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DECISION SUPPORT
SYSTEMS
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OBJECTIVES
What is Decision Support System (DSS)?
Decision Structure
Decision Support System Characteristics
Components of DSS Classification of DSS
Benefits of DSS
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WHATIS DECISION SUPPORT SYSTEM?
An interactive, flexible
computerized
information system that
enables managers to
obtain and manipulate
information as they are
making decisions.
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WHATIS DECISION SUPPORT SYSTEM?
DSS is an interactive software-based systemintended to help decision makers compile usefulinformation from raw data, documents, personalknowledge, and/or business models to identify and
solve problems and make decisions.
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Information required at different
management levels
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Levels of Management in Decision
Making
Strategic managementExecutives develop organizational goals,
strategies, policies, and objectives
As part of a strategic planning processTactical management
Managers and business professionals in self-
directed teamsDevelop short- and medium-range plans,
schedules and budgets
Specify the policies, procedures and business
objectives for their subunits
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Levels of Management in
Decision Making Operational management
Managers or members of self-directed teams
Develop short-range plans such as weekly
production schedules
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Decision Structure
Structured Decisions
situations where theprocedures to follow when a decision is
needed can be specified in advance
Unstructured Decisions
decision situationswhere it is not possible to specify in advance
most of the decision procedures to follow
Semi structured Decisions - decision
procedures that can be prespecified, but not
enough to lead to a definite recommended
decision
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DSS SYSTEM CHARACTERISTICS
Characteristics
of aDSS System
Interactive
Flexible
Discovery-Oriented
Accessible
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COMPONENTS OF DSS
TPSEXTERNAL
DATA
DSS DATA
BASE
DSS SOFTWARE SYSTEM
MODELS
OLAP TOOLS
DATAMINING TOOLS
USER
INTERFACE
USER
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Classification of DSS
Model-driven DSS
Communication-driven DSS
Data-driven DSS
Document-driven DSS
Knowledge-driven DSS
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Model-driven DSS
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 notnecessarily data-intensive.
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Communication-driven DSS
A communication-driven DSS
supports more than one person
working on a shared task
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Data-driven DSS
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
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Document-driven DSS
A document-driven DSS manages,
retrieves, and manipulates unstructured
information in a variety of electronic
formats.
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Knowledge-driven DSS
A knowledge-driven DSS provides
specialized problem-solving expertise
stored as facts, rules, procedures, or in
similar structures
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Benefits of DSS
Improves personal efficiency
Accelerate problem solving
Facilitates interpersonal communication
Promotes learning or training
Increases organizational control
Generates new evidence in support of a decision
Creates a competitive advantage over competition
Reveals new approaches to thinking about the problem space
