2. Decision Making
Decision making is the mental process
resulting in the selection of a course of
action among several alternatives
Every decision making process produces
a final choice in an action or an opinion
of choice
If a person neither takes and action nor
gives an opinion, this is also decision

3. Difference between
Decision Making and Problem Analysis
• It is important to differentiate between
problem analysis and decision making. The
concepts are completely distinct from each
another.
• Traditionally, it is argued that problem
analysis must be done first, so that the
information gathered in that process may be
used towards decision making.

4. • A problem is a deviation from performance standards -
that is, what occurred is different from what was expected
to have occurred.
• In decision making, the objective(s) are first established,
and a choice is made among alternatives for action or for
an opinion.
• A decision that results in doing nothing - no action, nor
an opinion rendered - is also considered a decision.

5. 1. Objectivesmust first be established
2. Objectives must be classified and placed
inorder of importance
3. Alternative actions must be developed
4. The alternative actions must beevaluated
against all the objectives

6. 5. The alternative actions that is ableto achieve
all the objectives is the tentative decision
6. The tentative decision is evaluated for more
possible consequences
7. The decision is implemented.

7. 1. Strategic decision making
2. Management Control decision making
3. Operational Control decision making
4. Knowledge-level decision making

8. Strategic decision making
• Determines the long-term objectives,
resources, and policies of the organization.
Management Control
• Principally concerned with how efficiently and
effectively resources are used and how well
operational units are performing.

9. Operational Control decision making
• Determines how to carry out the specific tasks
set forth by strategic and middle-management
decision makers.
Knowledge-level decision making
• Deals with evaluating new ideas for products and
services, ways to communicate new knowledge, and
ways to distribute information throughout the

10. Intelligence
Design
Choice
Implementation
Is there a problem?
What are the
alternatives?
Which should you
choose?
Is the choice
working?

11. Business Intelligence (BI) is the set of
techniques and tools for the
transformation of raw data into
meaningful and useful information
for business analysis purposes.

12. Common functions of business
intelligence technologies are reporting, online
analytical processing, analytics, data
mining, process mining, complex event
processing, business performance
management, benchmarking, text
mining, predictive analytics and prescriptive
analytics.

13. •Multidimensional aggregation and
allocation
•Real-time reporting with analytical alert
•A method of interfacing with unstructured
data sources
•Group consolidation, budgeting and rolling
forecasts

14. Components of Business Intelligence
•Statistical inference
•Key performance indicators optimization
•Version control and process management
•Open item management

15. •Business intelligence can be beneficial for
analyzing internal raw data , such as turnover
by department or product, and identify
inefficient business processes that can be re-engineered
to better suit your business needs.
•However, you have to ensure that your data
is clean, trustworthy and of good quality for
those who will use it.

16. •From strategy to execution, the most critical
factor affecting performance management is the
quality, accuracy and timeliness of an
organization’s information.
•Business Intelligence is the enabling technology
that supports an organization’s performance
management.

17. • The Company works with clients to ensure they are
ready for a BI initiative. They do this by conducting
a BI readiness assessment along with a business case.
• Personnel's of trained, certified, and experienced BI
consultants set out a clear BI roadmap that aligns
with both the client’s current day-to-day
commitments and their long-term plans.

18. BI : Corporate Performance management
•They must transform the volumes of
data an organization collects into
meaningful information that client
can use to improve decision-making
and performance.

20. Ethical and Privacy issues in information
systems
Ethics refers to the principle of right and wrong
that individuals, acting as free moral agents, use to
make choices to guide their behavior.
Information technology and Information system
raise new ethical questions for both individuals and
societies.

21. Ethical and Privacy issues in information
systems
 It create opportunities for intense social change, and
thus threaten existing distributions of power, money,
rights and obligations
It can also use to commit crimes, and threatened
cherished social values.

22. How organization develop corporate policies
for ethical conduct?
Corporation should develop an ethics policy statement to individuals and to encourage the correct
decisions.
Individual information rights: Spell out corporate privacy and due process policies
Property rights: clarify how the corporation will threat property rights of software owners.
Accountability and control: clarify who is the responsible and accountable for corporate information.
Systemquality: identify methodologies and quality standards to be achieved
Quality of life: identify corporate policies on family, computer crime-decision making, vulnerability, job loss,
and health risks.

23. Ethical and Privacy issues in information
systems
•Information technology has raised new possibilities
for behavior for which laws and rules of acceptable
conduct have not yet been developed.
•The main ethical, social, and political issues raised by
information systems center around information
rights, and obligations, property rights, accountability
and control, system quality and quality of life.