OUTLINE FOR PRESENTATION ON RECORDS MANAGEMENT AT THE SUPPORT SERVICES REVIEW - TRENDS AND HIGHLIGHTS (Sanitized)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP70-00211R000500050003-7
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 14
• Document Creation Date: December 16, 2016
• Document Release Date: July 12, 2005
• Sequence Number: 3
• Publication Date: September 14, 1966
• Content Type: OUTLINE

ApprovTt?fffel ep?ggg/ 7J?~a1P1&-b$ Wffggg O 4d -67
Support Services Review - Trends and Highlights
e nes ay, 14 ep em er 66 at 10:15
This is a real pleasure to be here this morning. I formed a good habit
pf coming to
a long time ago - as a matter of fact it was 15 years ago
this month when I made my first visit and since then it has been my pleasure
to be intimately associated with
the personnel
here - this certainly has been one of the highlights of my career in CIA.
The subject of our discussion, Records Management or Paperwork
Management is probably the most unromanticq one in the world. It has little
glamour and practically no sophistication.
It is a topic which rarely produces a good story - but I do have one
which is appropriate for today.
"A dedicated CIA man died and having been a model career person he
went directly to heaven - no purgatory for this fellow. When he met St.
Peter he was told to go to the Logistics Supply Room to get his-,Harp - his
Halo - his Wings and his Royal Robes. The BSO was a most efficient man -
A Career Logistics type who had completed training in OTR un der
I
There was no waiting in line; correct sizes were in stock and this model CIA
Career man was outfitted promptly. When he returned to see St. Peter for
his assignment he told him how elated he was at the efficiency at the BSO.
He said "I didn't even have to fill out a requisition or sign a receipt -
this is amazing - but tell me, said the CIA man, what was going out outside
your office?
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Today, we are concerned about how fast we can get information -
High speed computers are obsolete almost before they are completely
installed - printing presses grind out paper faster and gaster. These
are the days of glamour gadgets and costly hardware.
Despite the lack of sophistication in paperwork, top management offici-
als in Government and Industry are greatly concerened about the increasing
cost of creating and keeping tremendous volumes of paper required in todays
modern economy. Here, for instance is what J. Paul Getty, the world's
richest man said recently on this subject - "To my mind one of the really
serious wrongs in American business today is the penchant for wallowing
in welters of paperwork - Some companies have literally hundreds of people
keeping records on each other and passing office memorandums back and forth.
Some times there seems to be more memo writers, filers and readers than
productive workers. The cost of this over administration is ttaggering
not only in salaries paid to paper shufflers but rQ?t the general slow down
effect it has on all operations.
"Why Should You Be Interested in Records Management"?
My primary objective this morning is to prompt you to greater concern
abut Records Management and to show you how Records Management techniques
can help you make your operating procedures more effective and more efficient.
Records have received a lot of attention since 1949 when the Hoover
Commission first dealt with this subject -- interest in records management
increased as a result of the second Hoover Commission report in 1955.
These reports focused attention for the first time on the need for positive
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action to reduce the Four Billion Dollar Annual Cost of Federal Paperwork -
So - Here we have a real Highlight in Government Efficiency.
Since the Hoover Commission e- positive action has been taken through
the medium of paperwork management techniques and the---use of these techniques
hayV brought about substantial economies in office management to i Federal
agencies and to such large industrial concerns as Ford Motor Company - Union
Carbide - Lever Brothers - Westinghouse s+~s.
Recently the Congress and --thu-Pr sidenU hire expressed great concern
about the high cost of paperwork. Congressman Olsen of Montana held extensive
hearings last year to determine why Federal Agencies require business concerns
to submit so many costly reports. He describes these requirements as the
Federal Paperwork Jungle. .o)
~r.?~ ? .'f/ f
o f /p , ra v uv' ~ an t~s-r ~ , a s~.av .S ,',r r~~" ~ r ',W >u~s 147
President Johnson requested the cabinet members to improve paperwork "crz
in their departments,, Here is what 1b told the vabinet in December 1963 -- j
"Cut out excessive paperwork, it breeds overstaffing". In February 1965 the
President declared a moratorium on the purchase of filing cabinets. The
Moratorium has been very suedesful and it has been extended indefinitely.
