Although a numberof approaches toselecting applicationsoftwarepackages for information systems have been described (Breslin, 1986; Curry & Bonner, 1983; Government Finance Officers Association, 1984; Martin & MeClure, 1983; Meador & Mezger, 1984), they omit critical evaluation and selection functions. Such important functions include (1) assuring that the software package selected is superior to a custom alternative, and (2) a screening process to reduce the number of packages subjected to detailed evaluation. The method described in this article ensures thata packaged system is superior to a custom-built one at each phase of the process, while reducing the numberof software products at each successivephase until the final selection of a packaged system is confirmed or a customsystem is chosen as the best alternative.