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SURVEY REPORT
THE INFORMATION EXPLOSION:
HOW ORGANIZATIONS ARE
DEALING WITH IT
A Council for Information
Auto-Classification Survey
in Association with:
Kahn Consulting, Inc.
Ethics & Compliance
Officer Association (ECOA)
ARMA International
BNA Digital Discovery
e-Evidence
Enterprise Strategy Group
TechTarget
Sponsored by:
Dell
HP
October, 2011
www.InfoAutoClassification.org
[email protected]
©2011 Council for Information Auto-Classification. All rights reserved.
The Information Explosion:
How Organizations Are Dealing With It
Overview
The Council for Information Auto-Classification (CIAC), in association with
Kahn Consulting, Inc.; Ethics & Compliance Officer Association (ECOA); ARMA
International; TechTarget; BNA Digital Discovery and e-Evidence; and
Enterprise Strategy Group, in sponsorship with Dell and HP, have conducted a
survey to gain a better understanding of the challenges faced by organizations
confronted with the growth and proliferation of information, and to identify
attitudes toward implementing technology solutions to automate filtering,
classification, management and/or disposition of information.
Demographics of Survey Respondents
There were 167 survey respondents representing organizations of all sizes
with 66% representing organizations with more than 1000 employees.
Significantly, 83% percent of respondents were management, with 10%
executive-level management. Respondents also evenly represented a wide
variety of industries and government, including executive suites, business
units, legal, IT, records and information management, compliance, risk
management, and legal functions. Additionally, 65% of the respondents have
global or enterprise-wide responsibility for information management
activities within their organizations.
©2011 Council for Information Auto-Classification. All rights reserved.
2
The Information Explosion:
How Organizations Are Dealing With It
Executive Summary
Information is one of the most important assets organizations possess today,
but lack of proper management is impacting business productivity and
creating costs and liabilities. It is clear that employees are spending too much
time searching and managing information, and recreating information when
necessary information cannot be found. Further, mismanagement of “Big
Data” has dramatically increased management and litigation response costs.
This survey makes clear that companies are at a breaking point with too much
information that has now become a liability. Companies have large volumes
of legacy data with no understanding of its contents and are continuing to
add to the pile.
Organizations are also failing to take advantage of
technology to help them in properly managing the rapidly increasing volume
of information.
This report explores key issues that are confronting
organizations and how they are dealing with the “Big Data” information
management challenges.
.
©2011 Council for Information Auto-Classification. All rights reserved.
3
The Information Explosion:
How Organizations Are Dealing With It
Key Findings
1. Most organizations acknowledge that the growth of information volume
has become a major issue for them to deal with.
Significantly, 98% of organizations reported rapid information growth that
they predict will extend into the future and that growth is creating a variety
of challenges and consequences.
All levels of management—CEOs, senior
management, and mid-level management—concurred that explosive
information growth is an issue and will continue to be an issue in the future.
73% of organizations reported they are already having difficulty finding
information that is needed for business.
2. Companies have large volumes of legacy data containing unknown
content.
88% of the respondents indicated their organizations have large volumes of
73% of
organizations
reported they
are already
having
difficulty
finding
information
that is needed
for business
older/legacy but had no idea of the content in the volume of stored data.
©2011 Council for Information Auto-Classification. All rights reserved.
4
The Information Explosion:
How Organizations Are Dealing With It
3. Business efficiency and productivity is being impacted by the growth of
information.
Half of the respondents indicated that they are forced to recreate
information previously created because they cannot find it.
74% of the organizations said valuable information is being lost (i.e. can’t
find, disposed of, misplaced) due to the lack of proper technology solutions.
73% of respondents said their organization misses business opportunities
because they can’t efficiently access information.
All levels of management responding to the survey concurred that finding
information is a challenge for their organization.
©2011 Council for Information Auto-Classification. All rights reserved.
5
The Information Explosion:
How Organizations Are Dealing With It
4. The survey dispels the myth that storage is costing organizations less.
The growth of information in organizations creates both hard and soft costs
and raises organizational risk. 78% of organizations are experiencing
increased IT infrastructure costs as a result of the rapid growth of
information.
5. Companies are experiencing difficulty managing information in all
environments.
78% said that
structured
applications are
More than three quarters of respondents rated the level of challenge
challenging to
associated with managing information in each of the various environments
manage
specified in the survey (e.g. structured applications, email, file shares, social
media sites, hard drives, etc.) as challenging to extremely challenging.
6. The most valuable information for most organizations is stored in
structured applications, and managing information in a structured
environment is very challenging.
71% of respondents said their organization’s most valuable information is
stored in structured applications (the highest rating of any environment
included in the survey), and 78% said that structured applications are
challenging to manage. Yet, only 33% consider their structured applications
to be a high information management priority to address. The survey results
also counter the myth that structured records are easier to manage than
unstructured records.
©2011 Council for Information Auto-Classification. All rights reserved.
