions (Webster et al.,1999). Whatever the nature of the business conducted by SMEs, the fact remains thatrecords are produced and need to be managed. The requirement of SMEs to beaccountable for their actions may be achieved effectively by maintaining an efficientrecords management system. Good RIM helps to inform future decision-making, and isan important enterprise asset as a tool to support effective, efficient and competitiveadvantage. SMEs should value it as a key ingredient for efficient business transactions.In spite of the proportion of businesses classified as SMEs in Uganda, there has beenno specific research into how records and information are managed within suchenterprises. Studies conducted previously on SMEs centre on financial support,business information access, sources, problems, and ICTs utilisation ignoring themanagement of records and information among the enterprises (Okello-Obura et al.,2008, 2009; Okello-Obura, 2011). Therefore, the aims of this study were to explore howrecords and information are managed in SMEs, who manages them and their nature.

1.1 ProblemAccording to Uganda, Ministry of Public Service (2006, p. 8), RIM systems in Ugandaare not fully developed. Records and information are not captured and stored in asystematically nor are easy to retrieve. If this is the situation in government, whatshould it be like among the business enterprises?

Despite it being recognised that efficient RIM is crucial for efficient decision-making,and that SMEs are considered the engine of economic growth of any country, littleseems to be done to facilitate good RIM among the SME sector in Uganda. In a bid toimprove on the SMEs sector, the Government of Uganda have mainly focused onproviding advice on business practices and counseling for entrepreneurs who seek toaccess credit and new markets, ignoring the crucial component of RIM. This studytherefore investigated RIM practices and problems among the SMEs in Tororo districtin Uganda with a view to recommending appropriate measures to improve on themanagement of records and information among SMEs.

1.2 Objectives of the studyThe objectives of the study were to:

(1) identify RIM practices among the SMEs;

(2) establish the problems SMEs face in RIM;

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(3) find out the business environmental challenges SMEs face that directly orindirectly affect RIM; and

(4) determine the SMEs views on strategies to improve on RIM among SMEs.

2. Literature reviewAccording to the Government of Alberta (2003), information is an important strategicasset for the government or any enterprise – as important as people, capital andtechnology. Like other corporate assets, information needs to be managed. Any businessirrespective of size that is involved in the production or business transactions generatesrecords and information. As noted by Chachage and Ngulube (2012), for acceptedadministrative, historical and archival reasons, businesses keep records to fulfil legalrequirements for their operations and protect the rights of stakeholders. Manyenterprises continue to face significant records management challenges, some stemmingfrom a lack of understanding of the concept of records. The concept of recordsmanagement is multi-disciplinary in nature as noted by Yeo (2007, p. 343), who statedthat a representational view of records is multidisciplinary and embraces a widespectrum of understanding creating a management challenge. Traditionally the focuswas on maintaining physical records; companies now need to find ways to manage arising tide of both paper-based and electronic information (Ernest & Young, 2010).Ernest & Young (2010) go on to note:

Those that fail to update and standardize their records management capabilities may bearhigher operational costs, which during an economic downturn could have a multiplyingimpact on the bottom line. The need for better records management comes amid heightenedscrutiny by both regulator’ s and the court system. For example, organizations mustprepare for the coming impact of green technology initiatives on records management.For instance, in the United States alone, the American Recovery and Reinvestment Actof 2009 (ARRA) has provided more than US$90 billion in tax incentives, grants and loanguarantees to organizations that invest in clean technology. Because governmentagencies will require proof that this support is being used wisely, we can expect stricterreporting, documentation and records retention requirements in the near future (Ernest& Young, 2010).

Caruso and Marchiori (2003) allude to this when they observe that despite the changesSMEs face in good RIM:

Small enterprises are more and more motivated to introduce integrated records andinformation systems in order to improve coordination processes/activities between functionsto support decision-making processes, with the final aim to reach new levels of efficiency andeffectiveness in satisfying external and internal customers.

