dss
TRANSCRIPT
CONCEPT OF DECISION SUPPORT SYSTEMS
Presented by,INDU
Definition
• Scott Morton first articulated major concepts of DSS
• He defined DSS as “interactive computer-based systems, which help decision-makers utilize data and models to solve unstructured problems”
Definition
• Decision support system couple the intellectual resources of individuals with the capabilities of the computer to improve the quality of decisions.
• It is a computer-based support system for management decision makers who deal with semi structured problems.
Definition
• DSS encompasses the following in an organization– A knowledge management system to guide
personnel through problem solving– A separate DSS for marketing, finance and
accounting– A supply chain management (SCM) system
for production– Expert systems for product repair and
diagnosis and help desks
Why Use a DSS?
• Companies work in an unstable and rapidly changing economy
• There are difficulties in tracking the numerous business operations
• Competition has increased• Electronic commerce• Existing systems do not support decision-
making
Why Use a DSS?
• The Information systems department is too busy and cannot address all management inquiries
• Special analysis of profitability and efficiency is needed
• Accurate information is needed• DSS is viewed as an organizational winner• New information is added
Why Use a DSS?
• Management mandates a DSS• Higher decision quality• Improved communication• Improved customer and employee
satisfaction• Timely information is provided• Cost reduction is achieved
Characteristics of DSS
• Support for decision-makers, mainly in semi structured and unstructured problems
• Support for all managerial levels• Support for individuals as well as to
groups• Support for interdependent and sequential
decisions
Characteristics of DSS
• Support in phases of the decision-making process
• Adaptivity over time• Aims to support and not to replace the
decision-maker
Components of DSS
• Data-management subsystem– Includes a database that contains relevant
data for the situation and is managed by a software called DBMS.
– Can be inter connected with corporate data warehouse
– Data are stored or accessed via a database Web server
• Model management subsystem– Software package– Includes financial, statistical, management
science, or other quantitative models that provide the system’s analytical capabilities and appropriate software management
– Also called model based management system (MBMS)
– Also connected to corporate or external storage of models
– Implemented in Web development systems to run on application servers
• User interface subsystem– Used by user to command and communicate
with the DSS– Web browser provides a familiar, consistent
GUI structure for most DSS• Knowledge-based management
subsystem– Can support any of the other subsystems– Act as an independent component also– Provides intelligence to augment decision-
maker’s own– Interconnected with organizational KB
• The components form DSS application system
• Connected to the corporate intranet, to an extranet, or to the internet
• Components communicate via internet• Web browsers provide the user interface
Other computer-based
systems
Internet,Intranets,extranets
Data management
Modelmanagement
Externalmodels
Knowledge-basedsubsystems
Userinterface
OrganizationalKB Manager [user]
Data:ExternalAnd Internal
Schematic View of DSS
Internal datasources
External datasources Finance Marketing Production OthersPersonnel
Organizational KB Extraction Privatepersonal
data
DecisionSupport
database
DatabaseManagement
System
•Retrieval•Inquiry•Update
•Report generation•Delete
Corporatedata
warehouse
Interfacemanagement
Modelmanagement
Knowledge-basedsubsystem
Queryfacility
Datadirectory
Data Management Subsystem
Data Management Subsystem
• Composed of– DSS database– Database management system– Data directory– Query facility
Database
• Collection of interrelated data organized to meet the needs and structure of the organization and can be used by more than one person for more than one application.
• Data are ported from the data warehouse through a database Web server
• Data are extracted from internal and external data sources, as well as from personal data belonging to one or more users.
Database• Internal data – come mainly from the
organization’s transaction processing system. Made available over intranet.
• External data – include industry data, marketing research data, census data, regional employment data, government regulation. Made available over internet.
• Private data – include guidelines used by specific decision-makers and assessments of specific data or situations.
Extraction
• To create a DSS database or a data warehouse, it is often necessary to capture data from several sources. This operation is called extraction.
