Page 129 - Using MIS

Q7 How Do Information Systems Provide Competitive Advantages? 97

Figure 3-14
ABC, Inc., Web Page to Select a
Recipient from the Customer’s
Records

By adding this capability to the shipment scheduling system, ABC has extended its product from
a package-delivery service to a package- and information-delivery service.
Figure 3-17 shows one other capability of this information system. It has generated a ship-
ping label, complete with bar code, for the user to print. By doing this, the company not only
reduces errors in the preparation of shipping labels, but it also causes the customer to provide
the paper and ink for document printing! Millions of such documents are printed every day, re-
sulting in a considerable savings to the company.

How Does This System Create a Competitive Advantage?

Now consider the ABC shipping information system in light of the competitive advantage fac-
tors in Figure 3-12. This information system enhances an existing service because it eases the
effort of creating a shipment to the customer while reducing errors. The information system
also helps to differentiate the ABC package delivery service from competitors that do not have

Figure 3-15
ABC, Inc., Web Page to Select
a Contact from the Customer’s
Records