A compliant records management system in any enterprise is necessary for theenterprise to manage all its records and information related activities proactively andprogressively (Iron Mountain, 2005). Without such a system, there is disorder andinefficiency. Business paperwork, files, receipts, contracts, correspondence – all ofthese without a proper management strategy create chaos in business operationsirrespective of size. SME owners are likely to find themselves losing the battle againstthe rising tide of documentation, and the consequences are grave if RIM issues are notaddressed. Generally, one of the most important tasks that entrepreneurs face is how tomanage the records and information of their businesses. As businesses become more


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regulated, and records management continues to increase, it becomes paramount thatSMEs follow best practices for RIM. SMEs need to demonstrate intentions to followbest practices consistently and accurately for effective RIM. Iron Mountain (2005) notesthat an enterprise or organisation with a solid foundation of proven successful RIMpractices will:

. preserve the right information for the correct length of time;

. meet legal requirements faster and more cost effectively;

. control and manage records management storage and destruction fees;

. demonstrate proven practices of good faith through consistent implementation;

. archive vital information for business continuity and disaster recovery;

. provide information in a timely and efficient manner regardless of urgency ofrequest;

. use technology to manage and improve program;

. integrate policies and procedures throughout organization;

. establish ownership and accountability of records management program;

. arrange for continuous training and communication throughout theorganization;

. project an image of good faith, responsiveness and consistency; and

. review, audit and improve program continuously (Iron Mountain, 2005).

These features need to exist as part of a compliant records management system.Independently, each represents a good practice; as a unit, they serve as a solidfoundation of best practices for records management (Iron Mountain, 2005; Hase andGalt, 2011).

Unfortunately, few SMEs consider recordkeeping as a corporate responsibility(Moore, 2004). In most cases as Datskovsky (2004) notes, “records practices zoom to thetop of everyone’s to do list in times of crisis, during an investigation or whensomething vital is lost”. Setting up best practices in an enterprise saves a lot of moneywhen a disaster or problem strikes.

2.1 RIM program componentsAs noted by An and Jiao (2004), according to International Standards Organization(ISO 15489-1), a records management program covers: scope of records, content, form andstructure, context of records, requirements for retrieval, use and transmission,organization of records, risk analysis, long-term accessibility, compliance, safety, andopportunities analysis of records management benefits (ISO 15489-1, 2001a, Section 7.1).For efficient operations and compliance with ISO 15489, organisations need to adopt acomprehensive RIM programme. Read and Ginn (2008) argue that a comprehensive RIMprogramme should include:

. Records storage.An organisation should design a records storage method that maybe alphabetic, subject, numeric, or geographic, the exact specification to bedetermined after a records inventory is completed. It should also be noted thatmanaging records storage does not only include decision on the supplies andequipment, but also the issue of security and environmental conditions of storage.

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Issues like offsite storage or microfilming of records for storage should be examinedwhen deciding on the issue of records storage and the relative costs involved.

. Records retention and disposal. Deciding which records are to be kept and for howlong, or which records should be destroyed or archived are critical decisions to bemade by any organisation. An enterprise should provide secure and appropriatedisposition for records that no longer need to be kept, requiring approved policiesand procedures (Saffady, 2011). One may question whether SMEs have suchpolicies and procedures for records retention and destruction, or if records areretained or destroyed in a more haphazard manner.

. Compliance with laws and regulations. Compliance with Laws and Regulationsregarding RIM are part of the key elements any organisation cannot ignore.Various laws and government regulations specify that certain types of recordsneed to be retained for a minimum period of time (Saffady, 2011). For instance,according to the Uganda Revenue Authority (2005, p. 44), records required to bemaintained by any business enterprise or person liable for tax should be retainedfor at least six years after the end of the period to which they relate. This begsthe question whether or not SMEs in Tororo district for instance are complyingwith this provision in the law. Whether international, national, local, or specificindustry law or legislation, business enterprises need to comply. Many enterprisesglobally have also made adjustments to their policies and procedures to adhere toISO 15489 – the international records management standard. If for instance, anenterprise is involved in international trade, it should adhere to ISO 900 guidelines.These guidelines specify how product development procedures are documentedand how records are maintained (Read and Ginn, 2008; Saffady, 2011).

