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Since the sales order processing function is essential to the generation of the firm's revenue, its efficiency may be measured by a productivity index representing the firm's revenue, preferably value-added revenue, per unit of its inputs. This index enables one to evaluate economic impacts of an information system on the function. In the past, information systems have helped to enhance the productivity of the function as they have evolved in steps by incorporating advances in computer technology into their design. The evolution mainly concerns how order data are prepared and entered into the computer system. Two cases are presented to illustrate such productivity enhancements.

Impacts of information systems on efficiency of sales order processing