CHAPTER 9 - Enabling the Organization - Decision Making

CHAPTER 9 - Enabling the Organization - Decision Making

The Decision Making Process

1. Problem Identification

2. Data collection

3. Solution Generation

4. Solution Test

5. Solution Selection

6. Solution Implimention

There are reason for growth of decision making information system :

• people need to analyze large amount of information
• people must make decision quickly
• people must apply sophisticated analysis technique
• people must protect corporate asset of organizational  information
  
  
  
  
  
  
  

Transaction Processing System
moving up thru organizational pyramid users move from requiring transactional information to analytical information.

Decision Support System 
model information to support managers & business professionals during the decision-making process.
DSS used three quantitative models that are :- sensitivity analysis, what-if analysis and goal seeking analysis.

Interaction between DSS and TPS 

          

Executive Information System (EIS) - a specialized DSS that supports senior level executives within the organization.

EIS offering capabilities :
1. consolidation
2. drill down
3. slice-and-dice

            

Interaction between TPS and EIS

Digital dashboard

Integrates info from multiple components and presents it in unified display

 example of dashboard

Artificial Intelligence (AI)

Ultimate goal is ability to build a system that can mimic human intelligence
Intelligent system - various commercial applications of artificial intelligence
Artificial intelligence - simulates human intelligence such as ability to reason and learn