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Training Session # 02
                       Training Session # 02
                       MIS
                        MIS
             Decision Support System
             Decision Support System
                               BY
                                BY
                        JYOTINDRA ZAVERI
                         JYOTINDRA ZAVERI
                 (COMPUTER ENGINEER, GERMANY)
                  (COMPUTER ENGINEER, GERMANY)
                   IT CONSULTANT….SINCE 1975
                    IT CONSULTANT….SINCE 1975

www.dnserp.com                 MIS               1
DSS

  Due to the large number of considerations
   involved in many decisions, computer-
   based decision support systems
   (DSS) have been developed to assist
   decision makers




www.dnserp.com        MIS                     2
DECISION MAKING

  Decision making is the developing
     concepts leading to the selection of a
     course of action among variations.
     Every decision making process produces
     a final choice
  It can be an action or an opinion. It begins
     when we need to do something but we
     do not know what
  e.g. Decision to raise a Purchase Order

www.dnserp.com         MIS                       3
Herbert Simon

  Herbert Simon was a scientist whose research
    ranged across the fields of computer science,
    public administration, economics, management,
    and philosophy of science and a professor, most
    notably, at Carnegie Mellon University
  He was one of the early scientists to develop
    software to take decisions by computer in
    playing chess. Thus starting the era of artificial
    intelligence




www.dnserp.com             MIS                           4
Decision making in business and
management

In general, business and management systems should be set up to allow
   decision making at the lowest possible level.
Several decision making models or practices for business include:
   SWOT Analysis - Evaluation by the decision making individual or
   organization of Strengths, Weaknesses, Opportunities and Threats with
   respect to desired end state or objective.
   Buyer decision processes - transaction before, during, and after a
   purchase
   Corporate finance:
        The investment decision
        The financing decision
        The dividend decision
        working capital management decisions
   Cost-benefit analysis - process of weighing the total expected costs vs.
   the total expected benefits

www.dnserp.com                        MIS                                 5
RDBMS

  A relational database management
    system (RDBMS) is computer
    software designed for the purpose of
    managing databases. Typical
    examples of DBMSs include Oracle,
    IBM DB2, Microsoft Access, Microsoft
    SQL Server 2005, Sybase, MySQL
  RDBMSs are typically used by Database
    administrators in the creation of
    Database systems

www.dnserp.com      MIS                    6
Characteristics and Capabilities of DSS


  1. Support for decision makers in semi-structured and
     unstructured problems.
  2. Support managers at all levels.
  3. Support individuals and groups.
  4. Support for interdependent or sequential decisions.
  5. Support intelligence, design, choice, and
     implementation.
  6. Support variety of decision processes and styles.
  7. DSS should be adaptable and flexible.




www.dnserp.com               MIS                           7
Characteristics and Capabilities of
DSS (CONTINUE….)

  8. DSS should be interactive and provide ease of use.
  9. Effectiveness balanced with efficiency (benefit must
     exceed cost).
  10. Complete control by decision-makers.
  11. Ease of development by (modification to suit needs
     and changing environment) end users.
  12. Support modeling and analysis.
  13. Data access.
  14. Standalone, integration and Web-based.




www.dnserp.com               MIS                            8
EXPERT SYSTEM

  An expert system, also known as a
    knowledge based system, is a computer
    program that contains some of the
    subject-specific knowledge, and contains
    the knowledge and analytical skills of
    one or more human experts.




www.dnserp.com        MIS                      9
LIMITATION OF EXPERT SYSTEM

      The lack of human common sense needed in some
      decision makings
      The creative responses human experts can respond
      to in unusual circumstances
      Domain experts not always being able to explain
      their logic and reasoning
      The challenges of automating complex processes
      The lack of flexibility and ability to adapt to changing
      environments as questions are standard and cannot
      be changed
      Not being able to recognize when no answer is
      available

www.dnserp.com                 MIS                               10
ADVANTAGES OF EXPERT SYSTEM


      Provide consistent answers for repetitive
      decisions, processes and tasks
      Hold and maintain significant levels of
      information
      Reduces creating entry barriers to
      competitors
      Review transactions that human experts
      may overlook



www.dnserp.com            MIS                     11
THANK YOU

                     PRESENTATION BY
                   JYOTINDRA ZAVERI
                 (Computer Engineer, Germany)
                 I. T. CONSULTANT ….. SINCE
                            1975

                  email j.zaveri@dnserp.com
                     www.dnserp.com
                         98909 42042
www.dnserp.com         MIS                      12

