Decision Support System

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DECISION SUPPORT SYSTEM Prepared by: Diana Rose Balictar

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Transcript of Decision Support System

DECISION SUPPORT SYSTEM

DECISION SUPPORT SYSTEMPrepared by:Diana Rose BalictarWhat is DSS? Decision Support System is a computer-based information system that supports business or organizational decision-making activities. is an interactive software-based system intended to help decision makers compile useful information from a combination of raw data, documents, and personal knowledge, or business models to identify and solve problems and make decisions.What is DSS? provides tool to manager to assist them in solving semi- structured and unstructured problems in their own. is an information system that support to managers for decision making.A brief History?Academic Researchers from many disciplines has been studying DSS for approximately 40 years.According to Keen and Scott Morton (1978), the concept of decision support has evolved from two main areas of research: the theoretical studies of organizational decision making done at the Carnegie Institute of Technology during the late 1950s and early1960s, and the technical work on interactive computer systems, mainly carried out at the Massachusetts Institute of Technology in the 1960s.

A brief History..It is considered that the concept of DSS became an area of research of its own in the middle of the 1970s, before gaining in intensity during the 1980s.In the middle and late 1980s, Executive Information Systems (EIS), group decision support systems (GDSS), and organizational decision support systems (ODSS) evolved from the single user and model-oriented DSS.

EVOLUTION OF DSS CONCEPTS1960S1970S1980S 1990SMIS & Structured ReportsBrand AidKeyboardData WarehouseInteractive System ResearchMDSEISOLAPTheory DevelopmentRDBMSExpert SystemsData MiningTYPES OF DSSMODEL- DRIVEN DSS includes system that use accounting, financial models, and representational models.2. DATA DRIVEN DSS file drawer & management reporting system, data warehousing, geographical information.TYPES OF DSS3. KNOWLEDGE DRIVEN DSS are computer systems with specialized problem solving expertise.4. DOCUMENT DRIVEN DSS is evolving to help manager retrieves & manage unstructured document.TYPES OF DSS5. COMMUNICATION DRIVEN GROUP DSS includes communication, collaboration and DSS technologies that do not fit within those DSS type hybrid.6. INTRA ORGANIZATIONAL DRIVEN DSS are design for use by individuals to a company as standalone DSS or use group of managers in a company.TYPES OF DSS7. INTER ORGANIZATION DRIVEN DSS provide stakeholders with access to a companys intranet and authority or privileges to use specific DSS capabilities.8. FUNCTIONS OR SPECIFIC ON GENERAL PURPOSE help a person to accomplish specific decision task. help support broad task like project management, decision analysis and business planning.

TYPES OF DSS9. WEB BASED DSS is a computerized system that delivers decision support information or decision support tools to a manager or business analyst using their client web browser like internet explorer and mozilla firefox.CHARACTERS AND CAPABILITIES OF DSSProvide support in semi- structured and unstructured solutions, includes human judgement and computerized information. Support for various managerial levels. Support to individuals and group. Support to interdependent and/or sequential decisions. Support all phases of the decision- making process.CHARACTERS AND CAPABILITIES OF DSS6. Support a variety of decision making process of styles.7. Are Adaptive8. Have user friendly interfaces.9. Goal improve effectives of decision making.10. The decision maker controls the decision making process.11. End users can build simple systems.CHARACTERS AND CAPABILITIES OF DSS12. Utilizers models for analysis.13. Provides access to a variety of data sources format and types.14. Can be employed as a standalone tool used by an individual decision maker in one location in distributed throughout an organization and in several organizations along supply chain.OBJECTIVES OF DSS:1. Create allows the decision makers to make or create a much better or consistent decision in a timely manner.2. Helps a single person on group or group to come up with a decision.3. Inter dependent 4. Decision making has its own phrases that should be followed step by step procedure.

OBJECTIVES OF DSS:5. Data warehousing.6. Can easily adopt to the different changes.7. Can easily be understand on the sequences of the DSS.8. Computer proficiency.9. Improve the decisions for lesser mistakes.10. Decision maker can be individual or group.