Again - on April 20, the President asked all Department Heads to see that
"every Government employee think4hard about cost reduction".
The cost of Creating:rrecords is hig - $16.726 every time a four
drawer safe is filled with paper.,jhis means ore hundred and twelve million,
two hundred and twenty-five thousand, eight hundred and forty-nine dollars
.444
er p:,P_
In addition - 2 million one hundred and one thousand,-(59 dollars to store
and service these records every year. This outlay of over 114 million
dollars from our budget is certainly a high price to pay for paper but not
a highlight of the DDS program that we should be proud to have.
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As a tax payer, do you realize that you are paying at least 100
of your tax money eyeryyVeaar for this paperwork? Do you want to continue
to do this or would you rather help to improve efficiency in your office
and save yourself some Mnney?
The volume of paper in the DDS Area has been increasing for several
years as you can see from this chart -; even though we had a slight decrease
over FY 1965 still
about 6%-in FY 1966,jour volume is4too high --it is eleven cubic feet
I Iwhile this is better than eur agency average of about 18 feet
per employee it doesn't look too good in comparison to 2aC feet for the
Federal Government and 3 feet for Industry.
C-.H-A-R-T What Is Records Administration?
Basically it is a management improvement technique. It is a
specialized profession concerned with paperwork practices and problems. It
is not however concerned with bits and pieces of paper and limited to filing or
destruction. Instead,we pay attention to the entire life cycle of paper from
Oreatien to Cremation.
Creation - Forms, Reports, Correspondence
Use - Equipment, Systems, Supplies
Disposition - Inventories, Schedules, Archives and Records Center
Records Management is emerging as a recognized profession and now there
are 3 professional societies. ARMA - AREA - SAA - Industry depends-on the
professional records management to solve paperwork problems..(Wali Street
Journal, February l965)
C-H-A-R-T-WHY D? We Need Records Management?
First - To Save Manpower - I estimate we require to file
and keep agcy paper. If we eliminate unneeded paper we can find what we
want in our files easier, quicker and with less manpower.
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 .;11 or ' Co111 p~ani1ipp vpi3;F
To . a:pcrts to Clear
Filcs, Store Records
WS -F * *
American Cyanamid slits Costs
With NTew System; Federal
Rules Add to Paperwork Bulk
CTYRGIF!
le se 0 5/7.9 pp RRP7 1 R0 T
ever tirms; I~i-c diiY, "Be c1 Ttts V~Q-.Q'Stv~- 9?ff Ul0C3&npanies Turn
age Co. in Los Angeles, ofier coipo,a. Ions a
records storage service while many large firms
,save set up their own well-organized archives.
Among them is the Bell System, which once'
estimated all its file cabinets together would
make a row 50 miles long. NRMC says it has
helped 400 major companies set up records con-
trol facilities in recent years.
"It would be rare to find any company do-
ing in excess of $"L00 million in business annual-
ly that has not done something in t'iis field,"
says Christopher A. Cameron, president of
Leahy Archives, Inc., and Leahy & Co., a two-
pronged Manhattan-based enterprise which
stores records and helps companies set up con-
trols to keep files from ballooning.
Leahy's four records storage centers -- in
New York City, Whitehouse, N.J., Elk Grove
Village, Ill., and Miami, Fla.-resernbie high
stack libraries except that the stacks contain
file boxes instead'of hooks. Leahy has 150 cli-
ents, 60 more than five years ago, Including
Pan Am, Florida Power & Light Co., Metro-
Goldwyn-Mayer, Inc., and Singer Manufactur-
ing Co. Records on file in its Whiteriouse cen-
ter range from bank trust account ledgers dat-
By GEORGE MELLOAN
Cycrff Reporter of THE WALL STIRSET JOURNAL
NEW YORK-A few years age investigations
by Federal agencies forced Pan American
World Airways to save all its records, instead
of periodically destroying them, In four years
the contents of Pan Am's files doubled and if
all the papers it was saving had, been piled in
a single stack they might have scraped the
wings of a jet flying at 25,000 feet.
With the investigations ended, the airline
now has climbed out of its paper fogbank. But
the speed and immensity of its file build-tip il-
lustrates why more and more companies are
relying heavily on the file-clearing expertise of
specialists called records managers or archi-
vists.
