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Unit Three Streaming Business Operations
Unit Three Streaming Business Operations
Streaming Business
Operations
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Chapter 9
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Decision Making
• Reasons for the growth of decision-making
information systems
– People need to analyze large amounts of
information
– People must make decisions quickly
– People must apply sophisticated analysis
techniques, such as modeling and forecasting, to
make good decisions
– People must protect the corporate asset of
organizational information
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Decision Making
• Model – a simplified representation or
abstraction of reality
• IT systems in an enterprise
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Transaction Processing Systems
• Moving up through the organizational pyramid users move
from requiring transactional information to analytical
information
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Transaction Processing Systems
• Transaction processing system - the basic business
system that serves the operational level (analysts) in an
organization
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Decision Support Systems
• Goal-seeking analysis
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Decision Support Systems
• Interaction between a TPS and a DSS
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Executive Information Systems
• Executive information system (EIS) – a
specialized DSS that supports senior level
executives within the organization
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Executive Information Systems
• Digital dashboard – integrates information
from multiple components and presents it in a
unified display
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Artificial Intelligence (AI)
• Intelligent system – various commercial
applications of artificial intelligence
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Artificial Intelligence (AI)
• The ultimate goal of AI is the ability to build a
system that can mimic human intelligence
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Artificial Intelligence (AI)
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Artificial Intelligence (AI)
• Four most common categories of AI include:
3. Genetic algorithm – an artificial intelligent
system that mimics the evolutionary, survival-of-
the-fittest process to generate increasingly better
solutions to a problem
4. Intelligent agent – special-purposed knowledge-
based information system that accomplishes
specific tasks on behalf of its users
• Multi-agent systems
• Agent-based modeling
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Data Mining
• Data-mining software includes many forms of
AI such as neural networks and expert
systems
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Data Mining
• Common forms of data-mining analysis
capabilities include:
– Cluster analysis
– Association detection
– Statistical analysis
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Cluster Analysis
• Cluster analysis – a technique used to divide
an information set into mutually exclusive
groups such that the members of each group
are as close together as possible to one
another and the different groups are as far
apart as possible
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Association Detection
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Statistical Analysis
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OPENING CASE STUDY QUESTIONS
Second Life
3. How could a company such as Nike use
decision support systems on Second Life to
help its business?
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CHAPTER NINE CASE
DARPA Grand Challenge
• The DARPA Grand Challenge was designed
to leverage American ingenuity to develop
autonomous vehicle technologies that can be
used by the military
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Chapter Nine Case Questions
3. Describe how autonomous vehicles could be used
by organizations around the world to improve
business efficiency and effectiveness