• Consists of importing of files, summarization, standardization filtration, and condensation of data.
• It also occurs when the user produces reports from data in the DSS database.
• Managed by DBMS.
Database Management System
• A database is created, accessed and updated by DBMS.
• It supports many managerial activities like general navigation among records, support for creating and maintaining a diverse set of data relationships, and report generation.
The Query Facility
• It performs the task of accessing, manipulating and querying data.
• It accepts requests for data from other DSS components, determines how the requests can be filled, formulates the detailed requests, and returns the results to the issuer of the request.
• Includes use of a special query language (e.g., SQL)
The Directory
• The data directory is a catalog of all the data in the database.
• It contains data definitions.• Its main function is to answer questions
about the availability of data items, their source and their exact meaning.
• Supports decision-making process by helping to scan data and identify problem areas and opportunities.
Model Management Subsystem
• Compose of– Model base– Model base management system– Modeling language– Model directory– Model execution, integration, and command
processor.
Modeling commands : creationMaintenance : update
Database interfaceModeling language
ModelDirectory
Model execution,integration, and
Command processor
Datamanagement
Interfacemanagement
Knowledge-basedsubsystem
Models (Model Base)
Model Base Management
•Strategic, tactical, operational•Statical, financial, marketing•Model building blocks
Model Management Subsystem
Model Base• A model base contains routine and special
statistical, financial, forecasting, management science, and other quantitative models that provide the analysis capabilities in a DSS.
• The models in the model base are divided into:– Strategic– Tactical– Operational– Analytical
• Also there are model building blocks and routines.
• Strategic models – Used to support top management’s strategic
planning responsibilities.• Tactical models
– Used mainly by middle management to assist in allocating and controlling the organization’s resources.
• Operational models– Used to support the day-to-day working
activities of the organization.• Analytical models
– Used to perform some analysis on the data.
Model Base Management System
• Model creation using programming languages (C++, Java) , DSS tools and subroutines (OLAP)
• Generation of new routines and reports• Model updating and changing• Model data manipulation
Model Directory
• Similar to database directory• It is a catalog of all the models and other
software in the model base• Contains model definitions• Main function is to answer questions about
the availability and capability of the models
Model Execution, Integration, and Command
• Model execution – Process of controlling the actual running of the model
• Model integration – Combining the operations of several models when needed
• Model command processor – Used to accept and interpret modeling instructions from the user interface component and route them to MBMS model execution, or integration functions
• These activities are controlled by MBMS
User Interface Subsystem
• Covers all aspects of communication between a user and DSS
• Includes not only the hardware and software, but also factors that deal with ease of use, accessibility, and human - machine interactions
• It is the only part of the system that the user sees
User Interface SystemData Management
And DBMSModel Management
And MBMSKnowledge-based
subsystem
User InterfaceManagement System
(UIMS)
Natural languageprocessor
Printers, Plotters
Users
InputAction Language
OutputDisplay Language PC
display
User Interface Management System (UIMS)• It manages the user interface subsystem• Also called dialog generation and management
systemUser Interface Process• The user interacts with the computer via and
action language processed by UIMS.• Provides a GUI• Supports input and output devices• Provides interactions with model base &
database
Knowledge Management Subsystem
• Supplies the required expertise for solving some aspects of the problem and provide knowledge that can enhance the operation of other DSS components.
• Consist one or more intelligent systems and such a system is called intelligent DSS, or knowledge-based DSS.
The User
• The person faced with the decision that a DSS is designated to support is called the user, the manager, or the decision – maker.
• The user can be an individual or a group.• The user provides the human intellect –
provides expertise in guiding the development and use of a DSS
The User• Two broad classes of users
– Managers– Staff specialists
• Managers expect systems to be user-friendly • Staff specialists tend to be more detail-oriented.• Intermediary – allows the manager to benefit
from the DSS without actually having to use it.– Staff assistants– Expert tool users– Business (system) analysts– Facilitators in a group support system