OBJECTIVES OF DSS:11. End users can create a simple system for himself even if or a manual system.12. Can use the models to analyze decisions.13. All the information in any types of decision can be provided.14. Either a standalone of web- based format can be used.ALTERNATIVES OF DSSNEEDS OF DSS: DSS have become necessary for todays manager because of the following reason:FAST COMPUTATION A decision maker can perform a large number of computation very quickly and that too at a low cost with the help of computer support system.ALTERNATIVES OF DSS2. ENHANCED PRODUCTIVITY Decision support system can enhance the productivity of support staff and also enable the group members to disclose the problems among themselves as distance.3. BETTER DECISION Computer support system can help a decision maker in arriving at a better decision.ALTERNATIVES OF DSS4. DATA TRANSMISSION Sometimes the data, which may be stored at different locations, may be required to be transmitted quickly from distant locations. Computer support system can be search, stored and transmitted the required data quickly and economically.The requir20ROLE OF DSS IN BUSINESSDSS is computer based information for management decision maker who deal with the semi- structure problems. DSS play an important role in business, it performs various activities. The role of DSS is explained as follows:WHAT IF ANALYSIS this is the process of accessing the impart of variables. This helps manager to be proactive rather that reactive in their decision making. This analysis is critical for semi- structured and unstructured problem because the data necessary to make such decision are not available.ROLE OF DSS IN BUSINESS2. GOAL ORIENTED it is a process of determining the input values required to achieve a certain goal.3. RISK ANALYSIS risk is the important factor which affects the business enterprise. DSS allows manages to the risk associate with various alternatives.ROLE OF DSS IN BUSINESS4. MODEL BUILDING DSS allows decision maker to identify the most appropriate model for solving the problems.5. GRAPHICAL ANLYSIS this help managers to quick digest large volumes of data and visualize the impacts of various because courses of action.

ROLE OF DSS IN BUSINESSThey recommends the use of graph when:Seeking quick summary of data Forecasting activities Detecting trends over time Composing points and patterns at different variablesSTEPS IN CONSTRUCTNG DSSIDENTIFICATION OF THE PROBLEM in this stage the developer and the knowledge engineer interact to identify problems. The following points are discussed:a. The scope and intent are analyzed.b. The return of investment analysis is done.c. The amount of resources needed is identified.d. Areas in the problems that can give much trouble are identified and conceptual solution of the problem is found.e. Overall specification is made.STEPS IN CONSTRUCTNG DSS2. DEVELOPMENT OF PROTOTYPE before the development of a prototype we decide the knowledge level to solve the particular problem. For this we adopted some methods in sequence . After this the taste of knowledge of Engineer and developer which interact frequently and domain specific knowledge is entrance. When knowledge representation scheme and knowledge is available a prototype is constructed.STEPS IN CONSTRUCTNG DSS3. DECISION ABOUT MODE OF DEVELOPMENT once the problem is identified, the immediate step would be to decide about the vehicle for development. He can develop shell for development by any programming language. In this stage, various shell and tools are identified and analyzed for their suitability. These tools whose features fit the characteristic of the problem are analyzed in details.STEPS IN CONSTRUCTNG DSS4. PROTOTYPE VALIDATION the prototype under goes the process of testing for various problems and revision of the prototype takes place. It is very important step of DSS.5. PLANNING FOR FULL SCALE SYSTEM in prototype construction, the area in the problem that can be implemented with negative case is first choice intensive planning is done.STEPS IN CONSTRUCTNG DSS6.FINAL IMPLEMENTATION, MAINTENANCE AND EVALUATION This is the final stage of DSS Life Cycle. The full scale system developed is implemented at the basic resources requirement are fulfilled and parallel conversion.GROUP DECISION SUPPORT SYSTEM (GDSS) is a decision support system that facilitates decision making by a team of decision markers working as a group. is an interactive computer based system that facilitates solution of unstructured problem by a set of decision makers by working together as a group.GROUP DECISION SUPPORT SYTEM a GDSS is a DSS that facilitates decision making by a team of decision maker working as a group. a GDSS is an interactive computer based system that facilitates solution of unstructured problem by a set of decision makers working together as a group.CHARACTERISTICS OF GDSSThe goal of GDSSs is to improve the productivity of decision-making meetings, either by speeding up the decision-making process or by improving the quality of the resulting decisions, or both. This is accomplished by providing support for the exchange of ideas, opinions, and preferences within the group. 1. Supporting parallel processing of information and idea generation by participants. 2. Enabling larger groups with more complete information, knowledge, and skills to participate in the same meeting.

