Ch 6 - Information and decision support systems 

  • Management Information System: is an information system used for decision-making, and for the coordination, control, analysis, and visualisation of information in an organisation.   * Provide routine information to managers in the functional areas   * Provide information in exception reports and ad hoc (demand) reports   * MIS used to have everything to do with IT and IS, however, it is now used for the report system.

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  • MIS Reports Types:   * Scheduled Reports:   * Produced periodically, such as daily, weekly, or monthly. For example, a production manager could use a weekly summary report listing total payroll costs to monitor and control labour and job costs.     * monthly bills are examples of scheduled reports

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  • Key-indicator report:   * Summarises previous day’s critical activities and is available at the beginning of each work day   * Used by managers and executives to take quick, corrective action on significant aspects of the business   * summarise inventory levels , production activity, and sales volume.

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  • Demand Reports:   * Demand reports are developed to provide certain information upon request   * Are produced on demand rather than a schedule   * Demand report can be generated to provide requested information by querying the company’s database   * Come from an organisation’s database system. They are generated from the internet or by using cloud computing. The software can also generate useful graphics, including pie charts and bar graphs

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  • Exception Reports:   * Reports that are automatically produced when a situation is unusual or requires management action   * This report would only contain items with fewer than five days of sales in inventory

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  • Drill-down reports:   * Provide increasingly detailed data about a situation. Analysts can see data at:     * A high level first (such as sales for the entire company)     * At a more detailed level (sales for one department of the company)     * At a very detailed level (sales for one sales representative)

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  • Decision Support Systems: a set of related computer programs and the data required to assist with analysis and decision-making within an organisation.   * Support for problem-solving phases:

         1. Different decision frequencies: One-time: ad hoc DSS Repetitive: institutional DSS     2. DIfferent Problem Structures: Highly structured vs. semi or unstructured     3. Support for various decision-making levels: Operational, tactical, strategic

  • DSS model:
  • DSS model
  • Components of a DSS: At the core of a DSS are a database and a model base.
  • The database management system: software that handles the storage, retrieval, and updating of data in a computer system   * Allows managers and decision makers to perform qualitative analysis on the company’s vast stores of data in databases , data warehouses, and data marts.   * A data-driven DSS primarily performs qualitative analysis based on the company’s databases
  • The model base: allows managers and decision makers to perform qualitative analysis on both internal and external data   * A model driven DSS primarily performs mathematical or quantitative analysis
  • Model Management System (MMS): is a component of DSS architecture which provides for the creation, storage, manipulation, and access of models   * Can coordinate the use of models in a DSS, including financial, statistical analysis, graphical, and project-management models

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  • Group Support System   * A group support system (GSS), or group decision support system and a computerised collaborative work system, consists of most of the elements in a DSS, plus software to provide effective support in group decision-making settings
  • GSS alternative:

   GSS alternative

  • Characteristics of GSS:   * Special design: Ease of use, Reduction of negative group behaviour   * Flexibility: parallel communication, decision-making support   * Anonymous input: automated record keeping

    \      Characteristics of a GSS

    \   * Executive support system (ESS): specialised DSS that includes all the hardware, software, data, procedures, and people used to assist senior-level executives within an organisation.     * ESS, also called Executive Information Systems (EIS), supports decision making of members of the board of directors, who are responsible to stockholders

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  • Capabilities of Executive Support Systems:   * Defining an overall vision   * Strategic planning   * Strategic organising and staffing   * Strategic control   * Crisis management

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