1. Decision Support Systems
Julie Muller
Lizzy VanHorn
Michael Stocks

2. DSS are user-driven and rely on the knowledge possessed by its user
What is a DSS?
An information system that utilizes analytical modeling and helps executives make strategic decisions
DSS are user-driven and rely on the knowledge possessed by its user

3. Structured or Unstructured? Strategic or Operational?

4. Operational Management
Decision Structure
Information Characteristics
Ad Hoc Unscheduled Summarized Infrequent Forward Looking External Wide Scope
Unstructured
Strategic Management
Semi-structured
Tactical Management
Pre-specified Scheduled Detailed Frequent Historical Internal Narrow Focus
Operational Management
Structured

5. Who in an organization do you think would use a Decision Support System??

6. Information Flow Executives Enterprise Collaboration System
Executive Information System
Executives
Enterprise Collaboration System
DSS
Managers
System Information Flow
MIS
Information Exchange/ Communication
TPS
PCS
Operational Systems and Staff

7. Types of DSS Model-driven Data-driven Communication-driven
Document-driven
Knowledge-driven

8. Why Use a DSS? Linear Programming Regression Analysis Decision Trees
Forecasting

9. Content of Information?
Accurate
Complete
Economical
Flexible
Reliable
Relevant
Simple
Timely
Verifiable
Accessible
Secure

10. Most Important
Accurate
Complete
Flexible
Relevant
Timely

11. DSS Reporting is produced through Analytical Modeling
Goal seeking
Sensitivity
What-If Scenarios
Optimization

12. Analytical Modeling Type of Modeling Example
What-if analysis
If we raised our advertising budget by 15% of our employees, what would happen to sales?
Sensitivity analysis
Continuously raise our advertising budget by 1% to monitor its relationship to sales
Goal-seeking analysis
Increase our advertising budget until sales reach $10 million
Optimization analysis
What number of advertisements maximizes our overall profit?

13. Online Analytical Processing (OLAP)
Client PCs
OLAP Server
Corporate
Databases
Multi-
Dimensional
Database

14. RECALL: What is the difference between an MIS and a DSS?
MIS- Shows past and present, tells problem but does not give a solution
DSS- Use forecasting and predictive models but human makes the end decision

15. MIS Provides information about the performance of an organization
Contains information, but does not help an executive determine the best decision to make
Generic & periodic reports

16. DSS
Explores possible alternatives and develops models to help predict outcomes of situations.
Produces flexible, adaptive reports generated through an interactive interface.
May only be generated once
Customized, non-generic

17. Fair Isaac Enterprise Decision Management Business rules
Predictive models
Decision service
Normally total
$200,000 plus

18. Fair Isaac’s Success
More than 5000 businesses in more than 80 countries
9 of the top 10 companies in the Fortune 500
Multiple success stories of big and small companies