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Mis 2 dss

  • 1. Training Session # 02 Training Session # 02 MIS MIS Decision Support System Decision Support System BY BY JYOTINDRA ZAVERI JYOTINDRA ZAVERI (COMPUTER ENGINEER, GERMANY) (COMPUTER ENGINEER, GERMANY) IT CONSULTANT….SINCE 1975 IT CONSULTANT….SINCE 1975 www.dnserp.com MIS 1
  • 2. DSS Due to the large number of considerations involved in many decisions, computer- based decision support systems (DSS) have been developed to assist decision makers www.dnserp.com MIS 2
  • 3. DECISION MAKING Decision making is the developing concepts leading to the selection of a course of action among variations. Every decision making process produces a final choice It can be an action or an opinion. It begins when we need to do something but we do not know what e.g. Decision to raise a Purchase Order www.dnserp.com MIS 3
  • 4. Herbert Simon Herbert Simon was a scientist whose research ranged across the fields of computer science, public administration, economics, management, and philosophy of science and a professor, most notably, at Carnegie Mellon University He was one of the early scientists to develop software to take decisions by computer in playing chess. Thus starting the era of artificial intelligence www.dnserp.com MIS 4
  • 5. Decision making in business and management In general, business and management systems should be set up to allow decision making at the lowest possible level. Several decision making models or practices for business include: SWOT Analysis - Evaluation by the decision making individual or organization of Strengths, Weaknesses, Opportunities and Threats with respect to desired end state or objective. Buyer decision processes - transaction before, during, and after a purchase Corporate finance: The investment decision The financing decision The dividend decision working capital management decisions Cost-benefit analysis - process of weighing the total expected costs vs. the total expected benefits www.dnserp.com MIS 5
  • 6. RDBMS A relational database management system (RDBMS) is computer software designed for the purpose of managing databases. Typical examples of DBMSs include Oracle, IBM DB2, Microsoft Access, Microsoft SQL Server 2005, Sybase, MySQL RDBMSs are typically used by Database administrators in the creation of Database systems www.dnserp.com MIS 6
  • 7. Characteristics and Capabilities of DSS 1. Support for decision makers in semi-structured and unstructured problems. 2. Support managers at all levels. 3. Support individuals and groups. 4. Support for interdependent or sequential decisions. 5. Support intelligence, design, choice, and implementation. 6. Support variety of decision processes and styles. 7. DSS should be adaptable and flexible. www.dnserp.com MIS 7
  • 8. Characteristics and Capabilities of DSS (CONTINUE….) 8. DSS should be interactive and provide ease of use. 9. Effectiveness balanced with efficiency (benefit must exceed cost). 10. Complete control by decision-makers. 11. Ease of development by (modification to suit needs and changing environment) end users. 12. Support modeling and analysis. 13. Data access. 14. Standalone, integration and Web-based. www.dnserp.com MIS 8
  • 9. EXPERT SYSTEM An expert system, also known as a knowledge based system, is a computer program that contains some of the subject-specific knowledge, and contains the knowledge and analytical skills of one or more human experts. www.dnserp.com MIS 9
  • 10. LIMITATION OF EXPERT SYSTEM The lack of human common sense needed in some decision makings The creative responses human experts can respond to in unusual circumstances Domain experts not always being able to explain their logic and reasoning The challenges of automating complex processes The lack of flexibility and ability to adapt to changing environments as questions are standard and cannot be changed Not being able to recognize when no answer is available www.dnserp.com MIS 10
  • 11. ADVANTAGES OF EXPERT SYSTEM Provide consistent answers for repetitive decisions, processes and tasks Hold and maintain significant levels of information Reduces creating entry barriers to competitors Review transactions that human experts may overlook www.dnserp.com MIS 11
  • 12. THANK YOU PRESENTATION BY JYOTINDRA ZAVERI (Computer Engineer, Germany) I. T. CONSULTANT ….. SINCE 1975 email j.zaveri@dnserp.com www.dnserp.com 98909 42042 www.dnserp.com MIS 12