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2. Enterprise Decision Support Systems . DSS to provide enterprise-wide supportExecutivesMany decision makers in different locationsEnterprise Resource Planning (ERP) systems. 3. Enterprise Systems: Concepts and Definitions . Executive information systems (EIS)Executive support systems (ESS)Enterprise information systems (EIS).
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1. 1 CHAPTER 8 Enterprise Decision
Support Systems
2. 2 Enterprise Decision Support Systems DSS to provide enterprise-wide support
Executives
Many decision makers in different locations
Enterprise Resource Planning (ERP) systems
3. 3 Enterprise Systems: Concepts and Definitions Executive information systems (EIS)
Executive support systems (ESS)
Enterprise information systems (EIS)
4. 4 DSS and ODSS
1980s: Top execs get Executive Information Systems
1995+’s: Move to everybody’s information systems and enterprise information systems
Definitions follow Evolution of Executive and Enterprise Information Systems
5. 5 Executive Information System (EIS) A computer-based system that serves the information needs of top executives
Provides rapid access to timely information and direct access to management reports
Very user-friendly, supported by graphics
Provides exceptions reporting and "drill-down" capabilities
Easily connected to the Internet
Drill down
6. 6 Executive Support System (ESS) Comprehensive support system that goes beyond EIS to include
Communications
Office automation
Analysis support
Intelligence
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8. 8 Enterprise Information System Corporate-wide system
Provides holistic information
From a corporate view
Part of enterprise resource planning (ERP) systems
For business intelligence
Leading up to enterprise information portals and knowledge management systems
9. 9 Executives’ Role and Their Information Needs Decisional Executive Role (2 Phases)
1. Identification of problems and/or opportunities
2. The decision of what to do about them
Flow chart and information flow (Figure 8.1)
Use phases to determine executives’ information needs
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11. 11 Methods for Finding Information Needs Wetherbe's Approach
1. Structured Interviews
IBM's Business System Planning (BSP)
Critical Success Factors (CSF)
Ends/Means (E/M) Analysis
2. Prototyping
Watson and Frolick's Approach
Asking (interview approach)
Deriving the needs from an existing information system
Synthesis from characteristics of the systems
Discovering (Prototyping)
Ten methods
Other Methods
12. 12 Characteristics of EIS Drill down
Critical success Factors (CSF)
Status access
Analysis
Exception reporting
Colors and audio
Navigation of information
Communication
13. 13 Critical Success Factors (CSF) Monitored by five types of information
1. Key problem narratives
2. Highlight charts
3. Top-level financials
4. Key factors (key performance indicators (KPI))
5. Detailed KPI responsibility reports
14. 14 Critical Success Factors
15. 15 Characteristics and Benefits of EIS (Table 8.1) Quality of information
User interface
Technical capability provided
Benefits
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17. 17 Comparing and Integrating EIS and DSS
Tables 8.2 and 8.3 compare the two systems
Table 8.2 - DSS definitions related to EIS
Table 8.3 - Comparison of EIS and DSS
EIS is part of decision support
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20. 20 EIS vendors - easy interfaces with GSS
Some EIS built in Lotus Domino / Notes
Comshare Inc. and Pilot Software, Inc. - Lotus Domino/Notes-based enhancements and Web/Internet/Intranet links Integrating EIS and Group Support Systems
21. 21 Traditional EIS Software Major Commercial EIS Software Vendors
Comshare Inc. (www.comshare.com)
Pilot Software Inc. (www.pilotsw.com)
Application Development Tools
In-house components
Comshare Commander tools
Pilot Software’s Command Center Plus and Pilot Decision Support Suite
22. 22 EIS
Data access
Data warehousing
OLAP
Multidimensional analysis
Presentations
Web
23. 23 Multidimensional Analysis Easy to develop an EIS in an OLAP system
Most are Web-ready
Can tap into data in a data warehouse via the Web
Use advanced visualization tools
24. 24 Representative OLAP / Multidimensional Analysis Packages BrioQuery (Brio Technology Inc.)
Business Objects (Business Objects Inc.)
Decision Web (Comshare Inc.)
DataFountain (Dimensional Insight Inc.)
DSS Web (MicroStrategy Inc.)
Focus Fusion (Information Builders Inc.)
InfoBeacon Web (Platinum Technology Inc.)
Oracle xpress Server (Oracle Corporation)
Pilot Internet Publisher (Pilot Software Inc.)
