Why Do Companies Spend Money on Computerized Systems?

Topics: Employment, 20th century, Company Pages: 1 (349 words) Published: October 8, 2001
Starting in the late Twentieth Century, many companies started using computerized systems. Most of these companies started using these systems to save time and reduce costs. Even though these computerized systems are rather expensive, in the long run they saved companies money. The companies saved money by making or purchasing a computerized system by reducing paper usage and employee overtime. Since employees did not have to spend there time doing paper work, they could do their jobs faster and more efficiently. This gave the employees more time to do other projects around the office. One computerized system that saved employee's time is automatic payroll. Instead of wasting time filling out paper time sheets, the employee could simply "clock" in at the beginning and end of each shift. Some companies like this idea because it can possibly reduce the number of employees needed in the payroll section of their company. Many aspects of the computerized system might take away some duties from the human employee. This can save the company a lot of money, but is very bad for employee morale.

Management also benefits from the computerized system. Management is able make decisions much faster because the information they needed to make these decisions with is right there and could easily be accessed. There is no searching for documents or other files. The company can easily give access to certain parts of the computerized system to one group in the company and not the other. This way, information is kept private or public, depending of the company needs.

It is not always the case that the company's employees and employers notice most of the benefits that a computerized system has. Some companies have many satisfied customers due to the fact that computerized systems were introduced into that company.

Although many computerized systems were brought into companies in the late Twentieth century, some companies still do not take advantage of this. We see an even...
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