With business booming, American office
workers are generating letters, vouchers, order
forms, bills of lading , and hundreds of other
1 docunnnnt.-- .at a re.e,orci rate eipough to fill an
est++matrw'klfi ,million f,, le drawers a year. At
the same time, many companies are moving
into new office buildings where space is more
expensive and where an excess of filing cabi-
nets spoils the aesthetic effect office designers
labored hard to achieve.
It's the records control specialist's job to
see to it that outdated papers are tossed away,
important ones kept on hand and papers that
spot where they can be stored cheaply and got-
ten to if need be. At the same time, he strives
to see to' It that all information stored by the
company, even in personal files, can be quick-
ly obtained.
Postwar Development
Systematic records management and dispos-
al is largely a post-World War II development.
Many companies have adopted it only in recent
years. The National Records Management
Council (NRAMC), a non-profit research and ad-
visory agency based in New York City, esti-
mates that the number of specialists in the
ing back to 1852 tip to such current. materials
as copies of payroll checks, which isualiy are
tossed out after two years.
Storage schedules
.' eahy archivists, -.Forking witli ilia client,
assign each type of record a "retention sched-
ule" which sets a limit on how long it will be
kept in storage. A very few, including most
trust ledgers, are kept permanently. Some,
such as extra copies of outgoing correspond-
ence, are tossed out after six months. At Leahy
storage centers workers see to it that disposal
schedules are followed and also fish things out
of their stacks to answer client inquiries. A
large company, with 4,000 cubic feet of rec-
ords , normally would pay between $4,800 and
$5,500 a year for Leahy's storage and file man-
To decide how long companies s_lould keep
each. type of document, Leahy consultants use
a number of guidelines. Some have been de-
veloped through research in various industries
on such subjects as the elements of risk, say,
in throwing out an employe's personnel records
10 years after he has left the company. But
the most important guides are supplied by
Federal and state governments in lists of rules
on retention of records.
The Interstate Commerce Commission alone
has 258 separate retention regulations for rail-
roads, airlines and other carriers to follow. For
instance, records of a damage claim, must be
fessional associations, has m pp1 V aVt+'R6lease 66%16//igIadfX- 'DOTE-U0211RO
th
i
t d
d
e pas
n
eca
e.
To Experts to Clear
Files, Store Records.
Continued From P_ige One
retained at least four year,3 after the settle.
ment. Heavily regulated companies tend to
have fat files. The average major airline will
likely have 10,000 cubic feet of files, enough to
fill about 1,700 four-drawer pile cabinets, com-
pared with around 2,000 cubic feet for a large
non-regulated company, Leahy's Mr. Cameron
says.
When it enters a company that( has not had
Its files cleaned for some time, Leahy often
finds it can throw away about half the records
'without serious danger of losing something Im-
portant. Such a housecleaning, coupled with
new retention schedules and other changes, cut
American Cyanamid Co.'s annual record-keep
ing costs by some $85,000 a few years ago.
Rental of space occupied by each office file
cabinet, plus amortization of the cabinet's ini-
tial cost, was costing Cyanamid $8.72.a year.
Files in storage were costing $2.76 annually
per cabinet to keep. Leahy tossed out 54%n of
the storage records and destroyed or trans-
ferred to storage 26% of the office records.
Studies show that it costs about $140 a year
to maintain a four-drawer file cabinet, includ-
ing file clerk salaries as well as space costs
and cabinet amortization. One management
consultant has estimated that of each 100
pieces of paper filed in the average well-run of-
fice only 20 will ever be cali,ed back for refer-
ence.
Leahy is specializing. increa. (~i
Ing' companies retain records of he '6es
thoughts of employes who are pTiid throughout
notes and other personal papers of scientists,
lawyers and other professionals are lost to the
company when the man retires or leaves, Mr.
Cameron says. Leahy specialists currently are
working with the research arm of a major oil
company to try to draw important findings
out of personal records and incorporate them
into a central system which any researcher,
tackling a problem, can draw upon. The same
approach is being tried with several large law
offices.
This information is often valuable even be-
fore a man leaves, since employes in some
firms are known to labor hard on problems
that lie solved In another employe's files, Mr.
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Second - To Save Space - At the rate we are expanding in Rosslyn, I
believe office space is still at a premium. The DDS Components require
sq. ft. for office use and almost if this is for records
storage.
