As businesses increasingly focus on digital security, one often-overlooked area remains: paper documents. Physically printed files can carry the same, or even greater, risk of exposing confidential information if not disposed of correctly. This article explains what constitutes “confidential information”, the risks of improper disposal, best practices for securely shredding confidential information in Singapore, how to choose a suitable service, and why adhering to standards matters.

What is “confidential information” and why it’s at risk

“Confidential information” in a business context includes personal data (names, addresses, phone numbers), financial records, contracts, strategic documents, intellectual property, and other material that if accessed by unauthorised parties could cause harm.
Even though digital data gets much of the attention, paper-based records still carry significant risk. One recent analysis states:

“Paper is a security problem.” SOTI
In other words: documents that exist physically — in print, in filing cabinets, in bins — remain a threat if they are lost, stolen, or negligently disposed of.

The risks of improper disposal of documents

  1. Data breach risk: According to this source, around 40% of all data breaches are paper-based, with 14% of those due to loss or theft of physical documents.

  2. Identity theft and fraud: The Australian Institute of Criminology found that in Australia 9.3% of survey respondents were notified of a data breach in the past 12 months, and those who had a breach were 34% more likely to suffer identity crime.

  3. Cost and regulatory exposure: The global average cost of a data breach (digital + physical) is significant: one dataset lists US $4.88 million as the average total cost.

  4. Insufficient DIY disposal: Simply placing documents in a bin or using an insecure shredder does not guarantee complete destruction. According to Iron Mountain Incorporated:

“For secure and permanent disposal of sensitive documents, a simple shredder just won’t cut it.” ironmountain.com
In summary, confidential paper records must be handled with the same care as digital records to avoid serious business, financial and reputational consequences.

Secure document shredding: best practices

a) Shredding standard and particle size

  • The European standard DIN 66399 classifies security levels for paper shredding from P-1 (lowest) to P-7 (highest). However, these are just guidelines and every companies might have different requirements

  • For example: Security level P-4 corresponds to a maximum particle size of 160 mm² for paper (category P) under the standard.

  • Level P-7 means particles are ≤ 5 mm² (with width ≤ 1 mm) making reconstruction nearly impossible.
    Thus, choosing destruction equipment or service with appropriate security level depending on your data classification is a crucial part of the destruction process.

b) Professional service vs ad-hoc shredding

  • A professional shredding service provider offers chain of custody, certificates of destruction, secure transport and disposal, and often accounts for regulatory compliance.

  • Best practice includes having locked bins for document collection, scheduled shredding or destruction, audit trails, staff training and clear policy around document retention and disposal.

c) Document audit and disposal policy

  • Identifying what documents are no longer needed and when they should be destroyed is a key step.

  • Policies should classify documents (e.g., confidential, internal, public), define retention periods, designate disposal methods.

  • Regular shredding or scheduled destruction reduces accumulation and risk.

d) Environmental benefits

  • Shredding also allows recycling of paper in many cases. One source reports that recycled paper production uses 74% less air pollution and 35% less water pollution compared with virgin paper.
    So, secure document destruction can also align with sustainability goals.

How to choose a shredding service (or set up a robust internal process)

Here are key criteria businesses should consider:

  • Security certification and accreditation: Ensure the service meets recognised standards (such as DIN 66399 or equivalent) and offers destruction to the correct particle size for your data.

  • Chain of custody & certification: The service should provide documentation confirming destruction (certificate of destruction) and maintain audit trails.

  • On-site vs off-site destruction: On-site shredding allows witnessing of the process but may cost more; off-site professional services can still be highly secure if transport and facility controls are robust.

  • Transparent service levels: Frequency (scheduled vs ad-hoc), locked collection bins, secure transport, staff background checks, insurance coverage.

  • Environmental credentials: Does the service recycle shredded paper, issue environmental impact statements, support sustainability?

  • Tailored to data sensitivity: If you handle highly sensitive or regulated information (e.g., personal data, tax records, financial statements), you must use destruction methods matching high security levels (e.g., P-5 or above under DIN 66399).

  • Internal policy alignment: Your own internal document retention and disposal policy must align with the service offered. For example: retention period, classification of documents, scheduled destruction, logging who authorised disposal.

Shredding confidential documents in Singapore

While much of the available standard guidance originates from Europe or the U.S., the principles apply globally — including to Singapore and Malaysia. Key local considerations:

  • Under the Personal Data Protection Act 2012 (PDPA) in Singapore, organisations must ensure appropriate protection of personal data, which implies secure disposal of records when no longer needed.

  • Businesses should integrate secure document destruction into their overall information-security and records-management policies, rather than relying solely on IT/cyber controls.

  • Since operating costs in Singapore/Malaysia are relatively high, outsourcing to a specialist shredding service can often be more cost-effective than trying to manage high-security shredding internally (especially for large volumes or infrequent needs).

  • Beyond shredding, bundling document destruction with wider data-disposal or IT asset-disposition programmes (for example when you decommission paper-based records along with media destruction) can deliver economies of scale and compliance cohesion.

Conclusion

Discarding documents without secure destruction is simply too risky in today’s business environment. Whether it’s customer information, financial records, contracts or strategic papers, the potential cost of exposure is significant. Secure document shredding is not just about a shredder machine; it’s about policy, frequency, certification, and matching the destruction method to the sensitivity of the data.
For businesses in Singapore, adopting a structured disposal process (or partnering with a specialist service) can reduce risk, enhance compliance, support sustainability, and deliver peace of mind.
Next step: Audit your document inventory and classify what needs destruction, review your disposal policy, and if you haven’t done so already, engage a certified secure shredding partner to schedule destruction of confidential records.

If you’d like a proposal or help setting up a document-destruction programme, feel free to get in touch at sales@arkiva.com.sg or call 6871 8789.