ﻧﺪﻭﺓ ﺍﻟﺪﻋﻢ ﺍﻟﻤﺆﺴﺴﻲ ﻭﺍﻟﻤﻌﻠﻮﻣﺎﺗﻲ ﻟﻌﻤﻞ ﺍﻟﻤﺮﺍﻛﺰ ﺍﻹﺳﺘﺮﺍﺗﻴﺠﻴﺔ ﻓﻲ ﺍﻟﺤﻜﻮﻣﺔ 01 -6 ﻓﺒﺮﺍﻳﺮ 5002 ﺇﻋﺪﺍﺩ ﺩﻛﺘﻮﺭ/ ﺷﺮﻳﻒ ﻋﺒﺪ ﺍﻟﻤﺠﻴﺪ ﻣﺎﺯﻥ ﻧﺎﺋﺐ ﻣﺪﻳﺮ ﻣﺮﻛﺰ ﺍﻟﺪﺭﺍﺳﺎﺕ ﻭﺗﻄﻮﻳﺮ ﻧﻈﻢ ﺍﻟﻤﻌﻠﻮﻣﺎﺕ ﻛﻠﻴﺔ ﺍﻟﺤﺎﺳﺒﺎﺕ ﻭﺍﻟﻤﻌﻠﻮﻣﺎﺕ ﺟﺎﻣﻌﺔ ﺍﻟﻘﺎﻫﺮﺓ
ﻣﻘﺪﻣﺔ ﻋﺎﻣﺔ
Foundations of Information Systems in Business
Foundation Concepts n Fundamental behavioral, technical, business, and managerial concepts about the components and roles of information systems. n Example: Basic information systems concepts derived from general systems theory
Business Applications n The major uses of information systems for the operations, management, and competitive advantage of the E-Business enterprise. n Includes electronic business, commerce, collaboration, and decision making using the Internet, intranets, and extranets.
Development Processes n How business professionals and information specialists plan, develop, and implement information systems to meet E-Business opportunities using several strategic planning and application development approaches
Management Challenges n The challenges of effectively and ethically managing E-business technologies, strategies, and security at the end user, enterprise, and global levels of a business n We will not be looking at this in-depth in this course
Information Technologies n Major concepts, developments, and management issues in information technology n Hardware, software, networks, data resource management, and Internet based technologies
What is an Information System? n Simple Definition It can be any organized combination of people, hardware, software, communications networks and data resources that collects, transforms, and communicates information in an organization.
Diagram of a System Environment Feedback Signals Control by Management Input of Raw Materials Manufacturing Process System Boundary Other Systems Feedback Signals Control Signals Output of Finished Products
Components of an IS n Four major concepts – People, hardware, software, data and networks are the five basic resources of information systems – People resources include end users, IS specialists, hardware resources consist of machines and media, software resources include both programs and procedures, data resources can include data and knowledge bases, and networks include communications media and networks
Components of an IS n Four major concepts continued… – Data resources are transformed by information processing activities into a variety of information products for end users – Information processing consists of input, processing, output, storage, and control activities
Information System Resources
Information System Resources n People Resources – End Users – the people who use an information system or the information it produces. Ex: Accountants, salespeople, customers – IS Specialists – the people who develop and operate information systems based on the requirements of end users. Ex: programmers, analysts, system operators
Information System Resources n Hardware Resources – Machines, such as computers and other devices, and media, such as paper, disks – Computer Systems such as the personal computer (desktop), mainframe, or laptop – Computer peripherals such as keyboard, mouse, monitor, scanner, printer, disks
Information System Resources n Software Resources – Programs – sets of operating instructions that direct and control computer hardware – Procedures – sets of information processing instructions that people need
Information System Resources n Software Resources continued – System Software – such as operating system that supports the operations of a computer system. Ex. Windows 98 – Application Software – programs that direct processing for a particular use of computers by end users. Excel – Procedures – operating instructions for people who will use an IS. Ex. Instructions for filling out a form.
Information System Resources n Data Resources – Types of data • Text data • Image data • Audio data – Data Storage • Databases – hold processed and organized data • Knowledge bases – hold knowledge in a variety of forms such as facts, rules, and case examples of successful business practices
Information System Resources n Data Resources continued… – Data Vs. Information • Data – raw facts or observations, objective measurements of the characteristics of entities such as people, places, things and events • Information – data that has been converted to a meaningful and useful context for specific end users.
