Executive management uses this power to gain and maintain their competitive advantage. Access to real time data, processed through decision support systems, empowers executives to manage operations and set priorities precisely and rapidly. Financial officers apply this power to gaining control of their finances rather than just reporting on them. New and improved banking systems are coming on line quickly as banks strive to capture competitors' depositors. Corporate banking functions now move money on demand by wire, by modem, and by automated transactions.
Systems sharpen the competitive edge in other ways as well.
Warehouses run with computers store products and supplies more efficiently, thereby reducing the overall square footage required. Shipping and receiving functions coexist more peacefully, thereby reducing labor costs. Computer use has evolved from hidden rooms and paper output to real time monitoring and process control. These process oriented systems increase effectiveness and lower costs, but they also increase corporate dependence on systems. While lack of a decision support system may have impacts on future competitive posture or cash flow, the absence of process control systems precipitates a work stoppage.