"We can do reconciliation right on the spot," says Joe Inzerillo, Bismarck's director of technical services, adding that he expects the system will save the company about $100,000 a year in time and labor.

"They used to hand-count everything once a month, and it would take between 48 and 72 hours to do inventory," says John Simon, business development manager at Braxton Butterfield Consulting, a developer of remote applications. Braxton Butterfield created the software--dubbed Fandemonium Inventory Management System--that Bismarck runs.

Observers say the flexibility and relatively low cost of handheld devices are driving more companies to deploy them. "The benefits of these platforms are becoming readily apparent, so this is fast becoming a competitive necessity for corporations," says Rebecca Dierck, director of wireless research at Cahners In-Stat Group. According to a recent Cahners survey, the total number of wireless handheld users will grow to 24 million by 2003.

Further driving the adoption of handheld technology in the workplace is the emergence of more software with cross-industry applications. Dry & Thirsty, a Farmingdale, N.J., beverage distributor, has begun equipping its field reps with Palm units running applications originally developed for a bottled water supplier. The system provides Dry & Thirsty drivers with customer-specific product, pricing, and accounts receivable data. Says Dry & Thirsty president Jeffrey Brown, "In terms of the efficiency this adds to our route management, this will pay for itself in about six months."