Information System Resources Data Resources continued… n – Data is subjected to a value-added process 1. Its form is aggregated, manipulated and organized 2. Its content is analyzed and evaluated 3. It is placed in a proper context for a human user – Called data processing or information processing
Information System Resources n Data Resources continued… n an 00 rles M s 1 0 Cha hoe 0 S 12 st M We 54 T 1 79 Monthly Sales Report for West Region Sales Rep: Charles Mann Emp No. 79154 Item Qty Sold Price TM Shoes 1200 $100
Information System Resources n Network Resources – Communication media – Twisted pair wire, coaxial cable, fiber-optic cable and microwave, cellular, and satellite technologies – Network support – people and all of the hardware, software, and data technologies that directly support the operation and use of a communication network.
Information System Activities n Input of Data Resources – Data about business transactions and other events must be captured and prepared for processing – Input typically takes the form of data entry activities such as recording and editing – End users typically enter data directly into a computer system or record it on some physical media such as a paper form
Information System Activities n Processing of Data into Information – Data is subjected to processing activities such as calculating, comparing, sorting, classifying and summarizing – This organizes, analyzes, and manipulated data, turning it into information – The quality of data stored in an information system must be maintained by a continual process of correcting and updating activities
Information System Activities n Output of Information Products – The goal of information systems is the production of appropriate information products for end users – Examples are messages, reports, forms and graphic images which may be provided by video displays, audio responses, paper products, and multimedia
Information System Activities n Information Quality – Information that is outdated, inaccurate, or hard to understand is not meaningful, useful, or valuable to end users – Information products should have characteristics, attributes, and qualities that make the information more valuable to the end users – Information has three dimensions of time, form, and content
Information System Activities n Information Quality continued. .
Information System Activities n Storage of Data Resources – Data and information are retained in an organized manner for later use – Stored data is commonly organized into fields, records, files, and databases Name Field Payroll Record Payroll File Personnel Database
Information System Activities n Control of System Performance – An IS should produce feedback about its input, processing, output, and usage activities – This feedback must be monitored and evaluated to determine if the system is meeting performance standards – Activities must be adjusted so that proper information products are produced for end users
Roles of IS in Business Support of Strategic Advantage Support of Business Decision Making Support of Business Processes and Operations
History of Information Systems 1950 -1960 -1970 Data Processing Management Reporting Electronic Data Processing - TPS Management Information Systems 1970 -1980 Decision Support Systems - Ad hoc Reports 1980 -1990 -2000 Strategic & End User Electronic Commerce End User Computing Exec Info Sys Expert Systems SIS Electronic Business & Commerce -Internetworked E-Business & Commerce
The E-Business Enterprise n E-Business – The use of Internet technologies to internetwork and empower business processes, electronic commerce, and enterprise communication and collaboration within a company and with its customers, suppliers, and other business stakeholders.
The E-Business Enterprise n E-Business enterprises rely on information technologies such as the Internet to: – Reengineer and revitalize internal business processes – Implement electronic commerce systems among businesses and their customers and suppliers – Promote enterprise collaboration among business teams and workgroup
The E-Business Enterprise n Enterprise collaboration systems – Involve the use of groupware tools to support communication, coordination, and collaboration among members of networked teams and workgroups n Electronic Commerce – The buying and selling, marketing and servicing of products, services and information over a variety of computer networks
The E-Business Enterprise n Types of networks – The Internet – Intranets – the network existing inside an enterprise – Extranets – networks existing between enterprises
The Inter-networked Business Extranets The Internet Suppliers and Other Business Partners Company Boundary Procurement, Distribution, and Logistics Engineering & Research Manufacturing and Production Accounting, Finance, and Management Intranets Advertising Sales Customer Service Extranets Consumer and Business Customers
Types of Information Systems Operations Management Support Systems Transaction Process Enterprise Management Decision Executive Processing Control Collaboration Information Support Information Systems Systems
Operations Support Systems n n Role is to efficiently process business transactions, control industrial processes, support enterprise communications and collaboration, and update corporate databases Examples – Transaction Processing Systems – record and process data from business transactions in one of two ways – batch process and real-time process – Process Control Systems – monitor and control physical processes such petroleum refining – Enterprise Collaboration Systems – enhance team and workgroup communications and productivity
Management Support Systems n n Focus on providing information and support for effective decision making by management Examples – Management Information Systems – provide information in forms of reports and displays to managers and other professionals – Decision Support Systems – giver direct computer support during the decision making process – Executive Information Systems – provide critical information from a wide variety of internal and external sources in an easy to use displays
Other Classifications n Expert Systems – provide export advice for operational chores like equipment diagnostics n Knowledge Management Systems – support the creation, organization, and distribution of business knowledge to employees and managers n Functional Information Systems – focus on operational and managerial applications in support of basic business functions such as accounting n Strategic Information Systems – apply information technology to a firm’s products, services, or business practices to gain a competitive advantage
Developing Information Systems n Development Cycle
Managerial Challenges of IT n Information systems and their technologies must be managed to support the business strategies, business processes, and organizational structures and culture of an enterprise to increase its customer and business value.
