10/19/1977 (2) - Laserfiche WebLink

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OPTION PAPER The present data processing operation is not really paying it's way.. The work which is now being done by the computer could be done cheaper by hand. We are left with two choices. Unplug the computer and go back to manual systems, or increase our use of this resource. The rationale for choosing the first course of action would be immediate reduction in tangible costs. Several new clerical employees would be required. However, the savings in computer rental and technical staff elimination would more than offset the new salaries and amortization of furniture and floor space expenses. There are several considerations for choosing the second course. If we chose to abandon electronic data processing at this time, we know that a point would be reached in the future when we would be forced to consider it again. If computerization of certain functions is, indeed,.inevitable it is wiser to work the problems while they are small and still manageable. We now have a sizeable. investment in programs and training. It would be inefficient to sacrifice these at this time and duplicate the costs later. The intangible side of the equation should also be considered. Just as we pay for the intangible benefits of insurance, the present systems offer several intangible benefits. Having information sooner often makes the information more accurate and valuable. Providing the Board with better historical data at budget meetings will allow better budgetary control. Helping the Finance Director to control cash balances will allow reduced idle cash and improve interest m-enue from short term investment. Providing better controls will improve audits and provide a safeguarding of taxpayers money Rot available from insurance companies. And perhaps most importantly, increased responsiveness will help us to improve our good relationship with our real employers, the taxpayers. I therefore recommend that the second course of action be chosen. -i- .P OCT 191971