. Management of active records. Managing volume of physical and electronicrecords carries huge costs and any organisation or enterprise needs to considercarefully the choices they need to make. One way to reduce costs is to implementan electronic document imaging system, also known as a digital imaging system.For instance:

[. . .] a letter may be created in word processing program, an electronic signature isinserted into the signature block, and the letter is printed onto a computer letterhead. Theletter is then scanned into portable document format (pdf) and sent to the intendedreceiver as e-mail attachment (Read and Ginn, 2008).

The question therefore is, how are the SMEs managing their active records?. Management of inactive records. These records do not need to be stored near

filers and users because they are not accessed frequently. They may be stored ina record centre or in a commercial records storage facility. An enterprise mustdesign strategies to protect records that are private, confidential, secret,privileged, or essential to business continuity. Read and Ginn (2008) note that, byimplementing and adhering to established retention and destruction/disposalschedules, inactive records which need to be available for long periods aremaintained for the periods dictated by the schedules. The management ofinactive records should also take into consideration the management of vitalrecords, sometimes called the mission-critical records, because their existence iscritical for the continued operations and purposes of an enterprise ororganization.


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In all RIM programme operations, there is need to focus on more than paper-basedrecords alone, the management of e-records needs to be planned for also l. “With thediscovery of e-mail, voice-mail, and instant messaging as well as other electronicrecords – the capacity for discoverable information has increased” (ARMA, 2011). Thisdilemma will continue to escalate as the proliferation of e-mail enabled devices growsexponentially (Okello-Obura, 2011). SMEs need to have a comprehensive e-recordsmanagement policy that guides users on questions of acceptable use, the managementand retention of official copies, privacy, and access (IRMT, 2009).

2.2 Problems of RIMRIM is a complex operation as is the organisational context. Hase and Galt (2011)note that:

[. . .] systems and processes need to be robust in the RIM areas for the span of activity fromstrategic planning, through service delivery and infrastructural support, to reporting andcompliance in the business segments of the entity.

According to a study conducted in Kenya, Mnjama (2003) notes that the state of poorrecords keeping practices can be explained by:

. failure by senior management to establish acceptable records management goalsand practices;

. failure to hire competent and qualified staff in the area of archives and recordsmanagement;

. failure to provide adequate storage facilities, thus causing registry staff to losemorale and motivation;

. failure to encourage training in the area of archives and records management;

. failure to provide financial and administrative support to those involved inregistry work;

. failure to provide close supervision of those engaged in registry work;

. failure to implement various recommendations on the management of records;and

. emphasis on the introduction of information and communication technologiesas a means of solving information management problems at the expenseof developing paper-based records management systems (Mnjama, 2003).

In most enterprises, the problems of RIM are made more complex by records creatorsbeing largely unaware of the importance of their effective management when creatingthem. SMEs may not be an exception. Burns et al. (n.d) note that lack of sufficient fundingand infrastructure, particularly for ICT, is a continuing impediment to effective RIMin African countries. There is also the problem of lack of staff and appropriate trainingbecause there is virtually no money in the budget of many enterprises to train records staff(Burns et al., n.d.). The international standard for the development of records managementprogrammes ISO 15489-2 Information and Documentation-Records Management-Part II,emphasises the importance of records management policies and support for recordsmanagement in organisations (ISO 15489-2, 2001b). Unfortunately, according to Chachageand Ngulube (2012) among the problems of RIM in business enterprises is the lack

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of policies for the management of records, and management support for the recordsprogramme. Whether large or small, policies for RIM are important as they provide aroadmap to effective and efficient RIM within the enterprise.