Managerial Challenges of IT • IS Human Resources • IS Development • Business Strategies • Business Processes • Business Needs • IT Infrastructure • IS Performance • Customer Relationships • Business Partners • Suppliers • Business Customers • Organization Structure • and Culture • User Acceptance Ethical Considerations Potential Risks? Potential Laws? Possible Responses?
Ethics and IT n Ethical Responsibilities – What use of IT may be considered improper, irresponsible, or harmful to other individuals or society? – How to protect yourself from computer crime? – Use of Internet in the business environment?
The IS Function n A major functional area of business that is as important to business success as the functions of accounting, finance, operations management, marketing, and human resource management n An important contributor to operational efficiency, employee productivity and morale, and customer service and satisfaction n A major source of information and support needed to promote effective decision making by managers and business professionals
The IS Function n A vital ingredient in developing competitive products and services that give an organization a strategic advantage in the global marketplace A dynamic, rewarding, and challenging career opportunity for millions of men and women A key component of the resources, infrastructure, and capabilities of today’s ebusiness enterprises
ﺃﻨﻮﺍﻉ ﺍﻟﻘﺮﺍﺭﺍﺕ n Unstructured Decisions – Non-routine decisions; there is no agreed-upon procedure for making these decisions. n Structured Decisions – Decisions that are routine, repetitive, and have a definite procedure for handling them. n Semi-Structured Decisions – Decisions where only part of the problem has a clear-cut answer provided by an accepted procedure.
ﺃﻨﻮﺍﻉ ﻧﻈﻢ ﺍﻟﻤﻌﻠﻮﻣﺎﺕ n n n n Transaction Processing Systems (TPS) ﻧﻈﻢ ﻣﻌﻠﻮﻣﺎﺕ ﺗﺸﻐﻴﻞ ﺍﻟﻌﻤﻠﻴﺎﺕ Knowledge Work Systems (KWS) ﻧﻈﻢ ﺍﻟﻤﻌﺮﻓﺔ Office Automation Systems (OAS) ﻧﻈﻢ ﻣﻴﻜﻨﺔ ﺍﻟﻤﻜﺘﺐ Management Information Systems (MIS) ﻧﻈﻢ ﺍﻟﻤﻌﻠﻮﻣﺎﺕ ﺍﻹﺩﺍﺭﻳﺔ Decision Support Systems (DSS) ﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ Executive Support Systems (ESS) ﻧﻈﻢ ﺩﻋﻢ ﺍﻟﻤﺴﺘﻮﻯ ﺍﻟﺘﻨﻔﻴﺬﻱ Expert Systems (ES) – Replicates decision making process ﺍﻟﻨﻈﻢ ﺍﻟﺨﺒﻴﺮﺓ n n n n
Types of Information Systems
ﻣﺴﺘﻮﻳﺎﺕ ﻋﻤﻠﻴﺔ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n Strategic Decision Making – Determines the long-term objectives, resources, and policies of an organization. n Decision Making for Management Control – Concerned with how efficiently or effectively resources are utilized and how well operational units are performing. n Knowledge-Level Decision Making – Evaluates new ideas for products, services, ways to communicate new knowledge, and ways to distribute information throughout the organization. n Decision Making for Operational Control – Decides how to carry out the specific tasks set forth by strategic and middle management and establishes criteria for completion and resource allocation.