CHARACTERISTICS OF GDSS 3.Permitting the group to use structured or unstructured techniques and methods of arriving at decisions. 4. Offering rapid and easy access to external information.5. Allowing nonsequential computer discussion. (Unlike oral discussions, computer discussions do not have to be serial or sequential.)6. Producing instant, anonymous voting results. CHARACTERISTICS OF GDSS7. Providing structure to the planning process, which keeps the group on track. 8. Enabling several users to interact simultaneously. 9. Automatically recording all information that passes through the system for future analysis (it develops organization memoryCHARACTERISTICS OF GDSS7. Providing structure to the planning process, which keeps the group on track. 8. Enabling several users to interact simultaneously. 9. Automatically recording all information that passes through the system for future analysis (it develops organization memory.)10. A GDSS is specially designed information system .

CHARACTERISTICS OF GDSS11. A GDSS is easy to learn and to use.12. A GDSS is designed with the goal of supporting group of decision makers in their work.13. The GDSS is designed to encourage activities such as idea generation, conflict resolution and freedom of expression.TYPES OF GDSSDECISION NETWORK this type helps the participants to communicate each other through network or through a central database. Application software may used commonly shared models to provide support. The common implementation using local area network and microcomputer. The technology filters out many group dynamics of participative meeting.TYPES OF GDSS2. DECISION ROOM Participants are located at one place i.e. the decision room. The purpose of this is to enhance participants interaction and decision making by computerized within a fixed period of time using a facilitators.TYPES OF GDSS3. TELE CONFERENCING groups are composed of numbers or groups that are geographically disordered teleconferencing provides interactive connection within two or more decision rooms. This interaction will involved transmission of computerized audio visual information.ADVANTAGES OF GDSSTake better decision. To solve the problem.To minimize the risks.To collect the amount of information.To improve interactive communication.Improve the decision making process.To make coordination in various activities.ADVANTAGES OF GDSSTAKE BETTER DECISIONthrough the GDSS we can take better decision because under GDSS, the decision are taken by group.2. TO SOLVE THE PROBLEM GDSS provides solution to unstructured problems. GDSS collects various types of information at various sources.ADVANTAGES OF GDSS3. TO MINIMIZE THE RISK GDSS allows managers to assess the risks associated with various alternatives. This helps managers to be proactive rather than reactive.

4. TO COLLECT THE AMOUNT OF INFORMATION GDSS collect information at various sources for decision making. This information minimizes the risk.ADVANTAGES OF GDSS5. TO PROVIDE INTERACTIVE COMMUNICATION GDSS provide interactive information. It takes better decision through the interactive communication.

6. TO IMPROVE THE DECISION MAKING PROCESS GDSS improve the decision making process because GDSS is a goal-oriented when the GDSS is designed, the goal is considered.

ADVANTAGES SOF GDSS7. TO MAKE COORDINATION IN VARIOUS ACTIVITIES GDSS decision are taken by a group GDSS. The work is divided into different parts then each DSS performs own work. DISADVANTAGES OF GDSSMore chances for clash of opinions are there. Very large group bring work complex.

Application and Uses of Group Decision Support System:For meeting MarketingDISADVANTAGES OF GDSS3. Banking Sector4. Stock Exchange/foreign market5. Brainstorming6. Maintaining records7. Assessing the judgement task8. Office automation9. Documentation10. Engineering firmsCOMPONENTS OF GDSSHARDWARE it includes single PC and keypads, a decision room distributed GDSS audio visual aids, network equipment, etc.2.SOFTWARE GDSS software includes modules to support the individual, the group, the process and scientific tasks. The software allows each individual o do private work, the usual collection of text and file creation, graphics, spread sheets and DBMS.COMPONENTS OF GDSS4. PROCEDURE it enables ease of operation and effective use of the technology by group members.5. PEOPLE users and stakeholders