This booklet describes the lessons learned in introducing a computer system in a nursing home. It is suggested that a computer system can open up channels of communication, increase accountability, reduce time spent on paperwork, satisfy the information needs of regulators, and improve resident care planning. Criteria for selecting a computer system are discussed, focusing on the three major tasks of software selection, hardware selection, and software modification. Criteria used to evaluate vendors are listed: specific features provided; equipment used; cost of system; sample reports generated by the system; and training provided with system. The training and orientation of employees in the proper use of the program is claimed to be the most important step of implementing a computer program. It is recommended that the orientation program discuss misconceptions about computers; the purpose of implementing the computer program; procedures on the use of the system; and how the program will change job tasks and specific tasks in which the computer will assist staff. The report concludes that the computer can result in improved use of staff time; decreased cost of reports and information; an increase in usefulness of information, and motivation and morale of staff; improved communication and integration of staff and management; and increased resident satisfaction and improved resident care planning. (ABL)