dss concepts
TRANSCRIPT
-
8/3/2019 DSS Concepts
1/18
Basic Concepts of Decision
Support Systems
-
8/3/2019 DSS Concepts
2/18
DecisionSupportSystems
Is it morningor evening?
-
8/3/2019 DSS Concepts
3/18
Concepts from: A Framework forManagement Information Systems
byG. Anthony Gorry and Michael S. Scott
MortonSloan Management Review, 1971
Credited with coining the termdecision support system
The most cited article ever
published in Sloan ManagementReview
-
8/3/2019 DSS Concepts
4/18
Stages of Decision Making
(From Herbert Simon) Intelligence (in the military sense of gathering
information)
Design (Identifying the alternatives,structuring how the decision will be made) Choice (Picking an alternative or making the
judgment)
[Implementation
later added by otherauthors] [Evaluation]
-
8/3/2019 DSS Concepts
5/18
Structured vs UnstructuredDecision Stages
Each stage can be Structured (automated) orUnstructured
Structured means that there is an algorithm,
mathematical formula, or decision rule toaccomplish the entire stage. The algorithm canbe implemented manually or it can becomputerized, but the steps are so detailed thatno little or no human judgment would beneeded.
Any decision stage that is not structured isunstructured
-
8/3/2019 DSS Concepts
6/18
Structured, Semi-structured, andunstructured decisions
In a structured decision all three stagesare structured
In a non-structured decision all threestages are unstructured
A semi-structured decision is one in whichpart, but not all, of the decision isstructured.
-
8/3/2019 DSS Concepts
7/18
Key point:
The realm of Decision Support Systemsis Semi-Structured and unstructuredDecisionsthe type of decisions that
can benefit from decision support butthe human decision maker is stillinvolved.
-
8/3/2019 DSS Concepts
8/18
-
8/3/2019 DSS Concepts
9/18
GSMs Framework
Managerial Activity (Anthony)
Decisiontype(Simon
Operationalcontrol
Manage-ment
control
Strategicplanning
Structured
Semi-structured
Unstructured
-
8/3/2019 DSS Concepts
10/18
Some Organizing Frameworks
and Examples of DSS
-
8/3/2019 DSS Concepts
11/18
Alter (1977, 1980)
Category Example Features Capability focuses on
File Drawer Equipment monitoring Simple query and reporting Looking up data
Data Analysis Budget analysis,variance monitoring
Many data warehouse apps. Looking up data and having itaggregated in some useful way
Analysis info. Sys. Sales forecastingbased on marketingdata
DB + small models Mathematical model (e.g.,regression)
Accounting andfinancial
Estimating effect ofdecisions on financial
statements
What if Letting you change inputs to seethe effect on outputs
Representationalmodels
Risk analysis,production planning
simulations Decision maker providingassumptions to system, systemgenerating a distribution of inputs,then generating a distribution ofoutputs
Optimization models Truck route planning,material usage
Algorithms generate optimalsolutions subject to constraints
Decision maker suppliesassumptions and systemgenerates best outcome
Suggestion models Credit scoring Structured processing steps DSS makes recommendation, butdecision maker has final say
-
8/3/2019 DSS Concepts
12/18
Text oriented DSS
DB-orientedSpreadsheet orientedSolver orientedRule oriented
Holsapple and Whinston (1996)Five types of DSS
-
8/3/2019 DSS Concepts
13/18
Hackathorn and Keen (1981)
Personal DSS
Group DSS
Organizational DSS
-
8/3/2019 DSS Concepts
14/18
Specific problem/organizationversus
general DSS generator
Can yousay
VISICALC?
-
8/3/2019 DSS Concepts
15/18
General Categories of DSS (FromPower, Chapter 1)
Data driven
Model driven
Knowledge driven Document driven
Communications driven and group DSS
Function specific or general DSS Web Based
}I squeezed
Alter to these3!
-
8/3/2019 DSS Concepts
16/18
DSS categorized by type of task(Jones)
Choice (pick one of several alternatives) Judgment (assessment or prediction) Ranking
More complex problem (has multiple, ofteninterrelated, parts) Diagnosis or scientific discovery (hypothesis
generation and testing) Pattern identification, sense-making Your fave?
-
8/3/2019 DSS Concepts
17/18
Source Power, Page 17, Figure 1.1
ExternalData
InternalData
DatabaseComponent
User Interface
Component
ModelComponent
CommunicationsComponent
Users
The Components of DSS
-
8/3/2019 DSS Concepts
18/18
DSS Classification Viewed fromthree Directions
Decision
Task Technology
DecisionMaker(s)