Unit 2

SIMON’S MODEL OF DECISION

MAKING
Decision Support Systems
DSS
A decision support system is an
interactive computer-based system that
serves the decision making needs of
managers. It provides managers with
information that enables them to make
both semi-structured and unstructured
decisions.
The Decision Support Systems can be divided into following
categories:
On the basis of Technology
Model-driven DSS
Data-drivenDSS
Communication-driven DSS
Document-driven DSS
Knowledge-driven DSS
Web-based DSS
on the basis of nature of operations:

FileDrawer System:
Data Analysis Systems:
Information Analysis System:
Accounting and Financial Support
System:
Representation or Solver Model:
Optimization Model:
Suggestion System:
Categorization of DSS on the Basis of
Inputs
Text-Oriented DSS
Database Oriented
Spreadsheet Oriented
Rule Oriented
Solver (specific situation) Oriented
Compound/Hybrid
Categorization of DSS on the Basis of Support Offered

PersonalDSS
Group DSS
Organizational DSS
Categorization of DSS on the Basis of
Type and Frequency of Decision Making

Institutional
DSS:
Ad-hoc DSS:
Components of a Decision
Support System
Designing and Building a Decision
Support System
Intelligence
Design
Choice
Implementation
Group Decision Support System (GDSS)
A group decision support system (GDSS)
is an interactive computer-based system
that facilitates a number of decision-
makers (working together in a group) in
finding solutions to problems that are
unstructured in nature.
Components of Group Decision Support
System (GDSS)
Hardware
Software Tools
People
Features of Group Decision
Ease of Use:
Support System (GDSS)
Better DecisionMaking:
Emphasis on Semi-structured and
Unstructured Decisions:
Specific and General Support:
Supports all Phases of the Decision
Making:
Supports Positive Group
Behavior:
Group Decision Support System (GDSS) Software Tools

Electronic Questionnaire:
Electronic Brainstorming Tools:
Idea Organizer:
Tools for Setting Priority:
Policy Formation Tool:
Executive Support System

Executive support systems are intended to be

used by the senior managers directly to
provide support to non-programmed decisions
in strategic management.
These information are often external,
unstructured and even uncertain
This information is intelligence based −
Market intelligence
Investment intelligence
Technology intelligence
Features of Executive Information
System
Advantages of ESS

 Easy for upper level executive to use

 Ability to analyze trends
 Enhance personal thinking and decision-making
 Enhance organizational competitiveness in the market place
 Instruments of change
 Better reporting system
 Improve office automation
 Reduce time for finding information
 Early identification of company performance
 Better understanding
 Time management
 Increased communication capacity and quality
Disadvantage of ESS
Functions are limited
Executive may encounter information
overload
System may become slow
Difficult to keep current data
May lead to less reliable and insecure
data
Excessive cost for small company
Knowledge Management System
(KMS)
 A knowledge management system (KMS) is a tool used by
companies to help organize documentation, frequently
asked questions, and other information into easily
accessible formats for both internal and external
customers.

 Knowledge management is the process of identifying,

gathering, storing, evaluating, and sharing all of the
valuable information organizations create in their day-to-
day operations. It involves capturing answers to frequently
(and not so frequently) asked questions and documenting
them in an easy-to-understand format across multiple file
types, like step-by-step written articles, videos, or images.
What are the types of knowledge to
include in knowledge management?
Explicit knowledge
Implicit knowledge
Tacit knowledge
Benefits of a knowledge management
system
 1. Organizes and makes information
accessible from a single source of truth
 2. Keeps information up to date
 3. Makes self-service functionalities more
effective and deflects support tickets
 4. Allows agents to share and reuse
knowledge and learnings
 5. Empowers customers to help themselves
and improves customer satisfaction
 6. Provides more detailed help to customers
Who can use a knowledge management system?

KNOWLEDGE MANAGEMENT
SYSTEM FOR SMALL BUSINESSES
ENTERPRISE KNOWLEDGE
MANAGEMENT SYSTEMS
INTERNAL KNOWLEDGE
MANAGEMENT SYSTEMS
How to implement a knowledge
management system
Startcapturing the information
you want to document
Arrange the information with your
audience in mind
Track and analyze feedback
Update your KMS regularly
UNIT 3
What is a System?

The word System is derived from Greek

word Systema, which means an organized
relationship between any set of
components to achieve some common
cause or objective.
A system is “an orderly grouping of
interdependent components linked
together according to a plan to achieve a
specific goal.”
What is a System?

The word System is derived from Greek

word Systema, which means an organized
relationship between any set of
components to achieve some common
cause or objective.
A system is “an orderly grouping of
interdependent components linked
together according to a plan to achieve a
specific goal.”
Types of Systems

Physicalor abstract systems

Open or closed systems
Deterministic or probabilistic systems
Man-made information systems
System Related Concept
Boundary
Interface
Black Box
System Decomposition
System Integration
Systems Analysis

It is a process of collecting and

interpreting facts, identifying the
problems, and decomposition of a system
into its components.
System analysis is conducted for the
purpose of studying a system or its parts
in order to identify its objectives.
Analysis specifies what the system
should do.
Stages of System Analysis
Requirement Determination
Itis a part of software requirement
specification(SRS) is the starting point of
the system development activity.
This is the most difficult and most error
prone activity.
Requirement Determination activities
Understanding the process
Identified the data used and information
generated
Determine Frequency, timing, and volume
Know the performance controls
Strategies for Requirement
Determination
Interview
Questionnaire
Record Review
Observation
Structured Analysis Tools
Structured Analysis Tools hepl the system
analyst to document the system
specification of a system to be built.
The main tools are ,
1. Data Flow Diagram(DFD)
2. Data Dictionary
3. Structured English
4. Decision Trees
5. Decision Tables
1. Data Flow Diagram

Data flow diagrams are used to

graphically represent the flow of data in a
business information system. DFD
describes the processes that are involved
in a system to transfer data from the input
to the file storage and reports generation.
Data flow diagrams can be divided into
1. LOGICAL
2. PHYSICAL.

The logical data flow diagram describes flow

of data through a system to perform certain
functionality of a business.
The physical data flow diagram describes the
implementation of the logical data flow.
Symbols Used in DFD
2. Data Dictionary
A Data Dictionary is a collection of
names, definitions, and attributes about
data elements that are being used or
captured in a database, information
system, or part of a research project.
3. Decision tree

Decision tree is the most powerful and

popular tool for classification and
prediction. A Decision tree is a flowchart
like tree structure, where each internal
node denotes a test on an attribute, each
branch represents an outcome of the test,
and each leaf node (terminal node) holds a
class label.
4. Structured English
Structured English is used to express all
logic in terms of sequential structures,
decision structures, iterations and case
structures.
This modified form of English is used to
specify the logic of information processes
by using a subset of English vocabulary to
express process procedures.
Decision tables

A decision table is a scheduled rule logic

entry, in table format, that consists of
conditions, represented in the row and
column headings, and actions, represented
as the intersection points of the
conditional cases in the table.