What are tangible benefits of information systems?

Study for the Information Technology Applications 203C (ITA203C) FE Test. Utilize flashcards and multiple-choice questions, each with hints and explanations. Prepare effectively for your exam!

Tangible benefits of information systems refer to the measurable and quantifiable advantages that can be directly linked to the deployment of such systems within an organization. The correct answer emphasizes aspects like reduced workforce, lower outside vendor costs, and increased productivity, all of which illustrate clear financial impacts that can be tracked and analyzed.

Reduced workforce indicates that the efficiency gained from implementing information systems may lead to a decrease in personnel required for certain tasks due to automation or improved processes. This directly results in lower labor costs for the organization.

Lower outside vendor costs reflect a reduction in the reliance on external services, as effective information systems can streamline operations and improve in-house capabilities. Savings in this area can be significant, allowing organizations to allocate resources more effectively.

Increased productivity signifies that with better data management, communication, and automated processes, employees can accomplish more in less time, ultimately contributing to the overall profitability of the organization. Increased productivity can be a direct measure of performance improvement, often leading to higher sales and reduced operational delays.

In contrast, other options may include factors like organizational learning or job satisfaction, which, while beneficial, are often more subjective and difficult to quantify as direct financial savings or revenues. Tangible benefits focus specifically on what can be clearly counted or measured, making this

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