The analysis and design of an information system, done well, often eliminates jobs in a company. Economic theory strongly supports the creation of new jobs when this happens, but generally there is a time lag between the loss and creation of jobs. Support or contradict this theory.
A well defined and implemented informational system can eliminate positions within a company. Usually, this is due to a number of factors, including efficiency and redundancy. An information system is only as good as it was developed to be. Quite often, those involved with the development of the new information system, are the very ones whose jobs are on the line.
A traditional paper Informational System consists of a myriad of complex filing and organizing skills. Many office workers have spent their entire lives developing ways to efficiently store and retrieve data, found in paper format. Books have been even been written on the subject. Hundreds of thousands of dollars have been spent on organizing paper. Even today, many companies are still relying on ?wet copy' forms to be stored and archived. These archaic systems once employed tens of thousands of workers to organize and store documents for archival and retrieval methods.
Banks are a great example. At one time checks were written by a customer (1) to pay for some debt or service. That check was taken to the depositor's bank and presented to a teller (2). The teller would accept the check for deposit into the payee's account. The check would be organized with other checks drawn from the same bank (3). A telephone message would be generated (4), and sent (5) to the respected banks with all of the checks presented from that day tallied up. The payor's bank would receive the message (6) and process (7) it. ...