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Decision Support System

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Decision Support System

  1. 1. DECISSION SUPPORT SYSTEM
  2. 2. DECISION <ul><li>Making decisions concerning complex systems often strains our cognitive capabilities. </li></ul><ul><li>Predicting how the system will react to an external manipulation such as a policy decision is often difficult. </li></ul>
  3. 3. DECISSION MAKING PROCESS INTELLIGENCE DESIGN CHOICE
  4. 4. PROCESS VIEW OF DECISION MAKING
  5. 5. Decision support system <ul><li>Decision Support Systems (DSS) are a specific class of computerized information system that supports business and organizational decision-making activities . </li></ul><ul><li>A properly designed DSS is an interactive software-based system intended to help decision makers compile useful information from raw data, documents, personal knowledge, and/or business models to identify and solve problems and make decisions . </li></ul>
  6. 6. WHY DSS <ul><li>Because decision-making involves a complex sequence of activities over time, it implies there are at least three functions that should be assigned to DSSs: </li></ul><ul><li>1) The capability of capturing and saving information from previous activities; </li></ul><ul><li>2) Data processing capability; </li></ul><ul><li>3) Data retrieval capability. </li></ul>
  7. 7. COMPONENTS OF DSS <ul><li>There are three fundamental components of DSS : </li></ul><ul><li>DATA BASE MANAGEMENT SYSTEM (DBMS) </li></ul><ul><li>MODEL BASED MANAGEMENT SYSTEM (MBMS) </li></ul><ul><li>DIALOG GENERATION &MANAGEMENT SYSTEM (DGMS) </li></ul>
  8. 8. THE ARCHITECTURE OF DSS
  9. 9. Types of DSS <ul><li>DS systems can be separated into seven broad categories, each aiding decision making by different methods: </li></ul><ul><li>DATA DRIVEN DSS. </li></ul><ul><li>MODEL-DRIVEN DSS. </li></ul><ul><li>KNOWLEDGE DRIVEN DSS. </li></ul><ul><li>DOCUMENT DRIVEN DSS. </li></ul><ul><li>Communication Driven DSS. </li></ul><ul><li>INTER & INTRA-ORGANIZATIONAL DSS. </li></ul><ul><li>NEW BREED OF DSS </li></ul>
  10. 10. DSS IN-HOUSE PROPRIETARY DATABASE KNOWLEDGE DATABASE DATA PROCESSING MODELS FINANCIAL ACOUNTING ECONOMICAL EXTERNAL AND INTERNAL ENVIRONMENT PROCESSING BY MANAGER, USING KNOWLEDGE, EXPERIENCE AND INTUITION QUALITY DECISION PROCESING MODEL FOR DSS
  11. 12. NEW BREEDS OF DSS <ul><li>HYBRID SYSTEM </li></ul><ul><li>Eg.-WEB BASED DSS </li></ul><ul><li>On-line Analytical Processing (OLAP) </li></ul>
  12. 13. MANAGEMENT REQUIREMENT OF DSS <ul><li>ALLOCATING RESOURCES </li></ul><ul><li>PREPARING BUDGETS </li></ul><ul><li>OBSERVATION OF RESULTS </li></ul><ul><li>EVALUATION OF RESULT </li></ul><ul><li>MODIFICATION OF ACTIVITES AND RESOURCES </li></ul>
  13. 14. Intangible payoffs DSS <ul><li>Improved internal control. </li></ul><ul><li>Enhances long term profitability by improving quality of decision making. </li></ul><ul><li>Faster response to changes in business environment . </li></ul>
  14. 15. Cont …. <ul><li>Better management awareness of internal strength and weaknesses and external threats and opportunities. </li></ul><ul><li>Allows managers’ to record experience and use it in future for similar scenarios that may arise within the organization. </li></ul>

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