Magnetic card readers on all the gaming machines

Magnetic card readers on all the gaming machines read a customer ID number from each card and flash a personalized greeting with the customer’s current tally of reward points. Electronic gaming machines are computerized and networked. Each machine captures transaction data and relays it to the mainframe servers. Onsite transactions systems at each casino property store all casino, hotel, and dining transaction data. A national data warehouse links the casinos’ computer systems and customer data to a single server that tallies customer history and Reward points. Predictive analysis software programs produce nearly instantaneous customer profiles. The company can design and track marketing initiatives and their results. A Web site keeps customers informed, connected, and entertained.

Data Warehouse – A large specialized database, maintains demographic and spending-pattern data on all customers. Data mining techniques – Also called business intelligence, are used to analyze the data and are used to identify classes of profitable customers to target for future business. Customer relationship management (CRM) – The combination of the two previous methods. Decision Support Systems (DSS) – That helps managers make sales and marketing decisions. Transaction Processing Systems (TPS) – Data collected at each property.

Mintzberg’s 10 Management Roles Role Description Interpersonal - Figurehead - Leader - Liaison Symbolic head, performs routine legal or social duties Motivation and activation of subordinates Maintains network of outside contacts and informers Informational - Monitor - Disseminator - Spokesperson The nerve center of the organization’s information Transmits information from outsiders to the organization Transmits information to outsiders Decisional - Entrepreneur - Disturbance handler - Resource allocator - Negotiator Searches for opportunities and initiates improvement Responsible for corrective action Responsible for the allocation of resources Represents the organization at major negotiations

Computerized Decision support and the supporting technologies A computerized decision support system may be needed for various reasons: Speedy computations Improved communication Increased productivity Technical support Data warehouse access Quality support Competitive edge: enterprise resource management and empowerment Overcoming cognitive limits in processing and storage

Decision Support Frameworks Type of Control Type of Decision Structured Semistructured Unstructured Technology Support Needed Operational Control Managerial Control Strategic Planning Technology Support Needed Accounts receivable, account payable, order entry 1 Budget 2 analysis, short-term forecasting, personal reports, make-or-buy Financial management (investment), warehouse location, distribution systems Production scheduling, inventory control 4 Credit evaluation, 5 budget preparation, plant layout, project scheduling, reward system design, inventory categorization Building new plant, 6 mergers and acquisitions, new product planning, compensation planning, HR policies, inventory planning DSS, KMS, GSS, CRM, SCM Selecting a cover for a magazine, buying software, approving loans help desk 7 Negotiating, recruiting an executive, buying hardware, lobbying R&D 9 planning, new technology development, social responsibility planning GSS, KMS ES neural networks Management information system, management science 8 Management science, DSS, EIS, SCM, CRM, GSS, SCM GSS, CRM EIS, ES, neural networks, KMS 3 Management information system, management science models, transaction processing