Chapter 10: Decision Support Systems

the manufacturing

MIS subsystems and outputs are used to monitor and control the flow of materials, products, and services through the organization

Define the term DSS and briefly describe the basic capabilities of a DSS

a decision support system (DSS) is an organized collection of people, procedures, software, databases, and devices used to help make decisions that solve problems (used at all levels). The focus of a DSS is on decision-making effectiveness regarding unstructured or semistructured business problems. A DSS provides rapid access to information, handles large amounts of data from different sources, provides report and presentation flexibility, offers both textual and graphical orientation, supports drill-down analysis, and performs complex, sophisticated analyses.

the group consensus

approach forces members of a decision making group to reach a unanimous decision

structured decisions

are ones where the variables that comprise the decision are known and can be measured quantitatively

decision support systems

are used for operational, tactical, and strategic decision making

subsystems for the marketing MIS and their outputs help marketing managers and executives to

develop plans for future products

a typical DSS includes many components such as the ________ _______ that allows decision makers to easily access and manipulate the DSS and to use common business terms and phrases

dialogue manager

the inference engine

is NOT a component of the typical DSS (components: database, user interface, model base)

the ability to use internal data stored in the computer system

is a characteristic of a MIS

the ability to provide to provide easy access to financial data through use of a corporate intranet to access corporate Web pages

is a function of a financial MIS

delphi approach

is a structured, interactive, iterative decision-making method that relies on input from a panel of reports

a profit center

is an independent business unit that is treated as a distinct entity enabling its revenues and expenses to be determined and its profitability to be measured

a key-indicator report

is the management report that summarizes previous day's critical activities and is typically available at the start of each workday

the design stage

is the second stage in the problem solving process during which alternative solutions to the problem are developed and their feasibility is evaluated

the goal of computer integrated manufacturing (CIM)

is to tie together all aspects of production, including order processing, product design, manufacturing and quality control, and shipping

teleconferencing

is used when the decision frequency is low and the location of group members is distant

an advantage of using the nominal group technique is that

it encourages participation from everyone

the choice stage

of the problem solving process requires selecting a course of action

the performance of design support systems is typically a function of design quality, decision-making speed, and

problem complexity

exception

reports are management reports that are automatically produced when a situation is unusual or requires management action

developers of group support systems

try to build on the advantages of individual support systems while adding new approaches unique to group decision making

a marketing MIS

uses data gathered from both internal and external sources to provide reporting and aid decision making in areas of product development, distribution, pricing, and promotions

the most significant internal data sources for a MIS are the organization's

various TPS and ERP systems and related databases

the focus of a DSS is on decision-making _____________ when faced with unstructured or semistructured business problems

effectiveness

an effective human resource MIS

enables an organization to keep personnel costs at a minimum while serving the required business processes needed to achieve corporate goals

Identify and briefly describe the various kinds of reports frequently produced by a MIS

1) Scheduled reports: produced periodically, such as daily, weekly, or monthly (key-indicator report summarizes the previous day's critical activities) 2) Demand reports: developed to provide certain information upon request 3) Exception reports: automatically produced when a situation is unusual or requires management action. Trigger points should be set carefully 4) Drill-down reports: provide increasingly detailed data about a situation

Briefly describe the five stage decision making process

1) identify the problem and uncertainties 2) obtain information 3) make predictions about the future 4) make decisions by choosing among alternatives 5) implement the decision, evaluate performance, and learn