3. MethodologyThe study used structured questionnaires as the main data collection method, structuredinto four main parts, namely: background information of the respondents; RIM practicesamong SMEs, problems SMEs face in managing records and information, and proposalsto improve on RIM practices among the SMEs,. Questionnaires enable a researcher toobtain a lot of useful research data (Edwards and Talbot, 1999). Telephone interviewswith leaders of the business community in the district were used as a follow up, to clarifyemerging issues. Since there were no authoritative sources for the number of SMEs inTororo District, a snowball sampling strategy was applied to identify relevant SMEs.In attempting to study hidden populations for whom adequate lists and consequentlysampling frames are not readily available, snowball sampling methodologies may be theonly feasible methods available (Faugier and Sargeant, 2012). Developed as an originalsolution to overcome problems of data sampling in the study of hidden populations, theycan be used both as an informal way to reach a population and as a more formal methodintended to make inferences with regard to a population of individuals (Spreen, 1992).During the data collection process, each SME manager would direct the researchassistant to another SME, until there were no more enterprises to be included. A total of61 SMEs were identified, with 42 (69 percent) participating in the study. Following datacollection, the researcher read through the questionnaires for clarity before data wereentered into the computer and analysed using Excel. Since the questions were structuredand the researcher wanted numerical values and percentages, Excel was deemedappropriate for the data analysis.

4. Findings and discussions4.1 Background informationThe 42 SMEs who participated had 332 (64 percent) male and 185 (36 percent) femaleemployees, with the age range and educational profile of the respondents shown inFigures 1 and 2.

Figure 1 shows that the majority of the SME managers are in the primary active andproductive age range of 26-35 years.

Regarding the level of education, it isinteresting to note that the majority aregraduates, with a significant proportion attending business college as shown in Figure 2.

Figure 1.Age of the respondents

Frequency15

10

5

021-25 26-30 31-35 36-40 41 and

above


453

When the respondents were asked to indicate the length of their business experience,24 percent had less than five years, 31 percent had six to ten years, 19 percent had11-15 years, 10 percent had 16-20 years, and 16 percent had more than 20 years. Thisresult shows that the SMEs are well versed with business issues since they havereasonablelevels of experience.

The findings on gender in relaiton to the management of SMEs confirms ealrierfindings which established that males still dominate SMEs sector in Uganda, and thatthe majority of the SME managers fall into the productive age bracket of 26-35 years(Okello-Obura et al., 2009). Interestingly, SMEs are well educated, with the majorityhaving university degrees (Figure 2). As a follow up, in the telephone interviews, onerespondent observed:

[. . .] we have experience, education, but lack skills in managing records and informationwhich is key to decision making [. . .] the Government seems not bothered on this aspect whenwe are being taxed from all corners.

This quotation indicates that SMEs managers appear intresetd to learn basic skills inRIM, but are disappointed with the Government of Uganda’s response. What isrequired therefore, is a clear strategic intervention that could help SMEs acquire skills;SMEs which are able to employ qualified paraprofessionals (records assistants) atcertificate level in RIM should be encoruaged to do so. As noted by Schellenberg (1956)in Webster et al. (1999), “records management activities are of a highly specializedtype, requiring specialized competencies and a specialized background of experiences”.SMEs whose businesses cannot afford to pay records assistants could be empoweredthrough short training to build capacity for RIM using the available human resources.

The categories of the SMEs in terms of ownership and business sector classificationare shown in Figures 3 and 4.

An analysis of Figures 3 and 4 show that the majority of the SMEs are sole proprietorswith few who are limited companies engaged in mostly selling of household goodsas also reported in earlier research (Okello-Obura, 2011). For the majority of SMEsto be dealing in household goods is not suprising, since this is well evidenced ineven the capital city of Uganda, Kamapla, and an indication that the production and

Figure 2.Level of education ofrespondents

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manufacturing sector is still comparatively small. This is in contrast with a studyconducted by Webster et al. (1999) in North-East England in which it was establishedthat the majority of the SMEs were involved in services, manufacturing, construction,wholesale, retail and repairs, in that order.

4.2 RIM practicesThere is a need for proper RIM practices to be put in place in organisations, foreffective and efficient flow of activities and decision-making processes, as records andinformation are the life blood of an organisation. This assertion was investigated in thestudy, and the results are reported below.