ﻧﻈﻢ ﻣﻌﻠﻮﻣﺎﺕ ﺗﺸﻐﻴﻞ ﺍﻟﻌﻤﻠﻴﺎﺕ Transaction Processing Systems n Operational level n Inputs: Transactions, Events n Processing: Updating n Outputs: Detailed reports n Users: Operations personnel n Example: Accounts payable, Payroll
ﻧﻈﻢ ﺍﻟﻤﻌﺮﻓﺔ Knowledge Systems n Knowledge level n Inputs: Design specs n Processing: Modeling n Outputs: Designs, Graphics n Users: Technical staff (knowledge workers) n Example: Engineering workstation
ﻧﻈﻢ ﻣﻴﻜﻨﺔ ﺍﻟﻤﻜﺘﺐ Office Automation Systems n Toward a “paperless” office n Redesign of work flow n Integrated software n Ergonomic design n Bright, cheerful work space n Users: data (clerical) workers n Example: document imaging system
ﺍﻹﺩﺍﺭﻳﺔ ﻧﻈﻢ ﺍﻟﻤﻌﻠﻮﻣﺎﺕ Management Information Systems Management level Supports structured & semi-structured decisions. Inputs: high volume data (e. g. from TPS) Processing: simple models Outputs: summary reports Users: middle managers Example: annual budgeting n n n n
ﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ Decision Support Systems Management level Supports semi-structured, unique, rapidly changing, not easily specified decisions. Inputs: Data from various sources (e. g. , MIS, TPS, KWS) Processing: Interactive Outputs: Decision analysis Users: Professionals, staff Example: Contract Cost Analysis n n n n
ﻧﻈﻢ ﺩﻋﻢ ﺍﻟﻤﺴﺘﻮﻯ ﺍﻟﺘﻨﻔﻴﺬﻱ Executive Support Systems Strategic level n Supports unstructured decisions. n Inputs: Aggregate data (external, MIS, DSS) n Processing: Interactive n Outputs: Projections n Users: Senior managers n Example: 5 Year operating plan n
ﺍﻟﻌﻼﻗﺔ ﺑﻴﻦ ﻧﻈﻢ ﺍﻟﻤﻌﻠﻮﻣﺎﺕ ﺍﻟﻤﺨﺘﻠﻔﺔ ESS MIS KWS/ OAS DSS TPS is a major producer of information for other systems
ﺍﻟﺘﻜﺎﻣﻞ ﺑﻴﻦ ﻛﻞ ﻣﻦ ﻧﻈﻢ ﺗﺸﻐﻴﻞ ﺍﻟﻌﻤﻠﻴﺎﺕ ﺍﻹﺩﺍﺭﻳﺔ ﻭﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ ﻭﻧﻈﻢ ﺍﻟﻤﻌﻠﻮﻣﺎﺕ n In many organizations they are integrated through a common database n Separation of DSS transactions in the database from TPS and MIS transactions may be important for performance reasons
ﻣﺮﺍﺣﻞ ﻋﻤﻠﻴﺔ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n Intelligence – Collects information to identify problems occurring in the organization. n Design – Designs possible alternative solutions to a problem. n Choice – Selects among the various solution alternatives n Implementation – Puts the decision into effect and reports on the progress of the solution.
The Decision Making Process
Information Requirement and IS Stage of Decision Making Information Requirement Example IS Intelligence Exception reporting MIS Design Simulation prototype DSS, KWS Choice “What-if” simulation DSS; large models Implementation Graphics, charts PC and mainframe decision aids
ﻣﻬﺎﻡ ﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n Assist management decision making by combining data, sophisticated analytical tools and user friendly S/W into a single powerful system. n Focus on a specific decision or classes of decisions (e. g. evaluating, predicting), whereas MIS focus on routine, general control of the organization.
ﺃﻨﻮﺍﻉ ﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n Model-Driven DSS (early DSS, 70 s, 80 s~) – Stand-alone system based on a strong theory/model to perform “what-if” and other kinds of analysis. n Data-Driven DSS – Allow users to extract and analyze useful info buried in large databases. – Data mining: Technology for finding hidden patterns and relationships in large databases and inferring rules from them to predict future behavior; it provides insights into corporate data.
