by Paul Spencer – Research Analyst
Records and information management (RIM) has always had rules. In the past, it was straightforward—keep certain files at a principal office and ensure records were available on-site or even on board a ship. But today, the landscape looks nothing like it used to. The combination of cloud computing, personal data regulations, and global operations has turned “where you keep your records” into a high-stakes compliance challenge.
What’s Changed?
The traditional questions haven’t gone away:
- Can records be stored at a branch office or only at headquarters?
- Do transporters need physical documents, or is digital access acceptable?
- Are digital records compliant, or are physical originals still required?
But now, there’s a more complex layer: data residency and privacy rights. These two concerns are transforming how organizations manage records, especially when dealing with cloud storage and cross-border data flows.
Why Data Residency Matters More Than Ever
Data residency refers to the physical location where data is stored. And for many countries, location is everything.
Take Vietnam, for example. Companies operating there must ensure that personal data belonging to Vietnamese citizens remains within the country. That means that companies cannot store that information in overseas data centers or on cloud-based servers hosted outside Vietnamese borders.
This isn’t an isolated case. Many countries are adopting similar policies to protect national interests and citizen privacy. For global organizations, it means maintaining awareness and compliance with a patchwork of jurisdictional rules.
Privacy Regulations Add New Recordkeeping Demands
Modern privacy laws don’t just dictate where data can go; they also give individuals new rights. People can now:
- Request that their data be deleted or corrected
- Require explicit consent before certain types of data are processed
Here’s the twist: These requests and consents are now records too. They come with their own retention requirements and are often subject to data residency regulations. So, compliance isn’t just about storing “the record”; it’s also about storing all the metadata and administrative history surrounding that record.
When Location Equals Identity
The definition of “personal data” has expanded. It now includes anything that could link an individual to a location or identity, making both the content and the record’s storage location part of the compliance equation.
Cross-border transfers are a prime concern. Even in places like the European Economic Area (EEA), where data doesn’t need to stay local, transferring personal data to countries outside the EEA still comes with regulatory hurdles.
Human Resources (HR) records are particularly affected. A company with employees across multiple countries needs to know exactly what data can be moved, stored, or shared—and under what conditions.
The Path Forward: Policy, Awareness, and Internal Controls
As more countries introduce or revise data protection laws, RIM professionals must evolve with them. That means:
- Staying current with international data laws
- Understanding the sensitivity and residency requirements of different data types
- Developing internal controls and defensible policies for handling data and records
- Classifying records accurately and early in their lifecycle
The era of “store it and forget it” is over. Today’s records managers must balance compliance, privacy, and operational needs in a world where the rules—and the risks—are constantly shifting.
We’re in a new era of records management, one that’s driven by data privacy, cloud technology, and global regulations. The organizations that thrive will be those that treat recordkeeping not just as a requirement, but as a strategic discipline. Because in today’s world, how you manage your data is how you manage your risk.
Our Virgo legal team can help you understand the complexities of data residency compliance and privacy, and how they may impact your retention schedule. Ask us how you can get started today!