Figure 3.Classification of business

enterprises based onownership

Figure 4.Industrial business

sector classification/categorisation


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Figure 5 shows that the majority of the records created by the enterprises are paperrecords and a reasonable percentage of the enterprise do not file the records (Figure 9).Lack of filing of the records could be as a result of lack of qualified records managersemployed by the enterprises as shown in Figure 6. The lack of filing and havingpaper-based records without automated systems could be the cause of longer time spent inlocating records in the enterprises of approximately 6-15 minutes. Although the enterpriserecords are not filed, it is impressive to note that most of the SMEs have acceptable storageequipment or systems such as drawers, office cupboards, and office shelves where recordsare stored. It is only in one enterprise where records are kept on the floor in an office(Figure 8). Schellenberg (1956) long ago noted that “records are efficiently managed if theyare kept at a minimum charge for space and maintenance while they are needed for currentbusiness”. It was not surprising that only one SME had a registry. In all the enterprises

Figure 5.Response on the typesof records createdin the enterprises

Figure 6.Status of staffmanaging records

9.21%

33.79%

Not qualified

Qualified recordsmanagers

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the research assistant went to, there were no registries or records centres where records arekept apart from the shelves and in drawers (Figures 5-9).

The majority of the enterprises consider the vital records to include accounts records,contracts records and employees records (Figures 10-13). Because of the very nature ofthe activities that take place in the enterprises it was not surprising that they pay suchattention to account records. Account records like other records need to be secured.In otherwords, the issue of security of records is a key factor in the best practices of RIMand this was investigated and the results shown in Figure 14.

Security of records is undisputed fact among organisations mostly in theory but notin practice. An analysis of Figure 14 shows poor records protection system among theSMEs. Majority of SMEs have security guards who guard the building and theenterprise property. This in most cases are meant to guard against thieves who couldbreak into steal property but not records. Barglary alarm system, heat detection system,fire detection system, smoke detection system are very crucial for records protection andSMEs should be sensitised on this.

According to the American Society of Information Science (1997) quoted in Haseand Galt (2011), “recordkeeping systems need to have accurately documented policies,

Figure 8.Response on how paper

records are keptby the enterprises

Figure 7.Categories of records

in the enterprises

21%

14%

21%

44%

Active records

Semi-activerecords

In-active records

Vital records


457

assigned responsibilities and formal methodologies for their management”. All theenterprises who participated except 2 percent of the participants have some recordsmanagement practices in place, though the quality of the practices is highly doubtfuldue to the immense problems they are facing with RIM as depicted in Table II.

Examining the data in Table I, it can be seen that the majority of the enterpriseshave unclassified records, lack records and information disaster prepareadness plans,have no records storage plans, that records are destroyed hapharzardly, there are noorganised systems for identifying required information, and that most SMEs lacksound and legally compliant rention policies. This raises questions as to how records

Figure 9.How records are filed

ResponseNot file at all

Code numbers

Functional head

Chronological

Departmental

By subjects

0 10 20 30

Figure 10.Response on the types ofrecords considered vital

All records

None

Executive records

Accounts records

Contract records

Employees records

Government policies...

0 10 20 30 40

21

14

35

0

0

5

3

Response

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Figure 11.Duration it takes to locaterecords in the enterprises

More than a day

One day

1 hour

26-30mins

21-25mins

11-25mins

16-20mins

6-10mins

1-5mins

0

0

0

5

4

2

2

9

7

15

15

5 10Response

Note: n = 44

Figure 12.How old records

are identifiedNote: n = 61


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relating to business transactions and smooth running of the enterprises are dealt within the enterprises as a result of weak or non-existent internal policies on RIM. RIMpractices need to be linked to the enterprise operational systems. “If recordsmanagement is linked to operations, an integral part of business operation, rather thanan additional “task” then it cannot be by-passed when other pressing operatingpriorities arise” (Hase and Galt, 2011). The need for training and sensitisation of theSMEs managers in relation to RIM is viewed as prudent.

In order to dertermine the problems SMEs face in managing their records,predetermined problems based on the literature review were given to the respondentsto choose from and the responses were as indicated in Tables II and III.

An analysis of Tables II and III indicates that SMEs face many problems regardingRIM. The main ones are highlighted in italics:

Figure 13.Methods of disposalof old records

By keeping in drawers

By Deleting

By pulverising (rashing into...

By outright sale to food...

