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ii. It is difficult to open and lock the box frequently, and get the paper from the middle
of the pile.
iii. It is not suitable for big and modern types of organizations because such box cannot
hold many files and folders.
iv. It is not suitable for preserving the documents having long term importance.
v. It takes more time to find the required papers and documents because the papers are
kept in a pile.
vi. It is not flexible.
B. Modern Filing System
The old and traditional systems of filing could not fulfil the requirement of the
modern business organizations. The importance of filing has been increasing in course
of the development and growth of business activities. The information technology has
been more advanced and the filing also has become complex, in the same extent. The new
and modern ones replace the old filing system. Many improved and sophisticated filing
equipments and tools are developed to meet the filing requirement of a business concern.
The commonly used, modern filing systems are discussed below.
i. Horizontal Filing ii. Vertical Filing System
i. Horizontal Filing
Horizontal filing system is the one, under which records
/documents are kept in the file/folder and the files/folders
are kept on the table/drawer in flat or sleeping position, one
upon another. In this system, the folders made of thick paper of
cardboard are used to hold the papers. Generally, flat files set
with hinges to fasten the papers and lever arch files containing
metal arches for holding papers are used in this system. The
papers are first punched and inserted in the hinge of the files.
All the papers related with a certain person, firm or subject are
placed in the folder in a chronological order as shown below or
the papers to be filed are punched and inserted in the arches.
The lever is pressed to insert and take out the papers in and
from the file/ folder as shown below. Horizontal filing

Key Point The way and style of keeping files on the table/drawer in sleeping or flat
position, one upon another is known as horizontal filing.

Advantages
i. It is simple to understand and operate.
ii. It requires less equipments and tools and does not require trained staff. Thus, it is
comparatively cheaper.
iii. Papers are safe in this system because they are tied or fastened in the folders.
iv. It is flexible because the increase/decrease of the number of files does not create a
notable problem.

32 Aakar’s Office Practice and Accountancy - 10 Filing 33