Transcript
1
SEGMENT 7
Enterprise Decision
Support Systems
2
Enterprise Decision Support Systems
DSS to provide enterprise-wide support
Executives
Many decision makers in different locations
Enterprise Resource Planning (ERP) systems
3
Enterprise Systems: Concepts and Definitions
Executive information systems (EIS)
Executive support systems (ESS)
Enterprise information systems (EIS)
4
DSS and ODSS 1980s: Top execs get Executive
Information Systems 1995+’s: Move to everybody’s
information systems and enterprise information systems
Definitions follow
Evolution of Executive and Enterprise Information
Systems
5
Executive Information System (EIS)
A computer-based system that serves the information needs of top executives
Provides rapid access to timely information and direct access to management reports
Very user-friendly, supported by graphics Provides exceptions reporting and "drill-down"
capabilities Easily connected to the Internet Drill down
6
Executive Support System (ESS)
Comprehensive support system that goes beyond EIS to include
Communications Office automation Analysis support Intelligence
7
Enterprise Information System
Corporate-wide system Provides holistic information From a corporate view Part of enterprise resource planning (ERP)
systems For business intelligence Leading up to enterprise information portals
and knowledge management systems
8
Executives’ Role and Their Information Needs
Decisional Executive Role (2 Phases)1. Identification of problems and/or opportunities
2. The decision of what to do about them
Flow chart and information flow (Figure 8.1)
Use phases to determine executives’ information needs
9
Methods for Finding Information Needs
Wetherbe's Approach
1. Structured Interviews– IBM's Business System Planning (BSP)
– Critical Success Factors (CSF)
– Ends/Means (E/M) Analysis
2. Prototyping Watson and Frolick's Approach
– Asking (interview approach)
– Deriving the needs from an existing information system
– Synthesis from characteristics of the systems
– Discovering (Prototyping)• Ten methods
Other Methods
10
Characteristics of EIS
Drill down Critical success Factors (CSF) Status access Analysis Exception reporting Colors and audio Navigation of information Communication
11
Critical Success Factors (CSF)
Monitored by five types of information 1. Key problem narratives
2. Highlight charts
3. Top-level financials
4. Key factors (key performance indicators (KPI))
5. Detailed KPI responsibility reports
12
Characteristics and Benefits of EIS
(Table 8.1)
Quality of information User interface Technical capability provided Benefits
13
Comparing and Integrating EIS and DSS
Tables 8.2 and 8.3 compare the two systems– Table 8.2 - DSS definitions related to EIS
– Table 8.3 - Comparison of EIS and DSS
EIS is part of decision support
14
EIS vendors - easy interfaces with GSS
Some EIS built in Lotus Domino / Notes
Comshare Inc. and Pilot Software, Inc. - Lotus Domino/Notes-based enhancements and Web/Internet/Intranet links
Integrating EIS and Group Support Systems
15
Traditional EIS Software
Major Commercial EIS Software Vendors– Comshare Inc. (www.comshare.com)
– Pilot Software Inc. (www.pilotsw.com) Application Development Tools– In-house components
– Comshare Commander tools
– Pilot Software’s Command Center Plus and Pilot Decision Support Suite
16
EIS Data access Data warehousing OLAP Multidimensional analysis Presentations Web
17
Multidimensional Analysis
Easy to develop an EIS in an OLAP system
Most are Web-ready
Can tap into data in a data warehouse via the Web
Use advanced visualization tools
18
Representative OLAP / Multidimensional Analysis
Packages BrioQuery (Brio Technology Inc.) Business Objects (Business Objects Inc.) Decision Web (Comshare Inc.) DataFountain (Dimensional Insight Inc.) DSS Web (MicroStrategy Inc.) Focus Fusion (Information Builders Inc.) InfoBeacon Web (Platinum Technology Inc.) Oracle xpress Server (Oracle Corporation) Pilot Internet Publisher (Pilot Software Inc.)
