1 / 41

Chapter 6:

Please turn off your cell phone. Chapter 6:. Topics:. Decision Making and Problem Solving Management Information Systems (MIS) Decision Support Systems (DSS) Group Decision Support Systems (GDSS) Executive Support Systems (ESS). Information and Decision Support Systems. DSS. MIS.

caine
Download Presentation

Chapter 6:

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Please turn off your cell phone. Chapter 6: Topics: • Decision Making and Problem Solving • Management Information Systems (MIS) • Decision Support Systems (DSS) • Group Decision Support Systems (GDSS) • Executive Support Systems (ESS) Information and Decision Support Systems

  2. DSS MIS One Sentence Summary • MIS’s support decision making for daily operations while DSS’s support decision making for specific unique and difficult decisions.

  3. Chapter 6.1 Decision Making & Problem Solving Key Terms • decision-making phase • intelligence stage • design stage • choice stage • problem solving • implementation stage • monitoring stage • programmed decisions • nonprogrammed decisions • optimization model • satisficing model • heuristics

  4. Decision Making Problem Solving Decision Making & Problem Solving Intelligence Stage Potential Problems and opportunities are identified and defined Design Stage Alternative solutions to the problem are developed Choice Stage Select a course of action Implementation Solution put into effect Monitoring Evaluate the implementation

  5. Decision Types • Programmed decisions • a decision made using a rule, procedure, or quantitative method. • Easy to computerize using traditional information systems • Non-programmed decisions • decisions that deal with unusual or exceptional situations • Not easily quantifiable

  6. Problem Solving Approaches • Optimization Model • find the best solution, usually the one that will beset help the organization meet its goals • Satisficing Model • find a good (but not necessarily the best) solution to a problem Heuristics: Commonly accepted guidelines or procedures that usually find a good solution

  7. Chapter 6.2 Overview of Management Information Systems Key Terms • scheduled reports • key-indicator report • demand reports • exception reports • drill-down reports • financial MIS • marketing MIS • human resource MIS • accounting MIS • geographic information system (GIS)

  8. MIS • Supports programmed decision making • Give companies a competitive advantage by providing the right information to the right people in the right format and at the right time. • Provides managers with information and support for effective decision making and provides feedback on daily operations. FSU Course Listing?

  9. Sources of Managerial Information

  10. Outputs of a Management Information System • Scheduled report: produced periodically, or on a schedule • Key-indicator report: summary of the previous day’s critical activities • Demand report: developed to give certain information at someone’s request • Exception report: automatically produced when a situation is unusual or requires management action • Drill-down report: provides increasingly detailed data about a situation

  11. Figure 10.4 REPORTS

  12. Figure 10.4 cont’d REPORTS

  13. Functional Aspects of the MIS • Most organizations are structured along functional lines or areas • The MIS can be divided along functional lines to produce reports tailored to individual functions

  14. Functional Aspects of the MIS Figure 6.5: The MIS is an integrated collection of functional information systems, each supporting particular functional areas.

  15. Financial Management Information Systems • Financial MIS: provides financial information to all financial managers within an organization • Profit/loss and cost systems • Auditing • Uses and management of funds

  16. Human Resource Management Information Systems • Human resource MIS: concerned with activities related to employees and potential employees of an organization • Needs and planning assessments • Recruiting • Training and skills development

  17. Other Management Information Systems • Accounting MIS: provides aggregate information on accounts payable, accounts receivable, payroll, and many other applications • Geographic information system (GIS): capable of assembling, storing, manipulating, and displaying geographic information

  18. Chapter 6.3 Overview of Decision Support Systems Key Terms • ad hoc DSS • institutional DSS • highly structured problems • semistructured or unstructured problems

  19. An Overview of Decision Support Systems • A DSS is an organized collection of people, procedures, software, databases, and devices used to support problem-specific decision making and problem solving • The focus of a DSS is on decision-making effectiveness when faced with unstructured or semistructured business problems

