Competitive advantage in a company grows when the company is able to provide its clients with quality products and services at the appropriate time and place. Hospitals in America have used information technology to grow at the intended time, and send new products and services. According to the New York Times, the medical supply system in American hospitals has used information technology in maintaining competitive advantage (Khosrowpour, 2002, p.). A product has a competitive value when it provides more value to the users than other completive products or services. This value can be in symbolic terms, attributor, or both.
In the past century, many firms have been using information technology for operations and management of the company. However, companies have recently begun to use information technology to get the significant competitive advantage (Khosrowpour, 2002). For instance, American hospitals were the first to establish online order entry in hospitals and now they dominate the medical delivering business. The American hospitals set up ways to make reservation through computer, which has made it impossible for other companies to overcome them.
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The importance of products and services offered through the computer by American health supply system does not rely on how the information technology is sophisticated, or the reports it delivers. They are, however, established by examining how they play in the company’s need for competitive advantage (Khosrowpour, 2002). These are known as strategic information systems. The system helps in shaping and supporting the competitive advantage of the hospitals. They act as plans that help in gaining and maintaining the competitive advantage.
Information technologies such as computers and networks are highly taken as organization resources by the American hospital supply systems. They help to strategize in the companies’ businesses. This has made information technology be used in the top management of the hospitals. Information technology is very important since it has helped many American hospitals to become cost-effective. This is because of the high competition in the health industries.