ﺍﻷﻤﺜﻠﺔ ﻟﻨﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n ﺑﻌﺾ Geographic Information Systems (GIS) – A special DSS with S/W that can analyze and display data for planning and decision making using digitized maps. – Assemble, store and display geographically referenced info, tying data to points, lines, and areas on a map. – Can be used to calculate emergency response times to natural disasters; help banks identify the best locations for installing ATM terminals.
(2) ﺍﻷﻤﺜﻠﺔ ﻟﻨﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n ﺑﻌﺾ Customer Decision Support System (CDSS) – Recently being developed based on the Web. – System to support the decision-making process of an existing or potential customers. – Developed to attract customers by providing information and tools to assist their decision making as they select products and services.
ﻗﺪﺭﺍﺕ ﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n Supports – Problem solving phases – Different decision frequencies Merge with another company? How many widgets should I order? low high Frequency
(2) ﻗﺪﺭﺍﺕ ﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n Highly structured problems – Straightforward problems, requiring known facts and relationships. n Semi-structured or unstructured problems – Complex problems wherein relationships among data are not always clear, the data may be in a variety of formats, and are often difficult to manipulate or obtain.
ﺧﺼﺎﺋﺺ ﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n Handles large amounts of data from different sources n Provides report and presentation flexibility n Offers both textual and graphical orientation n Supports drill down analysis n Performs complex, sophisticated analysis and comparisons using advanced software packages n Supports optimization, satisfying, and heuristic approaches
(2) ﺧﺼﺎﺋﺺ ﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n Performs different types of analysis – “What-if” analysis • Makes hypothetical changes to problem and observes impact on the results – Simulation • Duplicates features of a real system – Goal-seeking analysis • Determines problem data required for a given result
Solution Types n Optimization model – Finding the best solution. n Satisfying model – Finding a good - but not necessarily the best solution to a problem. n Heuristics – Commonly accepted guidelines or procedures that usually find a good solution.
Problem Solving Factors n n n n Multiple decision objectives Increased alternatives Increased competition The need for creativity Social and political actions International aspects Technology Time compression
Goal Seeking Example n You know the desired result n You want to know the required input(s) n Example: – Microsoft Excel’s “Goal Seek” and “Solver” functions
Excel demo
ﺍﻹﻧﺘﺮﻧﺖ n ﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ ﻋﻠﻰ Web-based decision support systems – DSS SW provides business intelligence through web browser clients that access databases either through the Internet or a corporate intranet.
ﻣﻜﻮﻧﺎﺕ ﻧﻈﻢ ﺩﻋﻢ ﺍﺗﺨﺎﺫ ﺍﻟﻘﺮﺍﺭ n Model Management Software (MMS) – Coordinates the use of models in the DSS. n Model Base – Provides decision makers with access to a variety of models. n Dialogue Manager – Allows decision makers to easily access and manipulate the DSS.
Database Model Base DBMS Access to the Internet, Networks, and other Computer Systems MMS External Database Access Dialogue Manager External Databases
Model Base n Model Base – Provides decision makers with access to a variety of models and assists them in decision making. n Models – Financial models – Statistical Analysis models – Graphical models – Project Management models
Advantages and Disadvantages of Modeling – Advantages • Less expensive than custom approaches or real systems. • Faster to construct than real systems. • Less risky than real systems. • Provides learning experience (trial and error). • Future projections are possible. • Can test assumptions. – Disadvantages • Assumptions about reality may be incorrect. • Accuracy of predications often unreliable. • Requires abstract thinking.
Group Decision Support System n Group Decision Support System (GDSS) – Contains most of the elements of DSS plus software to provide effective support in group decision-making settings.
