Definition

External strategic systems

External strategic systems are a kind of strategic information systems that are used primarily by external entities in the business environment, such as customers, clients, suppliers, and distributors, and have a value added component that gives developers some time to reap the benefits of system innovation.

Benefits of External Strategic Systems:

  • Increased customer satisfaction and control.
  • Reduction in transaction costs.
  • Increased market share.
  • Reduction of processing costs.
  • Ability to change higher prices because of value-added component.
  • Increase in profit margins
Share it:  Cite

More from this Section

  • Work-group Information System (WIS)
    Work-group Information System (WIS) is a system designed to support group decision ...
  • Mixed Chaining
    Mixed Chaining refers to the use of both forward chaining and backward chaining to solve ...
  • Database model
    Database model is a way of organizing data and its interrelationships. It represents the ...
  • Windows
    The windows refer to the operating system, developed by Microsoft, expands on the DOS ...
  • Accounting software
    Accounting software is a type of general-purpose software that helps companies automate ...