Third - To Control Growth - We create about 200 million pieces of paper
every year; this is at the rate of about 2000 pieces per minute. We collect
a lot too- 18 million pieces in 1965.
to /b e_
Fourth - To Protect Essential Records - th6se we cannot afford because
of enemy action or through nautral disaster. Pentagon Fire
Fifth - To Comply with the Law - Federal Records Act.
Sixth - To Save Money - We save $16,726 every time we avoid creating one
safe full of records, We save $473 everytime we eliminate one safe full of
records from our offices.
Seventh - To improve our over-all efficiency.
CHART - AUTHORITY = Who is Responsible for Records Management
The 81st Congress enabted PL 754, The Federal Records Act. This was
a result of the first Hoover Commission proposal.
The Administrator of GSA has Government-wide responsibility - issues
regulations and standards; operates 16 Federal Records Centers and the
National Archives.
Heads of Agencies- All Departments and Agencies are required to have a
Records Management Program.
Our Authority -
the Director ( General Counsel Opinion);
Deputy Directors; CIA Records Officer; Component Records Officers.
CIA Records Officer - Guides, standards, advice, coordination.
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Now lets look at each Records Management element and see how the 5 e
techniques tbz;y help to improve efficiency.
Our forms create a, lot. of:?-paper - 50 million pieces last year.
Forms Management is a continuous cost reduction program. We are con-
cerned with Good Designi the right size for filing and to fit typewriters and
other office machines; the elimination of obsolete forms; getting rid of
"bootleg" forms and the efficient ppocessing of forms and their related procedures.
Here is an illustration on proper design - Domestic Travel Order, Form 540b
Last year our printing b-1-. s- was
285,866. This isa substantial
amount of money but this represents only the apparent cost. The true costs
are in processing. Filling them out; distributing copies; filing and reference
operations. Both Government and Industry consider that the costs of processing
forms ia..20 times printing costs. So last year our true costs for Forms were
almost 6 million dollars.
The real savings in Forms Management, therefore comes from improved
operating procedures. Here is a good illustration.
The important principle illustrated here is that the problem was identified
by a top line official who did something about it. Also, this illustrates
how professional records managemsscan save time and money.
I could enumerate many similar instances -
Form 490 - Records Center Service Request - $8640. year.
Forms 53 and 53a - CS Information Report -
73,000 year.
Forms 1742 abd 1742a - combined (7 parts each) now
1 - seven part form - Check Box style -
12589 year.
The Cumulative savings from our Agency Forms Management Program -
759,000.
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NOTIFYING FIELD PERSONNEL REGARDING CIA RETIREMENT AND DISABILITY SYSTEM
1. Five dispatches were prepared on the flex-
owriter.
2. Each of tlxe?five dispatches" were prepared in
f?eaninln ; mascu x or t personal "you" de-
pendi on the- person ' was addressed, o.
3. Four of the dispatches were 2 pages in length.
4. Each dispatch consisted of Original and 9
copies (this meant adding 6 letterex sheets to
the Dispatch form)
5. Each dispatch was individually signed by=.D/OP
o ,rlesigtre ~/
6. Usual mechanics of the Dispatch w .~?' used:
dispatch No., releasing officers signatures,
and etc.
7. Time spent on each dispatch was 35 - 45 minutes.
it
on
moo!
SAVINGS: Time - 31-41 minutes per form
1. Five preprinted memorandums.
All memorandums printed- in the personal
of 'of 'you'-`
3. All five memorandums were re-worked and
re-worded to fit on one page.
4. All five were made up in Original and 3
copies (pre-collated with carbon)
5. Signature
on Form.
6. Taken out of the realm of the Dispatches,
forms can be sent O/S by merely listing on
the Pouch Manifest.
7. Time spent on each form about 4 minutes to
enter name, a deadline date and log on
Pouch Manifest.
Filing & Paper - 6 sheeets-?-of- paper. -on, .the-1 pagere- Dispattches'?
16 sheets of paper o tr.p :Dispatches:
Routing - for signature of D/OP, and releasing officers on each form
Equipment - Flexowriter, and 15 paper tapes
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C-H-A-R-T REPORTS MANAGEMENT
..- ...,. Reports
The objectives of f4mmy management are the same as for forms --better
procedures and less paper.
