Records are a compensating control for power.
Regulated industries only get power because they agree to keep records.
That’s how it works.
And these days it’s particularly important to understand because every organisation is regulated – by everything from accounting standards to occupational health and safety.
Regulation (or legislation) says that “in order to have this power, you have to exercise it under these conditions”
Every now and then, auditors will show up and demand to see your records – to make sure you are using the power you’ve been given under the conditions required.
If you can’t produce records, they’ll put you out of business.
Records are the compensating control for power. The only way to trust is to be able to verify, and the only really feasible way to verify efficiently is to check records.
This applies to government agencies as well.
The only way the public trust, is through the ability to verify.
The only reason Government and regulated organisations get power is because they agree to keep records, when they don’t keep records well, one of two things generally happens –
- Power gets taken away by a regulator.
- Corruption and failure forces closure of the organisation.