25. 25 Including Soft Information in EIS Soft information is fuzzy, unofficial, intuitive, subjective, nebulous, implied, and vague
26. 26 Soft Information Used in Most EIS Predictions, speculations, forecasts, estimates (78.1%)
Explanations, justifications, assessments, interpretations (65.6%)
News reports, industry trends, external survey data (62.5%)
Schedules, formal plans (50.0%)
Opinions, feelings, ideas (15.6%)
Rumors, gossip, hearsay (9.4%)
Soft Information Enhances EIS Value
27. 27 Organizational DSS (ODSS) Three Types of Decision Support
Individual
Group
Organizational
Hackathorn and Keen (1981)
28. 28 Organizational decision support focuses on an organizational task or activity involving a sequence of operations and actors
Each individual's activities must mesh closely with other people's work
Computer support is for
Improving communication and coordination
Problem solving
29. 29 Definitions of ODSS A combination of computer and communication technology designed to coordinate and disseminate decision-making across functional areas and hierarchical layers in order that decisions are congruent with organizational goals and management's shared interpretation of the competitive environment (R. T. Watson, 1990)
A DSS that is used by individuals or groups at several workstations in more than one organizational unit who make varied (interrelated but autonomous) decisions using a common set of tools (Carter et al., 1992)
30. 30 A distributed decision support system (DDSS). Not a manager's DSS, but supports the organization's division of labor in decision making (Swanson and Zmud, 1990)
Apply the technologies of computers and communications to enhance the organizational decision-making process. Vision of technological support for group processes to the higher level of organizations (King and Star, 1990)
31. 31 Common Characteristics of ODSS (George, 1991) Focus is on an organizational task or activity or a decision that affects several organizational units or corporate problems
Cuts across organizational functions or hierarchical layers
Almost always involves computer-based technologies, and may involve communication technologies
Can Integrate ODSS with Group DSS and Executive Information Systems
ODSS are an enterprise information system directly concerned with decision support
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39. 39 George, Nunamaker & Valacich, 1992: Classification of ODSS based on Key Issues
40. 40 George, Nunamaker & Valacich, 1992: Classification of ODSS based on Key Issues
41. 41 George, Nunamaker & Valacich, 1992: Classification of ODSS based on Key Issues
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52. 52 Supply and Value Chains and Decision Support Supply chain: (originally) flow of materials from sources to internal use
Demand chain: flow from inside to customers
53. 53 Supply Chain The flow of materials, information, and services from raw material suppliers through factories and warehouses to the end customers
Includes the organizations and processes that create and deliver value to the end customers
54. 54 Supply Chain Management (SCM) To deliver an effective supply chain and do it effectively
To plan, organize, and coordinate the supply chain’s activities
55. 55 SCM Benefits Reduction in uncertainty and risks in the supply chain
Positively affect
inventory levels
cycle time
processes
customer service
Increase profitability
56. 56 Supply Chain Components Upstream
Internal supply chain
Downstream
Involves product life cycle activities
Example (Figure 8.2)
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59. 59 Supply ChainRelated to Porter’s (1985)Value Chain 1. Inbound logistics (inputs)
2. Operations (i.e manufacturing)
3. Outbound logistics (i.e. storage, distribution)
4. Marketing and Sales
5. Service
60. 60 Supply Chain Problems Uncertainty in the demand forecast
Uncertainty in delivery times
Quality problems
Poor customer service
High inventory costs
Low revenue
Extra costs
61. 61 Solutions to Supply Chain Problems Outsourcing
Buy, not make
Configure optimal shipping plans
Optimize purchasing
Strategic partnerships with suppliers
Just-in-time delivery of purchases
Reduce intermediaries
Reduce lead times (EDI)
Use fewer suppliers
Improve the supplier-buyer relationships
Build-to-order
Accurate demand by working with suppliers
62. 62 Computerized Systems MRP
ERP
SCM
Integrating the supply chain
63. 63 Enterprise Resource Planning (ERP) Objective: integrate all departments and functions across an organization into a single computer system that can serve the entire enterprise’s needs
64. 64 ERP Software Vendors SAP
Baan
PeopleSoft
Oracle
J.D. Edwards
Computer Associates
65. 65 ERP Very (VERY!) expensive
2nd generation: doing better
Early 2000: moving to Web
Will fail if an organization’s business processes do not fit the ERP system’s model
66. 66 Application Service Providers and ERP Outsourcing ASP: software vendor who leases ERP-based applications
Outsourcing
Now via the Web
67. 67 Corporate (Enterprise) Portals and EIS Integrates internal applications with external applications
Generally via the Web
Can include
groupware technologies
presentation and customization
publishing and distribution
search
categorization
integration
68. 68 Frontline Decision Support Systems Process of automating decision processes and pushing them down into the organization and even partners
Includes empowering employees
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70. 70 Future of Executive and Enterprise Support Systems Toolbox for customized systems
Multimedia support
Better access (via PDFs and cell phones)
Virtual Reality and 3-D Image Displays
Merging of analytical systems (OLAP / multidimensional analysis)) with desktop publishing
Client/server architecture
Web-enabled EIS
Automated support and intelligent assistance
Integration of EIS and Group Support Systems
Global EIS
Integration and deployment with ERP products