Last year our administrative reports created 12 million pieces of paper
and cost about 30 million dollars. But I regret to report that we have done
very little in this area--primarily because we don't have the professional
talent for the program. We did one survey which produced
25,000 in savings
and this proved the potential benefits we can get from an active reports
management program.
It is so easy to get reports these days -- especially those prepared
by ADP methods. Computers can grind out reports at the rate of 100 cubic
feet per day as contrasted to about an inch a day by a real good typist.
So this is an area requiring attention but the operating offices will have
to carry it on a "do itYourself" basis. And I am glad that Logistics,
Commo and Training are active in reports management. Here is something OTR
did recentli that is significant--by changing the routing of reports of
external training they eliminated 3 pieces of paper for every report submitted-
this seemingly minor procedural change eliminates the filing and keeping of
22 thousand pieces of paper -every year; the equivalent of 12 safes and saves
do
$25,089 every year. Here is something each one of you can4everyday sk
yourself these questions after reading each report you receilre.
Does this report really help me in the management of my office?
Can I act on the basis of the facts it contains or does it leave
unanswered questions in my mind?
Does it pertain to something a subordinate could handle just as well?
Is it presented in the clearest and best possible form?
Could I grasp the situation more quickly if it were presented in graph
or plain conversation?
Doey4 - 4 & a 3n6/+07l2st G eMD'-d n)*950005
STAT
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C-H-A-R-T - CORRESPONDENCE MANAGEMENT
Here we are concerned with a most important phase of our everyday work.-
Communications -- This is where we can make a good impression or a bad
one - by what we say-- how we say it and when we say it-- This attitude-
this response to letters from the general public or replies to intra agency,
memorandums, dispatches or cables is reflected in the quality of our written
communications. Good public relations and a favorable public image depend on
the written word to a great extent.
President Johnson has asked Mr. Macy, Chairman of the CSC to head up
a Government wide program to improve the quality of communications to the
general public. .s the Chairman of the CIA Committee. Rased-,.
on a few instances that come to my attention recently I believe we need to
examine our correspondence practices. (Cite case if time permits which
illustrate unusual time lag in reply).
We are concerned with the volume of paper created from correspondnece -
8 million pieces; the cost of correspondence is--also worth noting - 12 million
dollars Micl this is for letters and memos--; cables and dispatches
add another 18 million pieces of paper a year. Don't you think we need to
do something to stem this paperwork tide?
Some progress has been made by such short cuts as using Letterex to
eliminate the assembling of paper and carbons. Form letters are used to
Securit ,
real good advantage too--b Logistics and Personnel. Greater use can be
made of form letters and they will help to reduce costs from $3.00 for an
individually prepared memo or letter to about 30 cents. ie:i-tee sseme.
!zxbzkkHx
a s o i~~P of a form
-8-
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We are getting excellent results throughout the Agency from the
Speedletter - Logistics, Commo, Security, Contacts, FBIS and NPIC are
some of the principal users. Here is how it works. (Describe, showing
the form and telling how to get supplies). Lets ust it more frequently- -
particularly for informal communications. NPIC Division Chiefs write in
longhand using Speedletter. t
A 1~- epr .Gavel v a S" &A., lra.-e?LP'rr7o1,-.~,t+tG? ,
R-T VITAL RECD S - That 6,re they.
Current, not inactive records, wl?ch we cannot afford to lost by
enemy action or natural disaster. The key to our program is the Vital
Records Deposit ScAedule. Here is a typical one - (Describe).
We have an active program. It is tested periodically - Our Vital Records
Deposit Schedules are revised periodically. Our repository is built to
resist normal bomb damage and it is equipped with the required security
disaster
and natural4detection devices.
Our program is judged to be the best in the Federal Government
CHART - FILING SYSTEMS These concern the orderly arrangement of papers
by uniform systems so they can be NAYPIWTound by anyone in the office. Not
just the file clerk. Management is not interested in files as such --but
management is very much concerned about information that can be obtained
from files. (Cite General Counsel and SAVA)
Here are some Basic Filing Systems -
Subject - administrative and operational;
issued a Handbook - Show it.
STAT
-9-
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Numeric - Terminal Digit - large numerical files - right to left -
File on last digit - Contacts Services - Office of Security In Fie;d Offices.