By Shredding

By burning

0 10 20 30 40

38

3

0

0

1

1

Response

Note: n = 43

Figure 14.Security/protection systemof enterprises’ records

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Records management practices in business enterprisesYes(%)

No(%)

There is proper planning for the information needs of the enterprise 57 43The enterprise has a system of identifying information that requires capture 19 81The enterprise creates, approves, and enforces policies and practices regarding records 31 69The enterprise has a sound and legally compliant records retention policy, including arecords retention schedule and disposal plans 14 86The organization has a developed records storage plan, which includes the short andlong-term housing of paper-based records only 38 62The organization has a developed records storage plan, which includes the short andlong-term housing of both paper-based and electronic/digital records/information 19 81The enterprise’s records are classified using its classification scheme 21 79Records in my organization are indexed according to content and context, recordcreator, intended recipient, date, etc. to facilitate retrieval 33 67The enterprise has access controls to confidential records 67 33The enterprise has a records circulation tracking system 26 74Records in our enterprise are destroyed according to authorized law, statute, regulation,or operating procedure, and the records are disposed with care to avoid inadvertentdisclosure of information 24 76The enterprise promotes and supports the skills development of staff in recordsmanagement 36 64My enterprise has disaster and preparedness plans for records management 17 83None of the above 2 98

Note: n ¼ 42

Table I.Response on selected

practices applicable inbusiness enterprises

ProblemsYes(%)

There is lack of acceptable records management goals and practices within SMEs 60Failure to hire competent and qualified staff in the area of archives and records management 43There is problem of adequate storage facilities for records 48Records/registry staff have low morale and motivation towards their professional duties 29Lack of funds to encourage training in the area of archives and records management for staff 38The organization cannot afford to provide financial and administrative support to thoseinvolved in registry work 33Due to business demands there is a problem of providing close supervision of those engaged inregistry/records work 69There is lack of skills to manage electronic records among the managers 67There is no emphasis on the need to introduce information and communication technologies asa means of solving information management problems in the organization 21The company lacks the retrieval tools for records in the organisation 38The enterprise lacks appropriate policies in records and archives management 41There is theft of records by unscrupulous staff in the enterprise 19Our records are not protected from disasters 74There is low awareness among staff of the role of records management in support oforganizational efficiency and accountability 55There are no budgets dedicated for records management in our company 83There is poor security and confidentiality controls of the company records 55There is lack of records retention and disposal policies 88The company does not consider phone business messages as records 43

Table II.Problems SMEs face

in RIM


461

Although the need to have a good filing system is understood, having registries and recordsmanagement are not viewed as a priority area and invariably registries are managed by newrecruits who have very limited experience, and are, in some instances, without the skills to beof use elsewhere in an enterprise (Tale and Alefaio, 2005).

The challenges facing SMEs in developing countries, relating to RIM are similar. Theyinclude lack of resources, skills, space constraints, ad hoc approaches to RIM, poor ICT,adoption, and so forth (Burns et al., n.d.; Mnjama, 2003; Tale and Alefaio, 2005). Therapidly changing information environment and further, what appears to be territorialcompetition by information stakeholders compound these. It may be accurately statedthat in today’s information-rich environment, the creation, retrieval, sharing andmaintenance of records and information is complex and expensive, and SMEs need toadjust, otherwise their productivity will continue to suffer. The challenges are many,and include voluminous amounts of records that are generated daily; comprehensivegovernment policies requiring adequate procedure and access controls to managecontent; complex retention, regulatory, privacy and litigation issues relating tobusiness (Gutterman, 2008; Yasui, n.d). This confirms the need for a concerted effort.SMEs should be sensitised in RIM. In view of this, SMEs were asked to express theirviews on the need for a training in RIM.

All the participants expressed interest in the need for them to be trained in RIM. Oneof the respondents wrote this in the questionnaire:

Our businesses are not managed well because of poor records and information management.Sometimes you want to make decision very fast, but you cannot easily identify theinformation you need. Even Uganda Revenue Authority sometimes over taxes us because wedo not have our books of accounts or records kept well. We desperately need support fromgovernment in training in records management.

SMEs managers may need training in basic skills in RIM. As policy makers, it willenable them appreciate the role RIM plays in their business operations. This isanticipated to lead to employing qualified RIM assistants or improve on the wayrecords and information are managed within the enterprise.

