Centralized vs. decentralized records centers: pros and cons

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Centralized vs. decentralized records centers: Which type of records center is ideal for your organization? Here are some of the pros and cons of each.

January 21, 20227 mins
Centralized vs. Decentralized Records Centers: Pros and Cons - Records Storage | Iron Mountain

One of the most crucial decisions records and information managers must make is whether their organizations' records centers should be centralized or decentralized; this is by no means an easy choice. Thankfully, this subject has been considered extensively in the field of records and information management. Which type of center is ideal for your organization?

Centralized vs. Decentralized Records Centers

A centralized records center is one in which all the physical documents are located in one central location. The location is controlled by the records and information management department staff. The number of people in the records department will depend on the size of the organization.

A decentralized records center is one in which the physical documents are located across the entire office. Documents could be stored in end users' offices, workstations or other workroom space. Unlike a centralized records center, where the files are controlled exclusively by the records department, a decentralized location is controlled by the end user who creates the file.

Advantages of a Centralized Records Center

There are many advantages of a centralized records center. First, it keeps all physical documents relating to a particular case in the same location. If end users need to reference a file, they contact the records department staff through some online portal or email service. Then the file is checked out to the end user. The file's complete chain of custody is captured, so the location of the file is known at all times.

Second, a centralized records center has a heightened level of security. For instance, the entrance is locked, so only the records department staff can access the files in the records center. This process provides much more control over physical documents than a decentralized method does.

Finally, uniform departmental procedures are documented and circulated to all end users. These procedures address topics such as hours of operation, file requests and delivery times.

Disadvantages of a Centralized Records Center

While centralized records centers have many advantages, they also have some drawbacks. First, physical documents are not at the end users' fingertips, so they may need to wait a long time before they can review a file, especially if the file is stored at another office location. Second, hiring a full-time records department staff to manage the centralized location is a big expense.

A centralized records center may also require a large investment in high-density shelving. This type of shelving can be very costly, especially if the floor has to be reinforced to meet weight requirements.

Advantages of a Decentralized Records Center

Now, let's discuss some advantages of a decentralized records center. The physical file is stored at the end users' desks, not in a centralized location. Of course, this method does not require a full-time records department staff. End users can access their files at all times and are responsible for maintaining accuracy.

Disadvantages of a Decentralized Records Center

A decentralized record center has its disadvantages. For example, say a group of end users is working on the same case simultaneously. Suppose the end user who is responsible for maintaining the file is absent. The rest of the group may have trouble locating the file if the organization does not have chain-of-custody procedures.

Along the same lines, a decentralized records center provides little or no security for the files. This can become a problem, especially if an organization handles highly sensitive cases and must comply with the Health Insurance Portability and Accountability Act.

Centralized vs. Decentralized: Who's the Champ?

After considering both options, organizations can determine which method is best for them. This decision should not be made hastily, however. Organizations should take their time and not decide until they completely understand the options.


Centralized vs. Decentralized Records Centers

A centralized records center is one in which all the physical documents are located in one central location. The location is controlled by the records and information management department staff. The number of people in the records department will depend on the size of the organization.

A decentralized records center is one in which the physical documents are located across the entire office. Documents could be stored in end users' offices, workstations or other workroom space. Unlike a centralized records center, where the files are controlled exclusively by the records department, a decentralized location is controlled by the end user who creates the file.

Advantages of a Centralized Records Center

There are many advantages of a centralized records center. First, it keeps all physical documents relating to a particular case in the same location. If end users need to reference a file, they contact the records department staff through some online portal or email service. Then the file is checked out to the end user. The file's complete chain of custody is captured, so the location of the file is known at all times.

Second, a centralized records center has a heightened level of security. For instance, the entrance is locked, so only the records department staff can access the files in the records center. This process provides much more control over physical documents than a decentralized method does.

Finally, uniform departmental procedures are documented and circulated to all end users. These procedures address topics such as hours of operation, file requests and delivery times.

Disadvantages of a Centralized Records Center

While centralized records centers have many advantages, they also have some drawbacks. First, physical documents are not at the end users' fingertips, so they may need to wait a long time before they can review a file, especially if the file is stored at another office location. Second, hiring a full-time records department staff to manage the centralized location is a big expense.

A centralized records center may also require a large investment in high-density shelving. This type of shelving can be very costly, especially if the floor has to be reinforced to meet weight requirements.

Advantages of a Decentralized Records Center

Now, let's discuss some advantages of a decentralized records center. The physical file is stored at the end users' desks, not in a centralized location. Of course, this method does not require a full-time records department staff. End users can access their files at all times and are responsible for maintaining accuracy.

Disadvantages of a Decentralized Records Center

A decentralized record center has its disadvantages. For example, say a group of end users is working on the same case simultaneously. Suppose the end user who is responsible for maintaining the file is absent. The rest of the group may have trouble locating the file if the organization does not have chain-of-custody procedures.

Along the same lines, a decentralized records center provides little or no security for the files. This can become a problem, especially if an organization handles highly sensitive cases and must comply with the Health Insurance Portability and Accountability Act.

Centralized vs. Decentralized: Who's the Champ?

After considering both options, organizations can determine which method is best for them. This decision should not be made hastily, however. Organizations should take their time and not decide until they completely understand the options.


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    Of corporate data, 44% is stored in cloud environments not managed or controlled by the IT department.

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Advantages of a Decentralized Records Center

Now, let's discuss some advantages of a decentralized records center. The physical file is stored at the end users' desks, not in a centralized location. Of course, this method does not require a full-time records department staff. End users can access their files at all times and are responsible for maintaining accuracy.

Disadvantages of a Decentralized Records Center

A decentralized record center has its disadvantages. For example, say a group of end users is working on the same case simultaneously. Suppose the end user who is responsible for maintaining the file is absent. The rest of the group may have trouble locating the file if the organization does not have chain-of-custody procedures.

Along the same lines, a decentralized records center provides little or no security for the files. This can become a problem, especially if an organization handles highly sensitive cases and must comply with the Health Insurance Portability and Accountability Act.

Centralized vs. Decentralized: Who's the Champ?

After considering both options, organizations can determine which method is best for them. This decision should not be made hastily, however. Organizations should take their time and not decide until they completely understand the options.


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