THE DECISION SUPPORT SYSTEM DSS CONCEPT By Daniel

THE DECISION SUPPORT SYSTEM (DSS) CONCEPT By Daniel Damaris Novarianto S.

Decision Support System Definition An interactive computer-based system or subsystem that helps people use computer communications, data, documents, knowledge and models to identify and solve problems, complete decision process tasks, and make decisions.

Decision Making & Problem Solving Process

Rational Decisional Making Process and Information Systems

Decision Support System • • Output What-If Scenarios, changing input to fit desired output Statistical testing Process simulation New relationships & patterns

DSS Assumptions n Is good information and analysis essential for fact-based decision-making? n IF YES, THEN Build DSS when good information is likely to improve decisionmaking n Build DSS when managers need and want computerized decision support

Web-Based DSS

Characteristics & Capabilities of DSS

Classification with User Passive DSS Active DSS Cooperative DSS

Classification with User (Cont. ) n Passive DSS: Just collect data and organize it effectively n They do not suggest a specific decision n They only reveal the data n

Classification with User (Cont. ) n Active DSS: Actually process data n Explicitly shows solutions based upon that data n n Cooperative DSS: Modify, complete, or refine the decision suggestions provided by the system, before sending them back to the system for validation n The system again improves, completes, and refines the suggestions of the decision maker and sends them back to her for validation n

Classification Criteria: Mode of Assistance DSS Communication Driven DSS Data Driven DSS Document Driven DSS Knowledge Driven DSS Model Driven DSS

Classification Criteria: Mode of Assistance (Cont. ) A Communication-Driven DSS supports more than one person working on a shared task; examples include integrated tools like Microsoft's Net Meeting or Groove. n A Data-Driven DSS or data-oriented DSS emphasizes access to and manipulation of a time series of internal company data and, sometimes, external data. n

Classification Criteria: Mode of Assistance (Cont. ) Data-Driven DSS TPS MIS Data Warehouse - Events in sequence (buying this & then that) - Things that go together (contents of shopper’s cart) - Grouping of people (customer types) environment Data Mining software

Classification Criteria: Mode of Assistance (Cont. ) A Document-Driven DSS manages, retrieves, and manipulates unstructured information in a variety of electronic formats. n A Knowledge-Driven DSS provides specialized problem-solving expertise stored as facts, rules, procedures, or in similar structures. n

Classification Criteria: Mode of Assistance (Cont. ) n A Model-Driven DSS emphasizes access to and manipulation of a statistical, financial, optimization, or simulation model. Model-driven DSS use data and parameters provided by users to assist decision makers in analyzing a situation; they are not necessarily data-intensive.

Classification Criteria: Mode of Assistance (Cont. ) Model Driven DSS Data transformation models MIS environment - What-If - Process simulation - Statistical tests

Classification Criteria: Scope DSS Enterprise - wide DSS Desktop DSS

Classification Criteria: Scope (Cont. ) An enterprise-wide DSS is linked to large data warehouses and serves many managers in the company. n A desktop, single-user DSS is a small system that runs on an individual manager's PC. n

DSS’s Benefits Improves personal efficiency Ø Expedites problem solving (speed up the progress of problems solving in an organization) Ø Facilitates interpersonal communication Ø Promotes learning or training Ø Increases organizational control Ø Generates new evidence in support of a decision Ø

DSS’s Benefits Creates a competitive advantage over competition Ø Encourages exploration and discovery on the part of the decision maker Ø Reveals new approaches to thinking about the problem space Ø Helps automate the managerial processes. Ø

Group Decision Support System (GDSS) A GDSS combines communication, computing, and decision support technologies to facilitate formulation and solution of unstructured problems by a group of people. n Group Decision Support Systems (GDSS) are a class of electronic meeting systems, a collaboration technology designed to support meetings and group work. n

GDSS (Cont. ) n GDSS are distinct from Computer Supported Cooperative Work (CSCW) technologies as GDSS are more focused on task support, whereas CSCW tools provide general communication support.

GDSS (Cont. ) n Group Decision Support Systems (GDSS) were referred to as a Group Support System (GSS) or an Electronic Meeting System or Groupware since they shared similar foundations.

GDSS (Cont. ) Today, GDSS is characterized by being adapted for a group of people who collaborate to support integrated systems thinking for complex decision making. n Participants use a common computer or network to enable collaboration. n

Advantages of GDSS - - - Adapting human factors for these technologies, Facilitating interdisciplinary collaboration, and Promoting effective organizational learning. More participation Group synergy Automated record keeping

Advantages of GDSS (Cont. ) - - More structure in the meeting Higher group satisfaction with the meeting process. The new technology has enabled larger groups to meet, resulting in more information, knowledge, and skills that are brought to bear to the task at hand.

Disadvantages of GDSS - Slow Communication Not all Tasks are Amenable to GDSS

THANK YOU