chap06-py-part2

An Overview of Decision Support Systems : 

An Overview of Decision Support Systems

Capabilities of a Decision Support System (1) : 

Capabilities of a Decision Support System (1) Support for problem-solving phases Intelligence, design, choice, implementation, monitoring Support for different decision frequencies Ad hoc DSS: Concerned with decisions that come up once in every 5 years (e.x., where should a company open a new distribution center?) Institutional DSS: Concerned with decisions that repeat (e.x., what should the company invest in?

Capabilities of a Decision Support System (2) : 

Capabilities of a Decision Support System (2) Support for different problem structures Highly structured problems: Known facts and relationships Semi-structured problems: Facts unknown or ambiguous, relations vague E.x.Which person to hire for a position? Support for various decision-making levels Operational level: Daily decisions Tactical level: Planning and control Strategic level: Long-term decisions

Support for Various Decision-Making Levels : 

Support for Various Decision-Making Levels

Selected DSS Applications : 

Selected DSS Applications

Comparison of DSSs and MISs : 

Comparison of DSSs and MISs

Components of a DSS : 

Components of a DSS

Conceptual Model of a DSS : 

Conceptual Model of a DSS

The Database : 

The Database Data in databases, data marts, warehouses Use data mining to help with the decisions Ex. Who should an airline target for flights from Istanbul to Ankara?

The Model Base : 

The Model Base Decision makers perform quantitative analysis on data Model base contains a list of models for mathematical computations Model management system: Allows access to such models

The Model Base : 

The Model Base

Group Decision Support Systems : 

Group Decision Support Systems

Configuration of a DSS : 

Configuration of a DSS

Characteristics of a GDSS (1) : 

Characteristics of a GDSS (1) Special design: Effective communication Group decision making Ease of use Flexibility Accommodate different perspectives Anonymous input Individuals’ names are not exposed Parallel communication

Characteristics of a GDSS (2) : 

Characteristics of a GDSS (2) Decision-making support Delphi approach: Decision makers are scattered around the globe Brainstorming: Say things as you think---think out loud Group consensus approach: The group reaches a unanimous decision (everybody agrees) Nominal group technique: Voting Reduction of negative group behavior A trained meeting facilitator to help with sidetracking Automated record keeping

Examples of GDSS Software : 

Examples of GDSS Software Lotus Notes Store, manipulate, distribute memos Microsoft Exchange Keep individual schedules Decide on meeting times NetDocuments Enterprise Two people can review the same document together

GDSS Alternatives : 

GDSS Alternatives

The GDSS Decision Room : 

The GDSS Decision Room

Executive Support Systems : 

Executive Support Systems

The Layers of Executive Decision Making : 

The Layers of Executive Decision Making

Executive Support Systems (ESS) in Perspective : 

Executive Support Systems (ESS) in Perspective Tailored to individual executives Not to managers in other levels Easy to use Drill down capabilities Support need for external data Can help when uncertainty is high Future-oriented Linked to value-added processes

Capabilities of an ESS (1) : 

Capabilities of an ESS (1) Support for defining an overall vision Organization’s product lines and services Support for strategic planning Predict future trends Analyze merger possibilities Support for strategic organizing & staffing Choice of departments Pay raises

Capabilities of an ESS (2) : 

Capabilities of an ESS (2) Support for strategic control Monitor and manage the overall organization Support for crisis management Put together a contingency plan

Summary : 

Summary Decision-making phase - includes intelligence, design, and choice Problem solving - also includes implementation and monitoring Decision approaches - optimization, satisficing, and heuristic Management information system - an integrated collection of people, procedures, databases, and devices that provide managers and decision makers with information to help achieve organizational goals

Summary : 

Summary Decision support system (DSS) - an organized collection of people, procedures, software, databases, and devices working to support managerial decision making Group decision support system (GDSS) - also called a computerized collaborative work system, consists of most of the elements in a DSS, plus software needed to provide effective support in group decision-making settings Executive support systems (ESSs) - specialized decision support systems designed to meet the needs of senior management