Retention of business records should PRIMARILY be based on:
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A. B. C. D.B.
Retention of business records is generally driven by legal and regulatory requirements.
Business strategy and direction would not normally apply nor would they override legal and regulatory requirements.
Storage capacity and longevity are important but secondary issues.
Business case and value analysis would be secondary to complying with legal and regulatory requirements.
The primary reason for retaining business records should be based on regulatory and legal requirements.
Regulatory requirements are established by government agencies to ensure compliance with specific laws and regulations. Legal requirements, on the other hand, are imposed by courts or other judicial bodies in the context of legal proceedings. Failure to comply with regulatory and legal requirements can result in severe penalties, including fines, legal action, and reputational damage to the organization.
While business strategy and direction are important factors to consider, they should not be the primary basis for retention of business records. The organization's strategic goals and objectives can influence the types of records it creates and the duration for which they are retained. However, these considerations should not override legal and regulatory requirements.
Storage capacity and longevity are also important considerations in the retention of business records. An organization must have the necessary storage infrastructure to retain records for the required period. It should also consider the longevity of the records to ensure that they are accessible and usable throughout the required retention period.
Business ease and value analysis should be secondary considerations in the retention of business records. While these factors can influence the organization's decision to retain records, they should not take precedence over legal and regulatory requirements. An organization should evaluate the cost and value of retaining records against the legal and regulatory risks associated with non-compliance.
In conclusion, the primary basis for retention of business records should be regulatory and legal requirements. An organization must ensure that it complies with all applicable laws and regulations, even if this means retaining records for an extended period. Other considerations, such as storage capacity, longevity, and business ease and value analysis, should be secondary to legal and regulatory requirements.