Organization of the Systems Functions in Engineering And Construction
Organization of the Systems Functions in Engineering And Construction
Thomas Jay Lazear
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The cost of data processing to engineering and construction companies as a fraction of their earnings before tax has grown to become a significant number decreasing from 38% for small companies to 24% for large companies, and rising somewhat to 28% for very large companies. T 30 THE PAST AND THE FUTURE The results of this analysis imply that centralization of decision making and control, of systems development, and of systems operation has been desirable for engineering and construction compani...es. The larger companies which had larger systems staffs were able to develop a greater number of systems that were generally more integrated than those of the smaller companies and were more standard throughout their companies. Also, the larger companies now operate their systems for a smaller dollar cost per employee than the smaller companies. So much for the past, now what on the future? The following two sections explore the tendencies toward and away from hardware centraliza- tion based on forecasts of technology developments and what was learned from the survey.
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