12 Feb 2026

IM BLOG: Transition of Information Governance from: "System of Records" to "System of Engagement"

A growing gap between how information is governed and how it’s actually used is slowing organisations down. This looks at how records must evolve from controlled archives to accessible, valuable assets.

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When Records Stop Being Archives and Start Being Assets

In recent years, most organizations position themselves as data-driven, yet many still manage their most critical information through legacy governance approaches. Records are stored, tightly controlled, and accessed primarily during audits, disputes, or compliance reviews. While designed to reduce risk, these frameworks often create rigid information environments where search is ineffective, access is constrained, and data remains insufficiently prepared for operational and analytical use.

In an era defined by real-time decision-making and AI-powered insight, such conditions increasingly constrain organizational agility rather than support it.

The challenge is not digital transformation itself; it lies in the growing gap between how information is governed and how it is experienced, accessed, and applied across the organization.

For decades, information governance revolved around the system of record. This model was designed to preserve accuracy, ensure regulatory compliance, and establish a single source of truth. Records were static, authoritative, and largely disconnected from day-to-day collaboration. That foundation remains essential, particularly for accountability and legal defensibility.

But the role of records is evolving.

No Longer Just for Preservation, But Also Active Engagement                                                                   

Modern organizations no longer create information in one place or consume it in isolation. Knowledge flows continuously through collaboration platforms, cloud workspaces, emails, and mobile applications. Records are no longer endpoints; they participate in a dynamic information lifecycle. While core capabilities of traditional systems of record are already well established, they are no longer sufficient on their own.

This shift has accelerated the move toward a system of engagement, as an enabling layer that sits above them and focuses on expanding from preservation to AI-enabled interaction with records. The objective is not only to store information securely, but to allow users to engage with governed content in intuitive, contextual, and timely ways.

Through AI-assisted search, summarization, and conversational access, records become just-in-time assets. Governance remains present, but largely invisible, providing the guardrails that allow insight to surface without friction.

When records can be actively engaged with, organizations move beyond risk mitigation toward intelligence, transparency, and faster, decision-making.

Why Traditional Governance Models Are Struggling

Many organizations recognize this tension. While leaders describe their enterprises as data-driven, far fewer can generate timely and reliable insights. The issue is not data volume, but fragmentation; information is dispersed across disconnected systems with inconsistent controls.

Governance models built solely around retention and control struggle in this environment. They were never designed to account for information in motion, content-centric workflows, or AI-driven interaction. As a result, organizations face a growing trust gap where information exists, but confidence in its completeness, context, and explainability remains limited.

What Modern Information Architecture Must Support

As organizations engage more actively with information, the supporting records environment must evolve to accommodate interaction while maintaining its foundational governance role. Therefore, modern information systems must seamlessly support:

  • Content Intelligence for automated classification, metadata enrichment, summarization, and Q&A
  • Centralized records management across agencies through a secure, cloud-based multi-tenant architecture
  • Comprehensive content coverage for a wide range of file types, including MS Office documents, emails, multimedia, PDFs and more
  • Context-aware search and retrieval for faster information access
  • Compliant with global records standards and industry regulations for audit readiness
  • Secure, role-based access controls that align with organizational policies
  • Policy-driven retention, disposition, and legal safeguards to operate reliably

Engagement, Enabled by Trust

The pressure on governance frameworks continues to intensify. Research shows that while organizations describe themselves as data-driven, fragmentation continues to limit insight. As AI increasingly influences decisions, the ability to explain how information is accessed and applied becomes critical.

Governance functions less as a control mechanism and more as a trust enabler. When AI-driven engagement operates within clear boundaries, organizations gain the confidence to move faster without sacrificing accountability.

The evolution from a system of record to a system of engagement is therefore not a replacement, but a progression. When authoritative control is complemented by intelligent interaction, records shift from being archived evidence of the past to active enablers of insight in the present.

Meet your blog author:

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Arpan Bansal

As a passionate advocate for digital transformation, Arpan has spent over 25 years helping government and BFSI organisations modernize services and strengthen compliance. Early in his career, he played a pivotal role in engineering Newgen’s ECM suite, laying the foundation for enterprise content management and records management solutions.

Today, as Vice President at Newgen, Arpan leads ANZ Customer Success and the global Government, RMS & ECM Centre of Excellence. He has driven 100+ successful implementations, and delivered large-scale, whole-of-government transformation programs.

Arpan believes digital trust and intelligent automation are vital, enabling organisations to innovate, achieve measurable outcomes, and stay future-ready.