Alphabetical - personal name - Soundex - Biographic register.
An appropriate filing and indexin6 system is the key to the success of any
office operation - it is certainly essential to the proper functioning of any
ADP 0P4W4h 6,W,
T 0/ /DO
a 0 ,0,0
//
,
The Agency investment in filing equipment is approximately
-
mil?on-dollars; this includes everything from the conventional file cabinet
to the most complex motorized shelf file unit. Filing equipment costs continue
to increase - in 1951 when I came to the Agency, a four drawer insulated safe
cost $238 - today we pay '.
To help reduce equipment costs we have -
Standardized on Cabinets and Safes 6 types now instead of 17 in 1951 -
result in lower procurement costs and better supply.
Introduced Specialty Space Saving Equipment - Shelf filing for instance -
Saves about 40% as compared to cabinets and safes; saves about 65% in cost
and saves time by speeding up filing and finding time at 25%.
We now have 89 shelf file installations throughout the Agency. There are 20
in the DDS Area; Commo, Security, Logistics, Medical, DDS Registry.
Recently we have introduced 2 new specialty pieces of equipment -
Conserva-File V and FULL SPACE (Show charts and pictures).
Moratorium - Results - More safes and Cabinets turned in than issued in
1965.
Our Surplus - $56,467
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 CHART - IAppfl ed el, r 2005/07/25 : CIA-RDP70-00211 R000500050003-7
This is probably the most productive area of records management in terms
of showing tangible results; On the other hhrid, it is the most difficult
area from a substantive program viewpoint because we must decide what to keep
and what to destroy - and this isn't easy.
There are recognized professional standards to guide us, however -
these concern legal - historical and administrative values. Another guide
is rate of reference - if we refer to a file less than once per file drawer
per month, it should not be kept in office space - send it to the Records Center.
The Records Control Schedule is the key to managing records disposition -
(Describe how it is used).
GRAPHS - Increase - Decrease (Agency and DDS)
Reasons for Growth - Copying Machines - 39 million pieces of paper
in one year - paper alone cost 205 thousand dollars. Ford Motor Co.
experience.
Computer - Parallel Systems
Less Professional Records Management Time.
Results - I think the Agency has done remarkly well when we consider that
there are no,published standards for the disposal of intelligence records.
Practically all Federal Agencies can use what are called "General Schedules"
//~'@ 4r#r,re 7'XjPSP
published by GSA., Despite the lack of guide lines we have removed
372,422 cubic feet (46,553 safes) from office spaces by destruction or retirement.
We are particularly proud of our position on Permanent Records. In
1954 we were keeping about 24%o permanently - now we keep only ~.2%.
Government-wide the percent today is 24.1 compared to 26.3 in 1954.
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 CHART - REoorov d For Release 2005/07/25 : CIA-RDP70-00211 R000500050003-7 RDS CENTER
This is where we keep our inacta and permanent records. While we
have your records we supply reference service. 24 hours a day, 365 days a year.
(Extend Invitation to Visit the Records Center).
The Building cost it has all security and other protective
devices needed.
Since the Records Center has been in operation Agency offices have sent
181,422 cubic feet there (this is equivalent to 22,677 file cabinets) -
but we destroyed 92,271 cubic feet of these in accordance with the provisions
of Records Control Schedules and we have 89,151 cubic feet today.
Now about the future of the Center - About 82% filled. New GSA Center
Before concluding I would like to summarize by saying paperwork Is
Expensive - 16726 to create one safe full of records. $114 Million for DDS
Requires a lot of Space - 40,000 sq. ft for DDS Paper
Require a Lot of Manpower -_eople just to file and keep in the DDS
Required by Law - Federal Records Act
Required by Regulation -
II
Gets Results - Pays Dividends - Cumulative savings of over
In conclusion, I want to quote one of the worlds foremost management
authorities - Lyndal Urwick who said - "Some paperwork, some records are
essential - some men lie and all men die - the record becomes essential where
STAT
STAT
STAT
these accidents occur. Records are essential in all large organizations because
men change posts and forget - but the record is only a memory aid - The big
decisions are made by men meeting face to face who trust each other- and not on paper"
Rem PO ke 2OQ ii 25cd1fRJ7O 21 O050M0 47 decide
which has precedence,
-12-