Business environment challenges affecting management of records Yes (%)

Lack of transparent, open and competitive business framework 43Lack of clear independent rule of law for all firms in the district/country 24Lack of clear policy on the setting up and dissolution of businesses 26Lack of transparent, simple and accessible corporate regulations 33Lack of equal and stable legal treatment for national and cross-border transactions 29Inadequate online provision of government information and services that can increasethe efficiency and coverage of public service delivery to SMEs 26SMEs lack information regarding the benefits and costs of adoption of ICTs 62There is problem of lack of ICT and business skills that are widespread impedimentsto SMEs effective performance 60The availability of reliable Internet connections and other communications services,preferably broadband at competitive prices, also affects the inclination of SMEs to adoptICTs 45SMEs often lack the human and financial resources needed for ICTs and e-commerce 65

Table III.Business environmentchallenges

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In order to get the input of the respondents on the strategies to adopt so as toimprove RIM management, predetermined strategies based on the literature reviewwere given to them to choose from and the responses were as indicated in Table IV.

All the above proposals are a clear indication that SMEs are interested in issues ofRIM. The majority (74 percent) have recommended that SMEs should be trained tocreate a sound and legally compliant records retention policy, including a recordsretention schedule. Creating a sound and legally compliant records managementsystem is vital for effective functioning of any organization (ARMA, 2011).

5. Conclusion and recommendations“Although SMEs are a very diverse group and it is therefore rather difficult to drawmany definite conclusions for the entire group” (Webster et al., 1999), one fundamentalconclusion is that records and information within the enterprises are not

StrategiesResponse

(%)

SMEs should be trained to create a sound and legally compliant records retention policy,including a records retention schedule 74The government of Uganda should make a deliberate effort to train all SMEs in basicrecords management 57SMEs should seriously consider investing in records management 36A law should be enacted to compel all SMEs to employ qualified records managers so as toimprove on records management among SMEs 29SMEs should be encouraged to develop records management policies and procedures thataddress each component of the records management program in accordance withoperational and legal requirements 45The Uganda Government through Uganda Revenue Authority should sensitize the SMEson the values of records management so that they take it as a corporate responsibility 29SMEs should establish and enforce employee accountability for the compliance of the RIMprogram. This can be done by including it as an element in performance appraisals andinstituting disciplinary actions for violations 50The Government of Uganda should populate the record classification scheme (also knownas a taxonomy or file plan) with standard indexing parameters to include record classcode, business function, record creator, dates, and other applicable indexing parametersamong SMEs as is in local government 45SMEs should be encouraged to store records onsite and off-site to guarantee security,consistency, accessibility, and confidentiality 55To ensure compliance, SMEs should be encouraged to see that records management aspart of the company’s internal audit process is consistency, compliance, and legalrequirements are met 76SMEs managers should educate employees to ensure compliance awareness to understandtheir records management roles and obligations, and what is expected from them on anongoing basis 69SMEs should be sensitized on the need for a retention and disposal schedule 57There should be basic analytical skills training for selected staff from agencies withstatutory responsibility for records among SMEs 69There should be strategic planning workshop of experts to discuss themes, content areasand guidelines for developing training modules focusing on e-records management forSMEs 60SMEs should be sensitized to accept phone text messages as valid records of the enterprise 48

Table IV.Responses on thestrategies to helpimprove on RIM


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managed professionally. The study thus concludes that overall, there seemed to be anunderstanding of the importance of RIM among the respondents in the SMEs. However, itwas established that many companies lacked in-house records management expertise andconducted their records management activities in a rather haphazard manner.This concurs with the study conducted by Webster et al. (1999) in North-East Englandwhich came to similar conclusions. Nonetheless, we need to note that SMEs in Ugandarequire compliant RIM systems for effective and efficient business operations. A compliantRIM system needs to demonstrate the key elements of consistency, accountability,adoption, and accessibility (Iron Mountain, 2005). These elements should be audited andupdated consistently over the lifespan of the business by dedicated and well-informedstaff of the enterprise. These best practices and guiding principles provide the foundationfor driving existing systems from sub-standard to an acceptable standard. As IronMountain (2005) notes, “mediocre plans and processes do not constitute compliant recordsand information management programs”.

