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Chapter 9. Decision Support Systems. Agenda. DSS DSS Components Other Types of DSS Group DSS. DSS. Sprague / Carlson: “Computer-based system that helps the decision maker confront ill-structured problems through direct interaction with data and analysis models . ”.
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Chapter 9 Decision Support Systems
Agenda • DSS • DSS Components • Other Types of DSS • Group DSS
DSS Sprague / Carlson: “Computer-based system that helps the decision maker confront ill-structured problems through direct interaction with data and analysis models.”
DSS Philosophy • Aid decision maker • Not replace (ES) • Decision maker remains in control • Not always best decision • Change / flexibility • Quick response
DSS Characteristics • Large amounts of data • Different data sources • Tailored to decision maker: • judgment • knowledge • intuition • style • personal traits
DSS Characteristics • Graphically oriented • Optimize / heuristics • “What if”(sensitivity) analysis • Goal-seeking analysis • Unstructured problems
Agenda • DSS • DSS Components • Other Types of DSS • Group DSS
DSS Major Components • Database • DSS software • Graphical interface • Model base • Decision maker
Model Base • Financial • Statistical Analysis • Management Science • Operations research
Financial Models • Cash Flow • Return on investment • Portfolio Analysis • Stock market • Advertising
Statistical Analysis • Descriptive (summary) • Trend projection • Hypothesis testing • Regression analysis
Management Science • Inventory • Queuing (Line) • Network
Agenda • DSS • DSS Components • Other Types of DSS • Group DSS
Other Types of DSS • Executive information System (EIS) • Timely information • Direct access by users • Executive support system (ESS) • Analysis support • Communication • Office automation • Intelligence (automation)
Other Types of DSS • Online analytical processing • Analytical tools • Database • Simulation • Math models • Experiments under different circumstance • Visual interactive model (VIM) • Visual interactive simulation (VIS)
DSS Examples • Kmart • Price evaluation • Southern Railway • Train dispatching and forecasting • Texas Oil & Gas • Potential drilling sites
Agenda • DSS • DSS Components • Other Types of DSS • Group DSS
Group Decision Support System (GDSS) Interactive computer-based system facilitating solution of unstructured problems by a set of decision makers working together as a group.
GDSS Components • Database • Model base • GDSS processor • Groupware • Dialogue manager • Users
GDSS Benefits • Group meeting efficiency • Quality of decisions • Alternatives examined • Participation / contribution • Those who would otherwise be silent • Better decision outcomes
Points to Remember • DSS • DSS Components • Other Types of DSS • Group DSS
Discussion Questions • Does your organization use DSS? • How? • How could your organization use a DSS? • What problems do you see with DSS? • GDSS is based on the assumption that anonymity is desired. How important is anonymity in groups? • at work? • in class?
Assignment • Review chapters 7-9 • Read chapter 10, chapters 2-3 (Morrison) • Group assignment • Research paper