Decision Support Systems Chapter 13

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Decision Support SystemsChapter 13

• What is Decision Support Systems (DSS)?
• A computer based program for solving
  structured and semi-structured problems
• A DSS consists of
• Model base management system
• Database management system
• Dialog generation management system
• Database
• Model base

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Decision Support Systems

• Solving structure problems
• Person compared the problem with available models
• Person find match between model and problem
• Person runs the model using available data and
  gets solution
• Person plays what if analysis
• Person may use different models

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Decision Support Systems

• Solving unstructured problem
• Force fit the problem into one of the available
  models
• Solve problem regular way
• What we do is turn an unstructured problem into a
  structured problem
• What to do when we fail?

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Decision Support Systems

• Solving non structured problem
• There are no known methods to solve unstructured
  problems
• Turn unstructured problem into semi-structured
  problem
• Turn semi-structured into structured problem
• How to accomplish above steps?

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Decision Support Systems

• Problem Solving
• Define the problem usually as mathematical model
• Get relevant data
• Suggest a possible solution
• Run the model against the data
• Evaluate results of proposed solutions

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Decision Support Systems

• Problem Solving (...contd.)
• Change model parameters to see how robust your
  solution is
• Change model to see how robust your solution is

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Decision Support Systems

• What is a good model?
• Know how each input determines output
• Know how each output depends on the inputs
• For each output be able to work out the necessary
  inputs
• Model simplicity
• Model understandability by manager

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Decision Support Systems

• Model
• Management science has many models
• Statistical
• Mathematical
• Linear programming
• Integer programming
• Linear models
• Non-linear models
• Dynamic models
• Transportation models

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Decision Support Systems

• Model
• If all else fails use simulations
• Waiting lines
• Store clerk placement
• Inventory control

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Decision Support Systems

• Data
• Transaction data
• Corporate data
• Environmental data
• Economic data
• Competitive data
• Marketing data
• Data Warehouse
• Integration of above data types

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Decision Support Systems

• Problem with models
• Lack of input data
• Do not understand model output
• Models age
• Managers have no confidence in model
• Model base lacks integration
• Models are difficult to make
• Input/Output relations complex

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Decision Support Systems

• Case example
• School districts needed a new bus schedule to
  ensure district be racially balanced
• A typical transportation model
• Consultants worked out a new bus schedule
  satisfying requirement
• District rejected the model
• District wanted to maintain old schedule but want
  to back this up scientifically

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Decision Support Systems

• Graphical functions
• Time series
• Scatter diagram
• Bar/Pie charts
• Geographic maps
• Organizational charts
• Event schedule

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Decision Support Systems

• DSS history
• DSS
• GDSS
• EIS
• ESS

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Decision Support Systems

• EIS/ESS presents executives with
• Performance data
• Internal data arising from communications
• Environmental data
• EIS/ESS
• helps executives to do their job
• Adapted to executives tasks and management style

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Decision Support Systems

• How things get done wrong
• No executive support
• Lack of objectives
• Lack of data
• Lack of support staff
• No thought about DSS future

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Decision Support Systems

• Presentations
• Tables
• Graphics
• DSS development
• GDSS anonymity
• DSS generator
• Marketing case
• Minnesota case