This study has highlighted the need for SMEs to be helped to have good RIMpractices. Key aspects in relation to the principles of RIM such as integrity, protection,availability, compliance, disposition, transparency, retention of records and informationcan be brought to light among the SMEs managers through sensitization and basic RIMskills training. Proposed strategies to improve records management among SMEs aregiven in Table IV, and one key recommendation is that SMEs should be sensitized andtrained in basic skills on RIM. It is only through sensitization and training that SMEswill appreciate the value of RIM in business operations.

With basic knowledge and skills in RIM, SMEs managers can then ably articulateissues to government which require support. SMEs are the engine of economicdevelopment in Uganda, and thus need government support to run their businessesefficiently through good RIM practices. Proposals for a sensitisation and trainingprogramme in basic RIM are outlined in Table V to this paper and this forms a keyoutcome of this study.

When the training is conducted, SMEs would be in a position to identify acceptablebusiness records and management practices for their enterprises. Knowing the bestpractices will make SMEs mangers address business records and information needspromptly for implementation. After the implementation, there would be a systematicflow of SMEs business activities and in turn would lead to improved transactions,improved profits and creation of employment opportunities hence economic growth of acountry. Assessment of performance and training needs for SMEs could be madeperiodically (Figure 15).

On top of the proposed training which is viewed as a useful platform to sensitize theSMEs managers on the value and need for proper RIM, the study also recommends thefollowing:

. In relation to the security of records, SMEs should be encouraged to establishdisaster management plans.

. The Governmenet of Uganda should design strategies to provide ICTs support toSMEs for both business transactions and RIM.

. There should be a country wide study to establish the general situationregarding RIM practices among SMEs in Uganda.

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Training outlineDuration(hours) Methodology Indicators

1 Introduction to recordsmanagement. Introduces RIMand its core components:examines the importance ofgood records management intoday’s business

4 Lectures, demonstration,video shows, group work

Understanding of thevalues, e.g. good RIM,be able to identify whata record is

2 Records management basics.SMEs examine the life-cycle of arecord and consider thequestions that come up inmanaging that life-cycle, andlearn to assess a record for thepresence of content, context,and structure

5 Lectures, demonstration,video shows, group work

Clear understanding ofrecords life-cycle andidentify challengesinvolved in themanagement of each ofthe stages

3 Records classification. Explainsthe importance of classificationfor records and informationmanagement and show thatstandardizing terminologythrough classification isrequired to facilitate access tophysical and electronic records.The lesson describes thefunctional classification systemin which business functions ofthe enterprise are used. SMEsmanagers will examine recordseries from the businessfunctional approach

6 Lectures, practice, exercises Be able to apply relevantrecords and informationclassification schemes

4 Records retention. Describes theretention and dispositionschedule and give a brief outlineon how to develop a retentionschedule so that informationwill be retained and protectedthrough its life-cycle and can bedisposed of legally

4 Lectures, practice, groupdiscussions

Appreciate the value ofretention anddisposition schedulesand be in a position toconstruct a simple onefor business enterprises

5 Records storage and protection.This looks at records andinformation storagerequirements and methods,considerations for choosing acommercial records centre foroffsite storage, storing digitaland optical records, briefly lookat role of microfilming records,and disaster preparedness.Security of both paper-basedand electronic records in abusiness enterprise

6 Lectures, video shows,group discussions

Identify records andinformation storage/security best practicesDesign basic disasterpreparedness plans forrecords and informationof the enterprise

Table V.Proposed training for

SMEs based on analysisof literature review and

respondents proposals


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Figure 15.SMEs trainingoutput cycle

5

Improved transactions, profits,

Income and creation of

Employment opportunities

Assessment can be made periodically

for more training

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About the authorConstant Okello-Obura, PhD, is a Research Fellow and Senior Lecturer at the Department ofInformation Science, Unisa, South Africa, Makerere University, Kampala, Uganda.Constant Okello-Obura can be contacted at: [email protected]


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