Databases Model base GDSS processor GDSS software Access to the internet and corporate intranet, networks, and other computer system Dialogue manager External database access Users External databases
Executive Support System (ESS) n Characteristics – A specialized DSS that Board of directors includes all the hardware, software, data, procedures, and people used to assist senior-level executives within the organization. President Function area vice presidents Function area managers
Characteristics of ESSs n Tailored to individual executives n Easy to use n Drill down capabilities n Support the need for external data n Help with situations with high degree of uncertainty n Futures orientation (predictions, forecasting) n Linked with value-added business processes
Capabilities of an ESS n Support for : – Defining overall vision – Strategic planning – Strategic organizing and staffing – Strategic control – Crisis management
Constructing, Implementing, and Evaluating a Decision Support System n DSS Development n DSS Implementation n DSS Evaluation
n Planning for DSS – BSP approaches – CSF approaches n Developing a specific DSS Step 1. Decide on development methodology Step 2. Requirements analysis Step 3. Logical design Step 4. Construction Step 5. Implementation
Make versus Buy n Alternatives – Buy shrink-wrapped – Customize a shrink-wrapped – Build from specialized tools / generators – Build “from scratch”
Step 1. DSS Development Approaches n SDLC n Evolutionary prototyping n Throwaway prototyping n End user development n Strengths and weaknesses
The System Development Life Cycle (SDLC) Approach & DSS n Inappropriate for most DSS. n Users and Managers may not understand their information and modeling needs. n Use in conjunction with Throwaway prototyping.
Prototyping n Process of building a "quick and dirty" version of an Information System – Evolutionary Prototyping
Evolutionary Steps 1. Identify user's information and operating requirements in a "quick and dirty" manner. 2. Develop a working prototype that performs only the most important function 3. Test and evaluate (By User and Builder). 4. Redefine information needs and improve the system.
The Primary Features of Prototyping 1. Learning is explicitly integrated into the design process 2. Short intervals between iterations 3. User involvement is very important (Joint Application Development (JAD) method) 4. Initial prototype must be low cost 5. Prototyping essentially bypasses the lifecycle stage of information requirements definition
Advantages of Prototyping n Short development time n Short user reaction time (feedback from user) n Improved users' understanding of the system, its information needs, and its capabilities. n Low cost Disadvantages and Limitations – Gains might be lost through cycles
User-Developed DSS advantages End-user development means the development and use of computer-based information systems by people outside the formal IS areas. 1. Short delivery time 2. Eliminate extensive and formal user requirements specifications 3. Reduce some DSS implementation problems 4. Low cost
User-Developed DSS Risks 1. Poor Quality 2. Quality Risks – Substandard or inappropriate tools and facilities – Development process risks – Data management risks 3. Increased Security Risks 4. Problems from Lack of Documentation 5. Problems from Maintenance Procedures
Issues in reducing End-User Computing Risks n Error detection n Use of auditing techniques n Training and Support n Determine the proper amount of controls n Investigate the reasons for the errors n Solutions
Step 2. Requirements Analysis n n Goal: To understand how DM conceptualizes, analyses, and communicates problems. Direct methods – Interviews, group meetings, JAD n Indirect methods – Observation, temporary job assignments, questionnaires, document review, software review n Addressing compiled knowledge – Protocol analysis – Card sorting, multidimensional scaling
Categorization of DSS Software n Specific DSS • The application doing the decision support. n DSS generator • “Package” that provides capabilities to build Specific DSS – special purpose languages, such as IFPS n DSS tools • tools that facilitate development of a specific DSS or DSS generator • 3 GLs – 4 GLs n Now all with Web Hooks and easy GUI interfaces
Selection of DSS Development Tools ü Determine & contact key participants ü Elicit requirements / functionality ü Compose requirements into a RFP ü Distribute RFPs to potential vendors ü Collect and summarize RFP data ü Select RFP short list ü Set short list interviews and demos; references ü Select Vendor ü Negotiate contract
Complexity of the Software Selection Process 1. DSS information requirement and outputs are not completely known 2. Hundreds of software packages 3. Software packages evolve very rapidly 4. Frequent price changes 5. Several people involved
6. One language for several DSS? Tool requirements may change 7. Dozens of criteria, some intangible, some conflict 8. Technical, functional, end-user, and managerial issues 9. Published evaluations are subjective and superficial 10. Trade off between open and closed environments
Step 5. Implementation as Change n From development to production – technology acquisition – port to production platform – database conversion – system conversion strategy – user access, training, & ongoing support – documentation & maintenance n From implementation to institutionalization – existence does not guarantee use – use does not guarantee success