6
The Information Explosion:
How Organizations Are Dealing With It
7. The most challenging environment for most organizations in which to
manage information is electronic communications.
91% of organizations report that electronic communications content is the
most challenging to manage, and 63% said that electronic communications
are a high information management priority—despite the fact that less than
half feel electronic communications contain information of high value to the
company. Based on the value of information, organizations may be over
retaining email which creates unnecessary discovery risk and expense.
Organizations
may be over
retaining
8. Document management systems are challenging to manage and are not
being deployed to maximum benefit.
81% of respondents said that document management environments are
challenging to manage, and less than half stated that document
management tools contain their organization’s most valuable information.
email which
creates
unnecessary
discovery risk
and expense.
Only 41% feel that document management systems are a high priority for
their organizations. Yet document management systems have traditionally
held out the best hope for managing records according to information
management policies, suggesting that these tools are being underutilized.
©2011 Council for Information Auto-Classification. All rights reserved.
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The Information Explosion:
How Organizations Are Dealing With It
9. Employees are increasingly facing challenges with information
management and spending too much time looking for needed content
while organizations are over-retaining.
79% of responding organizations indicated too much time and effort is
spent manually searching and disposing of information that has met
79% of the
retention requirements. In addition, 80% said that too much time and
respondents say
effort is spent manually reviewing, collecting, and categorizing information
they are having
to comply with legal, regulatory, and records management requirements.
difficulty
58% of organizations still rely on employees to decide how to apply
appropriately
corporate policies (i.e. retention, privacy, security) to their information.
applying retention
The survey indicates that manual approaches to information management
are still in place with organizations; however, the manual approach is not
requirements to
information.
very effective. 79% of the respondents say they are having difficulty
appropriately applying retention requirements to information.
Even
though retention rules allow organizations to “clean house,” 58% of
organizations are keeping information indefinitely.
©2011 Council for Information Auto-Classification. All rights reserved.
8
The Information Explosion:
How Organizations Are Dealing With It
10. Organizations are not taking advantage of classification technology to aid
in information management.
A majority of the respondents are not taking advantage of existing
technologies that can automate the classification of information and
minimize employee involvement with information management. Only 28%
of respondents said they were using classification technology in structured
systems, 16% in file shares, 22% in email, and 35% in document
management systems.
©2011 Council for Information Auto-Classification. All rights reserved.
9
The Information Explosion:
How Organizations Are Dealing With It
11. Organizations are slow to adopt technology to aid in information
management.
On average, only 27% of organizations plan to automate the categorization
or classification of any information environments within the next 12 to 24
months.
Given the challenges employees are currently facing with
managing information, this doesn’t bode well for organizations seeking to
take better control of information as volume continues to swell.
74% of
organizations
continue to
12. Many Organizations have not invested in technology to categorize or
classify information and are relying on outdated management methods.
depend on
individuals to
In today’s electronic age, it is surprising that 28% of organizations are using
manually comply
“print and file” to ensure they are managing information in accordance with
with legal,
policy. Further, 74% of organizations continue to depend on individuals to
regulatory, and
manually comply with legal, regulatory, and record management
record
requirements. Surprisingly, 41% depend on the IT department to manage
management
all electronic documents and records which creates issues for the enterprise
requirements.
as IT typically has no knowledge of the “content” actually stored in many
systems. Almost one-quarter of the respondents are taking the “reactive”
approach and waiting until litigation or investigations hit the company
before they begin to categorize information.
©2011 Council for Information Auto-Classification. All rights reserved.
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The Information Explosion:
How Organizations Are Dealing With It
13. Despite the development of technologies that can help better manage
information, organizations are slow to implement.
54% of the organizations that have not deployed technology to automate
classification are held back by the expense and cost associated with such
implementations. Additionally, 50% of the respondents that have deployed
technology say it is not a priority within the organization.
©2011 Council for Information Auto-Classification. All rights reserved.
11
The Information Explosion:
How Organizations Are Dealing With It
Conclusion
The information explosion is impacting organizations from all industries
across the globe. Organizations make clear that because of the tremendous
growth of information in recent years, information is lost, records need to
be recreated, and technology is not being properly exploited to make
wheat/chaff decisions about what information can be disposed. Thus
information grows unfettered which impacts organizations’ ability to use
and harness valuable data as an asset. More and more companies have a
need to use technologies to help manage information but not enough are
doing so now. As information continues to grow, organizations are harder
pressed to mange and utilize information. Organizations are at a critical
juncture to either start defensible cleaning up oiled unneeded information
or run the risk of greater expense, inconvenience, and risk from over
retention.
About the Council for Information Auto-Classification
The Council for Information Auto-Classification’s mission is to educate on and advance the
use and acceptance of technologies that classify information, reducing human involvement.
The Council is made up of individuals from business and government who give their time to
explore and advance better ways to manage information.
©2011 Council for Information Auto-Classification. All rights reserved.
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