Decision Support systems

Decision Support Systems

Decision support systems (DSS)
Offer potential to assist in solving both semi-structured and unstructured problems

DEFINITION
A decision support system (DSS) is a computer program application that analyzes business data and presents it so that users can make business decissions more easily Decision Support system (DSS) are a specific class of computerized infromation system that supports business and organizational decision making activities

IMPORTANT FEATURES
DSS incorporate both data and models; they are designed to assist managers in their decision processes in semistructured or unstructured tasks ; they supports, rather than replace,managerial judgement; and their objective is to improve the effectiveness of the decisions, not the efficiency with which decisions are being made

Decision Making as a Component of Problem Solving

Intelligence
Decision making

Design Problem solving

Choice

Implementation Monitoring

Solution Types
Optimization model
Finding the best solution

Satisficing model
Finding a good -- but not necessarily the best -- solution to a problem

Heuristics
Commonly accepted guidelines or procedures that usually find a good solution

Problem Solving Factors

Multiple decision objectives Increased alternatives Increased competition The need for creativity Social and political actions International aspects Technology Time compression

Characteristics of a DSS (1)

Handles large amounts of data from different sources Provides report and presentation flexibility Offers both textual and graphical orientation

Characteristics of a DSS (2)

Supports drill down analysis Performs complex, sophisticated analysis and comparisons using advanced software packages

Supports optimization, satisficing, and heuristic approaches

Goal Seeking Example

You know the desired result You want to know the required input(s) Example:
Microsoft Excels Goal Seek and Solver functions

Excel demo

Capabilities of a DSS (1)

Supports
Problem solving phases Different decision frequencies

Merge with another company?

How many widgets should I order?

low Frequency

high

Capabilities of a DSS (2)

Highly structured problems
Straightforward problems, requiring known facts and relationships.

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

Decision Making Levels

Strategic Tactical Operational High Operational-level managers involved with daily decisions

Strategic-level managers involved with long-term decisions

Low Decision Frequency

BENEFITS
Improves cash flow through quick and accurate screening of inward interline billings and rejection of incorrect claims. Translates transactional and operational data in to analytic business information. Provides a single-window view of all the information. Analyzes the information provided through reports for timely actions. Broadcasts information to remote locations over the web. Controls access and deploy information across the organization.

DSS GROUP BY TCS

The DSS group consolidates TCSs expertise and serves as a delivery mechanism for DSS solutions and trained DSS consultants. The group has the capability of delivering end- to- end consulting services to project groups for the successful execution of DSS engagements

TRAINING
The group is responsible for providing training in DSS and for disseminating technical knowledge to its consultants for efficient execution of engagements. The centre provides training on: DSS concepts ( data warehousing, OLAP and data mining) Dimensional modelling Technical architecture Tools and technologies, Industry models, Project management methodology.