  20. Support for Different Decision Frequencies • Ad hoc DSS • Deals with situations or decisions that come up only a few times during the life of the organization • Institutional DSS • deals with situation or decisions that occur more than once, usually several times a year or more. • Usually repeated and refined over the years

  21. Support for Different Problem Structures • Highly structured problems • Straightforward and require known facts and relationships • Semistructured of unstructured problems • Relationships among the data are not always clear • Data may be a variant of formats • Data is often difficult to manipulate or obtain

  22. Chapter 6.4 Components of a Decision Support System Key Terms • dialogue manager • model base • model management software (MMS)

  23. Components of a Decision Support System • Model base: provides decision makers access to a variety of models and assists them in decision making • Financial models • Spreadsheets often used • Statistical analysis models • Graphical models • Charts, Maps • Project management models • Timeline tracking of resources and tasks

  24. Components of a Decision Support System • Database • External database access • Access to the Internet and corporate intranet, networks, and other computer systems • Dialogue manager: allows decision makers to easily access and manipulate the DSS and to use common business terms and phrases

  25. Model Management Software (MMS) • MMS • The software that coordinates the use of models in a DSS

  26. Components of a DSS Figure 6.11: Conceptual Model of a DSS

  27. Chapter 6.5 Group Support Systems Key Terms • group support system (GSS) • delphi approach • brainstorming • group consensus approach • nominal group technique • decision room • virtual workgroups • executive support system (ESS) • strategic planning

  28. Group Support Systems • Group support system (GSS) • Consists of most elements in a DSS, plus software to provide effective support in group decision making • Also called group decision support system or computerized collaborative work system

  29. Group Support Systems Components Figure 6.12: Configuration of a GSS

  30. Decision-Making Support • Delphi Approach • Group decision makers are geographically dispersed throughout the country or world • encourages diversity among group members • fosters creativity and original thinking • Brainstorming • Often consists of members offering ideas “off the top of their heads”

  31. Decision-Making Support • Group consensus approach • Forces members in the group to reach a unanimous decision • Nominal group technique • Encourages feedback from individual group members, and the final decision is made by voting, similar to the way public officials are elected

  32. GSS Software • Often called groupware or workgroup software • Helps with joint workgroup scheduling, communication, and management • Examples: Lotus Notes, Microsoft’s NetMeeting, Microsoft Exchange, NetDocuments Enterprise, Collabra Share, OpenMind, TeamWare • Some transaction processing and enterprise resource planning packages include collaboration software

  33. Characteristics of a GSS • Special design • Ease of use • Flexibility • Decision-making support • Anonymous input • Reduction of negative group behavior • Parallel communication • Automated record keeping

  34. GSS Alternatives Figure 6.13: GSS Alternatives

  35. GSS Alternatives Decision Room Figure 6.14: The GSS Decision Room

  36. GSS Alternatives Wide Area Decision Network • Virtual Workgroups • Teams of people who are located around the world working on common problems

  37. Executive Support Systems (ESS) • ESS • A specialized DSS that includes all hardware, software, data, procedures, and people used to assist senior-level executives with the organization • Easy to use • Drill down capabilities • Access to external data • Can help when uncertainty is high • Future-oriented • Linked to value-added processes.

  38. Layers of Executive Decision Making

  39. Capabilities of an ESS • Support for Defining an Overall Vision • Support for Strategic Planning • The process for determining long-term objectives by analyzing the strengths and weaknesses of the organization, predicting future trends, and projecting the future development of new product lines • Support for Strategic Organizing & Staffing • Support for Strategic Control • Support for Crisis Management

  40. Review • The decision making process. • MIS provides feedback on daily operations. • 5 types of MIS reports. • MIS is used in functional units of an organization. • DSS supports problem-specific non-programmed decision making. • GDSS and ESS

  41. ? Questions? ? ? ? ?

More Related