Implementation CSFs n User involvement n Management commitment n Design quality n Performance level n Project management n System institutionalization
Evaluating DSS Success • Technical quality – – Response time Throughput Reliability Data integrity • Requirements coverage – Does what it’s supposed to do • Use & usability – – Number of users Frequency of use User-friendliness Accessibility • Economic benefits – Cost of decision – Benefits of improved decision-making • the problems of measurement and quantification
Benefits of DSS Usage • More effective decision making – faster assimilation of information and/or identification of problems – exploration of more alternatives – visual comparison of alternative consequences/outcomes – environment of collaboration • More efficient decision making – reduce the length of the decision cycle – reduce the cost of the decision
Benefits of DSS Usage (2) n Better communication & collaboration among decision makers – shared information and shared model – implicit assumptions made explicit n Improved learning process for users – offset cognitive limitations of decision makers; focus on higher-level thinking – provide environment for utilizing knowledge – provide environment for acquiring experience
Drawbacks to DSS Usage n overemphasize on (rational) decision making – versus social, intuitive, and personalized approaches to reaching resolution n assumption of relevance – DSS must address most relevant aspects of decision-making
Drawbacks to DSS Usage n Unintended transfer of power – from decision-maker to DSS – between decision makers n Obscuring responsibility – DSS as independent entity that must be “right” – tendency to trust DSS and its designers
E-Business Decision Support
Decisions in the E-Business Decision Characteristics Unstructured Strategic Management Operational Management io ns cis De n Tactical Management io at rm fo Structured In Semi-structured
MIS Reports Periodic Scheduled Reports Exception Reports Major Management Information Systems Reports Demand Reports and Responses Push Reports
Online Analytical Processing Data is retrieved from corporate databases and staged in an OLAP multi-dimensional database Corporate Databases Client PC OLAP Server Web-enabled OLAP Software Multi • Operational DB dimensional • Data Marts database • Data Warehouse
Decision Support Systems What If-Analysis Sensitivity Analysis Important Goal-Seeking Analysis Decision Support Systems Optimization Analysis Analytical Models
Enterprise Information Portals & DSS Internet Extranet Intranet Enterprise Information Portal Gateway Enterprise Information Portal User Interface Search Agents OLAP Data Mining DSS What-If Models Sensitivity Models Goal-Seeking Models Optimization Models Knowledge Management Database Management Functions Data Mart Operational Database Other Business Applications Analytical Database Knowledge Base
Artificial Intelligence Applications Artificial Intelligence Cognitive Science Applications • Expert Systems • Fuzzy Logic • Genetic Algorithms • Neural Networks Robotics Applications Natural Interface Applications • Visual Perceptions • Locomotion • Navigation • Tactility • Natural Language • Speech Recognition • Multisensory Interface • Virtual Reality
AI Application Areas in Business Neural Networks Fuzzy Logic Systems Genetic Algorithms Virtual Reality AI Application Areas in Business Intelligent Agents Expert Systems
Components of Expert Systems The Expert System Expert Advice User Interface Programs Inference Engine Program Knowledge Base Workstation Expert System Development Knowledge Engineering Knowledge Acquisition Program Workstation Expert and/or Knowledge Engineer
Expert System Applications Decision Management Diagnostic/Troubleshooting Maintenance/Scheduling Design/Configuration Major Application Categories of Expert Systems Selection/Classification Process Monitoring/Control
Summary n DSS in business are changing. The growth of corporate intranets, extranets, and other web technologies have increased the demand for a variety of personalized, proactive, web-enabled analytical techniques to support DSS. n Information systems must support a variety of management decision-making levels and decisions. These include three levels of management activity: strategic, tactical, and operational.
Summary (cont) n Online analytical processing is used to analyze complex relationships among large amounts of data stored in multidimensional databases. Data mining analyzes large stores of historical data contained in data warehouses. n Decision support systems are interactive computer -based information systems that use DSS software and a model base to provide information to support semi-structured and unstructured decision making.
Summary (cont) n The major application domains in artificial intelligence include a variety of applications in cognitive sciences, robotics, and natural interfaces. n Major AI application areas include: – Neural Networks – Fuzzy Logic – Genetic Algorithms – Virtual Reality – Intelligent Agents
References n Efraim Turban & Jay E. Aronson “ Decision Support Systems and Intelligent Systems “ Prentice Hall, Upper Saddle River, NJ (1998)
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