19
Including Soft Information in EIS
Soft information is fuzzy, unofficial, intuitive, subjective, nebulous, implied, and vague
20
Soft Information Used in Most EIS
Predictions, speculations, forecasts, estimates (78.1%) Explanations, justifications, assessments, interpretations
(65.6%) News reports, industry trends, external survey data
(62.5%) Schedules, formal plans (50.0%) Opinions, feelings, ideas (15.6%) Rumors, gossip, hearsay (9.4%)
Soft Information Enhances EIS Value
21
Organizational DSS (ODSS)
Three Types of Decision Support– Individual
– Group
– Organizational Hackathorn and Keen (1981)
22
Organizational decision support focuses on an organizational task or activity involving a sequence of operations and actors
Each individual's activities must mesh closely with other people's work
Computer support is for – Improving communication and coordination
– Problem solving
23
Definitions of ODSS A combination of computer and communication technology
designed to coordinate and disseminate decision-making across functional areas and hierarchical layers in order that decisions are congruent with organizational goals and management's shared interpretation of the competitive environment (R. T. Watson, 1990)
A DSS that is used by individuals or groups at several workstations in more than one organizational unit who make varied (interrelated but autonomous) decisions using a common set of tools (Carter et al., 1992)
24
A distributed decision support system (DDSS). Not a manager's DSS, but supports the organization's division of labor in decision making (Swanson and Zmud, 1990)
Apply the technologies of computers and communications to enhance the organizational decision-making process. Vision of technological support for group processes to the higher level of organizations (King and Star, 1990)
25
Common Characteristics of ODSS (George, 1991)
Focus is on an organizational task or activity or a decision that affects several organizational units or corporate problems
Cuts across organizational functions or hierarchical layers Almost always involves computer-based technologies, and
may involve communication technologies Can Integrate ODSS with Group DSS and Executive
Information Systems ODSS are an enterprise information system directly
concerned with decision support
26
Supply and Value Chains and Decision Support
Supply chain: (originally) flow of materials from sources to internal use
Demand chain: flow from inside to customers
27
Supply Chain The flow of materials, information, and
services from raw material suppliers through factories and warehouses to the end customers
Includes the organizations and processes that create and deliver value to the end customers
28
Supply Chain Management (SCM)
To deliver an effective supply chain and do it effectively
To plan, organize, and coordinate the supply chain’s activities
29
SCM Benefits
Reduction in uncertainty and risks in the supply chain
Positively affect– inventory levels– cycle time– processes– customer service
Increase profitability
30
Supply Chain Components
Upstream Internal supply chain Downstream
Involves product life cycle activities
Example (Figure 8.2)
31
Supply Chain
Related to the Value Chain Model (Porter)
32
Supply Chain Problems
Uncertainty in the demand forecast Uncertainty in delivery times Quality problems Poor customer service High inventory costs Low revenue Extra costs
33
Solutions to Supply Chain Problems
Outsourcing Buy, not make Configure optimal shipping plans Optimize purchasing Strategic partnerships with suppliers Just-in-time delivery of purchases Reduce intermediaries Reduce lead times (EDI) Use fewer suppliers Improve the supplier-buyer relationships Build-to-order Accurate demand by working with suppliers
34
Computerized Systems
MRP ERP SCM
Integrating the supply chain
35
Enterprise Resource Planning (ERP)
Objective: integrate all departments and functions across an organization into a single computer system that can serve the entire enterprise’s needs
36
ERP Software Vendors
SAP Baan PeopleSoft Oracle J.D. Edwards Computer Associates
37
ERP
Very (VERY!) expensive 2nd generation: doing better Early 2000: moving to Web Will fail if an organization’s business
processes do not fit the ERP system’s model
38
Application Service Providers and ERP Outsourcing
ASP: software vendor who leases ERP-based applications
Outsourcing
Now via the Web
39
Corporate (Enterprise) Portals and EIS
Integrates internal applications with external applications
Generally via the Web Can include
– groupware technologies
– presentation and customization
– publishing and distribution
– search
– categorization
– integration
40
Frontline Decision Support Systems
Process of automating decision processes and pushing them down into the organization and even partners
Includes empowering employees
41
Future of Executive and Enterprise Support Systems
Toolbox for customized systems Multimedia support Better access (via PDFs and cell phones) Virtual Reality and 3-D Image Displays Merging of analytical systems (OLAP / multidimensional analysis))
with desktop publishing Client/server architecture Web-enabled EIS Automated support and intelligent assistance Integration of EIS and Group Support Systems Global EIS Integration and deployment with ERP products
top related