The Reengineered System
This system addresses many of the operational weaknesses found in the basic batch system.
Specifically, the improvements in this system are that (1) it uses real-time procedures and
direct-access files to shorten the lag time in recordkeeping; (2) it eliminates routine manual
procedures through automation; and (3) it achieves a significant reduction in paper
documents by using electronic communications between departments and by storing
records on direct-access media. These operational improvements, however, carry control
implications