Conversion to client/server technology from a legacy mainframe computing system was an integral component of TelogyInc.’sstrategytore-engineertheorganization. This paper summarizes many issues addressed by Telogy, Inc. in the decision to replace its legacy mainframe computer system with a client/server system, a major component of re-engineering the entire organization. The new client/server system helped T elogy to achieve the lowest cost of operations in the industry and one of the highest revenue- per-employees ratios in the business world as well as an annual gross margin of 33 percent. Even though the new client/server system is more expensive than its predecessor mainframe, the overall benefits exceed the costs. Measurable benefits were achieved in areas of sales/marketing, orders/inventory/shipping/billing, imaging, purchasing/sourcing, vendor/customer chain, customer service, and productivity software.